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December 2009
Article
The pension advantage of public sector workers
Type: IFS Press Releases

Defined benefit pensions in the public sector are worth more as a share of the total remuneration package than they are in the private sector.

Research by Professor Richard Disney, Carl Emmerson and Gemma Tetlow, published in the latest Economic Journal, reveals the key drivers of this public sector pension advantage: longer job tenures; the option of claiming pensions earlier; and lifetime earnings profiles that peak in workers' late 50s rather than their late 40s.

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