Digital skills and extrinsic rewards in late career

Using data from a large-scale Annual Social Survey of Israel's CBS, the current study investigates the correlation between digital skills and extrinsic rewards among late career employees (ages 45 and older) in the Israeli context. Applying signaling theory, we conceptualize digital skills as signals of competence and suitability to the firm among older workers who have been employed a relatively short period of time in their current workplace. Using warranting theory we conceptualize digital skills as warrants among older workers who have been employed in their position for a longer period but nevertheless wish to demonstrate ongoing productivity. Digital skills were positively correlated with income among both groups of late career employees. These skills were also positively associated with exclusive fringe benefits from the workplace (i.e., company car, cellphone from work, and stocks or shares in the workplace) only among those who worked 5 years and more in the current workplace. The correlation between digital skills and standard benefits from the workplace (employer's payments to pension plan, study fund etc.) was insignificant among both groups of late employees.