Austrian trade unions have called for reform to close the country’s gender pension gap ahead of Equal Pension Day on 9 August, highlighting that women’s pensions are 39.4 per cent lower than men’s on average, equivalent to 144 days of pension income.

Equal Pension Day marks the point in the year when men in Austria have already received the pension that women will receive until the end of the year.

The Austrian Trade Union Federation (ÖGB) acting federal women chair, Christa Hörmann, said that low pensions are neither a matter of fate nor a personal failure.

Instead, she said that low pensions for women are the result of structural shortcomings: a lack of childcare, unpaid care work, low-paid sectors dominated by women, and involuntary part-time work.

She emphasised that the consequences of these structural shortcomings become apparent decades later, and whether it is meagre starting salaries, career breaks due to maternity leave or precarious jobs, the imbalance is systemic.

“Women do not voluntarily fall into the part-time trap. They do so because there is a lack of childcare places or because they are caring for relatives. Those who support society must not be made to foot the bill in old age,” Hörmann argued.

The ÖGB also defended Austria’s state pension system, rejecting arguments that question its sustainability or create divisions between generations.

“The intergenerational contract is alive and well. Young people support the older generation, and today’s pensioners laid the foundations of our prosperity. Young and old are not pitted against one another – they support one another. Solidarity knows no age,” Hörmann emphasised.

The ÖGB called for eight measures to reduce pension inequality: expanded childcare provision, stronger support for carers, fair pay, improved access to full-time employment, a more equal distribution of care responsibilities, pay transparency, secure parental leave and a strong state pension system.

“Retirement is a fundamental right, not a privilege. Today’s policies determine tomorrow’s poverty. Good pensions can only be achieved with good work – across generations,” Hörmann concluded.

The trade union PRO-GE also called for faster progress on labour market reforms to improve women’s retirement security.

PRO-GE Women federal chair, Elfriede Schober, said the limited progress in reducing the gender pension gap when compared to previous years showed that further action was needed.

“We have been making the same demands for years, but politicians have been too slow to respond. We are still miles away from true equality. This takes a particularly heavy toll on women in old age,” she said.

Schober called for measures to support older workers, including a potential bonus-malus system that rewards companies who employ older employees, noting that rising unemployment among women aged 60 and over remains a concern.

Schober also urged the Austrian government to reach agreement on legislation implementing the EU Pay Transparency Directive.

The EU Pay Transparency Directive is a law that aims to ensure equal pay for equal work or work of equal value between women and men.

“Women often earn less than their male colleagues for years on end, even though they perform equally well. This has serious implications for their future pensions. The government must act swiftly to ensure this injustice is rectified,” she added.

Additionally, Schober highlighted that there is still a need to catch up in childcare services, especially in rural areas, which prevents many women from working full-time.

Likewise, she noted that care work remains unevenly distributed in families, including care of close relatives.

"In most cases, part-time work is not chosen voluntarily, but results from the circumstances. In order for women to have fewer disadvantages in retirement, decisive action is needed,” she concluded.

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