Which jobs in Switzerland see the most early retirements?
By Jan de Boer
Tired of work and want to check into your golden years early? A new study has revealed which jobs in Switzerland see the most early retirements. Public sector and finance workers were the quickest to call work quits.
Early retirement in Switzerland is costly, says expert
One of the key things to bear in mind, according to Wealth Centre pension expert Karl Flubacher, is that “early retirement is expensive”. Alongside foregoing salary, those who retire before the statutory age make fewer contributions to Swiss pensions, and are subject to penalties for withdrawing early.
Therefore, "The rule of thumb for middle-class workers is: Every year you retire early costs 100.000 Swiss francs," Flubacher told the Tages-Anzeiger. Nevertheless, a 2021 survey from SwissLife revealed that 45 percent of workers in Switzerland would like to retire before the statutory retirement age of 65 years.
Who retires earliest in Switzerland?
In the study, the Tages-Anzeiger used data provided by seven different Swiss pension funds to see which workers retire the earliest. Generally, they found that those who work in the public sector are the most likely to hang up their boots early.
According to their data, 84 percent of women and 56 percent of men who work for Swiss Federal Railways retire early. The public transport provider was followed by the postal service, where 80 percent of women and 44 percent of men cash out before the statutory retirement age.
Publica, the fund which handles the pensions of those who work for the federal government, notes that 41 percent of women and 51 percent of men signed up for the fund retire early. They added that the average retirement age at the fund as a whole is 63,7 years for men and 63,4 years for women.
Private-sector workers are less likely to retire early
Rates of early retirement are much lower in the private sector. According to Servise, SwissLife and Axa, who handle pensions for 53.000 companies and 740.000 workers, between 30 and 40 percent of members retire early.
The one major exception to the rule is in Swiss banks. According to UBS’ pension fund, a whopping 72 percent of women in 62 percent of men choose to claim early. The Tages-Anzeiger noted that “given the high wages in the financial sector," this suggests that the higher the number on your final payslip, the more likely you are to retire early.
As to why people choose to retire early, the 2021 SwissLife survey found that most do so because they want to enjoy their golden years ahead of time. The fact that they have enough money to stop working was the second most common reason cited, followed by health concerns.
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Jan studied History at the University of York and Broadcast Journalism at the University of Sheffield. Though born in York, Jan has lived most of his life in Zurich and has worked as a journalist, writer and editor since 2016.
While he has plunged head-first back into life in Switzerland since returning to the country in 2020, he still enjoys a taste of home at pub quizzes and karaoke nights.Read more