Education and Longer Working Lives: A longitudinal study on education differences in the late exit from working life of older employees in Finland

Abstract

This register-based study offers information on educationrelated differences in the likelihood of older Finnish employees to remain in working life up until the old age retirement. In the study, the education-related differences are seen to develop in a longitudinal process. The aim is to analyse and elaborate how the characteristics of the past adult life course of employees and the labour market-related factors contribute to these differences. Furthermore, the study provides comparison of the education-related differences in the risk of various early exit routes during the late 1990s.

The results support the expectations that younger and better-educated cohorts are likely to prolong their working life as they grow older. Furthermore, the results indicate that education-related differences in remaining employed up until the old age retirement are essentially connected to characteristics of the employees’ work paths and labour market context. The significance of the work and labour market-related factors suggest that investments in the improvement of working conditions and personnel policies are effective ways of encouraging longer working lives.