Although the legal pension age remains a key milestone, it officially takes effect on January 1, 2024, at 66 years and 6 months. In many workplaces, roughly half of employees retire before reaching this benchmark. Notably, women tend to stay in the workforce longer than men, influenced by jobs held and broader social responsibilities. Depending on the nature of the job, some workers exit the labor market earlier, while others stay longer. These insights come from a recent study published by the Autonomous University of Barcelona (UAB).
Researcher Maria Andrée López Gómez highlights that about half of workers leave the workforce before turning 65, and another quarter exit for various reasons, including disability. The study links these patterns to decades spent in demanding or strenuous roles. The analysis draws on the Continuous Working Life Sample (MCVL) from the Spanish Social Security, covering data from 2004 to 2020, prior to the latest pension reforms.
Job type matters when it comes to retirement timing. The UAB report identifies a clear link between repetitive work and earlier retirement. Repetition in work correlates with leaving the workforce sooner. Among professionals with routine tasks, around 60 percent of men and 48 percent of those in routine roles retire before the legal retirement age. The figures align for women, with 52 percent of routine workers retiring before 67, while skilled workers show a lower rate at 38 percent.
The most recent pension reform, introduced by the Minister of Social Security, José Luis Escriva, seeks to reduce the share of workers who retire before the legal age. The reform uses a mix of penalties for voluntary early withdrawal and incentives for extending working lives. Financial provisions include checks estimated to average about 20,500 euros.
Women tend to delay retirement
The UAB study suggests that women work longer hours because they typically enter the labor market later. More than half of women, about 54 percent per Generalitat data, perform all or most household tasks, which affects their labor market participation. The researcher notes that women who become mothers face wage and employment penalties, contributing to longer-term workforce engagement for some.
In this context, the academic argues that before raising the legal retirement age to 67, as proposed by several countries, the government should promote active employment policies. These policies would help people enter the job market earlier and remain employed under better conditions, especially after age 50, allowing longer careers before retirement.
The public policy landscape can exclude portions of the workforce from ongoing labor participation. When older workers begin to show signs of aging, their chances of reentry can be slim. Latest data from the EPA, Spain’s active population survey, indicate that four in ten unemployed individuals are over the age of 45. In response, the reform includes more flexible contribution calculations and coverage adjustments to minimize adverse effects on those workers.
Another finding is that one in four workers leaves the labor force for reasons related to the job itself. This is particularly relevant for the current legislature, should the coalition reaffirm its agenda. The political program negotiated between PSOE and Sumar includes a plan for partial retirement and an aid contract intended to ensure quality employment for workers in need of additional support, especially in manufacturing sectors where job demands are high.