While public discourse often portrays the younger generation as lacking professional drive, novel data suggests a different trend. A study by the Swiss Employers’ Association (SAV) reveals that employees over the age of 50 are actually the group most likely to voluntarily reduce their working hours for the sake of more leisure time.
The Rise of “Lifestyle Part-Time”
The SAV refers to this phenomenon as “lifestyle part-time,” where workers choose reduced schedules not due to necessity, but by preference. This trend is significantly more prevalent among older workers than among Generation Z.
Data from the Swiss Labour Force Survey shows a clear correlation between age and the desire for reduced hours. Among those aged 50 to 54, 7 percent of employed people have no interest in working full-time.
This figure rises to over 10 percent for the 55-to-59 age bracket and reaches 13 percent for those aged 60 and older. Older workers reduce their workload for leisure up to three times more often than Gen Z representatives.
Financial Ability and Demographics
The ability to afford a reduced workload is a primary driver of this trend. Older workers generally earn more on average and possess greater wealth, allowing them to prioritize free time over additional income.
This preference is most pronounced among older university graduates, who typically command the highest hourly wages. The study also notes that “lifestyle part-time” is particularly common among older workers with Swiss passports, while foreign workers do not show the same tendency.
Economic and Social Implications
The economic impact of this choice is substantial. Chuard-Keller estimates that if these workers returned to full-time status, it would generate an annual gross wage volume of approximately 8 billion francs, representing nearly one percent of the Gross Domestic Product (GDP).
This translates to an estimated loss of 2 to 3 billion francs annually for public budgets and social insurance systems. While the decision to reduce hours is a legitimate personal choice from a liberal perspective, the economist argues that the resulting redistribution effects influence society as a whole.
Looking Ahead: Potential Solutions
With large age cohorts currently retiring, the labor shortage is expected to persist. The SAV suggests that mobilizing part-time workers who are already integrated into the market could be a more efficient solution than other alternatives.
Possible steps to encourage a return to full-time work could include lower marginal taxes to address tax progression. Policymakers may look into removing “disincentives,” such as the loss of housing or health insurance benefits that can occur when income increases.
However, these measures may only have limited success. Experts suggest We see unlikely that this potential will be fully mobilized, meaning the Swiss labor market will likely remain dependent on immigration to fill remaining gaps.
Frequently Asked Questions
Who is most likely to engage in “lifestyle part-time” work?
The trend is most common among employees over 50, particularly those with Swiss passports and older university graduates who have higher wages and greater wealth.
What is the estimated financial loss to the public sector?
The loss in tax revenues and social insurance contributions is estimated to be between 2 and 3 billion francs annually.
Can incentives fully solve the labor shortage?
While incentives like lower marginal taxes could aid, it is not expected that the full potential of part-time workers can be mobilized, suggesting that immigration will still be necessary.
Should the economic needs of a country outweigh an individual’s right to choose more leisure time once they have reached a certain level of wealth?
