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Making Transitions Pay: An Assessment of the Dutch Life-Course Scheme
Published online by Cambridge University Press: 25 June 2009
Abstract
Introducing individual savings accounts into the system of social security may be an innovative way to reorganise European social security systems. This article examines the merits and drawbacks of this modernisation strategy using the Transitional Labour Market approach as a frame of reference. On the basis of normative criteria derived from this approach, we perform an evaluation of the Dutch life-course scheme (‘Levensloopregeling’). This scheme is a unique and pioneering arrangement that offers employees a fiscally facilitated option to save money to finance periods of unpaid leave. Following the assessment of the Dutch case, we identify several pitfalls of reforms based on individual savings accounts. Finally, we put forward some proposals to overcome these shortcomings.
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- Copyright © Cambridge University Press 2009
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