Retirement intentions in the context of digital transformation: a multilevel approach

The decision of older workers to retire or remain in the labour market is a multidimensional process. Drawing on the life course perspective, the paper sees retirement intentions as influenced by both individual and contextual characteristics. The aim of the analysis was to assess how factors at the individual (digital skills and demand for them, gender, health, and type of employer), household (partnership status and financial situation), and macro-level (unemployment rates and the level of digitalisation in society) affect retirement intentions. This study uses data from 26 European countries collected through the Survey of Health, Ageing and Retirement in Europe, supplemented by macro-indicators. The findings reveal that higher digital skills are associated with lower retirement intentions, stressing the importance of technological proficiency for extending working careers. Furthermore, workers with a better financial situation, better health, and higher education have intentions to retire as soon as possible, while the macro-context – including unemployment and the level of digitalisation – also affects the timing of retirement. These findings suggest that policies aimed at enhancing digital skills could play an important role in extending older workers’ careers.