Finnish earnings-related pension provider, Elo, has seen an increase in the number of applications for disability pensions.

The company said applications increased by 8 per cent in 2023, the second year in a row it has seen applications rise following a 6 per cent increase in 2022. Elo director of workability, Kati Korhonen-Yrjänheikk, finds the information worrying.

"The trend of applying for disability pensions has begun to rise. The increase in the number of applicants is likely to be due to many factors, such as increased mental health symptoms, an increase in the retirement age, and a strain on healthcare. People's problems and ailments grow whilst on waiting lists for treatment, which contributes to people retiring prematurely on a disability pension," Korhonen-Yrjänheikki said.

Most disability pensions were granted from Elo for musculoskeletal problems, where 45 per cent of the applicants are over 60 years of age. The number has been on the rise in recent years.

On the other hand, the most common reason for applying for disability pension was mental health-related illnesses and symptoms. Korhonen-Yrjänheikki highlights the increase in psychological symptoms among young men. Men under the age of 34 applied for disability pensions on mental health grounds 30 per cent more than a year ago.

"The polarisation of young people's well-being and mental challenges have deepened and now increasingly extend to young men, and this is alarming. Young people are our future, and we must invest more in strengthening young people's well-being and workability in education, working life and healthcare," Korhonen-Yrjänheikki stated.

Of the disability pensions applied for on mental health grounds, 37 per cent were by people under the age of 34. Therefore, Korhonen-Yrjänheikki has called for a broad societal awakening to the situation of young people.

"We need better low-threshold services and smoother access to care. But the big question is how to prevent problems and how, for example, workplaces can build models that support young people's mental health. Low-threshold versatile assistance, better orientation, support from veterans and extensive leadership development are important tools for the well-being of young people," Korhonen-Yrjänheikki said.

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