Dissertation_Paula Aleksandrowicz_12 ... - Jacobs University
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Dissertation_Paula Aleksandrowicz_12 ... - Jacobs University

Dissertation_Paula Aleksandrowicz_12 ... - Jacobs University Dissertation_Paula Aleksandrowicz_12 ... - Jacobs University

jacobs.university.de
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11.03.2014 Views

standard retirement age, do not push out older workers even in case of reductions (which occurred in two of those firms) and cede the decision whether to exit early onto the older workers themselves. However, in Firm PL-5 and Firm PL-14 I had no opportunity to control the validity of the manager´s account as the contacted shop steward refused an interview. Box 9: Good practice in employee exit policy in Firm PL-14 Firm PL-14 does not support work past retirement age, but workers are able to reach retirement age despite personnel reductions, if they so wish. Since the acquisition by the foreign owner in 1996, the employment levels have remained stable. The new owner did not shed incumbent older workers. Many of them (about 60 persons) decided to exit early at their own wish, but no pushing out was taking place. Older workers exited via cancellation agreements on the standard retirement pension or on pre-retirement benefits. They could choose whether to change positions after reduction of singular positions, or to retire. To sum up: the general institutional and organisational regulations on retirement transitions are supportive towards the prolongation of working life (dismissal protection four years prior to retirement, no automatic termination of the employment contract upon reaching standard retirement age). However, the employer has more power in deciding on the conditions of early exit, while trade unions have reduced leeway, especially in private enterprises. The entitlement of older workers to old-age pension or pre-retirement benefit makes them most likely to be chosen as first group for ´socially acceptable ´labour shedding. There is a far-reaching collusion of interests between trade unions, employees and employers on the issue of early exit. In firms which have conducted no large-scale labour shedding so far, it is usually the older workers themselves who take the initiative for early exit, while it is the other way round in firms which are downsizing or have done so in the recent past. 4.3.7. Perceived Exit Preferences of Older Workers In this chapter, I will elaborate on the preferences of Polish workers regarding the timing and mode of exit. I will rely here on accounts of firm experts (managers and shop stewards), as I did not interrogate the workers concerned. However, some of the interviewees were already near pensionable age and reported also on their individual retirement preferences. 193

A striking feature in most firms is that women are orientated towards exit at 55 via the early old-age pension for women, while men exit at the regular retirement age of 65 – i.e. a whole of ten years later. That makes retirement a gender issue in the Polish case. Interviewees explained the orientation of women towards the earliest possible exit with the double burden of women at home and in work. Anther interesting observation on the gender issue was the belief in traditional pastime orientations of men and women: “Men in total prefer work to being at home, and probably that is (…) generally linked to that that women prefer (…) home more, (…) and the man always runs away from home.” (Firm PL- 16_HRM) In firms where personnel reductions were taking place, I observed an intermingling of push and pull factors of the early exit decision. Workers who meet the requirements for a pre-retirement benefit or the early old-age pension for women or for persons working in ´special´ conditions are more willing to make use of that option in times of personnel reductions than in times of stable employment. Their decision is further sparked by the contradictory movements of the legislator and the ambiguity as to the further development of the pension system. Especially before the lowering of pre-retirement benefits in mid- 2004, there was a run on early exit. The same phenomenon can be observed with regard to the expiring early old-age pension as retirees-to-be are uncertain whether bridging pensions will be legislated in their place. The workers want to make use of the still available early exit options even if they would prefer at the very moment to continue work, but they fear unemployment should they be released at a later time. The interviewees reported that before transformation, most older workers exited at standard retirement age or on disability pensions (with the exception of workers working in especially burdening conditions and women exiting in most cases at 55) despite the existence of early retirement, as the employment situation in the firm was stable and there were better job prospects on the external labour market. The decision to retire is further sparked by financial incentives given by the employer, e.g. more quicker promoting workers in pre-retirement age and granting them wage increases in order to raise their future pension level, or giving workers who decide to exit before standard retirement age a higher severance payment or financial compensation for the difference between the pre-retirement benefit and former wages. In Firm PL-8, the personnel manager expressed the financial incentives as follows: „At our firm, it pays out to 194

standard retirement age, do not push out older workers even in case of reductions (which<br />

occurred in two of those firms) and cede the decision whether to exit early onto the older<br />

workers themselves. However, in Firm PL-5 and Firm PL-14 I had no opportunity to<br />

control the validity of the manager´s account as the contacted shop steward refused an<br />

interview.<br />

Box 9: Good practice in employee exit policy in Firm PL-14<br />

Firm PL-14 does not support work past retirement age, but workers are able to reach retirement age despite<br />

personnel reductions, if they so wish. Since the acquisition by the foreign owner in 1996, the employment<br />

levels have remained stable. The new owner did not shed incumbent older workers. Many of them (about 60<br />

persons) decided to exit early at their own wish, but no pushing out was taking place. Older workers exited via<br />

cancellation agreements on the standard retirement pension or on pre-retirement benefits. They could choose<br />

whether to change positions after reduction of singular positions, or to retire.<br />

To sum up: the general institutional and organisational regulations on retirement<br />

transitions are supportive towards the prolongation of working life (dismissal protection<br />

four years prior to retirement, no automatic termination of the employment contract upon<br />

reaching standard retirement age). However, the employer has more power in deciding on<br />

the conditions of early exit, while trade unions have reduced leeway, especially in private<br />

enterprises. The entitlement of older workers to old-age pension or pre-retirement benefit<br />

makes them most likely to be chosen as first group for ´socially acceptable ´labour<br />

shedding.<br />

There is a far-reaching collusion of interests between trade unions, employees and<br />

employers on the issue of early exit. In firms which have conducted no large-scale labour<br />

shedding so far, it is usually the older workers themselves who take the initiative for early<br />

exit, while it is the other way round in firms which are downsizing or have done so in the<br />

recent past.<br />

4.3.7. Perceived Exit Preferences of Older Workers<br />

In this chapter, I will elaborate on the preferences of Polish workers regarding the<br />

timing and mode of exit. I will rely here on accounts of firm experts (managers and shop<br />

stewards), as I did not interrogate the workers concerned. However, some of the<br />

interviewees were already near pensionable age and reported also on their individual<br />

retirement preferences.<br />

193

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