Denmark: Survey Finds Workers in Health and Social Services Industry Delaying Retirement

According to a survey conducted by Pensionskassernes Administration (PKA), fewer PKA members in the health and social services industry are retiring than earlier. The number of active members over the age of 60 has increased from 13,500 to 18,000 between 2005 and 2008, while the proportion of health workers retiring at 60 fell to 13.2% in 2008.

"It surprises us that things are going that way--fewer retire when several have been given the option. It is of course positive for society, because especially in the health sector are labor shortages. But it is also good for the individual who will receive a higher pension by deferring the retirement age a few years, "says member manager of PKA Britt Brandum. [Google Translate from Danish]

According to Brandum, the vast majority of PKA members, around 90%, are women who have a life expectancy of around 85 years. Thus, when those whose choose to retire at 60 face a long retirement period of 25 years.

According to Peder J. Pedersen, professor of Velfærdsforskning at the Department of Economics, University of Aarhus, and a member of the Employment Commission, the figures are interesting and reflect a stated desire of employers for older workers to work a few extra years because of labor shortages. While if this progress continues, the shortage of manpower in the health sector will be easier, but to close the gap completely, it must be something more dramatic.

Sources: Pensionskassernes Administration Nyt fra PKA (February 26, 2009); Investment & Pensions Europe "Fewer Danish health workers are retiring early" (February 27, 2009)

Denmark: Study Reports Growth in Employment among People 60 and Older

According to an English summary posted on eSangathan.com, a report prepared by Denmark's Economic Council of the Labour Union ("Arbejderbevægelsen Erhvervsråd") shows that, among the employed people over 60, the number of persons employed have gone up with 45.000 persons since 2004. The highest growth has been in the group of people age 60-62, while, compared to the size of the workforce, the highest percentage has been for people age 65, where the growth has been from 8.000 to 13.000 in three years.

The Council's report suggests that this growth is not only due to the higher number of people in that age group, but rather that there it represents a change in behavior among these people--they have simply chosen to stay longer at the labor market.

Full report in Danish is also available.

Source: eSangathan.com "Great growth in work frequency among elders in Denmark" (July 17, 2008)