Right-wing parties in the Danish Parliament have responded with cautious optimism to Foreign Minister Lars Løkke Rasmussen’s proposal for a comprehensive overhaul of the nation’s pension system. The plan includes phasing out existing schemes like early retirement (efterløn), Arne-pension, and senior pension.

Rasmussen suggests implementing a part-time pension system. This would allow individuals approaching retirement age to reduce their working hours and salary, with the government providing a pension benefit to compensate for the lost income.

While generally welcoming Rasmussen’s enthusiasm for reform and his focus on increasing labor market participation, some right-wing figures have expressed concerns about the complexity of the proposed model.

Mette Abildgaard, political spokesperson for the Conservative party, stated that while Rasmussen’s engagement in the debate is positive, the specific details of his proposal lack clarity. Sólbjørg Jakobsen, political spokesperson for Liberal Alliance, echoed this sentiment, acknowledging the potential benefits of streamlining existing schemes but refraining from fully endorsing the plan due to its lack of specificity.

Both the Conservatives and Liberal Alliance were involved in the introduction of the senior pension in 2019, during their time in the VLAK government. The senior pension requires medical assessment to determine eligibility based on wear and tear. The Arne-pension, another scheme targeted for removal, grants the right to early retirement based on years of labor market participation, offering a lower benefit than the senior pension.

The Conservative party has expressed a preference for eliminating the Arne-pension altogether, arguing that it lacks individual assessment of wear and tear. Liberal Alliance has presented an alternative pension plan called FriPension, allowing Danes to contribute tax-free amounts monthly, which can be withdrawn for early retirement. The aim is to enable individuals to finance their early retirement without burdening the state with healthy individuals leaving the workforce.