The arc career: a modern solution?

Arch career vs. traditional career

What does the arc career want?

The arc career envisages older employees reducing their workload before reaching retirement age, possibly stepping down from management positions and reducing their salary accordingly.

What is the idea behind the arc career?

The idea behind the career arc is that employees do not retire from 100 to 0 at retirement age. It is not uncommon for employees to be overwhelmed before retirement. Some develop existential fears, others simply don't know what to do with their sudden free time. A gradual reduction in working hours can help employees get used to the new phase of their lives.

However, the career arc can also be in the interests of the company. Employees often remain in their management positions until they retire. This blocks young talent. The company is unable to fulfil its aim of making optimum use of existing expertise and resources.

What are the advantages of a career arc for the company?

The statutory contributions to pension schemes increase as employees get older. If older people reduce their workload, the employer's compulsory contributions are also reduced. However, salary savings should not be the aim of the career arc. Corresponding salary reductions would then have to be offset by higher salaries at the career peak age. Instead, the aim should be to optimise the deployment and development of employees in order to make profitable use of their existing knowledge.

What are the risks of the career arc for companies?

Legally, the career arc can only be implemented if it is voluntary: Employers are not allowed to force employees to take a reduction, nor are they allowed to demote employees in their position. However, this would be mandatory in the event of a reduction in some cases and would also be in the spirit of the arc career. If a contract with corresponding conditions is presented, it may well be that employees do not want to sign it. In addition to the legal requirements, we also see the risk of a loss of image. If a company wants to force an arc career or if this image is presented to the outside world, the company can quickly be accused of wanting to sideline older employees.

Do employees want an arc career?

A reduction in the workload may well be what the employee wants. However, it is important to know the reasons for this. If the wish is expressed in connection with pressure to perform and excessive demands, we believe that the step is only voluntary to a limited extent and is not the right solution. However, if employees want to spend more time looking after their grandchildren or their garden, or simply no longer want the responsibility, an arc career can be a good solution.

How does the Bogenkarriere change a company?

The arc career not only supports older employees in their desire to downsize: at the same time, more younger employees will move into management positions. This can certainly have a positive effect on the company's dynamics. Younger employees can implement highly motivated ideas and are recognised and encouraged.

Older employees can withdraw from their area of specialisation and take on a Consulting role. They are no longer necessarily expected to drive the company forward with new ideas. Instead, their expertise is valued and they can coach younger employees. This can lead to a general increase in well-being.

Career arc vs. private life

That doesn't sound bad at all. But how well can employees' private lives be reconciled with the arc career? The career arc involves working towards a career peak after starting work, reaching it at around the age of 45 and then slowly beginning to scale back.

But what does an employee's private life look like? The years before the 45th birthday can be characterised by various events and needs: a thirst for travel and adventure, starting a family, an ambitious (sporting) hobby or the dream of owning a home.

Let's look at two examples: the adventurous Annika and the family man Franz.

Annika wants to experience adventure and explore the world. She is always highly motivated to work until she is ready to go travelling again. Then she comes back relaxed and full of energy to pick up where she left off. She also enjoys attending further training courses to bring even more knowledge and life experience to the company.

After completing his training, Franz was motivated to join the company and took up his first management position at the age of 31. Almost at the same time, Franz was lucky enough to become a father and would like to spend time with his new family member. Due to his management position, he is unable to reduce his working hours to 60%. By the time he is 45, his children will already be of educational age and Franz would then be ready to work for another 20 years.

Curtain up for the sinus career

We at HR Campus therefore believe that the arc career is no longer the optimal form of work for the new generation. Neither for families nor for active individuals does the model offer sufficient flexibility to optimally combine private and working life. The arc career focuses on working life up to the age of 45. If employees are forced into an arc career, they are also given the feeling that they are no longer worth as much.

Why not a flexible sine career? We don't just want one arc, but several curves that can be reconciled with private life. We believe that in this way, companies can benefit from even more motivated employees who will also be more productive thanks to a high level of wellbeing: Happy Employee, Happy Company.

In 20 years' time, Franz will want to undergo further training to keep up with the latest developments. He will be able to contribute new ideas and use the life experience he has gained to lead a team even better. He also has a keen understanding of young employees. After all, he also has children of their own age.

In 20 years' time, Annika will have so much professional experience that she can be handed over a project from her first day at work. You can be sure that she will manage and complete it to your complete satisfaction. Thanks to her travelling, she remains flexible and even at the age of 50 still comes to the office motivated and with new ideas.