Saving social security by allowing older workers to work more

In the face of increasing difficulties to retain the sustainability of pension systems in the face of demographic change, it seems quite obvious that the retirement age should be raised. As people grow older and hit retirement age in better health, this only makes sense. Also, the arguments that older people retiring would make room for unemployed younger workers is not valid. Another option could be to make people close to retirement work harder.

David Bell and Robert Hart argue that this tradition of giving longer vacations or shorter hours to older workers makes no sense. They are the most productive ones because they have the most experience. Bygone are the days where physical strength was the sole determinant of productivity. And older workers are typically happier at the jobs, as they took their time to settle in the "right one." Finally, one can not infrequently observe that workers close to retirement decide by themselves to work more, for three reasons. The first is to amass sufficient savings for retirement, the second is thanks to intertemporal subsitution of leisure, and the third come for rules in some pension schemes where the benefits are determined by the best income years. This all shows that it is possible to get these workers to provide temporarily more effort, as they are will to do it. So let them.