Early Retirement Pensions in Sweden: Trends and Regional Variations

Abstract

The total number of early retirement pensiones has risen sharply since the end of the 1960s. The increase was greatest during the early 1970s following a reform in 1970 which extended the right to early retirement pension to older workers because of labour market considerations. This article discusses various conceivable explanations for the growth in the number of early retirement pensioners and regional variations of this phenomenon. The following explanatory factors are considered: (a) The prospects of getting (keeping) a job. (b) Work capacity. (c) The nature of the pension scheme. (d) Alternative possibilities of support. (e) Preferences concerning early retirement pensions. The discussion focuses on two explanations highlighted in the public debate in Sweden: changes in pension legislation and the role of the solidarity wages policy. An empirical analysis of variations at the provincial level reveals a definite correlation between the proportion of early retirement pensioners and various indices of unemployment and underemployment.

Get full access to this article

View all access options for this article.

References

1. Arbetsmarknadspolitik och löneutjämning åren 1964-1974. Riksdagens revisorers kansli, Granskningspromemoria No. 7, 1975. Professor Anders Östlind. Stockholm, 1975.

2. Berglind, H. : Utslagning eller bristande arbetsvilja? Ett försök till begreppsanalys. Socialmedicinsk tidskrift 1976: 2.

3. Berglind, H. & Lindquist, A.-L.: Utslagningen på arbetsmarknaden: omfattning och utvecklingstendenser. Lund, 1972.

4. Berglind, H. & Puide, A.: Synen på socialhjälpstagarna. In: Ideal och verkligheter i svensk socialvård. Stockholm, 1976.

5. Berglind, H. & Rundblad, B.: The Swedish Labor Market in Transition. Stockholm, 1975 (mimeograph).

6. Kolberg, J. E.: Trygde-Norge. Oslo, 1974.

7. Knudsen, O.: Bestand og tilgang af invalidepensionister-en analyse af de regionale forskelle 1971-73. Socialt tidsskrift 1975, No. 1.

8. Lindbeck, A.: ägarmakt i företagen. Dagens Nyheter, 12 August, 1976.

9. Mannert, K. et al.: Den vidgade förtidspensioneringen. Socialhögskolan i Stockholm, 1972 (mimeograph).

10.

10. Olson-Frick, H.: De förtidspensionerades situation. Rapport 1, Statens arbetsklinik. Solna, 1976 (mimeograph).

11.

11. Rinne, H. J.: ökningen av antalet invaliditetspensionstagare i Finland. 1975 (mimeograph).

12.

12. Sirén, P.: Invalidpensionsutvecklingens allmänna drag i Finland under åren 1950-1974. Folkpensionsanstalten, Helsingfors, 1976 (mimeograph).

13.

13. Sirén, P.: Some tentative work disability models. Helsinki, 1976 (mimeograph).

14.

14. Vidgad förtidspensionering. Socialdepartementet och riksförsäkringsverket, Stockholm, 1969.