A major debate over early retirement is shaking Turkey's fiscal landscape. Since the 2023 EYT law passed, 2.6 million people have retired. Some retirees were as young as 38 years old. Now, a new group of workers who missed the cutoff date are demanding change. They want a gradual retirement system based on premium days worked.
The financial burden of the existing law is already substantial. Finance Minister Mehmet Şimşek reported that the EYT regulation cost 724 billion liras in 2024. That figure equates to roughly two percent of Turkey's national income. Experts have described this level of spending as unsustainable for the budget. The projected cost is expected to rise even further in coming years.
Despite widespread public pressure, the government has rejected the proposal so far. An opposition party submitted a gradual retirement bill to parliament recently. However, officials stated that there are no current plans to approve it. If the government adopted this system, millions more workers would become eligible. This would significantly increase the strain on public finances.
This situation reflects a broader global challenge that many economies face today. Countries must balance workforce sustainability with citizens' retirement expectations. Turkey currently has approximately 17.7 million pensioners receiving benefits from the state. If policymakers do not find a compromise, social tensions could intensify further. The outcome of this debate will shape Turkey's fiscal strategy for years.