Demographic changes and reaction of the State in Slovenia

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Demographic changes and reaction of the State in
Slovenia

• Joe Glazer, president of ZDKDS
• International Conference of Human Resource
  managers of Austria, Italia, Slovenia
• Celovec, 9.9.2006

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Introduction

• 19 year working in industry (sociologist, HR
  Manager, Deputy of General Director
• 12 years General Director of Employment Service
  of Slovenia
• 2 years President of ZDKDS
• Member of Managing Board of EAPM

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• Demografic Changes in Slovenia
• Situation on Labour Market
• Special Legal Protection of Older Workers
• Pension and invalidity insurance Act
• Labour Market Measures for Promotion of new
  employment of unemployed older people
• Conclusion

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Demographic Changes in Slovenia

• Decreasing of the population form year 1991 to
  2004
• Low fertility (between the lowest in Europe)
  decreasing the share of childs
• Decreasing of immigration
• Decreasing of the mortality in last 150 years
• Prolongation of expecting life period male 72
  year, female 82 year (4 year more in last 20 years

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Population Projection for Slovenia
Viri Statisticni letopis 1999, Statisticni urad
RS Prebivalstvo Slovenije 1998, Statisticni urad
RS.
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Basic data on live births, Slovenia, yearly
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Eurostat's population projections for Slovenia,
2004-2050.
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Demografic Changes in Slovenia

• Increasing of the Share of the older population
• Decrasing of the active and employed from 1987 to
  1997
• Increasing of younger pensioners early
  retirement
• Year 1986 average age 58 year- male, 56 year-
  female
• Year 1992 average age 56 year 2 month male 52
  year 6 month- female

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Demografic Changes in Slovenia and Eu

• Increasing the Share of the older population
• SLO Year 1995-12,3 , year 2020 19,0
• EU - year 1995-15,4 , year 2025 22
• Decreasing of the younger to 14 year (to year
  2020 less for 5,3)

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Demografic Changes in Slovenia and Eu

• Increasing of pensioners
• Year 1987 274 000
• Year 1999 474 000 (23,9 of population)
• Year 2006 536 891
• Prolongation of the time receiving the pension
  from 1995 to 1999 for 3 month
• In EU slower decrease the activities of older
  than in Slovenia

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Demografic Projections in Slovenia and Eu

• Changes of the sex structure of population more
  female (in age from 70 to 79 year is now already
  65,2)

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Unemployment rates in some EU countries - March
2006
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Unemployment rate by Age Groups
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Characteristic groups of registered unemployed
 
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D. Special Legal Protection Against the
Termination

• The employer may not terminate the employment
  contract for a business reason to the older
  worker, without written consent of this worker,
  until this worker completes the minimum
  conditions upon which the right to old-age
  pension is conditioned, unless he is assured the
  right to the unemployment benefit until the
  fulfilment of minimum conditions for old-age
  pension.
• The protection pursuant to the previous paragraph
  shall not be applied in the case of the
  employers termination.
• Employment Relations Act Article 114 ((Older
  Workers)

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D. Special Legal Protection Against the
Termination

• If to an individual worker, due to his status,
  multiple legal protection against the termination
  are assured, the stronger legal protection shall
  be applied.
• Employment Relations Act Article 117 (Multiple
  Legal Protection Against Termination)

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5. PROTECTION OF OLDER WORKERS

• Workers older than 55 years shall enjoy special
  protection (hereinafter referred to as older
  workers).
• Article 201 ((Definition)
• An older worker shall have the right to enter
  part-time employment relationship and/or the
  right to begin to work part-time if he has
  partially retired.
• Article 202 (Part-Time)
• An older worker may not be ordered to work
  overtime or at night without his prior written
  consent.
• Article 203 (Restriction of Overtime and Night
  Work)

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PENSION AND INVALIDITY INSURANCE ACT (ZPIZ-(1))

• Changes in 1999
• made more severe condition for retirement
• Abolished the early retirement
• Draw near the condition for female and male
• Transition period of 14 years

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PENSION AND INVALIDITY INSURANCE ACT (ZPIZ-(1))

• Minimum conditions for acquisition of the right
  to old age pension (Old-age pension -Article
  36)
• An insured person shall acquire the right to
  old-age pension when he has attained.
• 58 years of age, if he has completed a pension
  qualifying period of 40 years (males) or 38 years
  (females).
• 63 years of age (males) or 61 years of age
  (females) and 20 years.
• 65 years of age (males) or 63 years of age
  (females), 15 years.

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Labour Market Measures for Promotion of new
employment of unemployed older people

• Promotion of new employment of hard-to-employ
  persons Lump-sum subsidy
• Objective of the programme to promote new
  employment of specific groups of
  difficult-to-employ persons, unemployed, workers
  from re-structuring industrial sectors who are in
  process of losing their jobs, within one year
  from their registration with the Employment
  Service

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Labour Market Measures for Promotion of new
employment of unemployed older people

• Refunding wages of disabled people and
  difficult-to-employ people
• Objectives of the programme to provide equal
  opportunities for employment and promote
  employment of disabled people and hard-to-employ
  persons

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Labour Market Measures for Promotion of new
employment of unemployed older people

• Refunding contributions to employers
• Objective of the programme to open new jobs
  targeted towards difficult-to-employ people,
  especially in small and medium-sized enterprises.
  
• Promotion of new employment of older people
• Objective of the programme to create new jobs
  for particularly vulnerable groups of unemployed
  people by promoting subsidized employment of
  hard-to-employ persons above 50 years of age,
  provided it is a full-time employment for at
  least one year

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Labour Market Measures for Promotion of new
employment of unemployed older people

• Assistance in employing long-term unemployed
  women
• Objectives of the programme to increase
  employment opportunities of long-term unemployed
  women and to prevent social exclusion of women by
  subsidizing their employment.

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Conclusion

• Demographic changes are part of other changes
• New technology cant substitute the lack of
  labour
• Employer will have to adapt their system of
  recruitment to new situation on labour market
• Involvement and reactivation of older and hard-
  to-employ persons will be necessary
• Labour market measures for promotion and help to
  older and hard-to-employ groups on the Labour
  Market

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THANKS FOR YOUR ATTANTION!