Addressing the gender pension gap in Greece

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The General Secretariat for Family Policy and Gender Equality, i.e. the governmental organization in charge of equality between women and men in Greece, is currently working on the issue of gender pension gap in the country through a project funded by the European Union's "Rights, Equality and Citizenship" Program (2014-2020).

More specifically:

The “PEGASUS: Addressing the Gender Pension in Greece” Project is being implemented with the collaboration of the General Secretariat for Family Policy and Gender Equality (coordinator), the Research Centre for Gender Equality and the National Center for Social Research. Its main objective is to reinforce existing knowledge on all dimensions of the gender pension gap in Greece in order to contribute to the development of policies and other initiatives that will effectively address gender gaps in pensions:

Here are some key characteristics of the situation in Greece:

  •  in 2019, women’s pension was 24,5% lower than men’s pension - women are also less likely to meet retirement requirements;
  •  the main causes of the pension gap are gender stereotypes and gender segregation in the labor market;
  • the retirement requirements in the public and the private sectors are: either 62 years of age and completed insurance time (insurance stamps) of at least 40 years or 12,000 days or 67 years of age and completed insurance time (insurance stamps) of at least 15 years or 4,500 days;
  •  the pension is reduced by 6% for each year that one’s retirement age is less than 67 years (except in the case of a full contributory period of 40 years) - the amount of one’s national pension is also reduced by 2% yearly for a contributory period between 19 and 15 years;
  • the amount of the national pension of all insured persons (natives or foreigners) is reduced by 2,5% penalty for each year below the 40 years of permanent residence required;
  • part-time work reduces the amount of one’s future pension, while abstaining from work or working without insurance for even just a year can significantly reduce one’s future pension.

The main five messages to all female employees are the following:

  • aim at a full time, insured job position in order to fulfill the retirement requirements;
  • remember that the more years you work without insurance, the lower your pension will be;
  • remember that you need at least 15 years of work with insurance to get a pension;
  • do not rest on family income;
  • share caring responsibilities for children and/or older people with your partner.

The highlight of the project: the on-line pension calculator

The highlight of the project is the on-line pension calculator, an app designed to help employees calculate their future pension roughly based on their current employment data and/or their estimates of their future employment. The “On-line Pension Calculator” is addressed to men and women and only takes into account the general pension eligibility and pension calculation rules and does not concern specific provisions for specific categories of insured persons. The assessment is based on the Law 4387/2016, it is indicative and under no circumstances is binding on the competent bodies for the award of pensions.