Do Covid-19 Containment Measures Reshape Late Working Life in Europe in the Mid-Term? Insights from the Second Share Corona Survey

Wiebke Schmitz , Federal Institute of Vocational Education and Training

Background: Past labor market shocks, such as the financial crisis, have demonstrated a lasting adverse impact on employment well beyond the crisis itself. Consequences of the Covid-19 pandemic in the mid- and long-term are yet to be thoroughly examined. Older workers are a particularly vulnerable population because re-employment becomes increasingly challenging for them once they become unemployed. This is the first study that examines how the duration of various containment measures (March 2020 to August 2021) differs in their impact on the employment status among older workers aged 50 years and older. Methods: I combined individual-level data from SHARE with data on containment measures on the country level from the European Centre for Disease Prevention a Control. I calculated the individual exposure (number of weeks) to different containment measures and how it affected employment over an 18-month period. Results: Overall, past response measures to contain the spread of the virus still affect older worker’s employment status in the summer of 2021 and their impact varies by gender. Specifically, the closure of childcare facilities and the closure of nonessential shops has the most adverse impact on employment, particularly among women. Whereas men are more likely to retire in those countries with longer durations of stay-at-home orders. Discussion: Policymakers still need to address the mid-term consequences, such as workforce losses, resulting from earlier containment measures, as these measures continue to impact employment in 2021. Women, in particular, still experience the repercussions of daycare closures.

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 Presented in Session P2. Health, Mortality, Ageing - Aperitivo