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A Comparative Analysis of Retirement Processes on the Case Study Denmark

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A Comparative Analysis of Retirement Processes on the Case Study Denmark Schriften aus der Fakultät Sozial- und Wirtschaftswissenschaften 23 der Otto-Friedrich-Universität Bamberg Who retires when and why? A Comparative Analysis of Retirement Processes on the Case Study Denmark by Julia Schilling 23 Schriften aus der Fakultät Sozial- und Wirtschaftswissenschaften der Otto-Friedrich-Universität Bamberg Schriften aus der Fakultät Sozial- und Wirtschaftswissenschaften der Otto-Friedrich-Universität Bamberg Band 23 2016 Who retires when and why? A Comparative Analysis of Retirement Processes on the Case Study Denmark by Julia Schilling 2016 Bibliographische Information der Deutschen Nationalbibliothek Die Deutsche Nationalbibliothek verzeichnet diese Publikation in der Deutschen Nationalbibliographie; detaillierte bibliographische Informationen sind im Internet über http://dnb.ddb.de/ abrufbar. Diese Arbeit hat der Fakultät Sozial- und Wirtschaftswissenschaften der Otto-Friedrich-Universität Bamberg als Dissertation vorgelegen. 1. Gutachter: Prof. Dr. Hans-Peter Blossfeld 2. Gutachter: Prof. Dr. Olaf Struck Tag der mündlichen Prüfung: 25.09.2015 Dieses Werk ist als freie Onlineversion über den Hochschulschriften-Server (OPUS; http://www.opus-bayern.de/uni-bamberg/) der Universitätsbibliothek Bamberg er- reichbar. Kopien und Ausdrucke dürfen nur zum privaten und sonstigen eigenen Gebrauch angefertigt werden. Herstellung und Druck: docupoint, Magdeburg Umschlaggestaltung: University of Bamberg Press, Anna Hitthaler © University of Bamberg Press Bamberg 2016 http://www.uni-bamberg.de/ubp/ ISSN: 1867-6197 ISBN: 978-3-86309-401-0 (Druckausgabe) eISBN: 978-3-86309-402-7 (Online-Ausgabe) URN: urn:nbn:de:bvb:473-opus4-462798 5 Contents List of Figures ................................................................................................................... 8 List of Tables ................................................................................................................... 11 Danksagung .................................................................................................................... 15 Acknowledgement .......................................................................................................... 17 Introduction .................................................................................................................... 19 I Conceptual Background: The Impact of Globalization and Demographic Aging on Inequalities in Late Working Life and Retirement ............................. 25 1 Implications of Macrolevel Changes for Late Careers and Social Inequalities .27 a The Impact of Globalization and Accelerated Economic Change ............... 27 b The Phenomenon of Demographic Aging .................................................... 31 c Reforms of Pension Systems as a Response to an Increasing Strain on Welfare State Budgets ..................................................................................... 35 d The Consequences for Social Inequalities .................................................... 38 2 Determinants of Labor Market Exit Processes .................................................... 41 a Macrolevel: Pull, Push, and Stay Factors ...................................................... 42 b Mesolevel: Workplace Characteristics ........................................................... 50 c Microlevel: Individual Characteristics ........................................................... 52 d Summarizing the Sociological Perspective: A Theoretical Model Explaining Retirement Processes and Inequality Patterns as Collective Phenomena...................................................................................................... 54 3 National Contexts as Frameworks for Late Career Employment and Retirement – Comparing Three European Countries ................................ 57 a Selection of Countries .................................................................................... 58 b Denmark .......................................................................................................... 61 c Germany .......................................................................................................... 73 d The Netherlands .............................................................................................. 80 4 Research Questions: Historical Development, Social Inequality, and Cross- Country Differences in Retirement Transitions ................................................. 88 5 Hypotheses: Development and Determinants of Late Career Patterns and Retirement Decisions since 1980 ......................................................................... 91 a Denmark .......................................................................................................... 91 b Country-Comparative Expectations ............................................................... 95 6 II Data and Methods: Studying Retirement Processes in Denmark, Germany, and the Netherlands from Two Perspectives ....................................................... 99 1 Focus on Transitions: Observed Labor Market Experiences and Retirement Behavior ................................................................................................................ 101 2 Focus on Perceptions: Subjective Views on Retirement Transitions .............. 106 a Reasons for Retirement ................................................................................ 107 b Prospective Retirement ................................................................................. 115 III Empirical Results: Objective and Subjective Views on Retirement Transitions: The Danish Showcase Contrasted with Results from Germany and the Netherlands ............................................................................................. 122 1 Pathways into Retirement: The Development of Inequality Patterns in the Late Career and Beyond Retirement since the 1980s ........................................ 123 a The Late Career and Labor Market Exit Trends in Denmark: A Closer Look at the “Pioneer in Active Aging” .......................................... 123 b Labor Market Exit Processes in Germany and the Netherlands: Comparative Views on the “Early Exit Neighbors” ..................................... 144 c Preliminary Conclusion on the Development of Social Inequalities among Older Danes, Germans, and Dutch ................................................. 150 2 Perceptions of Retirement: The Impact of Changing Frameworks on People’s View on Retirement .............................................................................. 154 a Danes on Their Own Transitions to Retirement: More and More a Question of Personal Circumstances? ......................................................... 155 b Views on Retirement Since German Reunification: Erosion of Bismarck’s Heritage? .................................................................................... 181 c Reversing the Early Retirement Trend in the Netherlands: Recovery from the „Dutch Disease“? ........................................................................... 193 d Preliminary Conclusion on the Patterns of Retirement Perceptions in Denmark, Germany, and the Netherlands .................................................. 204 IV Synthesis: Integrating Objective and Subjective Perspectives on Retirement..……………………………………………………………………………………….……210 1 Denmark ............................................................................................................... 211 2 Cross-Country Comparison ................................................................................ 216 a Denmark’s Performance Put into Perspective ............................................ 217 b Understanding the Making of Retirement Decisions ................................ 223 7 V Summary and Conclusions ................................................................................ 228 Appendix ....................................................................................................................... 238 List of Abbreviations .................................................................................................... 258 References ..................................................................................................................... 259 8 List of Figures Figure 1.1: Fertility rates in selected OECD countries in 1970 and in 2010 .. 31 Figure 1.2: Percentage of the aged population (aged 65 and over), 2000–2013, selected countries ........................................................ 32 Figure 1.3: Life expectancy at birth in years, total population, 1980–2012, selected countries ............................................................................ 33 Figure 1.4: Public expenditure for old age retirees as a percentage of total government expenditure, selected countries ................................. 36 Figure 1.5: Public expenditure on ALMP as percentage of GDP, selected countries ........................................................................................... 47 Figure 1.6: Participation in general and vocational education, age group 25–49, selected countries ................................................................ 48 Figure 1.7: Schematic Representation of the Theoretical Model .................... 56 Figure 1.8: Persons aged 55–64 in employment as a percentage of the population in that age group, 1990–2012, selected countries ...... 58 Figure 1.9: Employment rate by gender and age group in Denmark (in percent) ............................................................................................
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