ACTIVE AGEING

1. ACTIVE AGEING UNIVERSITY OF CYPRUS DEPT. OF SOCIAL AND POLITICAL SCIENCES SAVVAS KATSIKIDES, Ph.D

2. RESEARCH RESULTS OF CYPRUS Main Demographic Trends Facts and Figures of an ageing force Results of the field study

3. Main demographic trends In 2004, the population of Cyprus was 749,200 people. The male population was 49,28% of the total, while the female population was 50,72%, exceeding the male by 1,44%. In 2003, the people aged 55-64 were 37,970 in contrast to 35,674 in 2000. That is an increase of 5,16% in a three-year period. (The total population of the country, however, increased only 4,13% during the same period).

4. Population of Cyprus

5. The Projection (next slide) further confirms the demographic trend in the country for the next 25 years. This trend is characterized by lower fertility rate higher expectancy rate a lower migration rate. This means that a larger percent of the population will be in the age of 55-64 as time progresses. It is estimated that the percentage of the population over 60 years of age will increase from 15,7% in 1998 to 23,1% of the total population in 2028 with a more rapid increase of those over 68.

7. Ageing Workforce Employment The employment of older workers has increased by 0,5% since the year 2000 and remains very close to the Stockholm target of 50% by 2010. Yet the Cyprus Government has set a strategic target of 52 percent employment for the people 55-64 of age by 2006.

8. Cyprus v. EU

10. Average exit age from the labour force

11. Legislative interventions and other specific policy issues, maintaining older workers in employment  National Action Plan Within the framework of the Employment Guidelines adopted by the European Council and the Broad Economic Policy Guidelines (BEPGs), Cyprus has prepared its first National Action Plan for employment covering the period 2004-2006. This plan lists all policy issues of the Republic of Cyprus concerning employment

13. (continued) Older persons are often grouped with unemployed, disabled people, and women. Although benefits for older persons could be drawn for employment actions (such as the modernisation of Public Employment Services) those cannot be considered interventions directly linked to the older persons.

14. Tools and Measures The only identified measure in promoting the employment of older workers is a plan for the self-employment of people over 63. This plan grants up 1500 pounds for the purchase of equipment for elders who are 63 and over and whose income is no more than 400 Cyprus pounds (or 500 Cyprus pounds for a couple).

15. Active Ageing�Field Research The survey was conducted between the 27th to the 31st of December 2005. Ten (10) unemployed were interviewed living in the area of Nicosia. The sample was selected randomly and it is constituted of 50% women and 50% men.

16. Sample Characteristics(Unemployed) The age frequency was as follows: 70 percent was between 55-60, while 30 percent was between of 60-65. 40 percent of the sample had low education (primary education); 40 percent of the sample had mid level education (high school); while 20 percent had received higher education (college or university degree). The vast majority had experienced unemployment of up to 8 months (80 percent). Only 20 percent has experienced unemployment for more than a year.

17. Unemployed�Opinions As main reasons for the unemployment of older workers are sited the following: (a) discrimination against older people, (b) the inability of older workers to re-enter the labour market. The majority of the respondents (70 percent) do not believe that the companies are willing to employ older workers. Older workers site as the �most important� reasons: a) financial, and b) the preference of the companies to invest in young people.

18. (continued) More than half of the respondents (60 percent) do not believe that satisfactory training opportunities are offered to older workers. 90 percent of the sample believes that the older workers prefer free time activities; while only 10 percent said that they prefer the pension

19. Sample: Companies 10 companies were interviewed. The companies were in the Nicosia area. 20 percent of the sample was industrial companies, 20 percent was in the consultancy business; 20 percent belonged in the services sector. 10 percent of the sample was companies of the research, insurance, travel, and retail sector. �Size: The vast majority (thirty percent) of the companies had fewer than 10 employees.

20. Companies and Active Ageing All respondents said that their company had no policy regarding older workers in terms of training, mobility, etc. The most important reasons for the low employment rate of the older workers were identified as the (a)��� Discrimination against older workers (80 percent of the responses) (b)���Decreased capacity for productivity on behalf of the older workers (70 percent of the responses)

21. Company initiatives for ageing workers Four fifths of the sample says that the companies are not willing to employ older people. The majority (45 percent) site as number one reason the view that older workers have low performance. Almost one-fifth (18 percent) sites as the number one reason the absence of technology knowledge by older workers.

22. (continued) I8 percent also sites the financial reason as number one obstacle in hiring older workers�which it is translated �younger worker, lower pay.� Almost one tenth of the respondents claim that the companies have no incentives to hire ageing workers.

23. Active Ageing: The challenge At the government�s level: the ageing challenge in Cyprus is currently viewed in terms of increasing the retirement age. No consideration is given to the situation where older workers may have to switch jobs, are laid off, and in both scenarios their age becomes a barrier in finding employment. At the enterprises level: employing older workers is not even an issue for consideration. As older workers, lack know-how of new technology and viewed as high cost employees, the enterprises are not willing to employ them.