Transcript Snímek 1
Demography and Ageing
Ageing- Challenge and opportunity
Group C2
28.4.2008
European Social policy (SM508)
Outline of the presentation
I. An overview of the contemporary situation
II. Why is the ageing population a challenge
to deal with
III. Demographic change – from challenge to
opportunity
I. Main European demographic trends
and data
Population by Age and Sex
1950 - 2050
Source: http://www.china-europe-usa.com/level_4_data/hum/011_7.htm
Median age of the EU population
1950 –2050
Sources: United Nations, Population Division, World Population Prospects: The 2002 Revision and World Urbanization
Prospects: The 2001 Revision, (http://esa.un.org/unpp). 2004; Ifo Institute calculations.
http://www.cesifo-group.de/portal/page/portal/ifoContent/N/rts/rts-mitarbeiter/IFOMITARBSINNCV/CVSinnPDF/CVSinnPDFrefjournalsbis2006/
EUROPE-DEMOGRAPHIC-DEFICIT-221004.PDF
Total fertility rate - 2006
- number of children per woman
Source: Eurostat
Total fertility rate in the EU-25, 1960–
2003
Source: http://www.statistics.gov.uk/downloads/theme_population/PT119v2.pdf
Total fertility rate
Source: Eurostat
Old-age-dependency ratio - %
(2007)
The ratio between the total number of elderly
persons of an age when they are generally
economically inactive (aged 65 and over) and
the number of persons of working age (from
15 to 64)
Projected old-age dependency ratio %
2005-2050
Source: Eurostat
II. Impact on the labour market,
productivity and economic growth
Summary of the previous:
Working-age population will decrease
Not an abstract long term, but a perspective of the next 10 years!!!
Higher age is connected with higher spendings on health and longterm care and social services.
Higher proportion of people in pension age (beneficiaries) in
relation to people at work (contributors) will cause, unless the social
system changes, rising budget deficits.
Impact on social security and public
finances
In numbers:
Age related public spendings are expected to
rise by 3-4 GDP points between 2004 and 2050.
Expected changes in the population structures
will lead to changes in economy, decline of
annual growth to just 1,2 % between 2030-2050
III. Demographic change – from
challenge to opportunity
European Commission Communication on The
demographic future of Europe – from challenge to
opportunity, 2006 – 5 key areas
Promoting demographic renewal in Europe
Promoting employment in Europe: more jobs and longer
working lives of better quality
A more productive and competitive Europe
Receiving and integrating immigrants in Europe
Sustainable public finances in Europe: guaranteeing
adequate social security and equity between the
generations
Promoting demographic renewal in
Europe
balance between job and family
universal access to assistance services for parents
(crèches, kindergartens, local schools)
flexible working hours
friendly financial environment equal for men and women
Desired number of children
Federal Institute for Population Research http://www.bosch-stiftung.de/content/language1/downloads/PPAS_en.pdf
Promoting employment in Europe: more jobs and
longer working lives of better
quality
integration of women and older people into the labour
market (Lisbon Strategy)
increase of retirement age to 67
remove all disincentives for older people to continue
working
flexible labour market protection rules
lifelong learning
healthy working conditions and lifestyle
elimination of discriminatory prejudices
generous parental leave may be compensated by a
higher integration of older people into the labour market
Reasons why older people leave work
Source: European Foundation for the Improvement of Living and Working Conditions
http://www.eurofound.europa.eu/ewco/2004/06/EU0406NU05.htm
A more productive and competitive Europe
Europe needs to invest in new technologies (Lisbon
Strategy)
R&D crucial
Lisbon Strategy: not less than 3% of GDP x reality: EU
2004 average 1,89% GDP (USA-2,68 Japan-3,18)
Link between universities and private sector
Improvement of education possibilities (knowledge
based economy)
Lifelong learning
Better access to distance learning
Niche market: older people have special needs and
demands – the market should be able to satisfy them
Receiving and integrating immigrants
in Europe
Europe is ageing x population in the third world is
growing
Should Europe promote higher domestic birth rate or
higher immigration?
Knowledge based economy = lack of labour force =>
need for immigrants
balance between rights and responsibilities of
immigrants and host societies (countries)
coordination of European immigration policies
Sustainable public finances in Europe:
guaranteeing adequate social security and
equity between the generations
European population is ageing => tax base is falling =>
financing of social security through taxes is
unsustainable => necessity of reform
rise of retirement age to 67
private savings and insurance as a supplement to state
pensions and insurance
offer seniors financial incentives to stay longer in the
labour market or allow them to have supplementary
income
lifelong coefficient = pensions are adapted to rising
longevity (Finland)
Conclusion
Overall strategy is necessary
All goals/focus areas are interconnected
The success of one goal depend on the performance in
the other
Necessity to look on the problem globally and not to be
limited only on one area
The social security system needs to be reformed if
Europe wants preserve its place in the world
Sources
European Commission, Green Paper on Confronting demographic change: a new solidarity between the
generations, 2005
http://ec.europa.eu/employment_social/news/2005/mar/comm2005-94_en.pdf
European Commission, Communication on The demographic future of Europe – from challenge to
opportunity, 2006
http://ec.europa.eu/employment_social/news/2006/oct/demography_en.pdf
European Parliament, Resolution on Demographic challenges and solidarity between the generations,
2006
http://www.europarl.europa.eu/sides/getDoc.do?pubRef=-//EP//NONSGML+TA+P6-TA-20060115+0+DOC+PDF+V0//EN&language=EN
Cichon, M., The Ageing Debate in Social Security: Barking Up the Wrong Tree?, Leo Wildman
Symposium, 1995
http://www.ilo.org/public/english/protection/secsoc/downloads/publ/ageing.pdf
Holzmann, R. et all., Pension Reform in Europe: Process and Progress, The World Bank, 2003
http://www1.worldbank.org/sp/doc/PensionReformEurope.pdf
http://www.statistics.gov.uk/downloads/theme_population/PT119v2.pdf
The World Bank, Averting the Old-Age Crisis: Policies to Protect the Olda n Promote Growth, The
World Bank, 1994
http://www.china-europe-usa.com/
European Foundation for the Improvement of Living and Working Conditions
http://www.eurofound.europa.eu/ewco/2004/06/EU0406NU05.htm
Thank you for your attention..