Work

Pension Reform Effects in Times of Technological Change and Shifting Task Composition

Year: 2025

Type: article

Abstract: We study heterogeneity in the effects of a pension reform in Germany: the introduction of the old-age pension for the very long-term insured, which lowered the threshold for full pension receipt from age 65 to 63. Using a regression discontinuity design (RDD) and rich administrative pension data, we estimate the effects of the reform on eligible workers who differ in a number of occupational characteristics. Transitions into the new early retirement scheme occurred more frequently from jobs involving mainly manual and routine tasks, which contributed to the changing composition of tasks in the workforce. While the introduction of new technologies, materials and machines in an industry was associated with more workers claiming early retirement, workers affected by frequent PC use and new PC programmes were less likely to use the early retirement scheme.

Source: Jahrbücher für Nationalökonomie und Statistik

DOI: 10.1515/jbnst-2024-0036

Authors: Bernhard Boockmann, Natalie Herdegen, Martin Kroczek

Institutions: IZA - Institute of Labor Economics, Institute for Applied Economic Research, University of Tübingen

Language: English

Topic: Retirement, Disability, and Employment

Subfield: Demography

Field: Social Sciences

Domain: Social Sciences

SDG: Decent work and economic growth

Open Access status: hybrid

Estimated APC paid: