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Carolin Fulda / Oliver Stettes IW-Report No. 25 10. May 2024 What factors influence the career ambitions of people with disabilities?

Many companies in Germany report having difficulties not only in recruiting employees, but also in filling vacant management positions.

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What factors influence the career ambitions of people with disabilities?
Carolin Fulda / Oliver Stettes IW-Report No. 25 10. May 2024

What factors influence the career ambitions of people with disabilities?

German Economic Institute (IW) German Economic Institute (IW)

Many companies in Germany report having difficulties not only in recruiting employees, but also in filling vacant management positions.

Employees with disabilities are currently underrepresented in such jobs. Only 23 per cent of these employees have taken on managerial responsibility in comparison to 31 per cent of employees without any disabilities. Thus, this study examines if the career ambitions of employees with and without disabilities differ and whether inclusion policies by human resource management can paving the path into management positions for those with disabilities.

In general, the empirical analysis based on the IW Employee Survey 2023 does not indicate any causalities. The estimations, however, reveal that there are hardly any differences between employees with and without disabilities when the potential impact of various variables is analysed. Part-time employment, for example, is significantly more frequently associated with lower career ambitions in both groups. However, employees with disabilities work part-time more frequently which may be due to restrictions linked to being disabled. Nonetheless, if companies consider these employees to be suitable for taking on managerial tasks because of their skills and experience, they should unbiasedly check the reasons why part-time employment is deemed not suitable for performing as a manager or entering rank-order-tournaments.

Ambitious employees with disabilities are more likely to be concerned that they cannot manage their workload. If a company deems these employees suitable for performing managerial tasks, a risk exists that, due to the experienced stress, appropriate candidates may ultimately withdraw from applying for management positions. While inclusion policies can strengthen the ambition of these candidates, they should not infringe on the functional logic of rank-order-tournaments as part of the company’s incentive and performance system.

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What factors influence the career ambitions of people with disabilities?
Carolin Fulda / Oliver Stettes IW-Report No. 25 10. May 2024

What factors influence the career ambitions of people with disabilities?

German Economic Institute (IW) German Economic Institute (IW)

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Jan Büchel / Roschan Monsef IW-Trends No. 2 10. May 2024

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Andrea Hammermann / Oliver Stettes IW-Report No. 16 28. March 2024

Orphaned executive chairs in German companies

In 2023, half of the companies in Germany reported increasing problems in filling vacancies for management positions because employees are not aiming for a career. Larger companies are less affected than small companies.

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