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Divided citizenship: how retirement in the host country affects the financial status of intra-EU migrants

Divided citizenship: how retirement in the host country affects the financial status of intra-EU migrants
Divided citizenship: how retirement in the host country affects the financial status of intra-EU migrants
Since EU-enlargement in 2003, labour migration from East to West and South to North has increased. It is to be expected that a share of these workers will want to retire in their host countries. According to the academic literature EU-legislation protects such mobility well by allowing the transfer of rights accrued in any EU country to another. However, such research has focused on legislation, not outcomes. We know little about how migration will affect the financial status of retired migrants in their host country and their ability to sustain a life there, should they stay after retirement.

Using migration, wage and pension policy data (Eurostat, OECD) this paper projects the post-retirement incomes of a range of hypothetical EU migrants, selected in relation to the most common migratory flows since 2003. After having worked in their home countries (Romania, Poland, Bulgaria, Italy) for at least ten years these move to richer countries (Italy, Spain, Germany, UK) and work there for at least thirty years. To determine whether they can remain settled after decades of labour force participation in the host country, the paper adds their pension entitlements from home and host countries and compares this income with the relative poverty line of the host countries. This shows that good portability of entitlements matters little when these are very low because of a large wage gap between home and host country. Thus, after at least thirty years of enjoying all citizenship rights as workers, most of these individuals are projected to receive incomes below the relative poverty line of their host countries and thus experience a sharp drop in this status. Their citizenship is diminished. The paper concludes by considering policies that could avoid such an outcome.
citizenship, European Union, pensions, migrants, social rights
0144-686X
Bridgen, Paul
6a2060f6-cbab-47d4-a831-ff82350055c9
Meyer, Traute
ee469bf0-ab32-43ac-9f25-1261c24123fe
Bridgen, Paul
6a2060f6-cbab-47d4-a831-ff82350055c9
Meyer, Traute
ee469bf0-ab32-43ac-9f25-1261c24123fe

Bridgen, Paul and Meyer, Traute (2017) Divided citizenship: how retirement in the host country affects the financial status of intra-EU migrants. Ageing & Society. (doi:10.1017/S0144686X17000927).

Record type: Article

Abstract

Since EU-enlargement in 2003, labour migration from East to West and South to North has increased. It is to be expected that a share of these workers will want to retire in their host countries. According to the academic literature EU-legislation protects such mobility well by allowing the transfer of rights accrued in any EU country to another. However, such research has focused on legislation, not outcomes. We know little about how migration will affect the financial status of retired migrants in their host country and their ability to sustain a life there, should they stay after retirement.

Using migration, wage and pension policy data (Eurostat, OECD) this paper projects the post-retirement incomes of a range of hypothetical EU migrants, selected in relation to the most common migratory flows since 2003. After having worked in their home countries (Romania, Poland, Bulgaria, Italy) for at least ten years these move to richer countries (Italy, Spain, Germany, UK) and work there for at least thirty years. To determine whether they can remain settled after decades of labour force participation in the host country, the paper adds their pension entitlements from home and host countries and compares this income with the relative poverty line of the host countries. This shows that good portability of entitlements matters little when these are very low because of a large wage gap between home and host country. Thus, after at least thirty years of enjoying all citizenship rights as workers, most of these individuals are projected to receive incomes below the relative poverty line of their host countries and thus experience a sharp drop in this status. Their citizenship is diminished. The paper concludes by considering policies that could avoid such an outcome.

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BridgenMeyerDiminishedCitizenshipAcceptedAgeingSociety27July2017 - Accepted Manuscript
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More information

Accepted/In Press date: 27 July 2017
e-pub ahead of print date: 16 October 2017
Keywords: citizenship, European Union, pensions, migrants, social rights

Identifiers

Local EPrints ID: 413027
URI: https://eprints.soton.ac.uk/id/eprint/413027
ISSN: 0144-686X
PURE UUID: 4a39edd7-817f-47b9-a927-5fe81980f6a3

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Date deposited: 14 Aug 2017 16:30
Last modified: 20 Jul 2019 04:55

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