Active labour market policy measures for pre retirement unemployed to integrate into labour market
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Active Labour Market Policy Measures for Pre-retirement Unemployed to Integrate into Labour Market. Borbély -P., Tibor Bors , Ph.D . Senior Adviser, National Labour Office, Hungary Riga, 22nd May, 2014 ( 2nd training day) .

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Active Labour Market Policy Measures for Pre-retirement Unemployed to Integrate into Labour Market

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Active Labour Market Policy Measures for Pre-retirement Unemployed to Integrate into Labour Market

Borbély-P., Tibor Bors, Ph.D.

Senior Adviser,

National Labour Office, Hungary

Riga, 22nd May, 2014 (2nd training day)


Part I. Statistical portrait on pre-retirement age (55-62) group employment, unemployment in Hungary – different target groups


How is old? What is the definition of „senior workforce”?


Eurobarometer (2011) Active ageing report


Older workers in Western-Europe


Typologyof different types of skill obsolescence

Technical skills obsolescence:

  • - wear of skills due to ageing, injuries or illness;

  • - atrophy of skills because of insufficient use;

    Economic skills obsolescence

  • - job specific skills obsolescence as a consequence of technological or

  • organisational renewal of the production process;

  • - obsolescence due to shifts in the sectoral structure of employment;

  • - firm-specific obsolescence due to firm closure or reorganisation;

    Organisational forgetting due to quits of workers with firm specific skills.

    De Grip and van Loo (2002)


Older workforce in Hungary


Clients of the PES: allowances

Job-seekers benefit for pre-retirement age group

  • Based on the Employment Act (1991. IV.)

  • registered at the local PES office;

  • ready for job (!);

  • in the register at least 45 days;

  • not entitled for (regular) job-seekers’ allowance (max. duration 3 monthly currently)

  • Amount: 40% of the minimal wage (2013: HUF 39 200 monthly (~EUR 130) , HUF 1307 (1 EUR 4,3) daily


Clients of other national agencies : allowances (2) – rehabilitation

  • since 2011 a new rehabilitation act came into force

  • a new national institute set up for rehabilitation and social

  • rehabilitation system & pensions have been reconsidered

  • rehabilitation pensioners more than 5 years away from retiring age have been sending back the labour market

  • Rehabilitation allowance 30-50% of the minimal wage HUF 29,400-49.000; (~ EUR 98-163)


Employment ratesin EU-27, Hungary

Source: LFS, Eurostat


Average exit age from the labour force in some EU countries (2007, 2010)

Eurostat


Changes in employment by gender and age (2011/2012)

HCSO,2012


Registered job-seekers by age groups 2009-2012

PES data, 2012


Part II. Hungarian Practices for integration of pre-retirement age group


55+ registered main findings

  • Most of the registered 55+ are in the developed counties

  • 39% (2012) of them are long-term registered


Activating PES 55+ registered jobseekers

(PES data, 2012)


Thank you for your attention


Some issues for discussion

  • Real exit age from the LM vs. EU 2020 goals

    (20-64 full empl. (75%) by 2020)

  • digital skills for future above 55(not only for work)

  • Low mobility at certain age

  • Intergenerational cooperation at workplaces

  • Older workers benefit/wage protection vs. open LM


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