Dissertation_Paula Aleksandrowicz_12 ... - Jacobs University
Dissertation_Paula Aleksandrowicz_12 ... - Jacobs University Dissertation_Paula Aleksandrowicz_12 ... - Jacobs University
Table 13: Country values on demand-side variables which have a positive impact on the prolongation of working life Variable Germany Poland high share of services, low share of agriculture + – high educational level of prime-aged workers + + high educational level of older persons + – high further training quotas of older persons – – low unemployment rate – – low-developed seniority principle in wage formation + – low share of older workers in manual occupations + – high incidence of part-time work of older workers + – low perception of ageism – + frequent rating of health as “(very) good” + – long further life expectancy at 60 + – long healthy life expectancy – + RESULT 8 + / 4 3 + / 9 Explanations: The positive signs indicate that the variable in question applies in the given country context, the negative signs indicate that the variable does not apply. The ´low´ and ´high´ values are defined in relation to EU-25, EU-27 or OECD average (with the exception of “healthy life expectancy, for which no comparative data was available) based on data available in spring 2008. Table 13 shows that Poland has more socio-economic barriers to the prolongation of working life both in comparison to Germany, as well as in relation to socio-economic opportunities. That strengthens the message of hypothesis 6 (see section 3.4.1.) – also when socio-economic determinants of early exit are taken into consideration, Germany is better positioned in order to overcome the early exit trend than is Poland. 3.4.4. Conclusions In the comparative institutional chapter 3.4., I have analysed barriers and opportunities to the prolongation of working life stemming from supply-side determinants of early exit in Poland and Germany. We have learnt that both countries set incentives in the 1970s and 1980s to exit early. Those policies have resulted “in a self-fulfilling prophecy regarding the attitudes, aspirations and motivations of older workers” (Taylor 2006: 85). First attempts at a reversal were made two decades after, with the help of more strict rules for granting disability pensions, malus rules for taking up early retirement pensions, and active labour market policies. Pension reforms have had effects on raising the employment rates of older workers in Germany but not yet in Poland, while the effect of active labour market policies has been small (inter al. owing to their low popularisation in Germany, and their narrow extent in Poland). Although there is a declared political will in both countries to reverse the early exit trend, the mode of policy-making has been very inconsistent, which by itself serves as incentive to early exit. The low replacement rate, as an incentive to continue working, is a 101
fact in Germany rather than in Poland. (Gender differences in average replacement rates are large in both countries.) The disability pathway has been closed in both countries with the exception of the assessment criterion of the pension level in Poland (this should have been brought in line with that of the reformed old-age pensions by 2009, but President Lech Kaczyński has exercised his power of veto and stopped the law on grounds of „unfairness“; the veto was later upheld by the Parliament 42 ). Early retirement pensions will soon not be available without deductions in Germany, while in Poland, ´bridging pensions´ will be available to some of the persons previously entitled to early retirement who still remain in the old pension system. Poland also lags behind Germany with regard to the still open unemployment pathway, and the opinion of Poles on the optimum age of retirement have also not adapted to changed circumstances across the years. On part of demand-side variables, Poland suffers from several structural inhibitors to the prolongation of working life when compared to Germany: it is still a country with a high share of agricultural work, resulting in structural unemployment. Older workers are loweducated, employed to a high extent in manual occupations, and seldom participate in parttime work. Moreover, their subjective health status is low till medium when compared to Germany. That knowledge lets us assume that it will be more difficult for Poland to achieve a sustainable reversal of the early exit trend when the institutional and socio-economic setting is concerned. The next chapters will assess hypothesis 6 with regard to the personnel policy of firms. 42 „Renta wyższa niż emerytura?“, Gazeta Wyborcza (Leszek Kostrzewski) 28. Dec. 2008. 102
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fact in Germany rather than in Poland. (Gender differences in average replacement rates are<br />
large in both countries.) The disability pathway has been closed in both countries with the<br />
exception of the assessment criterion of the pension level in Poland (this should have been<br />
brought in line with that of the reformed old-age pensions by 2009, but President Lech<br />
Kaczyński has exercised his power of veto and stopped the law on grounds of „unfairness“;<br />
the veto was later upheld by the Parliament 42 ). Early retirement pensions will soon not be<br />
available without deductions in Germany, while in Poland, ´bridging pensions´ will be<br />
available to some of the persons previously entitled to early retirement who still remain in<br />
the old pension system. Poland also lags behind Germany with regard to the still open<br />
unemployment pathway, and the opinion of Poles on the optimum age of retirement have<br />
also not adapted to changed circumstances across the years.<br />
On part of demand-side variables, Poland suffers from several structural inhibitors to the<br />
prolongation of working life when compared to Germany: it is still a country with a high<br />
share of agricultural work, resulting in structural unemployment. Older workers are loweducated,<br />
employed to a high extent in manual occupations, and seldom participate in parttime<br />
work. Moreover, their subjective health status is low till medium when compared to<br />
Germany.<br />
That knowledge lets us assume that it will be more difficult for Poland to achieve a<br />
sustainable reversal of the early exit trend when the institutional and socio-economic setting<br />
is concerned. The next chapters will assess hypothesis 6 with regard to the personnel policy<br />
of firms.<br />
42 „Renta wyższa niż emerytura?“, Gazeta Wyborcza (Leszek Kostrzewski) 28. Dec. 2008.<br />
102