Introduction

As we saw in Chapter Four, US employment at age 65–74 was not simply the result of people in long-term career jobs staying on a bit longer. Americans were more likely to remain in long-term jobs beyond age 65 than their English counterparts. However, they were also more likely to work as a result of either moving jobs in older age or returning to work following an exit. Nevertheless, the wider literature suggests that fewer Americans work ‘in retirement’ than want to. In the next two chapters, we examine the factors influencing why some individuals end up working at 65–74, and why some individuals do not. In this chapter, we look at the influence of an individual's ‘capability’ to work. As we saw in Chapter One, the US has historically placed a greater degree of emphasis on educational attainment than the UK; we examine the influence of qualifications on employment first. Following this, we then examine the influence of an individual's health on employment, alongside the influence of a partner's health and other caring responsibilities.

Education and employment at age 65+

Previous research indicates that having qualifications increases the likelihood of working in older age in the US (Haider and Loughran, 2001), UK (Smeaton and McKay, 2003) and wider European Union (EU) (Komp et al, 2010). Haider and Loughran (2001), for example, found that only 16% of US ‘high school dropouts’ worked past age 65, compared with 42% of those with advanced qualifications. Likewise, Smeaton and McKay (2003: 20) found that men and women in the UK with no qualifications were significantly less likely to work past state pension age than those with degrees. Smeaton and McKay (2003) found that men were most likely to work with degrees, whereas for women, those with middle-level qualifications were most likely to be in employment. Qualifications are likely to increase the likelihood of employment because they help people retain the jobs they have, or find new jobs if they need or want new employment. Longitudinal research from Britain suggests that qualifications help facilitate more stable careers with fewer involuntary exits (Blekesaune et al, 2008).