Despite a whole working life in essential occupations, many who have worked in welfare do not receive a pension that is sufficient to live on. This is the conclusion of a new report from the LO trade union Kommunal.
The report “Pension för mödan” is an examination of the effects of the pension system for those who work and have worked in welfare, and it asserts that the Swedish pension system is not fulfilling its mission.
Today, a long working life is required in order to be able to work until a high age, the report states. Another problem highlighted is that many who start working early often have difficulty coping until retirement, especially as the retirement age increases, particularly in professions where the body is at risk of being worn out.
“It cannot be ignored that the system benefits high-income earners with long educations and good health, while assistant nurses, preschool teachers, and care assistants bear the brunt. The pension system is failing women in welfare – it needs to be reformed,” said Malin Ragnegård, chair of Kommunal.
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79 percent of Kommunal’s members state that they are worried about not being able to work until the age of 67. According to Kommunal, there is a great need for a fair construction of pensions.
“Women in welfare professions are doubly penalized for poor working environments and bad conditions – both while they are working and in their pension envelopes,” said Malin Ragnegård.
Below average
According to the report, workers in female-dominated LO occupations often leave the workforce before the target age, often due to health reasons, and heavy work environments with high physical and mental strain are described as “well-documented obstacles” to sick leave and a sustainable working life.
An analysis of pension outcomes for individuals born in 1957 shows that former Kommunal members are below average for general pension, occupational pension, and post-retirement income.
Proposal for reform
To make the system fairer, the following points are proposed:
Britt-Marie pension – provide worn-out individuals with a pension after a long working life. A pension for those with at least 40 years of service, full income pension four years before the target age without financial deductions
Basic pension boost for part-time working women – raises the lowest pensions
Eliminate overcompensation for high-income earners in the occupational pension system
Fee increase – a necessary reinforcement
Staffing guidelines – breaks the cycle of stress and sick leave
Salary increase in welfare – essential work must be valued higher
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