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2018 | OriginalPaper | Buchkapitel

35. Retention and Reintegration of Older Workers into the Labour Market : What Works Best?

verfasst von : Regina Konle-Seidl

Erschienen in: Erwerbsverlauf und sozialer Schutz in Europa

Verlag: Springer Berlin Heidelberg

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Abstract

The labour market situation of older workers has significantly improved over time, yet opportunities to work at older age still vary considerably across EU countries. This chapter traces diverging developments in retaining employment and bringing older unemployed back to work in Germany, France, the Netherlands, Norway, and Austria. It provides evidence that pension reforms and the abolition of pathways to early retirement have contributed more to extending working lives than anything else. However, re-integration after a job loss and the risk of persisting unemployment remain specific problems of the elderly. Public programs to support the re-integration of unemployed senior workers show rather mixed results.

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To adjust the absolute numbers according to demographic effects we calculate employment ratios (instead of employment rates) by relating employment to the population of the same age group to assess whether the labour market participation of older workers has really increased.

Starting from a comparatively high level in Norway (63.7 years) the effective retirement age increased only by 0.4 years over the period of 1995–2014. In France, the increase was by 0.9 years, but starting from a low level (58.9 years). In Austria (58.9) it increased by 1.3 years, in Germany (60.3) by 2.4 years and in the Netherlands (58.7) by 3.2 years (http://www.oecd.org/els/public-pensions/ageingandemploymentpolicies-statisticsonaverageeffectiveageofretirement.htm).

Employees currently aged 60–64 with job tenure of five years or more as a percentage of all employees aged 55–59 previously; data for Austria and the Netherlands from 2007; no data available for Norway from 2005.

The Hartz IV reform (2005) might also have influenced these developments. Older workers who entered UI under the pre-reform regime till end of 2004 might rationally have expected to claim generous, wage-indexed benefits until entering retirement, effectively becoming labour market participants in name only. The lower lump sum benefits for older long-term unemployed after the reform makes such an option less attractive. Additionally, the “pension at 63” introduced in July 2014 for those who have paid into the retirement system for 45 years might also contribute to lower not only employment but also unemployment among the elderly.

From the age of 57.5 onwards, unemployment benefit recipients in the Netherlands were not required to actively search for a job – they could stay unemployed until they turned 65, from which age they would receive retirement benefits. Similar regulations have been in place also in other countries, e.g. in Norway or Germany. But no impact studies on their abolition has been carried out.

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Titel: Retention and Reintegration of Older Workers into the Labour Market : What Works Best?
verfasst von: Regina Konle-Seidl
Verlag: Springer Berlin Heidelberg
Buch: Erwerbsverlauf und sozialer Schutz in Europa
Print ISBN: 978-3-662-56032-7

Electronic ISBN: 978-3-662-56033-4

Copyright-Jahr: 2018
DOI: https://doi.org/10.1007/978-3-662-56033-4_35