No obligation to withdraw vested benefits and entitlement to social welfare benefits

In a recent ruling, the Federal Supreme Court commented on the relationship between the obligation to make early withdrawals of vested occupational pension assets and the entitlement to social welfare benefits.

Social welfare recipients cannot be obliged to have vested benefits paid out early at the age of 60 if they would already have been used up by the time they reach the age limit of 63 for early withdrawal of the AHV pension. The amount of funds used is measured by the calculation of the need for supplementary benefits, which is higher than the need under social welfare law. (Source: BGE 8C_333/2023 of 1 February 2024)