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

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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  1. 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)

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

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

  4. Eurobarometer (2011) Active ageing report

  5. Older workers in Western-Europe

  6. 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)

  7. Older workforce in Hungary

  8. 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

  9. 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)

  10. Employment ratesin EU-27, Hungary Source: LFS, Eurostat

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

  12. Changes in employment by gender and age (2011/2012) HCSO,2012

  13. Registered job-seekers by age groups 2009-2012 PES data, 2012

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

  15. 55+ registered main findings • Most of the registered 55+ are in the developed counties • 39% (2012) of them are long-term registered

  16. Activating PES 55+ registered jobseekers (PES data, 2012)

  17. Thank you for your attention

  18. 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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