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Article
Publication date: 6 April 2023

Chiara Natalie Focacci, Gülin Öylü, Andreas Motel-Klingebiel and Susanne Kelfve

Driven by the aim to increase the participation of older people in the labour force and to extend people's working lives, the Swedish Parliament passed a bill in 1998 to increase…

1047

Abstract

Purpose

Driven by the aim to increase the participation of older people in the labour force and to extend people's working lives, the Swedish Parliament passed a bill in 1998 to increase the pension eligibility age from 60 to 61 years and establish a notional defined-contribution (NDC) plan. In this article, the authors investigate the impacts towards the prolongation of working lives expected from such an intervention.

Design/methodology/approach

The authors apply a multinomial probabilistic model based on Swedish registry data on the birth cohorts 1937–1938 (n = 102,826) and observe differences in exit behaviour between eligible and non-eligible individuals.

Findings

The authors find that the cohorts eligible to the pension reform exit the labour market at a later age compared to non-eligible cohorts at the 61-years cut-off. The authors also find that the effect persists in the long term. Furthermore, the authors find that both men and women are equally struck by the reform.

Originality/value

While there exist many descriptive reports and theoretical analyses on the costs and benefits of pension reforms, this study is the first one to empirically analyse the effect of the first European NDC pay-as-you go pension plan on the potential exclusion of old-aged workers.

Details

International Journal of Sociology and Social Policy, vol. 43 no. 13/14
Type: Research Article
ISSN: 0144-333X

Keywords

Open Access
Article
Publication date: 5 July 2022

Talent Zwane, Mduduzi Biyase and September Rooderick

This study aims to investigate the impact of social grants on rural household welfare in a village located in one of the poorest provinces in South Africa – KwaZulu Natal…

5707

Abstract

Purpose

This study aims to investigate the impact of social grants on rural household welfare in a village located in one of the poorest provinces in South Africa – KwaZulu Natal Province. Actually, since the inception of democratic rule, the South African government has turned to social grants to address the issues of poverty, income inequality and to improve household welfare. The coverage of social grants has increased substantially with more than 17 million (about 34% of the population) South Africans being recipients of social grants. Despite having relatively well-developed social security system, poverty levels in rural parts of South Africa remains very high.

Design/methodology/approach

This study uses a cross-sectional households survey data conducted in Hlokozi village. A propensity score matching technique, which accounts for non-random selection of households, is applied.

Findings

The results reveal that social grants have a significant and positive impact on rural household welfare. Specifically, the nearest neighbour matching estimates suggest that the causal effect for social grants on household welfare is the region of about R5,830. Consistent with the nearest neighbouring method, the results obtained using the Kernel matching method show that social grants are significant in improving rural household welfare.

Originality/value

While there are a number of studies that have shed some light on how social grant reduces poverty in South Africa, there are some gaps. Firstly, only a few studies have interrogated the impact of social grants on household welfare. Secondly, most of these studies have relied on descriptive analysis, and finally, besides poverty being high in rural areas, research on the impact of social grants on rural household welfare remains thin.

Details

International Journal of Development Issues, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1446-8956

Keywords

Content available
Article
Publication date: 27 September 2022

Nick Drydakis, Anna Paraskevopoulou and Vasiliki Bozani

The study examines whether age intersects with gender and race during the initial stage of the hiring process and affects access to vacancies outcomes and wage sorting.

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Abstract

Purpose

The study examines whether age intersects with gender and race during the initial stage of the hiring process and affects access to vacancies outcomes and wage sorting.

Design/methodology/approach

In order to answer the research question, the study collects data from four simultaneous field experiments in England. The study compares the labour market outcomes of younger White British men with those of older White British men and women, and with those of older Black British men and women. The study concentrates on low-skilled vacancies in hospitality and sales in the private sector.

Findings

The results of this study indicate that older White British men and women, as well as older Black British men and women, experience occupational access constraints and are sorted into lower-paid jobs than younger White British men. The level of age discrimination is found to be higher for Black British men and women. In addition, Black British women experience the highest level of age discrimination. These patterns may well be in line with prejudices against racial minority groups and stereotypical sexist beliefs that the physical strengths and job performance of women decline earlier than those do for men.

Practical implications

If prejudices against older individuals are present, then anti-discrimination legislation may be the appropriate response, especially for racial minorities and women. Eliminating age discrimination in selection requires firms to adopt inclusive human resources (HR) policies at the earliest stages of the recruitment process.

Originality/value

This research presents for the first-time comparisons of access to vacancies and wage sorting between younger male racial majorities and older male racial majorities, older female racial majorities, older male racial minorities, and older female racial minorities. In addition, the driven mechanism of the assigned differences is explored. Because the study has attempted to minimise the negative employer stereotypes vis-à-vis older employees, with respect to the employees' motivation, productivity, and health, such prejudices against older individuals may be considered taste-based discrimination.

Details

Employee Relations: The International Journal, vol. 45 no. 2
Type: Research Article
ISSN: 0142-5455

Keywords

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