FRANCE The
FRANCE The
FRANCE The
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Trends<br />
in the up-and-coming generation and is concerned only with its own<br />
settlements and pensions.<br />
4 Conclusions<br />
In the last 40 years in Germany, the impact of job cuts in large<br />
companies, the manufacturing industry in particular, has been<br />
cushioned by promotion of early retirement of older workers from<br />
working life. To this end, very generous early retirement options and<br />
lengthy waiting periods in unemployment or short-time work were<br />
offered. <strong>The</strong> two sides of industry provided these statutory<br />
instruments with a good financial basis and hence created<br />
acceptance among employees. <strong>The</strong>se paths to early retirement from<br />
working life were increasingly opened up to all older workers, so that<br />
early retirement practice moved away from the original aim of<br />
mitigating the situation of employees, and the rejuvenation of<br />
workforces was subsidised throughout trade and industry (whether<br />
companies were growing or shrinking, struggling or highly<br />
profitable). Early retirement is now one of the most popular<br />
instruments in social, labour market and collective bargaining<br />
policy.<br />
It had already become clear to all the political players at the<br />
beginning of the 1990s that, owing to the demographic trend, this<br />
policy could not be maintained. However, it was only German<br />
reunification, together with the radical structural changes in East<br />
Germany and the ensuing economic crisis in West Germany<br />
(1993/94) that marked the high point of the early retirement policy.<br />
<strong>The</strong> simultaneous raising of the retirement age and reduction in<br />
pension levels did nothing to change this. <strong>The</strong> increase in<br />
unemployment in Germany that followed reunification, which will<br />
be maintained up to and beyond 2010, makes it more difficult to<br />
change this policy.<br />
However, there is still a chance that the trend will change. Almost all<br />
the transitional periods associated with raising of the retirement age<br />
have expired, the new provisions in the Job-AQTIV-Gesetz and the<br />
laws on modern services in the labour market, and the Federal<br />
Employment Service’s “50 plus” programme may achieve their ends.<br />
Much will depend on whether policy “relapses”. <strong>The</strong> fact that early<br />
retirement is so popular, and politicians have to be re-elected, means<br />
that this possibility cannot be excluded.<br />
Gerhard Bosch<br />
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