Ministry of Defense Opposed to Restoring Special Pensions for EDF Personnel

The Estonian Ministry of Defense has called on the government to reject a bill that would restore special pensions for career military personnel, warning that it would encourage early retirement and burden the state budget.

The special pension scheme was abolished more than six years ago, and the ministry argues that reinstating it would not improve personnel retention.

Roland Murof, deputy head of the ministry's strategic communications department, explained that the option to receive an active service pension at an earlier age has led experienced military personnel to leave service before reaching the maximum service age. If pension eligibility begins at age 50, long-serving officers and non-commissioned officers often leave five to 15 years before the maximum service age (55, 60, or 65). Data shows that those retiring on an active service pension before reaching the age limit account for an average of 15 percent of all departures, or about 45 people per year.

While the average retirement age for most civilians is 64, in the Estonian Defense Forces it is 53. Murof stressed that the goal cannot be to encourage early departures, especially since abolishing the special pension has not reduced recruitment – for example, the number of former conscripts entering active service has doubled compared to 2018.

To retain personnel, the ministry has invested in increasing salaries during service. In 2025, the basic pay of career military personnel was increased by an extraordinary 11 percent, and nearly 14 percent for career positions. Combined with recently introduced length-of-service bonuses – 10 percent after 10 years, 15 percent after 15 years, and 20 percent after 20 years – many people's income has increased by more than 40 percent. However, the considerable cost of special pensions would mean cuts to these pay measures.

The state already spends more than €30 million per year on active service pensions, with an estimated cost of nearly €470 million over the next 10 years. Murof emphasized that every additional million euros would come directly at the expense of real defense capabilities, including equipment and ammunition.

The ministry also acknowledged that social guarantees for those who have served on operations require a more comprehensive approach, especially since mental health disorders may emerge after service. Murof noted that restoring a universal lifelong active service pension is neither appropriate nor proportionate for reducing these risks, as it is not directly linked to a specific health impairment. These individuals need real, personalized medical support and treatment, which an automatic special pension cannot replace.

Finally, Murof pointed out that Estonia's pension system today is fundamentally different from when special pensions were originally introduced. The current flexible three-pillar pension system and freedom of investment allow people to decide how to save part of their income for the future. The higher and more competitive a career service member's current salary is, the better their personal opportunities to plan financially for old age without relying on a rigid early state pension.

The bill to restore special pensions was introduced by cross-party MPs Meelis Kiili (Reform), Leo Kunnas (EKRE), Alar Laneman (independent), Peeter Tali (Eesti 200), Vladimir Arhipov (Center), Enn Eesmaa (independent), Kristo Enn Vaga (Reform), and Raimond Kaljulaid (SDE). Of these, Kiili, Kunnas, and Laneman are retired high-ranking EDF officers. The government abolished special pensions for EDF personnel, prosecutors, and Police and Border Guard officers for people entering service after January 1, 2020, with the change taking effect on that date.