scholarly journals Effects of Companies’ Initiatives to Reduce Early Retirement Among Older Workers

2012 ◽  
Vol 2 (3) ◽  
pp. 89 ◽  
Author(s):  
Tove Midtsundstad ◽  
Åsmund Hermansen ◽  
Roy A. Nielsen
Keyword(s):  
Older Workers ◽  
Early Retirement ◽  
Preventive Measures ◽  
Research Question ◽  
Active Ageing ◽  
Policy And Practice ◽  
Older Employees ◽  
Retirement Decisions ◽  
Employment Rates ◽  
The Individual

Although active ageing policy and practice vary between countries, we believe that knowledge about the effects of Norwegian companies’ initiatives to delay early retirement is of interest for all countries striving to increase the employment rates of older workers. Since the agreement on a more inclusive working life (IW agreement) was signed in 2001, the Norwegian government and social partners have encouraged companies to develop a more senior-friendly policy and implement special measures to retain older workers. In this article, we evaluate the effects of such measures. Our research question is, have preventive measures offered by companies to employees aged 62 years and older contributed to reduced rates of early retirement? We use a ‘difference-in-differences’ approach and examine whether measures at the company level to counteract early retirement actually affect older employees’ retirement decisions, controlling for different individual and enterprise factors. This is done by comparing changes and differences in the individual likelihood of early retirement on the contractual pension (AFP scheme) and disability pension in the period 2002–2007 among employees 62 years of age in businesses with and without the corresponding preventive measures/instruments. The analyses show that the likelihood that a 62-year-old worker will retire on the AFP scheme has increased from 2002 to 2007. This applies equally to 62-year-old employees in enterprises that have enacted special measures to retain older workers as well as 62-year-olds in enterprises that have not enacted any such measures. On the other hand, the likelihood that a 62-year-old worker will retire because of disability decreased from 2002 to 2007, among employees in both the intervention enterprises and the control enterprises. However, when controlling for other relevant characteristics of individuals and enterprises, the analysis indicates that the measures as such have had no effect on the likelihood of 62-year-olds retiring.

scholarly journals Additional Leave as the Determinant of Retirement Timing—Retaining Older Workers in Norway

2015 ◽  
Vol 4 (4) ◽  
pp. 89 ◽  
Author(s):  
Åsmund Hermansen
Keyword(s):  
Relative Risk ◽  
Older Workers ◽  
Early Retirement ◽  
Retirement Pension ◽  
Retirement Decisions ◽  
Retirement Timing ◽  
Retirement Behavior ◽  
Before And After ◽  
Retention Measure ◽  
The Individual

Faced with a rapidly aging labor force, increasing the labor supply of older workers has become an important goal for European countries. Offering additional leave to older workers with the option of withdrawing a contractual pension (contractual early retirement pension AFP) has become a widespread retention measure in Norwegian companies. Thus far, no studies documenting the effects of individual retention measures on early retirement behavior have been published. The aim of this article is to examine whether offering additional leave impacts the relative risk of withdrawal of a contractual pension. The analysis uses a difference-in-differences approach and examines whether offering additional leave to counteract early retirement impacts the retirement decisions of 61- and 62-year-olds within the next two years of their employment, controlling for a range of different individual and company characteristics. This is achieved by comparing changes and differences in the individual relative risk of retiring early on the contractual pension (AFP scheme) in the period 2001–2010 among older workers in companies with and without the retention measure. The analysis shows an overall average increase in the relative risk of a 61- or 62-year-old worker retiring on the contractual pension between 2001 and 2010; however, among older workers employed in companies offering additional leave there has been a decrease in the relative risk. The effect of additional leave is evident both before and after controlling for the selected individual and company characteristics. Thus, the analysis shows that offering additional leave as a retention measure reduces the individual relative risk of withdrawing a contractual pension (AFP) in the next two years of employment among older workers between the age of 61 and 62 years.

Skills and Training for the Older Population

2017 ◽  
Author(s):  
Wendy Loretto ◽  
Chris Phillipson ◽  
Sarah Vickerstaff
Keyword(s):  
Older Workers ◽  
Training And Development ◽  
Active Ageing ◽  
Training And Education ◽  
Training Development ◽  
Work Training ◽  
Employment Rates ◽  
The Uk ◽  
To Receive ◽  
And Training

Despite rises in employment rates across many countries, older workers (those aged 50+) are less likely than younger employees to receive workplace training and skills development. Using the UK as its starting focus, this chapter analyses the theoretical and empirical reasons for these gaps. The analysis covers in-work training and development, as well as considering the position of those older people who are unemployed but looking for work. The discussion also embraces the roles of training and education for older workers who may want to delay retirement or retire flexibly, and examines the relationships between training, development and active ageing. Concluding discussions highlight national and international policy initiatives to encourage investment in educating and training for this new work generation.

scholarly journals Origins and Mechanisms of Social Influences in Couples: The Case of Retirement Decisions

2019 ◽  
Vol 35 (6) ◽  
pp. 790-806 ◽  
Author(s):  
Maria Eismann ◽  
Kène Henkens ◽  
Matthijs Kalmijn
Keyword(s):  
Older Workers ◽  
Instrumental Variable ◽  
Early Retirement ◽  
Variable Approach ◽  
Partner Influence ◽  
Course Work ◽  
Self Interest ◽  
Retirement Decisions ◽  
Instrumental Variable Approach ◽  
Large Representative

Abstract The interdependence between partners raises considerable interest in the sociology of life course, work, and families. Partner influences play a particularly important role in the work domain, because each partner’s work decisions have profound effects on the couple as a whole. In contrast to previous research, this article pays detailed attention to the role a partner plays in workers’ labour market decisions by analysing the case of early retirement decisions. We hypothesized that partners’ preferences for older workers’ retirement originate from altruism and self-interest. Moreover, we expected that partners influence older workers’ early retirement behaviour via persuasion and pressure. To adequately estimate partners’ and workers’ preferences for the worker’s retirement, we used an instrumental variable approach. This was possible because we collected multi-actor longitudinal data from a large representative sample of older workers and their partners in the Netherlands. The results support that spousal preferences originate in altruism and self-interest and that partners influence workers through persuasion and pressure. Gender differences in origins and mechanisms of partner influence are also discussed.

scholarly journals From Work Ability Research to Implementation

2019 ◽  
Vol 16 (16) ◽  
pp. 2882 ◽  
Author(s):  
Ilmarinen
Keyword(s):  
Human Resources ◽  
Work Ability ◽  
Older Workers ◽  
Work Disability ◽  
Early Retirement ◽  
Intervention Studies ◽  
Work Force ◽  
Work Arrangements ◽  
Research Activities ◽  
Employment Rates

Work ability research started in Finland in the 1990s due to the challenges of work force aging. The employment rates of older workers (55+) were below 40% and early retirement and work disability rates were rather common in many European countries. The work ability concept and methods were developed and broad international research activities started in the 1990s. A comprehensive promotion model for work ability was created aiming to prevent work ability from declining during aging. However, to be able to impact the work ability is a complicated and difficult task, and requires effects on human resources, work arrangements, and management. Therefore, only a limited number of intervention studies have shown an improvement of work ability during aging. This article introduces some possibilities regarding how to make work ability interventions more successful.

Older employees in Europe between ‘work line’ and early retirement

2007 ◽  
Vol 13 (4) ◽  
pp. 575-593 ◽  
Author(s):  
Gerhard Bosch ◽  
Sebastian Schief
Keyword(s):  
Early Retirement ◽  
Older Persons ◽  
Labour Force ◽  
Employment Rate ◽  
The European Union ◽  
Highly Qualified ◽  
Eu Countries ◽  
Older Employees ◽  
Employment Rates ◽  
The Eu

The European Union has set ambitious aims concernin the employment of older persons. In March 2001 the Stockholm European Council agreed on the aim of increasing the employment rate of the EU population aged 55–64 to 50%. This article uses data from the European Labour Force Survey 2006 to analyse the employment rates of this age group in the EU-15. In most EU countries only highly qualified men aged 55–64 have an employment rate over 50%. The low skilled and women in particular are rarely employed over 55 years of age. The authors conclude that ending early retirement policies is not sufficient to increase their employment rates. Drawing lessons from the EU countries with the highest employment rates for older employees (Sweden and Denmark) they identify five major additional areas of action.

Geographical Redistribution and Public Pensions: The Case of Italy

2003 ◽  
Vol 21 (2) ◽  
pp. 167-191
Author(s):  
Monica Auteri ◽  
Fabrizio Antolini
Keyword(s):  
Older Workers ◽  
Early Retirement ◽  
Public Pensions ◽  
Easy Access ◽  
Main Hypothesis ◽  
Transfer Programs ◽  
Italian Government ◽  
Italian Regions ◽  
Retirement Decisions ◽  
Social Transfer

Abstract This paper focuses on the effects of selected Italian welfare instruments, such as the seniority pensions and the early retirement pensions. The main instruments of the Italian welfare state are described, distinguishing between assistance and insurance transfers. With a cluster analysis, the distribution of specific welfare instruments among Italian regions is thoroughly investigated and then the link between retirement decisions and the selected welfare instruments is assessed. T h e main hypothesis under investigation is that the relatively easy access to various social transfer programs enabled certain categories of older workers to withdraw from the labor market. In this framework, Italian public pensions played a prominent role in the transfer programs becoming the improper device used by the Italian government to cope with unemployment problems.

scholarly journals Introduction: Policy Responses to Ageing and the Extension of Working Lives

2016 ◽  
Vol 15 (4) ◽  
pp. 607-610 ◽  
Author(s):  
Simon Biggs ◽  
Dina Bowman ◽  
Helen Kimberley ◽  
Michael McGann
Keyword(s):  
Older Workers ◽  
Early Retirement ◽  
Policy Issue ◽  
Active Ageing ◽  
Economic Changes ◽  
Advanced Economies ◽  
Working Age ◽  
1960S And 1970S ◽  
The 1960S ◽  
The Life Course

Since the beginning of the twenty-first century, the relationship between work and ageing has become increasingly visible as a policy issue. It is both reflected in and influenced by changes in macro-economic policy, life-opportunities and social attitudes associated with growing older, as a combination of falling birth rates and increased longevity, and has put pressure on the traditional parameters of the working age. The idea of retiring at a fixed point in the life-course, to enjoy a period of rest or leisure at the end of a working life, emerged in many advanced economies during the 1900s and evolved into policies that encouraged early retirement as the baby-boomers entered the jobs market in the 1960s and 1970s (Phillipson and Smith, 2005). Early retirement, itself a relatively recent development, gave rise to the possibility of a ‘third age’ of leisure and active ageing (Laslett, 1987), but as demographic and economic changes make themselves felt, it is again becoming an uncertain prospect for many older workers (Biggs and McGann, 2015).

The impact of age on innovation

2015 ◽  
Vol 38 (4) ◽  
pp. 404-420 ◽  
Author(s):  
Richard A Parsons
Keyword(s):  
Older Workers ◽  
Content Type ◽  
Older Employees ◽  
Human Resource Department ◽  
Age Diversity ◽  
Independent Variable ◽  
The One ◽  
The Individual ◽  
The Cost ◽  
The Impact

Purpose – This paper aims to develop a model of individual innovation based on an employee’s innate propensity to innovate and the specific costs and benefits expected to the individual from the innovation. This model is then used to study the way an employees’ age will impact innovation. Design/methodology/approach – This paper proposes variables which drive an individual’s innovative behavior based on a literature review. This theoretical model is then maximized to show how age drives an employees’ innovation output in three ways. A small survey is used to substantiate the theory. Findings – In this model, the age of the employee becomes an important independent variable with negative elements associated with both the cost and benefit the employee will receive from their innovation efforts. However, age will be positively associated with an employee’s ability to implement and capitalize on their innovation. Practical implications – Firm’s must pay attention to the career life cycle of their employees. The human resource department must take on the task of focusing on delivering the programs needed to support older employees’ particular needs relative to producing innovation. Social implications – As the Western workforce ages, considerations for dealing with older workers and age diversity will become more important. Models such as the one developed in this paper will be important for understanding and managing the changing workforce. Originality/value – This model develops a theory of how age can impact an employee’s innovation in three specific ways that have not previously been addressed in the literature. This model also proposes an explanation for surprising results found in several prior studies.

scholarly journals Age segregation and hiring of older employees: low mobility revisited

2014 ◽  
Vol 35 (8) ◽  
pp. 1090-1115 ◽  
Author(s):  
Pekka Ilmakunnas ◽  
Seija Ilmakunnas
Keyword(s):  
Older Workers ◽  
Age Groups ◽  
Cohort Effect ◽  
Employment Change ◽  
Firm Level ◽  
Content Type ◽  
Older Employees ◽  
Age Segregation ◽  
The Individual ◽  
Employee Data

Purpose – The purpose of this paper is to analyse the determinants of hiring and exit rates by age at the firm level and firm-level age segregation in hirings and separations in Finland. Design/methodology/approach – The use Finnish linked employer-employee data from 1990 to 2004. The authors present a decomposition of employment change by age group to disentangle the roles of hirings and exits from factors related to demographics effects. Firm-level analysis is conducted using regression models for the hiring rates and shares of different age groups and for the probability of hiring older employees. Similar models are estimated for the exits of older employees. Segregation is analysed using age segregation curves and Gini indices calculated from them. Findings – The hirings of older (50+) employees have clearly been more segregated at the firm level than the exits or the stock of old employees. Larger firms are more likely to hire older employees, but their hiring rates are lower. However, the probability of having hires or exits of older workers are much higher in large firms. The results are relatively similar for men and women. Research limitations/implications – The determinants of the probability of hiring older workers and the rate of hiring them, given that the rate is positive, are different and these two processes should be modelled separately. The Gini index of segregation may be misleading when the number of employees per firm is small. Therefore it is useful to compare segregation to a random reshuffle of employees to firms. Practical implications – Older worker who have become unemployed or who want to change their job need to have more employment opportunities. Labour and pension policies need to be monitored and designed so that there are more incentives for the individual to search for a new job and for the firms to hire older employees. Originality/value – The authors provide new empirical evidence of age segregation and hiring prospects of older employees. Age segregation has previously been examined in occupations, but the authors extend the analysis to firm-level segregation. The authors suggest a new decomposition of the rate of employment change to the hiring and exit rates and to a cohort effect.

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