Applying but Not Receiving: Longer Working Lives and Institutionalized Health Investment

Johannes Geyer, Peter Haan, Mia Teschner-Hofmann and Felix Weinhardt

No 2179, Discussion Papers of DIW Berlin from DIW Berlin, German Institute for Economic Research

Abstract: Rising life expectancy and demographic change have increased the share of older workers, making their health and productivity central to aging societies. We study whether longer working lives translate into investments in work-related health before retirement. Exploiting a pension reform in Germany in a Regression Discontinuity Design, we show that women facing longer careers are more likely to apply for work-related rehabilitation, particularly those in poorer health or with weaker labor market attachment. Despite higher application and approval rates, this demand does not translate into higher rehabilitation completion. Together with intermediate outcomes, our findings are most consistent with capacity constraints in program delivery.

Keywords: Rehabilitation; Aging Societies; Health Investments; Pension Reform (search for similar items in EconPapers)
JEL-codes: H55 I12 J26 (search for similar items in EconPapers)
Pages: 41 p.
Date: 2026
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