More than a quarter of Irish people who began receiving the old-age pension in 2023 continued to work, according to a new report by the European Commission. The data reveals that 26.3% of Irish citizens eligible for the pension last year remained in the workforce, a figure significantly higher than the EU average of 13%.
The report highlights that Irish workers are more inclined to delay full retirement while collecting the pension compared to their European counterparts. Ireland's rate of 26.3% ranked seventh among the 27 EU member states and was double the EU average. Among Irish pension recipients, men were more likely to keep working, with 32.6% continuing employment compared to 20.1% of women.
The highest percentages of pension recipients who remained employed were recorded in the Baltic states, led by Estonia (54.9%), Latvia (44.2%), and Lithuania (43.7%). In contrast, Romania (1.7%), Greece (4.2%), and Spain (4.9%) reported the lowest rates. Nordic countries such as Norway, Sweden, and Iceland also recorded high figures.
In Ireland, 16.9% of new pensioners last year continued working without altering their normal routines, while 9.4% stayed employed but adjusted their work patterns. On the other hand, 48.4% were already not working before receiving the pension, and 25.3% stopped working entirely once they began receiving it.
Productivity and enjoyment were the primary reasons cited by more than half (50.9%) of Irish people who continued working after becoming eligible for the pension, a rate significantly higher than the EU average of 36.3%. Social integration motivated 15.7%, while 22.5% reported financial necessity as their reason, lower than the EU average of 28.6%. Irish women were more likely than men to continue working for financial reasons.
Overall, the majority of EU citizens who received the old-age pension for the first time in 2023 either stopped working or were already out of the workforce. Among those who stayed employed, about half continued as before, while the rest adjusted their work patterns, such as taking on fewer hours, changing jobs, or starting a new job after leaving their previous role.