The majority (69 per cent) of Danes want to retire gradually from the labour market when the time comes, a survey from Danish pension provider PFA and Wilke has found.

The analysis showed that 18 per cent of Danes wanted a traditional transition to retirement, whereby a saver goes from full-time work to full-time retirement from one day to the next.

PFA head of welfare and senior affairs, Jesper Brask Fischer, said there was a “clear” trend underway where Danes were increasingly ditching the traditional retirement and instead slowly reducing their working life, therefore postponing retirement.

“We need to think about retirement much more fluidly, where everyone doesn't just stop when they reach a certain age. It will be much more individual, with many people combining working and retirement," Fischer added.

However, the provider pointed out it was not only the time before reaching state pension age that was changing, as an increasing number of Danes said they could imagine extending their working lives even after passing state pension age.

In addition to this, almost half of Danes expected to continue working full-time or part-time after they reach state pension age, as 17 per cent of the respondents said they would work 30-40 hours a week. Meanwhile, 18 per cent imagined working less than 20 hours a week.

PFA calculated that if the survey results were to become a reality and almost half of Danish seniors worked an extra two years, it would be equivalent to the Danish workforce being expanded by 13,835 extra full-time employees.

"We lack hands in the labour market. It is a demographic challenge that seniors must obviously help solve. In fact, the issue of the seniors' labour is a win-win-win. Seniors want to work, companies lack labour, and it is really good for the economy,” said Fischer.

The biggest incentive for Danes (57 per cent) to extend their working lives beyond the state pension age was more flexibility and shorter working hours.

Fischer said that to successfully retain qualified seniors for longer in the labour market, society must have more conversations in the workplace about the latter stages of qualified seniors' careers, new opportunities and a good transition into retirement.

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