Extend pension incentives beyond 65, expert urges<\/p>\n
Pensions expert David Spiteri Gingell is proposing a significant extension to Malta’s current retirement framework, arguing that workers should be rewarded for staying in employment beyond the age of 65.<\/p>\n
In an article published in this newspaper today, he calls for the voluntary pension deferral scheme to be widened to cover ages 66 to 70, with a defined annual uplift for each additional year worked.<\/p>\n
Spiteri Gingell argues that the incentive should be set above the actuarially neutral rate, insisting that evidence shows generosity drives participation. He points to the existing 61-65 scheme, which has already led to fewer people opting for early retirement.<\/p>\n
The relationship is clear – the more attractive the incentive, the stronger the behavioural response, he writes, suggesting a model that could see pensions increase substantially for those who continue working.<\/p>\n
The proposal forms part of a broader argument on how Malta can respond to mounting demographic pressures.<\/p>\n
Read the article here<\/b><\/a><\/p>\n