Turkey abolishes age limit: Erdogan’s pension gift

Status: 01/02/2023 8:32 p.m

More than two million Turks can apply for their pension at any time – if they have worked 7,200 days. Critics see this as an election campaign maneuver by President Erdogan – and warn of the consequences.

By Benjamin Weber, ARD Studio Istanbul

The door of the pension and social security office in Istanbul’s Unkapani district is closed. Lunch break. Nevertheless, a line forms on the sidewalk.

Murat is waiting at the front. The 49-year-old toy salesman has been working since he was 13. He wants to know if he can retire now. “Actually, at 49, it’s still too early,” says Murat. “But if the state gives you that opportunity, you should take it, right?”

Aysegül also came to Unkapani for this reason. She has been working since she was 16, she says. “Admittedly, retiring at 43 is early. But in this country, it’s incredibly exhausting, especially for working mothers,” says the restaurateur. “Because we not only work on the job, but also after work – in the household and with the children.” All the work made her very tired.

retirement age abolished

Long queues like this have been reported from many places since President Recep Tayyip Erdogan announced he would abolish the retirement age. According to Erdogan, this affects a good two million people. Until now, women could retire at the age of 58 and men at the age of 60. From mid-January, only the time worked counts: 7,200 days then qualify for retirement.

It goes down well here in the queue, Fatma for example. “I’m happy, otherwise I would have had to wait another three years,” says the 54-year-old. “My husband is retired, but what’s the use of a single pension? And yet: God bless Tayyip Erdogan! Yes, everything has become more expensive, but that’s not his fault.”

Income is often not enough

Erdogan is counting on such votes in the parliamentary and presidential elections in the spring. Unlike Fatma, many people blame Turkey’s desolate economic situation on his government. The Turkish lira is falling and inflation is at least 80 percent. The pension is often not enough.

Firdevs is currently experiencing this in her family. Her father has just retired, he gets about 200 euros. “He lives in rented accommodation and has a hard time making ends meet,” says Firdevs. “I’m happy for him because now he has the chance to get a pension and work as well. So he will have more income.”

pension without retirement

Pension, but not retirement – to make a living, that’s a common model. Fatma’s husband works extra, and Murat is also thinking about it.

A young woman who does not want to give her name is standing in line for her uncle. She thinks that’s unfair. “Since many continue to work despite their pension, this is not really a pension,” she criticizes. “It’s cheating. I just graduated from college and am waiting for a job.” From their point of view, working pensioners should free up the labor market.

“At the expense of future generations”

And there’s another problem: the sooner people retire, the sooner they stop paying into insurance, leaving the system on the brink of collapse in the long run. “This is at the expense of future generations,” says the scientist and economics expert Senol Babuscu on the Turkish TV channel Karar. “How much damage we will inflict on future generations with this remains to be seen.”

The direct costs for the Turkish state are also still unknown. According to the Turkish Labor Minister, it will cost at least five billion euros.

minimum wage increased

It is not the first expensive measure: Erdogan’s government recently increased the minimum wage, as well as public sector salaries. The president is under pressure in the polls because of the economic situation – and the election will take place in early summer.

Economic expert Babuscu considers early retirement to be an election gift. “In order to win the elections, nearly 2.5 million people were eligible for early retirement,” he says. “Whether that’s right or wrong is another question. What is certain is that it will put a heavy strain on the coffers.”

Immediate pension as an election gift?

In Unkapani, the snake is now an estimated 30 meters long. Many of those waiting agree on this point: Erdogan is pursuing a very specific goal with his early retirement. “The elections are coming up. Does that have anything to do with it? Of course it is,” emphasizes Aysegül, who is waiting. “That was his last card, he has now played it.”

A man who is also standing in line agrees with her. “It’s an election gift. He knows his days are numbered. That’s why he’s doing it,” he says. “My expectation? Well, to say goodbye to him. 20 years with this man – that’s enough!”

So far, there is no applicable law on early retirement. This is not to be submitted to Parliament for a vote until mid-January. But that only seems to be a matter of form after Erdogan’s announcement.

Turkish dreams of retirement – Erdogan abolishes retirement age

Benjamin Weber, ARD Istanbul, 01/02/2023 7:37 p.m

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