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Which personnel measures are effective in increasing productivity of old workers?

Listed author(s):
  • Göbel, Christian
  • Zwick, Thomas

In this study, we investigate the effect of five specific human resource measures for old employees (SMOE) on their relative productivity. Despite the fact that SMOE are applied in the majority of establishments, this is the first representative study on the effectiveness of these measures. We find that the relative productivity contributions of old workers are significantly higher in establishments that provide either specific equipment of work places or age-specific jobs for old workers. In establishments that apply mixed-age working teams the productivity contributions of old and of young employees are significantly higher than in establishments without this measure. Working time reductions and specific training for old employees are not associated with higher relative productivity of these employees. Our paper provides a joint explanation for two recent findings, the only modest decline of the productivity contributions of old workers and the high variance for estimates of age-productivity profiles.

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Paper provided by ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research in its series ZEW Discussion Papers with number 10-069.

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Date of creation: 2010
Handle: RePEc:zbw:zewdip:10069
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  1. O'Mahony, Mary & Peng, Fei, 2009. "Skill bias, age and organizational change," MPRA Paper 38767, University Library of Munich, Germany.
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  8. Thomas Zwick, 2003. "The Impact of ICT Investment on Establishment Productivity," National Institute Economic Review, National Institute of Economic and Social Research, vol. 184(1), pages 99-110, April.
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  14. Gartner, Hermann, 2005. "The imputation of wages above the contribution limit with the German IAB employment sample," FDZ Methodenreport 200502_en, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
  15. Zwick, Thomas, 2008. "The Employment Consequences of Seniority Wages," ZEW Discussion Papers 08-039, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  16. Pekka Ilmakunnas & Seija Ilmakunnas, 2011. "Diversity at the Workplace: Whom Does it Benefit?," De Economist, Springer, vol. 159(2), pages 223-255, June.
  17. John Heywood & Uwe Jirjahn & Georgi Tsertsvardze, 2010. "Hiring older workers and employing older workers: German evidence," Journal of Population Economics, Springer;European Society for Population Economics, vol. 23(2), pages 595-615, March.
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  19. Daveri, Francesco & Maliranta, Mika, 2006. "Age, Technology and Labour Costs," Discussion Papers 1010, The Research Institute of the Finnish Economy.
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