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← Overview Database of Innovative Social Policies in Europe

has not yet yielded any signifiant increase in labor demand for these groups.

Country of implementation
General short description of the innovation
In 2001 the Swedish pension system was reformed in order to increase incentives and remove obstacles for people to work longer and delay their retirement. The reform consisted of several changes. First the reform lowered the general gross compensation rate for a given pension age, which was deemed to be the most significant incentive of the reform to make people work longer in order to receive the same pension or higher. The reform also implemented a flexible pension-age in contrast to the previous formal pension age of 65, as well as removing an upper age limit for pension-withdrawal and raising the minimum age for withdrawal from 60 to 61 years. The formal age for receiving guarantee-pension (state funded minimum pension for those with none or very little income to base a pension on) is still 65.
Target group
Older Workers
Policy Field
  • pension
Type of Policy
  • public
Duration of the policy
Implemented in 2001
Scope of innovation
  • Scope: Structural
  • Budgets: -
  • Number of intended beneficiaries: -
  • Spatial coverage: National
General description of (intended) objectives and strategies
The objective is to increase incentives and remove obstacles for a longer working life, this due to an increasing older population and higher living standard requiring that people remain longer in the workforce, increasing the labour supply as well as the tax revenues.
Nature of the innovation-long-term perspective
Type of ideal-typical strategy for the innovation
  • liberalisation
Type of innovation
  • new form of policy implementation/delivery
New outputs
  • benefit duration
  • regulations of the labour market
Intended target group
Older workers (From 65 ?)
Actors involved in policy-making/implementation and/or evaluation
  • central state
Clarification of the role of various actors
New or reformed policies of this type requiring changes in legislation always go out on referral before being decided upon and implemented. Such referral instances usually include municipalities, social partners, evaluative public authorities and relevant interest organizations.
Intended output
  • benefit duration
  • regulation of the labour market
Did the innovation have any outcome related to job quantity?
flexible pension age, from 61 years with no upper age limitfocusing on those over 65 years old
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