Consequently, this change in behaviour caused a counter-intuitive increase in the Gini coefficient by around 0.4 percentage point (Ministry of Economic Affairs and the Interior, 2014a). In a lifecycle perspective the reform unambiguously raises tax payments for higher income groups and thus it should reduce income inequality. According to cross-country estimates in Causa et al. ( This reflects reform-driven increases in older worker employment rates, which benefit household incomes across the distribution, with the exception of rich households that are found to be unaffected.