Social Democracy, Unions, and Pension Politics in Germany and Sweden

Bibliographic Data

ID6296152
AuthorsKim M Anderson (0000-0002-1352-604X, Leiden University), Karen M Anderson, Traute Meyer (0000-0003-0767-8351, University of Southampton)
Year2003
Volume23
Issue1
Pages23-54
Publication date2003-01-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueJournal of Public Policy (JOURNAL)
Journal identifiersISSN: 0143-814X • E-ISSN: 1469-7815
PublisherCambridge University Press (CUP) (PUBLISHER)
DOI10.1017/s0143814x03003027
OpenAlexW1972837467
LanguageEN
Citations received33
References cited19

This article investigates the politics of reforming mature, pay-as-you-go pensions in the context of austerity. In both Sweden and Germany the Social Democratic party leadership advocated reform in response to similar financial and demographic pressures, but the Swedish reform was more successful in correcting perceived program weaknesses and in defending social democratic values. To explain this difference in outcomes, we focus on policy legacies and the organizational and political capacities of labor movements. We argue that existing pension policies in Germany were more constraining than in Sweden, narrowing the range of politically feasible strategies. By contrast, in Sweden, existing pension policy provided opportunities for turning vices into virtues and financing the transition to a new system. In addition, the narrow interests of German unions and the absence of institutionalized cooperation with the Social Democratic Party hindered reform. By contrast, the Swedish Social Democrats' bargaining position in pension reform negotiations with non-socialist parties was formulated with blue collar union interests in mind. The encompassing interests of Swedish unions and their close links with the Social Democrats facilitated a reform compromise

Austerity · Collective bargaining · Compromise · Context (archaeology · Democracy · Economics · German · Negotiation · Pension · Political economy · Political science · Politics · Social democracy · Social Democratic Party · Social partners · Social policy · Labor Movements and Unions · Law · Political and Economic history of UK and US · Public Administration · Social Policy and Reform Studies