Pension Reforms, Longer Working Horizons and Absence from Work

Brunello, Giorgio; Paola, Maria De; Rocco, Lorenzo

doi:10.2139/ssrn.4329814

Cited by 1 publication

(1 citation statement)

References 30 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…In this way, we provide insights on the effect of both drastic and more gradual increases of pension age on health, while discarding any anticipation effects. Fourth, while the 2011 Italian reform has been previously studied vis‐à‐vis some labor market outcomes such as sick leave (Brunello et al., 2023; Moscarola et al., 2016), old‐young worker substitution (Bertoni & Brunello, 2021; Carta et al., 2021) and spillovers on co‐workers (Bianchi et al., 2021; Carta & De Philippis, 2021), this is the first study to look at the health, employment and program substitution effects of the Italian reform on the workers directly affected by the reform, investigating a rich set of previously unexplored outcomes.…”

Section: Introductionmentioning

confidence: 99%

Health and labor market effects of an unanticipated rise in retirement age. Evidence from the 2012 Italian pension reform

Serrano‐Alarcón,

Ardito,

Leombruni

et al. 2023

Health Economics

View full text Add to dashboard Cite

As retirement ages increase around the world, not all workers may be equally able to extend their working lives. In this article, we examine the health and labor market effects of an Italian pension reform that suddenly increased the normal retirement age up to 7 years for women and up to 2 years for men. To do this, we use linked labor and healthcare administrative data, jointly with survey data and difference‐in‐difference methods. Our results show that the reform was effective in postponing retirement among both genders, as pension claiming dropped substantially for older workers. However, there were also side effects as the reform significantly pushed previously employed men and women into unemployment and disability pension. Among women only, the reform also increased sick leave and hospitalizations related to mental health and injuries. These effects were driven by women with previously low health status, suggesting that undifferentiated and abrupt increases in pension age might harm more vulnerable workers. Coherently with the milder tightening of retirement age experienced by men, labor market responses were smaller in size, and they did not suffer any significant health effects.

show abstract