Demography and the crisis 26 September 2009 EMCEF Collective Bargaining College

2 PRESSURE ON PUBLIC BUDGETS 26 September 2009EMCEF Collective Bargaining College

More old guys EU September 2009EMCEF Collective Bargaining College

Retirement age women 26 September 2009EMCEF Collective Bargaining College

Retirement age men 26 September 2009EMCEF Collective Bargaining College

Public deficits % of GDP, OECD 26 September 2009EMCEF Collective Bargaining College

7 PROBLEMS FOR THE ENTERPRISES 26 September 2009EMCEF Collective Bargaining College

September 2009EMCEF Collective Bargaining College

September 2009EMCEF Collective Bargaining College

September 2009EMCEF Collective Bargaining College

September 2009EMCEF Collective Bargaining College

60 – 65 Lj. = 25 = 0,1% September 2009EMCEF Collective Bargaining College

! September 2009EMCEF Collective Bargaining College

September 2009EMCEF Collective Bargaining College

September 2009EMCEF Collective Bargaining College

September 2009EMCEF Collective Bargaining College

September 2009EMCEF Collective Bargaining College

September 2009EMCEF Collective Bargaining College

September 2009EMCEF Collective Bargaining College

September 2009EMCEF Collective Bargaining College

+ 10 % seit 2009 ! September 2009EMCEF Collective Bargaining College

September 2009EMCEF Collective Bargaining College

September 2009EMCEF Collective Bargaining College

60 – 65 Lj. = = 15,5 % Et virksomhedseksempel September 2009EMCEF Collective Bargaining College

25 OVER TO CHRISTIAN 26 September 2009EMCEF Collective Bargaining College

26 Industriegewerkschaft Bergbau-Chemie-Energie Demographics And Working Life Trade Union Approaches To The Demographic Change

Industriegewerkschaft Bergbau-Chemie-Energie 27 Proportion of people over 60 - year old, in % of total population GermanyFranceSpainNetherlandsUSAJapan ,220,521,218,216,123, ,128,430,328,523,635, ,532,340,930,725,542,4 Daten aus: ZEIT Nr.42/ , S.23, Quelle: World Population Prospects/ UN

Industriegewerkschaft Bergbau-Chemie-Energie 28 Share of people over 60 years - by Region Scenario II (medium fertility); in % Afrika5,35,110,2 Asia6,88,822,6 Europe12,120,336,6 Latinamerica5,98,022,5 Northamerica12,416,227,2 Ozeania11,213,423,3

29 Industriegewerkschaft Bergbau-Chemie-Energie Quelle: Fraunhofer Institut IAO How can we ensure success in the future? Aging workforce in the company Workforce over 50 Workforce under 30

Industriegewerkschaft Bergbau-Chemie-Energie 30 Work ability index (WAI) Carrot project1998, N= excellent good mediocre low Following : Ilmarinen (2004) Age [Years] AFI Working Ability

Industriegewerkschaft Bergbau-Chemie-Energie 31 Demographic change means : Rising average age Shortage of young people Increasing exposure of workers Declining employability and performance Rising costs due to sickness absence Rising disability and poor financial security of those affected declining motivation  If nothing is done!

Industriegewerkschaft Bergbau-Chemie-Energie 32 How can we adress demographic change? Promote employment of older Giving more opportunities for people without qualified education Qualification of unskilled Increase employment rate of women  Boost „Family and Work“ Healthy, age-appropriate working conditions (ratio prevention) Health promotion (prevention behavior)  Counseling, Nutrition, Exercise, Behavior

Industriegewerkschaft Bergbau-Chemie-Energie 33 How can we adress demographic change? Flexible Working Life  Long-term accounts  Early retirement, partial retirement  Sabbaticals, Financial security - by occupational pension schemes

34 Industriegewerkschaft Bergbau-Chemie-Energie For the chemical industry in Germany Approx Eployees Demographic Analysis Action and Measures  Work- and Working-Time organization  Workplace Health Promotion  Qualification, Training of Younger People, Knowledge- Transfer  Family And Work Demography Operating Fund from 1 January 2010  Long-term Accounts  Early And Partial Retirement  Disability Insurance Chemicals (BUC)  Extension/Upgrade Collective pension Support From The Parties Of Collectiv Agreements Catch-Up Rules for Collective Agreements Working Life And Demography

35 Industriegewerkschaft Bergbau-Chemie-Energie Christian Jungvogel IG BCE Discussion

36 KEY PROBLEMS 26 September 2009EMCEF Collective Bargaining College

26 September 2009EMCEF Collective Bargaining College Crisis or demography? Do we aim at political or bargaining solutions? Can we continue pre retirement policies? Should we accept higher retirement age? If we want to ensure entry of young people in enterprises, should we abandon the “Last in first out” principle?

38 IMPORTANT PRINCIPLES EMCEF Policy 26 September 2009EMCEF Collective Bargaining College

Pension systems Solidarity in pensions Maintain and defend statutory pension schemes Protect pension savings Supplemental pension systems Solidarity – compulsory system Independent from companies Influence for unions on investments 26 September 2009EMCEF Collective Bargaining College

Pre-retirement An individual choice Re-occupation of jobs No serious loss in pensions Consideration for special groups Real possibilities for those who choose to work longer 26 September 2009EMCEF Collective Bargaining College

Life long agreements Recruitment policies Possibilities for age appropriate jobs for older workers Right for further training for all Access to training for older workers Access to advice on health questions 26 September 2009EMCEF Collective Bargaining College

42 KEY PROBLEMS 26 September 2009EMCEF Collective Bargaining College

26 September 2009EMCEF Collective Bargaining College How to defend workers pension rights against erosion and against prolonged working lives ? How to ensure the improvements to make pension life viable ? How to ensure a suitable working conditions for older workers ? How to ensure the supply of workforce for enterprises in our sector ?

26 September 2009EMCEF Collective Bargaining College

Demografic analysis: How does the staff composition develop tomorrow? Example from German chemical enterprise Based on these assumptions: Point of departure 2004: employees Until employees are pre-pensioned each year Every year 300 apprentices are hired after their education Each year 50 newly trained graduates are hired No other movements in and out of the enterprise taken into account 2 Marts 2009Fellesforbundet45