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"End of Career time credit" (Landing strips for older workers - landingsbanen)

Country of implementation
Belgium
General short description of the innovation
Time-credit schemes allow employees to reduce their working time in combination with an allowance paid by the National Employment Office. / A special time credit system (landingsbanen) applies to older workers (55+) who can choose to decrease their working time with 1/5 or 1/2. Apart from the age threshold, eligibility conditions are 2 years seniority with the current employer, and a 25 year career requirement. Contrary to the regular time-credit system, end-of career time credit has no maximum duration, so the decrease in working time can last until they are of pension age. / / Exceptionally, end-of-career time credit can be claimed as of 50 years old, more particular when the worker exercises a ?heavy profession?, has a career length of 25 years, or worked in a firm which is in the process of restructuring. In the case of end-of career time credit, the period is fully taken into account as an equivalent period, in the calculation of pension rights. /
Target group
Older Workers
Policy Field
  • wage
Type of Policy
  • public
Duration of the policy
The time credit scheme was introduced in Belgium in 2002, and followed by a reform in 2012, which introduced the landing strips (?landingsbanen?).
Scope of innovation
  • Scope: Structural
  • Budgets: No information available
  • Number of intended beneficiaries: No information available Among the different time credit schemes, end-of career time credit is the most popular. No data available yet, since the reform in 2012.
  • Spatial coverage: national
General description of (intended) objectives and strategies
The specific time credit regime for older workers aims at reducing the employees desire to retire early by increasing the flexibility to reconcile work and private life in the end of career.
Type of ideal-typical strategy for the innovation
  • encompassing security
Type of innovation
  • new policy, practice or measure
  • retrenchment or expansion of an existing/earlier policy
New outputs
  • working time
Intended target group
Working age population
  • main source of income: paid work
Actors involved in policy-making/implementation and/or evaluation
  • beneficiaries/users
  • central state
  • employers (organised or individual)
Intended output
  • working time
Did the innovation have any outcome related to job quantity?
labour supply: ambiguous effect on total hours worked, the volume of work of the working population overall
Clarification of outcomes in terms of impacting resilience and labour market inclusion
The measure was initially introduced to enable older workers to reduce their volume of work if they are no longer able or willing to work full-time in order to keep the workforce longer active. However, the Higher Council of Work raises questions about the efficiency of this measure and doubts whether people stay active longer and whether the measure gives rise to a reduction of the volume of work of the working population overall1. / / Moreover it was shown that some sectors put these schemes to improper use. The schemes were used as final exit scheme, in which part-time work was not carried out. In combination with other schemes (Canada dry, etc.) these measures could be used a bridge to retirement, starting at age 452. As of 2012, eligibility conditions became stricter to reduce abuse of the time credit system. /
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