The percentage of people aged between 55 and 65 who are still in work is expected to go up from 48% now to 60% by 2020, according to a new report by the government’s economic policy unit CPB.

Changes to early-retirement schemes, extra tax breaks and an increase in women’s participation in the labour force will help close the gap, the researchers say.
Nevertheless, the Dutch labour market for older workers is characterised by long unemployment duration, long job tenures, low mobility and
little investment in human capital.
For example, only 10% of the over-55s who lose their jobs will find a new one, as will just 3% of the over-60s, the report shows. Someone aged 55+ who loses their job will be out of work for an average of three years in the Netherlands – twice as long as the OECD average.
These ‘inefficiencies’ pose a new challenge for the government, ‘a challenge that has become more urgent due to the current financial crisis that is expected to cause a substantial rise in unemployment,’ the report says.
The cabinet is planning to increase the state retirement age from 65 to 67.