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Labor force participation of the elderly in Japan

Takashi Oshio, Emiko Usui and Satoshi Shimizutani

No 656, CIS Discussion paper series from Center for Intergenerational Studies, Institute of Economic Research, Hitotsubashi University

Abstract: Japan experienced increases in labor force participation (LFP) of the elderly in recent years, as have other advanced countries. In the present study, we overview the employment trend of the elderly in Japan, and examine what factors have contributed to its increase since the early 2000s. Improved health and longevity, increasing education levels, and a shift towards less physically demanding jobs have allowed the elderly to stay longer in the labor force. However, elderly employment rebound and its timing are more closely linked to changes in social security incentives, especially increases in the eligibility age for public pension benefits. More broadly, reduced generosity in social security programs since the mid-1980s has been a key driver of the long-term trend change in elderly employment. A series of social security reforms have helped utilize the elderly's potential work capacity, accumulated due to improving health conditions and other favorable factors for LFP in the elderly.

Pages: 22 pages
Date: 2016-04
New Economics Papers: this item is included in nep-age
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Citations: View citations in EconPapers (3)

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https://hermes-ir.lib.hit-u.ac.jp/hermes/ir/re/27896/cis_dp656.pdf

Related works:
Chapter: Labor Force Participation of the Elderly in Japan (2018) Downloads
Working Paper: Labor Force Participation of the Elderly in Japan (2018) Downloads
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