By Patrick Anderson
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Extra resources for Ageing and Employment Policies: Sweden (Ageing and Employment Policies)
The age at which pensions could be drawn without any reductions), although the Employment Security Act gave employees the right to remain at work until they reached age 67. 10 This possibility was abolished in the spring of 2001 when the government introduced a law, giving employees the legal right to stay at the work place until the age of 67. The government’s argument for this change was to increase the legal right for individuals to continue working for two 10. It was of course possible to continue working after age 65, but it required the employer’s agreement.
Nevertheless, it is clear that several positive steps towards achieving financial sustainability and increasing incentives to work longer have been taken as a result of the reform to Sweden’s pension system. A necessary reform of the public pension 62 system from a defined benefit system into a contribution-based system has occurred. The diversification between pay-as-you-go and funding with actuarial neutrality is also a positive change. The introduction of the automatic balance mechanism ensures the financial stability of the PAYG-system.
32 2. 1). However, women in the age group 50-59 fared relatively better than other groups. Their employment rate as share of the population decreased by less than 3 percentage points from 83% in 1990 to 80% in 2000, which was almost the same rate as for men, following a decline in the rate for men from almost 90% in 1990. e. a decrease by 9 percentage points. It is evident that the age group 60-64 differs significantly from the other groups, both in terms of levels and recovery from the recession.
Ageing and Employment Policies: Sweden (Ageing and Employment Policies) by Patrick Anderson