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Reversing the Trend from “Early” to “Late” Exit: Push, Pull and Jump Revisited in a Danish Context

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  • Per H Jensen

    (Center for Comparative Welfare Studies, Aalborg Univesity, Fibigerstrade 1, Aalborg 9220, Denmark.)

Abstract

Denmark is a low exit country in EU-25. As such, the Danish experience contradicts most wisdom in mainstream research on the causes of early exit/retirement. The Danish labour market is one of the most brutal vis-à-vis older workers in Europe, while the Danish early retirement schemes are among the most generous in Europe. For these reasons one should expect Denmark to be a high exit country. The contrary is true. With this background, it is argued that cultural and social–psychological factors play a far stronger role in shaping retirement patterns than we tend normally to assume. Accordingly, in recent years Denmark has employed cultural steering based on the voluntary participation of firms and other social partners in attempts to raise further the employment rate of older workers. Cultural steering has been supplemented by the introduction of “positive” incentives, that is, individuals and municipalities are rewarded economically if retirement is postponed. The Geneva Papers (2005) 30, 656–673. doi:10.1057/palgrave.gpp.2510046

Suggested Citation

  • Per H Jensen, 2005. "Reversing the Trend from “Early” to “Late” Exit: Push, Pull and Jump Revisited in a Danish Context," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 30(4), pages 656-673, October.
    • Handle: RePEc:pal:gpprii:v:30:y:2005:i:4:p:656-673
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    Cited by:

    1. Lars L. Andersen & Per H. Jensen & Annette Meng & Emil Sundstrup, 2019. "Strong Labour Market Inequality of Opportunities at the Workplace for Supporting a Long and Healthy Work-Life: The SeniorWorkingLife Study," IJERPH, MDPI, vol. 16(18), pages 1-9, September.
    2. Gerke, Oke & Lauridsen, Jørgen T., 2013. "Determinants of early retirement in Denmark. An empirical investigation using SHARE data," Discussion Papers on Economics 4/2013, University of Southern Denmark, Department of Economics.
    3. Kristina Thomassen & Emil Sundstrup & Sebastian V. Skovlund & Lars L. Andersen, 2020. "Barriers and Willingness to Accept Re-Employment among Unemployed Senior Workers: The SeniorWorkingLife Study," IJERPH, MDPI, vol. 17(15), pages 1-9, July.
    4. Emil Sundstrup & Sannie V. Thorsen & Reiner Rugulies & Mona Larsen & Kristina Thomassen & Lars L. Andersen, 2021. "Importance of the Working Environment for Early Retirement: Prospective Cohort Study with Register Follow-Up," IJERPH, MDPI, vol. 18(18), pages 1-13, September.

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