Defense Ministry Seeks to Increase Post-Retirement Allowance for SDF Personnel

Yomiuri Shimbun file photo
The Defense Ministry head office in Shinjuku Ward, Tokyo

The Defense Ministry has decided to submit a bill to revise the law on its employees’ salaries, which includes a plan to increase post-retirement allowances for Self-Defense Forces (SDF) personnel, during the upcoming ordinary Diet session next month, The Yomiuri Shimbun has learned.

Most SDF personnel retire in their mid-50s, and many are concerned about their income after retirement. The bill aims to address these concerns as well as the SDF’s shortage of manpower.

SDF personnel are special-duty national public servants who perform demanding duties. Those who are the rank of colonel or below in the Ground and Air Self-Defense Forces or captain or below in the Maritime Self-Defense Force are eligible for an early retirement program, which requires them to retire by age 58. Upon retirement, in addition to the regular retirement bonus, they receive an early retirement allowance until age 65.

Currently, the allowance amount is set so that the allowance and post-retirement wages combined equal 75% of the income at the time of retirement. Under the revised law, the allowance amount will be set so that the combined amounts of the allowance and post-retirement wages is the same as the salary at retirement.

Due to the increasing number of SDF personnel being reassigned at the SDF after retirement, the eligibility requirement for the allowance will also be changed from “20 or more years of continuous service” to “20 or more years of total service.” The ministry seeks to implement this change within the next fiscal year.

Currently, the allowance is reduced for those whose annual income after retirement exceeds a certain amount. However, in response to concerns that this discourages reemployment, the reduction measure will be eased. The plan is to begin easing this restriction in fiscal 2028.