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Activation of senior citizens
   Why do Swedes work longer

      Barbro Westerholm
     Member of the Swedish
        Parliament (lib)
The demographic change
From a pyramid to a skyscraper to a muffin
Longer life, longer working life

Prerequisites and obstacles for a
  longer working life for older
people

Swedish Commission on Pension Age
     (SOU 2012:28, April 2012)
Some facts from
 Longer life, longer working life


Activity rate in the age group 56 – 64 yrs

         from 62 % in 1987
            to 71 % in 2012.
Possible causes behind longer working
            life in Sweden

• The percentage of Swedes 55 – 74 years old in
  good or very good health has increased from
  57 % in 1980 to 64 % in 2004

• The number of people with ill-health and injuries
  caused by working conditions has decreased but
  varies between places of work
Possible causes behind longer working
          life in Sweden (1)
• Cognitive tests have improved in later birth
  cohorts, probably because of better education,
  improved living conditions and more intellectual
  stimulation.

• The percentage of men with low education has
  decreased from 57 % 1985 to less than 30 % in
  2010. For women the corresponding figures are
  64 to 25 %.
Possible causes behind longer
  working life in Sweden (2)

The change of the pension system in 1999
- Pay as you go
- Stronger link between life income and
  pension
- Right to retire at 61 years, right to stay at
  work until 67
- The longer you work, the better the pension
- Pensions follow the economy of the country
At what age do Swedes plan to
               retire
2001
Before the age of 65   ~ 40 %
At the age of 65       ~ 50 %
Do not know            ~10 %

2011
Before the age of 65   ~ 15 %
At the age of 65       ~ 75 %
Do not know            ~ 10 %
Why do Swedes want to retire
•   Get more spare time
•   Has planned it for a long time
•   Possibility to get a good agreement
•   Difficult to get a new job
•   Working conditions
•   Too tired to go on
•   Want to retire at the same time as the spouse
•   Health problems
•   Does not pay to work longer
•   My competence is not appreciated
•   I want to hand over to younger ones
What can make Swedes work
                longer
•   Possibility to work part-time
•   Flexible working hours
•   Better economy
•   Better health
•   Wellness training at work (women)
•   Less stress (women)
•   Better working conditions
•   Changed attitudes to older employees (men)
•   To feel needed
How to stimulate longer working life
• Improve working conditions
• Change regulations and norms on when to
  retire
• Increase incentives to work longer
• Combat ageism, age discrimination
• Reduce costs to employ older people
More research about older
people as a resource is strongly
            needed
    Thank you for your attention

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Activation of senior citizens - Why do Swedes work longer

  • 1. Activation of senior citizens Why do Swedes work longer Barbro Westerholm Member of the Swedish Parliament (lib)
  • 2. The demographic change From a pyramid to a skyscraper to a muffin
  • 3. Longer life, longer working life Prerequisites and obstacles for a longer working life for older people Swedish Commission on Pension Age (SOU 2012:28, April 2012)
  • 4. Some facts from Longer life, longer working life Activity rate in the age group 56 – 64 yrs from 62 % in 1987 to 71 % in 2012.
  • 5. Possible causes behind longer working life in Sweden • The percentage of Swedes 55 – 74 years old in good or very good health has increased from 57 % in 1980 to 64 % in 2004 • The number of people with ill-health and injuries caused by working conditions has decreased but varies between places of work
  • 6. Possible causes behind longer working life in Sweden (1) • Cognitive tests have improved in later birth cohorts, probably because of better education, improved living conditions and more intellectual stimulation. • The percentage of men with low education has decreased from 57 % 1985 to less than 30 % in 2010. For women the corresponding figures are 64 to 25 %.
  • 7. Possible causes behind longer working life in Sweden (2) The change of the pension system in 1999 - Pay as you go - Stronger link between life income and pension - Right to retire at 61 years, right to stay at work until 67 - The longer you work, the better the pension - Pensions follow the economy of the country
  • 8. At what age do Swedes plan to retire 2001 Before the age of 65 ~ 40 % At the age of 65 ~ 50 % Do not know ~10 % 2011 Before the age of 65 ~ 15 % At the age of 65 ~ 75 % Do not know ~ 10 %
  • 9. Why do Swedes want to retire • Get more spare time • Has planned it for a long time • Possibility to get a good agreement • Difficult to get a new job • Working conditions • Too tired to go on • Want to retire at the same time as the spouse • Health problems • Does not pay to work longer • My competence is not appreciated • I want to hand over to younger ones
  • 10. What can make Swedes work longer • Possibility to work part-time • Flexible working hours • Better economy • Better health • Wellness training at work (women) • Less stress (women) • Better working conditions • Changed attitudes to older employees (men) • To feel needed
  • 11. How to stimulate longer working life • Improve working conditions • Change regulations and norms on when to retire • Increase incentives to work longer • Combat ageism, age discrimination • Reduce costs to employ older people
  • 12. More research about older people as a resource is strongly needed Thank you for your attention