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Ageing and Employment Policies/Vieillissement et politiques de l'emploi: Sweden 2003

image of Ageing and Employment Policies/Vieillissement et politiques de l'emploi: Sweden 2003

With rapidly aging populations, old-age pension reform and early-retirement schemes alone may not suffice to provide adequate employment opportunities. Additional measures will clearly be needed on wage scales, job discrimination, skills acquisition, and working conditions. Attitudes will also have to change about working later in life. Little is known, however, about what countries have been or should be doing on those issues. This report on Sweden begins a series of around 20 OECD country reports intended to fill the gap. Each contains a survey of the main employment barriers confronting older people, an assessment of existing remedial measures, and policy recommendations for further action.

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Protecting People While Enhancing Work Incentives

Supply-side factors are important explanations for the actual retirement decisions of older people. Individual decisions to work depend highly on benefit levels and eligibility criteria in the public pension system and in other social security schemes, but also on tax rules for occupational and individual pension schemes. This chapter analyses the disincentives to continue working that may arise within the Swedish tax and welfare benefits system. However, it is important to bear in mind that the role of the welfare system is to support vulnerable groups and to cover both temporary and permanent losses of labour income...

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