Project number: K146309
Population aging and the increasing old-age dependency ratio represent major challenges for societies and economies. To maintain sufficient tax revenues and to reduce the burden on social security systems, governments intend to increase the employment rate of older people. Firms may play an important role in facilitating employment at older ages. However, we lack evidence on how the role of firms changes over the individual life cycle and the role firms play in workers’ retirement and social security take-up decisions.
Our research consists of four interrelated work packages (WP), each investigating a different aspect of labor market outcomes at older ages.
- In WP1, we analyze employment, earnings, and the take-up of benefits after major health shocks, and how these outcomes vary with the productivity of the employer.
- In WP2, we investigate the role of firms in retirement decisions, focusing on employer productivity.
- In WP3, our focus is on the age differences in wages, how and why these differences changed in Hungary over the past two decades.
- Finally, in WP4, we investigate the employment effects of tax policies targeting older workers, and how these effects vary with the productivity of the firm and with the health of the employee
