New Pension Regulations for Care Workers Starting January 2026
Beginning January 1, 2026, care workers in Austria will be eligible for earlier retirement under a new framework designed to enhance the attractiveness of the profession amidst a growing personnel shortage. Currently, approximately 173,000 individuals are employed in nursing roles across the country, and projections indicate that by 2030, an additional 50,000 workers will be required due to demographic shifts.
Social Minister Korinna Schumann and ÖVP parliamentary leader August Wöginger announced this significant change on Tuesday, emphasizing that the decision to include nursing in the hardship work regulation is intended as a gesture of respect and appreciation for the demanding nature of care work. The government has earmarked EUR40 million for this initiative, despite the ongoing pressures to cut budgets in various sectors.
Schumann highlighted the physical and psychological burdens faced by care workers, who regularly confront issues related to suffering and end-of-life care. The hardship work regulation in Austria provides for earlier retirement for those who have engaged in physically or psychologically taxing occupations over an extended period. To qualify, individuals must have a minimum of 540 insurance months, equivalent to 45 years of contributions, and at least 120 months of hardship work within the last 20 years leading up to their retirement date.
The Austrian Pension Insurance Institution will assess whether applicants meet these criteria. Importantly, for every month spent in hardship work, there is a pension supplement available without reductions. Schumann anticipates that nearly half of those retiring under this new framework will benefit from these provisions.
To facilitate the transition of nursing into the hardship work category, amendments to the hardship work regulation are necessary, specifically regarding the criteria that define what constitutes hardship work. Presently, it is required that individuals perform hardship work on at least 15 days each month, a stipulation that does not align well with the often inflexible service schedules in the nursing sector. Schumann expressed a desire to shift the assessment from a daily to an hourly basis to better accommodate the realities of care work. Additionally, there are discussions underway about whether the definition of heavy physical labor should continue to be based on calorie expenditure.
Wöginger acknowledged the complexity of the hardship work regulation and indicated that the government plans to undertake a comprehensive review. This review will aim to reduce bureaucratic hurdles, as the current documentation requirements are substantial. The criteria for hardship work will also be evaluated with an emphasis on gender considerations, given that a significant number of care workers are women, many of whom may struggle to remain healthy until the standard retirement age.
While there are concerns that this new regulation may exacerbate the existing staffing shortage in the care sector due to an influx of retirements, Schumann remains optimistic. She noted that the reform could encourage more individuals to consider a career in nursing, framing the earlier retirement eligibility as a fair incentive for those who have dedicated many years to the profession.
The proposed changes have faced criticism from opposition parties. The Freedom Party (FPÖ) labeled the measure as inadequate, while the Green Party referred to it as a "packaged deal" that does not effectively address the realities faced by care workers. Critics argue that the stringent requirements for qualifying for early retirement, including the need for a minimum of 45 insurance years and 10 years of hardship work, will limit accessibility for many workers.
As discussions continue regarding these reforms, the timeline for the completion of a comprehensive overhaul of the hardship work regulations remains uncertain.