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Factors Contributing to Retirement Decisions in Denmark: Comparing Employees Who Expect to Retire before, at, and after the State Pension Age

Author

Listed:
  • Annette Meng

    (National Research Centre for the Working Environment, Lersø Parkallé 105, 2100 Copenhagen, Denmark)

  • Emil Sundstrup

    (National Research Centre for the Working Environment, Lersø Parkallé 105, 2100 Copenhagen, Denmark)

  • Lars L. Andersen

    (National Research Centre for the Working Environment, Lersø Parkallé 105, 2100 Copenhagen, Denmark)

Abstract

Aim: Analyse factors affecting retirement decisions comparing employees expecting to retire before, at, and after the state pension age. Methods: In the SeniorWorkingLife cohort, 12,269 workers aged +50 replied to questions about expected retirement age, reasons for leaving, and reasons for staying longer. Results: For all groups, poor health, wish for more leisure, and economy were the most salient expected reasons for retiring. Many would stay longer if there were better possibilities for more leisure time, more work flexibility, and economic benefits. Those expecting to retire before state pension age were more likely to point at desire for more leisure time as expected reason for retiring, and less likely to point at economic reasons, and more likely to point at health and work demands as possible reasons for prolonging working life. Those expecting to retire after state pension age were more likely to point at external factors and recognition from the management. Conclusion: Factors influencing retirement decisions are similar across the groups. Initiatives for better work–life balance, healthy lifestyle, and economic incentives to continue working may help prevent early retirement and motivate prolonging work life beyond retirement. Results also indicate that less strenuous work is particularly relevant to prevent early retirement.

Suggested Citation

  • Annette Meng & Emil Sundstrup & Lars L. Andersen, 2020. "Factors Contributing to Retirement Decisions in Denmark: Comparing Employees Who Expect to Retire before, at, and after the State Pension Age," IJERPH, MDPI, vol. 17(9), pages 1-12, May.
    • Handle: RePEc:gam:jijerp:v:17:y:2020:i:9:p:3338-:d:356634
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    1. Marianna Virtanen & Tuula Oksanen & G David Batty & Leena Ala-Mursula & Paula Salo & Marko Elovainio & Jaana Pentti & Katinka Lybäck & Jussi Vahtera & Mika Kivimäki, 2014. "Extending Employment beyond the Pensionable Age: A Cohort Study of the Influence of Chronic Diseases, Health Risk Factors, and Working Conditions," PLOS ONE, Public Library of Science, vol. 9(2), pages 1-8, February.
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    Cited by:

    1. Tomasz Jedynak, 2022. "Does the Formulation of the Decision Problem Affect Retirement?—Framing Effect and Planned Retirement Age," IJERPH, MDPI, vol. 19(4), pages 1-30, February.
    2. Iñigo Calvo-Sotomayor & Ekhi Atutxa & Ricardo Aguado, 2020. "Who Is Afraid of Population Aging? Myths, Challenges and an Open Question from the Civil Economy Perspective," IJERPH, MDPI, vol. 17(15), pages 1-17, July.
    3. Annette Meng & Emil Sundstrup & Lars L. Andersen, 2022. "Employee perception of managers’ attitudes towards older workers is associated with risk of loss of paid work before state pension age: prospective cohort study with register follow-up," European Journal of Ageing, Springer, vol. 19(4), pages 1375-1383, December.
    4. Serena Vigezzi & Cosmo Strozza, 2024. "Differences in mortality before retirement: The role of living arrangements and marital status in Denmark," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 50(20), pages 515-546.
    5. Alina Betlej, 2023. "Social Networks, New Technologies, and Wellbeing—An Interview Study on Factors Influencing Older Adults’ Successful Ageing," IJERPH, MDPI, vol. 20(7), pages 1-17, March.
    6. Kristina Thomassen & Emil Sundstrup & Jonas Vinstrup & Karina Glies Vincents Seeberg & Lars Louis Andersen, 2022. "Barriers and Facilitators of Re-Employment among Senior Workers: Prospective Cohort Study," IJERPH, MDPI, vol. 19(18), pages 1-7, September.
    7. Denise Burkhalter & Aylin Wagner & Sonja Feer & Frank Wieber & Andreas Ihle & Isabel Baumann, 2022. "Financial Reasons for Working beyond the Statutory Retirement Age: Risk Factors and Associations with Health in Late Life," IJERPH, MDPI, vol. 19(17), pages 1-13, August.

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