«Unmarried mothers take great risks»
Mr Christen, you have investigated how employment biographies and household forms affect the gender pension gap. What are your findings?
We have established that the gender pension gap, i.e. the difference in pensions between the sexes, is largely the result of a difference in workload. Role models are very pronounced: On average, mothers work around 40 percentage points less than fathers, but do more of the family work. It is also striking that mothers often never work full-time again after a reduction in working hours, even when the children have grown up and moved out. We also see the cohabitation boom as an increasing pension risk for women.
How is this emerging?
In Switzerland, one in five couples with children under the age of five is now unmarried. With an average workload of 58 per cent, mothers in cohabiting couples work more than married mothers (45 per cent), but still significantly less than fathers, who work around 90 per cent on average. Unmarried mothers therefore expose themselves to a risk that should not be underestimated: If a couple separates or their partner dies, they face major challenges in terms of pension provision.
What can unmarried mothers do to protect themselves better?
It is particularly important for unmarried parents to consider their pension situation. Our survey shows that only very few do so. It often makes more financial sense to get married after all. But unmarried people also have opportunities to mitigate the increased pension risks. In the context of occupational pension provision, for example, you should clarify whether the pension fund will also pay a pension to the cohabiting partner in the event of death and whether registration is required. It is also possible to take out 3rd pillar insurance, for example by taking out private life insurance or by the partner with the higher income saving or investing in favour of the partner caring for the children. In addition, a cohabitation agreement should be concluded to make such measures binding.
