2017
DOI: 10.1108/ijm-02-2016-0042
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The puzzle of older workers’ employment: distance to retirement and health effects

Abstract: This article investigates the extent to which the distance to retirement affects low employment rates among European older workers, taking into account a key but often neglected determinant: health status. To begin, the study amends McCall's job search model, in which the job search behavior is treated as age dependent. Agents are heterogeneous according to two attributes: distance to retirement and health. This model leads to clear predictions, such that the closer the retirement, the greater the reservation … Show more

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Cited by 6 publications
(3 citation statements)
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References 44 publications
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“…Retirement management is a major issue for Western societies that are struggling to ensure the survival of their finance systems through unpopular reforms (Oakman and Wells, 2013;Sabatier and Legendre, 2017). Several reforms and plans have been introduced in France, since the early 1990s for instance, to foster in particular the employment of older workers (more precisely in 1993, 2003, 2010 and 2014).…”
Section: Introductionmentioning
confidence: 99%
“…Retirement management is a major issue for Western societies that are struggling to ensure the survival of their finance systems through unpopular reforms (Oakman and Wells, 2013;Sabatier and Legendre, 2017). Several reforms and plans have been introduced in France, since the early 1990s for instance, to foster in particular the employment of older workers (more precisely in 1993, 2003, 2010 and 2014).…”
Section: Introductionmentioning
confidence: 99%
“…Sabatier and Legendre (2017) use French data to show that the closer the retirement, the higher the reservation wage and the lower people’s search effort for new jobs. After reaching the retirement age, people are likely to have even less incentive to work.…”
Section: Literature Reviewmentioning
confidence: 99%
“…For instance, some study findings about the extent health concerns affected policy makers decision on older workers' retirement plans (e.g. Sabatier and Legendre, 2017;Vaillant and Wolff, 2012). Other studies taking the sociological stance put emphasis on identifying older workers' work orientations and retirement patterns (Matthew, 2010).…”
Section: Introductionmentioning
confidence: 99%