Australia: Report Finds Age Discrimination Still a Concern and Calls for More Protection

Even though 2004 Austrlian age discrimination laws were meant to help older workers, a report issued by National Seniors Australia finds that the law leads often to nimble side-stepping--compliance with the letter rather than the spirit of the law. In addition to showing how age discrimination is more often covert and notoriously difficult to prove, "The Elephant in the Room: Age Discrimination in Employment" calls on policy makers to:

1. examine the issue of "disguised discrimination' and strengthen the relevant anti-discrimination legislation to reduce the likelihood of covert discrimination;
2. ensure individuals can make their own work or retirement choices in the light of their own health, aspirations, financial status and family situations; and
3. promote greater awareness by employees of their rights to complain about age discrimination.

In releasing the report, National Seniors chief executive, Michael O’Neill said:

With the age discrimination laws in place, employers are now much more sophisticated in how they exclude older workers. For example they may use recruitment agencies to screen applicants, employ code terms such as “overqualified” or frame advertisements denoting youth.

Sources: National Seniors Australia Press Release (April 30, 2011); 774 ABC Melbourne Chat with Age Discrimination Commissioner Elizabeth Broderick (May 4, 2011)

CDC Publishes Study on Older Workers Injuries and Illnesses at Work

The Centers for Disease Control and Prevention's National Institute for Occupational Safety and Health (NIOSH) has published "Nonfatal Occupational Injuries and Illnesses Among Older Workers---United States, 2009" in which it reports that, although older workers had similar or lower rates for all injuries and illnesses combined compared with younger workers, the length of absence from work increased steadily with age and was highest for older workers.

CDC undertook the examination as older workers (defined as those aged ≥55 years) represented 19% of the U.S. workforce in 2009 and are the United States's fastest growing segment of the working population. Overall, there were medians of 11 and 12 days of absence from work for workers aged 55-64 years and 65 years and older, respectively.

Older workers had higher rates of falls on the same level, fractures, and hip injuries compared with younger workers and workers of all ages. Public health and research agencies should conduct research to better understand the overall burden of occupational injuries and illnesses on older workers, aging-associated risks, and effective prevention strategies. Employers and others should take steps to address specific risks for older workers such as falls (e.g., by ensuring floor surfaces are clean, dry, well-lit, and free from tripping hazards).

Source: Centers for Disease Control and Prevention Morbidity and Mortality Weekly Report (April 29, 2011)

Ford Designs Ergonomic Workstation To Ease Work for Older Workers

An aging population in Europe and increases in retirement ages in some countries led Ford to put together a team of occupational physicians, production specialists, labor groups and representatives for disabled employees to improve the ergonomics, safety and productivity on the assembly line. A result of this effort has been the creation of an advanced ergonomic work station--the "Happy Seat"--that reduces chronic injuries and lower health costs.

According to Martin Chapman, operations plant manager in Cologne factory, where Ford produces the Fiesta:

Employees just push themselves back and forth and the chair swings in and out of the cabin--very simply and not requiring much physical effort. And the back feels fine, allowing employees to remain in employment longer to the benefit of Ford--ideally until they reach the age of retirement, the age of which many European governments have raised only recently.

Other measures employed by Ford to ensure production line workers’ health include movable platforms to raise vehicle chassis to different heights at various workstations, preventing excessive stretching and bending by employees; virtual software programs to design the most ergonomic production processes possible; and Santos, a computerised avatar that performs actions in the virtual world to help Ford improve quality, safety and ergonomics for its assembly line employees.

Source: Press Release Ford Motor Co. (April 26, 2011)

Colorado: Demographics Catching Up on State Working Population

Elizabeth Garner, Colorado's state demographer, is quoting saying that Colorado has been living in a dream that is soon going to end, and that the state is about to lose the "demographic dividend" it has had for several years--a relatively young population that has provided a healthy, productive workforce. According to an article by Emery Cowan in the Durango Herald, spoke at a conference of the Economic Development Council of Colorado.

"Now we’re going to shift out of that," she said, and the state needs to adapt. "We need to be strategic, we need to be making some really good choices because we don’t have that dividend anymore. We’re done with that comparative advantage we’ve had for 30 years."

Among other things, by 2030, the state’s population of people age 65 and older will be 150% larger than 2010, and about 1 million workers will be aging out of the labor force.

To see Colorado's labor force participation by age and gender and other parameters, go to State Demography .Office

Source: Durango Herald "Aging population in Colorado to change the face of workforce" (April 21, 2011)

Norway: Centre for Senior Policy to Hold Book Launch Covering 2010's Conference on Older Workers in a Sustainable Society

Norway's Centre for Senior Policy (Senter for seniorpolitikk) is holing a book launch on May 5 for Older Workers in a Sustainable Society, edited by Richard Ennals and Robert H Salomon. The launch will include comments by the Centre's director director Kari Østerud about the challenges and opportunities for older workers in Norway and by Liv Tørres political adviser in the Ministry of Labour, who will speak about Norway's position before the European Year of Active Ageing in 2012.

Ennals and Salomon's book follows on from the conference sponsored by the Centre in 2010. The three-day conference ("Older Workers in a Sustainable Society: Great Needs and Great Potentials") heard from speakers from several countries about the potentials of older workers, both individually and as an important part of societies' work force.

The conference was designed to put a different perception on the agenda; older workers as experienced and mature, a valuable source of talent, skills and knowledge, and ready, willing and able to work. It explored the social and economic potential in an ageing society and addressed the question of research contribution to employment of older workers. Among other topics, the conference had sessions and workshops on older workers work performance, productivity and quality; reducing age discrimination in working life; the work environment and older workers; and lifelong learning and competence at work. Presentations and abstracts from the conference are available on the web.

Source: Senter for seniorpolitikk Calendar of Events (May 5, 2011)

Survey Finds Older Workers More Likey To Be Bullied at Work

According to a survey conducted by CareerBuilder which showed that 27%t of workers reported they have felt bullied in the workplace with the majority neither confronting nor reporting the bully, workers age 55 or older, and workers age 24 or younger were among the gender and age-based segments more likely than others to report feeling bullied.

Specifically, 29% of workers age 55 or older and 29% of workers age 24 or younger reported they had been bullied on the job. In contrast, workers age 35 to 44 were the least likely to report feeling bullied at 25%.

Although bullies can be intimidating, nearly half of workers (47 percent) said they confronted the bully about his/her actions. Of these workers, 43 percent said the bullying stopped, 13 percent reported the bullying became worse while 44 percent said the bullying stayed the same.

Source: CareerBuilder.com Press Release (April 20, 2011)

United Kingdom Poll Finds Ageist Attitudes among Younger Workers

A poll conducted by Anchor Trust reports 41% of Britons aged 18-24 years saying there aren’t enough jobs for older people to be in work and 14% claiming older people should retire to make way for younger blood. Even though the United Kingdom's default retirement age of 65 has ended, Anchor reports that as far as young people are concerned, one hits the old age mark at age 62. In response, Anchor Trust is launching a "Grey Pride" petition drive calling on the British Government to follow the lead of Ireland and Canada and have a dedicated older people’s minister to champion the over-60's.

Anchor's poll also found that 21% of those polled believe the over 60s are slower and are less productive than their junior counterparts, and 5% claim they should be paid less because they work at a slower pace. In addition, 18% of young Britons call over-60s grumpy and 21% say they they are out of touch with modern society.

Jane Ashcroft, Chief Executive of Anchor, said: “Casual ageism has no place in society and these results bear no reality to the lives of the over 60s in England today who are active, energetic and contribute hugely to many of the most successful businesses and organisations in the country. The dismissive attitudes highlighted by Anchor’s research towards the over 60s are a sad indictment of attitudes in England."

Source: Anchor Trust News Release (April 19, 2011)

Hays Study Calls for Global Government Response to Looming Unemployment

Hays plc, a global recruiting firm, in partnership with economic forecaster Oxford Economics, has called on governments and industries across the world to take joint action to tackle the looming threat of increased global unemployment as the world's working population is set to increase dramatically--by 1 billion in next 20 years. However, that growth will be uneven, as all of this growth will be developing economies; the developed world will see its workforce shrink and age.

Accordingly, in "Creating Jobs in a Global Economy 2011-2030" (or click here for PDF), Hays proposes a five-point plan to avert future labor crises as significantly more people are set to join the global labor force.

1. Keep national borders open for the movement of skilled labour.
2. Agree an international code to facilitate employee migration.
3. Invest in training and education.
4. Create employment opportunities in the developing world.
5. Retain older people in the workplace.

With respect to the fifth point that should be the basis of further discussion by world and business leaders, Hays says:

Over the next 20 years developed economies will become increasingly reliant on the contribution from workers aged 60 or more. Many countries such as Britain have already passed anti-discrimination legislation to enable older people to stay at work and remain productive, but there is more to be done both in terms of maintaining the skills of an aging workforce as well as providing opportunities for these workers.

In this regard, the report notes that data "suggest older workers exhibit a number of different labour market characteristics from younger ones:

• They have a greater tendency to be self-employed and a lower tendency to be employees.
• The distribution of older workers across industries differs from the rest of the workforce.
• They have a greater tendency to be part-time or work on temporary contracts than other workers.
• Older workers tend to remain with an employer for longer periods of time than other workers.
• Involuntary separations are lower for older workers than younger ones.
• If older workers become unemployed, they tend to remain jobless for longer durations than other workers.

Accordingly, Hays recommends "examining each of these phenomena in detail as they contain different lessons for employers seeking to get the most out of their available staff."

Source: Hays plc Press Release (April 12, 2011)

Research Study Finds Older Workers Health Benefits from Wellness Coaching

Researchers at the University of Illinois at Chicago (UIC) have found that older workers benefit most from a modest health behavior program when it combines a web-based risk assessment with personal coaching. The Cost-Effective Health Promotion for Older Workers study was led by Susan Hughes, professor of community health sciences, co-director of the UIC Center for Research on Health and Aging at the Institute for Health Research and Policy.

According to Hughes, the health behaviors that were examined were physical activity, diet, stress reduction and smoking cessation, and 95% of workers aged 40-68 participating in the study used a Web-based risk assessment when theere was personal coaching support, but only 59% did so when there was no personal support. Hughes and her co-researchers have published the results of the study in the May 2011 issue of American Journal of Public Health: "Comparison of Two Health-Promotion Programs for Older Workers."

An interview with Hughes is also available online.

Source: University of Illinois at Chicago News Release (April 14, 2011)

Canada: Apparel Industry Confronts Aging Workforce

The Canadian Apparel Human Resources Council (AHRC) has released the findings and recommendations concerning the aging of both management and staffing in the apparel industry.

Among the issues discussed in "Pressing ahead: Canada’s transforming apparel industry," the apparel industry has to deal with a lack of succession plans for small businesses with aging owners and a looming shortage of production workers many of whom are nearing retirement age--7,000 of these workers could retire soon and that there are virtually no sources of supply for new production workers.

Sources: Apparel Human Resources Council Press Release (March 31, 2011); Montreal Gazette "Apparel companies face labour hurdles" (March 31, 2011)

United Kingdom: Government Paper Calls for Examining Future State Pension Age Increases

During the same week that the United Kingdom's law removing the default retirement age that had allowed companies to force workers to leave at 65 went into effect, the Department for Work and Pensions released a consultation setting out on how to simplify the state pensions system for future pensioners, including looking at processes for future increases in the retirement age. The consultation--A state pension for the 21st century--notes that longevity increases already have figured in raising the pension age to 66 by April 2020, but that increases in longevity do not end in 2020 and it is only fair that those generations who will benefit from these increases share in the costs.

Specifically, the government is asking (1) What mechanism should be used to determine future increases in State Pension age? and (2) How should the Government respond to the frequent revisions in life expectancy projections while giving individuals sufficient time to prepare? The paper suggests some possibile mechanisms, such as increasing the age through a formula linked to life expectancy, or alternatively increasing the by puting in place a review at regular, pre-determined intervals.

As noted in an article in The Telegraph before the paper's release:

However Mr Duncan Smith said the Government was preparing to increase the retirement age further because people are living longer and "don't feel like retiring at 65".

Mr Duncan Smith told the Murnaghan programme on Sky News: "The last Government already set projections to 67, 68 ... and we are revising those to look again.

“There is no question, no point in hiding the fact that retirement will have to move over a period, obviously to help people adjust, for two reasons.

"First of all, because we are living longer, most people don't feel like retiring at 65. We have many, many thousands now choosing to work beyond 65 and that's why we lifted that thing called the default retirement age, where you could be forced into retirement."

Sources: Department for Work and Pensions Press Release (April 4, 2011); The Telegraph "Most of us want to work beyond 65, says Iain Duncan Smith" (April 3, 2011); Age UK "Default retirement age scrapped from today" (April 6, 2011)

United Kingdom: Ageism of Greatest Concern to Older Population

Demos and Brunel University have released a study looking at aging policy from older people’s point of view, finding, among other things, that the very negative narratives about an aging society that conceptualise aging and older people as a problem are contributing to many older people feeling demoralised and disengaged from politics and the policy-making process. In fact, according to one of the authors of the study, agism to be a greater concern than crime among older people: "Whereas ageism was discussed vigorously in every one of our research groups, crime did not receive a single mention."

"Coming of Age", authored by Louise Bazalgette, John Holden, Philip Tew, Nick Hubble, and Jago Morriso, finds that age discrimination was felt to impact on every area of older people’s lives; in employment, in public services, in public places and even in family life. With respect to work and retirement, in particular, the study finds that the United Kingdom's "one size fits all" approach to retirement policy may itself be discriminatory and counter-productive, since it is those with the worst health and the lowest life expectancies who will suffer most from increases in the state pension age.

Accordingly, the authors suggest that, to "mitigate these problems it will be essential that the government both takes action to improve general health and reduce health inequalities, and investigates how employment can be made more flexible to reflect the heterogeneity of older people’s skills, personal responsibilities (eg caring roles) and health prospects."

Source: DEMOS "Putting a stop to age discrimination" (April 8, 2011)

Australia: Chambers of Commerce Endorse Government Promotion of Mature Age Employment and Apprenticeships

The Tasmanian (TCCI) and Australian (ACCI) Chambers of Commerce and Industry have congratulated the Australian government for its promotion of mature age employment participation. As noted by ACCI Chief Executive, Peter Anderson: "Australian employers need to develop innovative strategies to attract and retain valued employees to meet the vital skills needs of their business now and into the future."

The government endorsement follows the issuance of an ACCI research project--"It's Not About Age"--which focuses on building positive employment and training outcomes for employers and mature age apprentices to ensure that the Australian business community has access to a highly skilled and motivated workforce.

Separately, TCCI Chief economist Mark Bowles said hiring mature-aged workers was both a solution to Tasmania's skills shortage and inevitable because of our ageing population. According to Bowles, figures from the ACCI estimated 85% of workforce growth in the next decade would be for workers over 45, and he thought that figure could even be higher for Tasmania

Sources: Tasmanian Chamber of Commerce and Industry Media Release (March 30, 2011); Australian Chamber of Commerce and Industry Media Release (March 30, 2011); The Mercury "Older worker championed" (April 19, 2011)

See also links to Australian resources.

Canada: Oil Industry Facing Skills Shortage

According to a report issued by the Petroleum Human Resources Council of Canada, an aging workforce is a chief contributor to the fact that Canada's oil and gas industry is headed towards severe and chronic labour shortages. Specifically, the Council's labour market report--"The Decade Ahead: Labour Market Projections and Analysis for Canada's Oil and Gas Industry to 2020"--finds that over 30% of the industry's core workforce is expected to retire within the next decade, driving the need to hire at least 39,000 workers.

Cheryl Knight, Executive Director and CEO of the Council says that "We are going into a perfect storm....Just when the industry needs workers the most, Canada's labour supply will be dwindling as the overall population ages. Our industry will need to be prepared to face a labour shortage more severe than in 2007." In fact, some oil and gas companies are already coping with chronic shortages for certain occupations, and shortages are expected in all core occupations as early as 2013.

Source: Petroleum Human Resources Council of CanadaNews Release (March 29, 2011)

Nevada: Unemployment Statistics Highlight Growth of Older Workers' Participation Rate

Even with a rise of unemployment in Nevada, which has seen the participation rate decline for Nevada’s labor force as a whole fromm 2000 to 2010, it has grown for the state’s oldest workers. Specifically, in reporting the February 2011 unemployment statistics, the state's Department of Employment. Training, and Rehabilitation reported that, during those ten years, the labor force
participation rate in Nevada declined from 70% to 65.6%, while the participation rate for workers 65 and older increased from 12.8% to 20.6%.

The growth in the participation rate of older workers is likely caused by two factors: (1) a social change, marking the ability of older workers to work later into life, and (2) recessionary wealth destruction is forcing older workers to delay retirement due to financial reasons.

Sources: Nevada Department of Employment, Training & Rehabilitation Press Release (March 25, 2011); Northern Nevada Business Weekly "Number of over-65 workers in Nevada continues to increase" (April 4, 2011)

Poland: World Bank Report Recommends Raising Older Worker Participation

A report from the World Bank asserts that the main potential for increasing labor force participation in Poland is among older workers and women. If older workers in Poland were as active as they are in Germany, then the Polish gross domestic product would be up to 6% higher.

Employment is a major focus of the World Bank's report--"Europe 2020 Poland: Fueling Growth and Competitiveness in Poland Through Employment, Skills, and Innovation". A higher employment rate is also critical given the aging population and the growing life expectancy.

The difference between Poland and other EU countries is greatest in the case of older workers, which reflects in large part the, until recently, very generous rules governing early retirement. Specifically, only 35 percent of persons aged 55–64 are economically active in Poland (table 2) compared with the EU average of 51 percent, 58 percent in Chile and 62 percent in Korea (2009 data). This is a significant gap. Closing it is particularly important because the Polish population is aging, and if the gap is not closed, the pension system will be fiscally unsustainable (as will be further elaborated)

The report recommends raising economic activity among older workers (and older female workers, in particular), through reform of social security benefits and development of flexible forms of employment, particularly of part-time employment, increasing skills, and raising the retirement age--specifically by adjusting the retirement age of women to that of men (age 65).

For example, the report notes that "if the number of inactive women aged 55–59 fell by 10 percent the overall employment/population ratio would increase by nearly 0.5 percentage points. In contrast, a 10 percent fall in inactivity among women aged 20–24 would lead to a less than 0.1-percentage-point increase in the overall employment rate." Furthermore, older workers in Poland are provided with incentives to withdraw from the labor force. The availability of disability pensions and early retirement options might make inactivity the preferred choice for many older workers. I

Source: World Bank Press Release (March 21, 2011)

Gemany: Europe's First Test of Job Crunch from Aging Workforce

In an article by Larry Elliott and Julia Kollewe in the Guardian, Labor and Social Affairs Minister Ralf Brauksiepe describes how Germany needs to respond to the loss of 5 million workers over the next 15 years as it becomes Europe's first and biggest test of the problems caused by an ageing and declining population, saying that a longer working life and an influx of skilled workers from overseas were the answer to the demographic time bomb.

Since lifting restrictions on labor mobility from EU member states in eastern Europe will lead only to an extra 100,000 workers over the coming years, the phased changes in retirement age between 2012 and 2029, when 67 which will become the statutory retirement age, is most important.

"It must be clear to people that working longer than the age of 65 must be the rule," Brauksiepe said. "I am convinced that in 20 years people won't understand how people were opposed to the enlargement of the working life in 2011."

Source: Guardian"Germany faces up to problem of ageing workforce" (March 17, 2011)

OECD Pension Reforms Report Also Focuses on Older Workers

The OECD has published Pensions at a Glance 2011: Retirement-Income Systems in OECD and G20 Countries, focusing on pensions, retirement and life expectancy. Among other things, while by 2050 the average pensionable age in OECD countries will reach 65 for both sexes, life expectancy is rising even faster, outstripping the increase in pension ages by about 2 years for men and 1.5 years for women. However, as governments rein in public pension spending rising as a result of population aging, OECD warns that income from work and from private pensions and other savings.will need to fill the gap, so that ensuring that there are enough jobs for older workers remains a challenge.

According to OECD Secretary-General Angel Gurría, "Countries need to do more to fight discrimination, to provide training opportunities for older workers and to improve their working conditions . This would help employers adapt to a greyer workforce."

In addition to providing comparative indicators on the national pension systems provided in the report of the 34 OECD countries, as well as for Argentina, Brazil, China, India, Indonesia, Russian Federation, Saudi Arabia and South Africa, the report includes special chapters on issues including life expectancy, trends in retirement and working at older ages, and ways to help older workers find and retain jobs.

For example, in highlights about France, the report notes:

In addition, the participation rates of older workers aged 60 and over is low: only 19% of men aged between 60 and 64 years participate in the labor market in France compared to 54.5% on average across countries OECD. This percentage is even lower in the age group 65-69: 5.5% in France compared to 29.3% on average in the OECD. For the long-term success of reforms change in the attitudes towards older people is necessary. Employers, both private and public, must learn to see older workers as a real asset and avoid discrimination towards them, invest in their training and adjust labour market conditions and hours of work when needed.

Source: OECD News Release (March 17, 2011)

EBRI Retirement Confidence Survey Shows Continued Worker Worries, Delayed Retirement Plans

The Employee Benefit Research Institute (EBRI) reports that 27% of workers now say they are "not at all confident" about retirement, up 5 percentage points from last year. The 2011 Retirement Confidence Survey, EBRI's 21st annual survey, also published as Issue Brief No. 355, also finds that find that a significant number of workers say they now intend to retire later (at an older age) than they had planned.

Specifically, the age at which workers expect to retire continues its slow, upward trend. The percentage of workers who expect to retire after age 65 has increased over time, from 11% in 1991 and 1996 to 20% in 2001, 25% in 2006, and 36% in 2011. Of the 20% polled who say that are going to retire later than originally planned, the main reason cited was the poor economy (36%), a lack of faith in Social Security or the government (16%), a change in employment situation (15%), or because they can’t afford to retire (13%).

In addition, the survey finds more workers now expect to work for pay in retirement, with 74% reporting they plan to work in retirement (up from 70% in 2010), three times the percentage of retirees who say they actually worked for pay in retirement (23%).

Source: EBRI Press Release (March 15, 2011)

Working and Longevity May Go Hand in Hand

As Emily Yoffe writes in Slate, people who keep doing useful work may have the secret to living longer and healthier. Drawing on The Longevity Project, by psychology professors Howard S. Friedman and Leslie R. Martin, which presents the end-of-life findings of the Terman study, one of the longest-lasting longitudinal research projects ever undertaken, she finds evidence that maybe retirement should not be seen as the severing of oneself from the work of a lifetime.

Friedman dislikes that notion of retirement, and from his research he's come to believe such an attitude is bad both for society and individuals. Most "of the Terman males (given the attitudes of the times, far fewer of the women Termites worked) had solid, sometimes even exceptional careers. Interviews done with successful Termites in their 70s, several of them lawyers, showed a striking number continued to work part time."

Furthermore, Yoffe notes, those who contemplate retirement as decades filled with leisure and relaxation may be mistaken; fun may be overrated and stress can be unfairly maligned. "Many study participants who lived vigorously into old age had highly stressful jobs."

Source: Slate "Don't Stop Working!" (March 10, 2011)

Digital Divide Separates Older Workers in Job Searches According to UK Research

A study commissioned by the United Kingdom's Department for Work and Pensions (DWP) on the role of the Internet in looking for work reveals, among other things, that many older jobseekers are at a disadvantage because of the digital divide and a number of other variables. DWP's Research Report No. 726--"Job Search Study: Literature review and analysis of the Labour Force Survey"--was authored by several researchers from the University of Warwick and found that over four out of five job seekers made use of the Internet to look for work but a number of factors influenced those overall figures, one of which was age.

Focusing just on the report's findings with respect to older workers, the following results were noted:

• Younger people were more likely to use multiple job search methods than older people.
• Job seekers aged 16-29 year and older job seekers aged 50-69 years were more likely than those in their thirties and forties to nominate visiting a jobcentre, job market or training and employment agency as their main method of job search.
• Social networks as a job-search method were used slightly more by younger job seekers (notably those aged 16-29 years) than by older job seekers.
• Around 87% per cent of jobseekers aged 25-29 and 84% of 30 to 34 year olds used the Internet to search for work, while only 75% of those aged 50-54 did so, 72% of those 55-59 years old, and 62% of those 60-64 years old.

Sources: Department for Work and Pensions Press Release (March 3, 2011); TAEN--The Age and Employment Network News Archive (March 7, 2011)

New Zealand: Research on Encore Careers Finds Older Workers Happier, Healthier

In an article for The New Zealand Herald, Greg Fleming writes about encore careers and draws on a Waikato University study focused on encore careers--meaningful work, paid or unpaid in the second half of life--which has found older people who work are happier and healthier than those who don't.

Fleming also notes that the study found that not all older workers experienced smooth transitions and that some of those surveyed for the research struggled to find meaningful work, found employment agencies unhelpful, and success often depended on individual initiative. He quotes research fellow Dr. Margaret Richardson of the Waikato Management School: "Many managers had negative stereotypes of older workers believing that they were unable to change and lacked the appropriate job-seeking skills such as how to write a CV and how to present at interviews."

Richardson, along with Mary Simpson and Ted Zorn, has also presented a paper on ""Out the Door," "Back for More," or "New Horizons": Multiple Meanings for Encore Careers" at the 2010 at the annual meeting of the International Communication Association. In this paper, the authors set out preliminary findings of a study into New Zealanders’ experiences with encore careers, and the authors illustrate the different discourses and meanings that encore workers and, to a lesser extent, managers associated with their experiences in or with encore careers—in paid or voluntary work.

Source: The New Zealand Herald "Older workers choosing work over retirement" (March 6, 2011)

France: Government Adds Incentives To Increase Employment of Older Workers

In order to build on the momentum created by legislation raising the retirement age in France, French employers are are to get a €2,000 bonus from the government if they hire job-seekers aged over 45, but they also face a surcharge on their wage bill if they have too few apprentices or young trainees. According to an article in The Connexion, the bonus comes on top of €2,000 already paid by the Pôle Emploi job centre for taking on over-26s and an exemption of social charges for taking on over-45s.

The necessity for this can be found in Bruce Crumley's article Time magazine, which recounts Sarkozy's success in raising the retirement age in France by two years, but points out that this law will not succeed unless Sarkozy "persuades French bosses to play along; they have a nasty habit of dumping employees older than 50." As Crumley notes, barely 40% of French people ages 55 to 64 are in the workforce as compared to an OECD average of 54%, and U.S. and British levels of around 60%. Furthermore, he notes, there is an attitude among French employers that older employees are handicaps rather than assets continues to harden, citing a 2007 survey finding that 50% considered 45-to-55-year-old workers already old.

Crumley follows up with remarks from Sorbonne sociology professor Anne-Marie Guillemard, author of "The Challenges of Aging: Age, Employment and Retirement," focusing on how many people approaching 50 are marginalized with busywork by employers, and what might need to be done about that. "Aging employees don't want to stop working, but when they see more than a decade of dead-end activity awaiting them in a place that wants them gone, most accept some sort of agreement terminating their job in exchange for a payout," says Guillemard, and then collect unemployment and other assistance until they reach pension age.

In French

Sources: Time Magazine "France's Labor Paradox" (March 14, 2011); The Connextion "€2,000 for hiring older workers" (March 2, 2011)

Europe: Survey Shows Age Most Widely Experienced Discrimination

Age UK has released results of a survey showing that age discrimination is rife in Europe. Some 64% of those interviewed in the UK and 44.4% across Europe judged age discrimination as a serious problem, making it the most widely experienced form of discrimination. Even though there is heightened awareness of ageism as an issue, the European Social Survey (ESS) data analysed for Age UK by the University of Kent shows that people in later life continue to face many subtle forms of prejudice which perpetuate the idea of older people as passive, needy and frail.

Employment is an area where age discrimination is a huge problem, despite recent legislation tackling the issue. The majority of those interviewed said they would find it easier to accept a suitably qualified 30-year-old as a boss than a 70-year-old with exactly the same qualifications. People over 50 felt extremely concerned that employers would always prefer to hire a person in their 20s rather than an older person. In the UK 49.7 per cent of those interviewed cited this as a problem.

Among other things, the report warned that subtler types of prejudice are as harmful as overt discrimination as they make it difficult for older people to feel empowered and able to assert their preferences and choices.

Source: Age UK News Release (March 3, 2011)

South Korea: Government Thinking about Raising Retirement Age

According to news reports, the South Korean government is cconsidering raising the average retirement age to 60 from the current average of 57 to lessen the impact of the retirement the country's baby boomers. Bae Ji-sook, writing for The Korean Herald, states that, while The "Baby Boomer Committee"--an affiliate of the Economic and Social Development Commission, a group representative of employers, employees and the government--is planning to submit a related bill to the National Assembly, he notes that the plan is expected to face fierce opposition from both employers and employees.

This is not a new conversation, as the article refers to a 2010 survey by online recruiter SaramIn of member employers. According to that, 61.4% said a rise in retirement age was necessary, and about 49% said they needed the skills and experience of older workers, followed by companies seeking stability, craftsmanship and other qualities.

Kim Rahn, writing for The Korea Times, states that the Korea Employers Federation opposed setting a legal retirement age.

“We acknowledge the need for older people to remain in the labor market. But those workers usually receive higher wages according to the seniority system, so extending the retirement age through fixing it by law will weaken corporate competitiveness,” an official of the federation said.

“Instead, we propose the government prepare measures to reduce companies’ labor cost burden, such as not turning non-regular job status of workers aged over 55 into regular ones after two years of employment.”

Sources: Korea Herald "Korea may raise retirement age to 60: report" (February 28, 2011); The Korea Times "Legislation sought to change retirement age to 60" (February 28, 2011)

South Korea: Report Warns of Aging Teaching Workforce

According to an article by Lee Ji-yoon in The Korea Herald, the Korean Educational Development Institute has issued a report, warning that South Korea's teaching workforce was getting older. Specifically, in 2010, the average ages of teachers at kindergartens, elementary, middle and high schools were 31.8, 39.7, 41.3 and 41.5, respectively, reflecting increases since 2000 of 2.5 years, 0.8 years, 2.9 years and 1.7 years, respectively.

“Given that the aging teaching workforce is becoming a universal problem found in OECD member states, the Korean government needs to take follow-up measures to fill the potential teacher shortages,” the report said.

Universities have seen the largest change in older workers, with the percentage of teachers over 50 increasing from 29.5% ten years ago to 45.3% in 2010. For other teaching levels, those in their 50's and 60's increased from 19.8% to 21% in elementary schools, from 13.9% to 21% in middle schools, and from 14.4% to 22.9% for high schools.

Source: The Korea Herald "Report warns against aging teaching workforce" (February 25, 2011)

Canada: Study Finds that Economic Pressures Cause Many Older Workers To Retire Early

A study published by the Institute for Research on Public Policy (IRPP) finds that older workers who face sudden layoff rarely match their previous earnings upon reemployment, that their earnings tend to stagnate in subsequent years, and that the situation drives many to retire early. According to "Labour Force Participation of Older Displaced Workers in Canada: Should I Stay or Should I Go?", IRPP Study No. 15, written by Ross Finnie and David Gray, such hastened retirement will further slow labor force growth, which is already beginning to wane due to population aging, thus reducing economic growth and putting additional stress on public and private pension plans.

Finnie and Gray report that, among those aged 45 to 59 (who are not eligible for Canada Pension Plan benefits), about one-quarter have "retired" within five years after being layed off, in the sense that they rely on pensions as their primary source of income. This proportion rises to nearly 70% in the 60 to 64 age group.

The authors lay out four policy options to address the question of whether older displaced workers should retire early (by choice or by force) or continue to work:

1. Encouraging older displaced workers to retire early, aided by government subsidy, which amounts to very long-term income maintenance until they reach normal retirement age.
2. Providing passive employment insurance benefits.
3. Providing active employment insurance benefits.
4. Providing wage insurance.

IRPP also has available online an interview with the authors.

Source: Institute for Research on Public Policy Press Release (February 24, 2011)

Construction Gap Forecast in British Columbia as 31,000 Older Workers Leave by 2020

A report issued by the Construction Sector Council states that, from 2011 to 2019 period, 31,000 workers will exit British Columbia’s construction industry workforce due to retirements. While two-thirds of of the province's labor requirements will be filled by an expected 22,400 new entrants to the workforce, the retirements will leave a gap of 10,000 workers that will need to be recruited from outside the local construction market to meet labor requirements.

According to "Construction Looking Forward: An assessment of construction labour markets for British Columbia from 2011−2019," in other respects, the construction industry will grow at a manageable pace for the next several years, thanks mainly to mining and utilities-related projects, and a modest housing recovery.

Source: Construction Sector Council Press Release (February 21, 2011)

Study: Older Workers Deal with Stress Better

A researcher at the University of Manchester Business School says that her research is finding that older workers are better at coping with emotional stress and burnout than their younger colleagues. According to Dr. Sheena Johnson, this is particularly the case in customer service industries, where employees often face high levels of conflict and stress, and older workers find their roles less emotionally draining and have less cynical attitudes towards customers than younger employees.

According to Dr. Johnson:

As life expectancy and the average age of the population increases, the age of the working population rises - it’s vital employers understand how they can benefit from employing older workers. For instance encouraging older workers to act as mentors could significantly improve emotional burnout and stress with younger members of a team.

Source: University of Manchester Business School News Release (February 7, 2011)

Other References: An older book with a contribution by Dr. Johnson:

EBRI Research Finds Participation Rates for Workers Over 55 Increased During Recession

According to research by Employee Benefit Research Institute (EBRI), labor force participation rate continued to increase for workers 55 and older even after the economic downturn of 2008–2009. The article "Labor-Force Participation Rates of the Population Age 55 and Older: What Did the Recession Do to the Trends" by Craig Copeland, published in the February 2011 issue of EBRI Notes, notes that for those ages 55–64, the increase is almost entirely due to an increase in women in the work force, but that for those age 65 and older, labor-force participation increased for both males and females.

Education is a strong factor in an individual’s participation in the labor force at older ages: Individuals with higher levels of education are significantly more likely to be in the labor force than those with the lower levels of education. This disparity increased from 1987–2009 for those without a high school diploma, as their rate declined while those with higher levels of education had a participation rate that stayed the same or increased.

This trend is likely to continue because of workers’ need for access to employment-based health insurance and for more earning years to accumulate assets in 401(k)-type plans, particularly after the stock market and economy downturn in 2008.

Source: Employee Benefit Research Institute Press Release (February 17, 2011)

California Hospitals: Aging Workforce Leading to Shortage of Healthcare Workers

The California Hospital Association (CHA) has released a report showing that, over the next five years, California hospitals could face a shortage of allied health care workers because of an aging medical work force and other factors. According to "Critical Roles: California's Allied Health Workforce," which summarizes the findings from the CHA Allied Health workforce Survey, the Survey "included two items asking about the average age of employees and the number expected to be eligible for retirement (using 62 as the age for eligibility) in the next one, three and five years for each of the selected allied health occupations."

The data show that the average age in these occupations ranged from 36.9 years for pharmacy technician in urban hospitals to 50.5 years for CLS in rural hospitals. For almost all occupations there is a difference in the average age based on the geographic location of the facility: the rural workforce is almost uniformly older by comparison. For some occupations, the difference is marked, including pharmacist and pharmacy technician, and to a slightly lesser extent CT technologist and MRI technologist

In addition, CHA finds that more than 2,600 allied health employees in the selected categories are expected to be eligible for retirement
within the next five years; this translates to roughly 12.5% of the total number of FTes reported by survey respondents.

Sources: California Hospital Association News Release (Feburary 10, 2011); California HealthLine "Report: Calif. Hospitals To Face Shortage of Allied Health Workers" (February 10, 2011)

German Employers Need To Ensure Employment Policies Attract Older Workers

In an article in Deutsche Welle, John Blau reports that, as the days of allowing workers in Germany to retire as early as age 55 are long gone and as many employees begin to suffer from chronic aches and pains in their mid-50s and, increasingly, from mental fatigue, employers must do more to retain them and keep them productive on the job. Thus, according to Michael Stolpe from the Kiel Institute for World Economy:

"Companies in Germany will need once again to invest more in the healthcare of their employees, as they used to do before competition forced some big changes in the labor market," he told Deutsche Welle. "Back then, employees stayed longer with companies - sometimes their entire career - and employers, in turn, took good care of them. It was a win-win situation."

In addition, Blau quotes Christiane Flüter-Hoffmann from the Cologne Institute for Economic Research as saying that companies will need to become "more attractive" to employees and potential hires. Among other things, this "begins with managers who can motivate and ease stress," but she also pointed to the need for human resource development strategies tailored to an older workforce. "In many companies, training ends at age 45."

Source: Deutsche Welle "Aging Germany must keep older workers healthy and happy" (February 1, 2011)

Australia: Report on Age Discrimination in IT Industry

Australia's Information Technology Contracting & Recruiting Association (ITCRA) has issued a discussion paper on the information and communication technology industry's lacks of a strong representative mature age workforce, noting that the reasons are not as clear-cut as some have suggested in the past and basing programs on incorrect assumptions may do more harm than good. According to "Mature Age Workers in ICT: Foundations, Effects and Approaches to Ageism," ITCRA has identified a range of initiatives that ICT recruiters, employers and supporters can put in place to address ageism and other forms of discrimination. In addition, the paper suggests further research that will help to improve the quality of understanding in this field of discrimination.

Highlighting the disparity, while 46% of Australian workers are aged 25-44, 63% of the ICT workforce falls in this age range; 22% of all workers are 45-54, but only 18% of ICT workers are; and 18% of all workers are 55-64, only 7% of ICT workers are.

For recruiters, fair discrimination is part of the job—but it must navigate the legal passage between unlawful discrimination based on stereotyping and professionally finding the best person for the job by effectively assessing skills, talents and abilities.

And the report also suggests that older workers can help too, saying that the statistics suggest that rather than being a case solely of employers and recruiters discriminating against workers, workers may also be self-selecting to not continue working in ICT beyond "prime age" for a range of reasons.

Sources: Information Technology Contracting & Recruiting Association Media Release (February 8, 2011); ITWire "Wrinkles rankle recruiters" (February 8, 2011); Lifehacker "How Badly Do IT Employers Discriminate Against Older Workers?" (May 18, 2011)

Study: Advice to Government Employers about Engaging a Multi-Generational Workforce

The IBM Center for the Business of Government has released a study on generations in the workplace, which details how each of the four generations brings a different set of skills and life experiences to the workplace which can be used positively to increase diversity of knowledge and perspectives. The report--"Engaging a Multi-Generational Workforce: Practical Advice for Government Managers" was authored by Susan Hannam, Dean, College of Health, Environment, and Science, Slippery Rock University, and Bonni Yordi, Director, Surveys and Business Research MRA–The Management Association.

According to Hannam and Yordi, in order to successfully lead in 21st century organizations and engage employees, government executives need to be aware of the major differences between generations. "While there have always been multiple generations in the workplace, what is drastically different today is the rapid influx of technology–savvy employees
and the resultant cultural, social, and attitudinal changes they bring." They offer a number of practical tips for executives managing Traditionalists (those 66 and older), Boomers, Gen X, and Millenialists (also known as Gen Y) employees in the following areas:

• Communications--each of the four generations now in the workplace have different preferences on how they like to both receive and send communication, as well as how they like to interact with colleagues.
• Work-Life Balance--Each of the four generations has different work-life balance needs and the flexible work arrangements should be designed to meet the specific needs of the four generations.
• Growth and Development-- Each of the four generations has different learning styles and preferences as to how they like to obtain information and knowledge.
• Providing Recognition and Rewards--A multi-generational workplace requires organizations to develop new types of reward and recognition programs, including rewarding contribution.
• Employee Engagement--A multi-generational workplace requires organizations to increase their mentoring initiatives and offer various types of mentoring programs, including opportunities for younger generations to mentor older generations, for example, in the uses of new social media technologies.

In addition, click on the link for an interview on The Federal News Radio.

Source: IBM Center for the Business of Government Blog Poat (February 1, 2011)

Paper Reports on How 50+ Workers Fared in 2010

According to a study released by the Urban Institute, unemployment rates remained high for the 47.5 million workers age 50 and older in 2010, and more than half of unemployed workers this age were out of work for more than six months and nearly a third were out of work for more than a year. "How Did 50+ Workers Fare in 2010?"--authored by Richard W. Johnson and Janice Park--also showed that workers age 50 to 61 have fared worse than those age 62 and older since the Great Recession began in December 2007.

In 2010, 2.0 million men age 50 and older were unemployed. Unemployment crept up for all men in 2010 but generally increased more for older workers than younger workers.

• The unemployment rate for men age 50 to 61 increased to 8.3 percent from 7.8 percent in 2009 and 3.2 percent in 2007.
  
• The rate for men age 62 and older increased to 7.3 percent from 6.6 percent in 2009 and 3.3 percent in 2007.
  
• Unemployment did not increase for men age 25 to 49.

Older men with limited education—especially those younger than 62—were much more likely to be unemployed than college graduates. For example, the rate at age 50 to 61 for college graduates was 5.2 percent, compared with 10.1 percent for high school graduates and 14.2 percent for those who did not complete high school.

Source: Urban Institute Summary (February 1, 2011)

New Zealand: Universities Confronting Aging Academic Workforce

Universities New Zealand - Te Pōkai Tara (Universities NZ) has released a report prepared for it by Business and Economic Research Limited (BERL) showing that the universities are facing a shortage of academic staff over the next ten years due to an aging academic workforce and other factors. In addition, the report--"Academic Workforce Planning - Towards 2020"--notes that, coupled with lower funding relative to countries like Australia, the aging workforce is a threat to the future quality of university education and research in New Zealand.

Among other things, the report found that 43% of the academic workforce is over 50 and 15% is over 60, that the number of older academic staff is growing and the inflow of younger academics is not keeping pace, and that the academic workforce is aging like other professions but is an older workforce to begin with. Since an aging academic workforce is a global trend and the academic workforce operates within a global labour market that is becoming increasingly competitive, New Zealand universities must work together with the government and private sector on ways universities can recruit sufficient academic staff of international calibre from at home and abroad.

Source: Universities New Zealand Media Release (January 31, 2011)

European Council of Ministers Issues Conclusions on Impact of Aging Workforce and Population on Employment Policies

In the context of increasing employment rates to meet European 2020 targets, the 2012 Year on Active Ageing and the Healthy and Active Ageing Pilot Partnership, the Council of Ministers has issued Council Conclusion on the effects of demographic changes on the workforce and employment policies. The Conclusions note that higher participation of older workers in employment requires a multidimensional and integrated approach. In addition, they highlight several aspects of the aging workforce and offer suggestions for member states to follow up on.

Among other things, it is important to tackle age discrimination regarding employment and occupation, given that ageism is an important exclusion factor for older workers on labor markets. At the same time, investments should be made in life-long learning initiatives, adapted to labor market needs. In this regard, the Council invited member Ssates to fight stereotyping of older people and older workers by developing effective communication schemes and raising awareness about the issue.

The Council also focused on safety issues, nothing the role of job quality to address the physical and mental impact of work, taking into account the need to reconcile work, family and private life, and the anticipation of changes that occur with age. Thus, the aging workforce and rising retirement age highlight the need for adequate occupational health and safety measures for all workers, as well as the importance of promoting healthy lifestyles,

In addition, the Council invited member states and stakeholders are invited to participate actively in the 2012 Year to Promote Active Ageing and solidarity between generations, including ensuring the appropriate preparation for its activities in 2011,

Source: European Public Health Alliance Council Conclusions (January 30, 2011)

United Kingdom: Employers Need To Plan for Effect of Aging Population on Workplace

A new discussion paper issued by Acas suggests that employers in the United Kingdom need to start planning now for the effects an aging population will have on the workplace. According to "The future of workplace relations--An Acas view," as more and more people live longer, workers will experience increased pressure as they juggle work with caring duties for elderly relatives, which in turn wil lead to an increase in requests for flexible working and part time hours to help meet eldercare as well as childcare responsibilities.

Among other things, the Acas paper explores the changes to the workplace over the next ten years and looks at the:

• changing profile of the workforce;
• fragmentation of the employment relationship;
• employees experience at work;
• future challenges for trade unions in the workplace;
• the rise of rules, regulations, and individual litigation;new challenges in managing the workforce;
• new channels for employee voice; and taking conflict seriously.

Source: Advisory, Conciliation and Arbitration Service (Acas) News Release (January 26, 2011)

Survey: CareerBuilder Finds More Workers over 60 Not Postponing Retirement

According to a survey by CareerBuilder, some mature workers are feeling more comfortable about retiring now compared to last year at this time, with 65% of workers age 60 and over saying they are putting off retirement because they can’t afford to retire financially, down from 72% last year.

In addition, the survey of 500 U.S. workers found that 28% of these mature workers plan to retire within the next two years, while 27% percent are planning to retire in three to four years, 18% in the next five to six years, and 16% in seven years or more. About 10% say they don’t think they’ll ever be able to retire.

Source: CareerBuilder Press Release (January 26, 2011)

EBRI Reports More U.S. Households At Risk of Running Short of Retirement Income

Employee Benefit Research Institute (EBRI) has published an analysis showing that, depending largely on age and income, between 4% and 14% of Americans who otherwise would have had adequate income to cover basic expenses in retirement became "at risk" of running short because of the housing and financial crisis of 2008–2009. EBRI's Issue Brief "A Post-Crisis Assessment of Retirement Income Adequacy for Baby Boomers and Gen Xers" was designed to find out (1) what percentage of U.S. households became at risk and (2) of those who are at risk, what additional savings do they need to make each year until retirement age to make up for their losses from the crisis?

The EBRI report also provides additional percentages of compensation that various types of households will need to save each year until retirement age to have a 50%, 70%, or 90% probability of having sufficient retirement income to meet basic retirement expenditures and any uninsured health care costs for their full retirement. For example, the median percentage of additional compensation for Early Boomers wanting a 50% probability of retirement income adequacy are 3.0% of compensation each year until retirement age, to account for the financial and housing market crisis in 2008–2009.

Source: Employee Benefit Research Institute Press Release (January 20, 2011)

Conference: British Psychologists Report on Value of Older Workforce

At a British Psychological Society conference on Occupational Psychology, three papers were presented on research showing the benefits of an aging workforce:

1. Chartered Health Psychologist Dr. Frances Reynolds investigated the impact that working till a later age could have on employees’ health and safety. Looking at the health and safety experiences of post-retirement age workers (age 60-91), Frances found that these older workers were highly engaged, experienced group who perceived themselves as unencumbered by the frailties traditionally associated with ageing. "Most described deriving physical and cognitive well-being from work; perceived few safety concerns; and believed that, by continuing working, they were maintaining their psychological and physical health."
2. Chartered Occupational Psychologist Mr. James Bywater (SHL Limited) presented research on the expectations, aspirations, work style and capabilities of ageing employees. According to James, there "is an assumption that older workers are not as valuable as younger workers, but based upon the evidence of this initial study there is no reason to discount this group as valuable human resources for the future." In fact, James found evidence that "older workers are more conventional and have less desire to lead and to achieve career goals but this is parried by their conscientious, emotional stability and better social skills."
3. Chartered Occupational Psychologist Dr. Sheena Johnson (Manchester Business School) investigated how the changing age demographic of workers may have implications for health and well-being of employees in service organisations. She found that older employees experienced fewer negative customer behaviours and were more diplomatic and better at keeping calm. "Overall being older and more experienced meant they were better at dealing with customers varied needs."

Source: British Psychological Society Press Release (January 14, 2011)

Study: Older Workers and Their Difficulties with Unemployment

Two reports issued by the Urban Institute show that workers age 50 and older were less likely than their younger coworkers to lose their jobs but took longer to find work when they became unemployed, and that, in the decade ending in 2007, age often shielded workers from layoff because older workers generally had more seniority than their younger counterparts.

According to the first report, a Program on Retirement Policy publication--"Can Unemployed Older Workers Find Work?"--by Richard Johnson and Janice Park, workers age 50 to 61 employed in the second half of 2008 stood a 6.1% chance of losing their jobs within 16 months, compared with 9.3% for those age 25 to 34--a 34% advantage. Between mid-2008 and the end of 2009, the likelihood of finding a new job within 12 months was only 18% for laid-off workers 62 and older, half the 36% rate registered by workers 25 to 34. For workers 50 to 61, the reemployment rate was 24%.

In the companion report--"Age Differences in Job Loss, Job Search, and Reemployment," Johnson and Corina Mommaerts showed show that, in the decade ending in 2007, age often shielded workers from layoff because older workers generally had more seniority than their younger counterparts. However, men age 50 to 61 who had the same service record as men age 25 to 34 were 24% more likely to lose their jobs. Older women were just as likely to lose their jobs as younger women with similar job tenure.

"Not only can job loss have devastating consequences in the short run, but it also upends retirement savings, especially for older workers," says Johnson, who directs the Urban Institute’s Program on Retirement Policy. "Their financial security hinges on a solid employment record right up to retirement."

Source: Urban Institute Press Release (January 12, 2011)

Respiratory Ailments Slow Down Older Workers

According to a study prepared by the British Thoracic Society (BTS), 29% of those aged 51 through 60 report that they experience breathlessness, and that most of those state that this has adverse consequences for their work. In fact, the respiratory ailments often led to an extended sickness absence and that workers were more likely to retire due to ill health.

Mike Morgan, chair of the BTS, said: “The research paints a stark picture of the impact of breathlessness on people’s work performance. With the expectation that people will be working for longer, more needs to be done to ensure that the correct strategies are in place to support older workers who might be affected by respiratory problems, and help them to lead their everyday lives.”

Sources: The Telegraph "British workforces 'not geared up' to employ older workers" (December 3, 2010); Personnel Today "One-third of older workers struggle to breathe" (December 2, 2010)

Workplace Flexibility Groups Look To Greater Employer Engagement

The Sloan Foundation, which has funded numerous research studies around workplace flexibility, gathered many of those researchers and allied business and labor leaders, and government and military officials for a two-day effort to build on what Kathleen Christensen, Program Director, Alfred P. Sloan Foundation, termed a "growing consensus that workplace flexibility--in its many forms--can improve lives, support business objectives and strengthen the economy." Among the goals of the "Focus on Workplace Flexibility" gathering, held in Washington, DC, was to strengthen existing partnerships and to accelerate the process of making flexibility a standard of the American workplace. According to speakers, four-fifths of workers want flexibility, but only 29% have it, even though research shows that businesses do not lose profit by endorsing flexible workplaces.

Various research papers were presented at the event, including one focused on older workers ("Phased Retirement and Workplace Flexibility for Older Adults: Opportunities and Challenges" by Richard Johnson of the Urban Institute). In introducing some of these issues, Christensen noted how much is changing around retirement: retirement has become a joint decision for families for the first time, employees are working longer, and spouses are retiring at different times.

Source: Focus on Workplace Flexibility (November 29-30, 2010)

Singapore: Government Employees Will Be Able Secure Post-Retirement Beginning in July 2011

Singapore's Public Service Division has issued guidelines that will allow employees in the Singapore Public Service can look forward to early implementation of re-employment guidelines in July 2011, ahead of the national legislation. Specifically, re-employment will give officers the opportunity to work up to age 65 and, later, up to age 67, if, among other things:

• an officer has, in the three years prior to retirement, put in satisfactory work performance as well as have no disciplinary action taken against them;
• an officer is medically fit to continue working;
• public service organisations may re-employ officers in jobs similar to that before retirement, or on other arrangements such as part-time, job-sharing, or project work; and
• eligible officers must be informed at least six months before retirement to discuss re-employment, with an offer to be made at least three months before retirement.

Source: Prime Minister's Office Public Services Division Press Release (November 30, 2010)

Study: Retirement Good for One's Physical and Mental Fatigue

According to a study published in the British Medical Journal, while retirement does not change the risk of major chronic diseases, it is associated with a substantial reduction in mental and physical fatigue and depressive symptoms, particularly among people with chronic diseases. In "Effect of retirement on major chronic conditions and fatigue: French GAZEL occupational cohort study", the authors, led by Dr. Hugo Westerlund from Stockholm University, followed a large occupational cohort in France and looked at respiratory disease, diabetes, coronary heart disease and stroke, mental fatigue, and physical fatigue, measured annually by self report over a 15-year observation period.

Several explanations of these findings are possible. If work is tiring for many older workers, the decrease in fatigue could simply reflect removal of the source of the problem. Also, without the demands of work, participants may feel less concerned about limited energy, leading to lower ratings of fatigue. Furthermore, retirement may allow people more time to engage in stimulating and restorative activities, such as physical exercise.

The authors note, however, that participants in the study retired at 55 or close to that age, due to generous retirement provisions in France and from their employer, so that their findings may not apply to settings in which people retire later.

Writing an editorial "Is early retirement good for your health?" in the same issue of the BMJ, Alex Burdorf, PhD, Erasmus Medical Center in Rotterdam, the Netherlands, echoed these concerns and stated that "[r]esearch is needed to corroborate these findings in other countries with a substantially higher age of retirement."

Source: British Medical Journal Abstract (November 24, 2010)

Research FInds 55 Plus Workers Remain Unemployed Longer than Younger Workers

New research from Boston College’s Sloan Center on Aging & Work and the Heldrich Center for Workforce Development at Rutgers University shows that older job seekers often face daunting challenges in finding employment compared to younger workers. Specifically, according to "The “New Unemployables” -- Older Job Seekers Struggle to Find Work During the Great Recession", co-authored by Maria Heidkamp, Carl Van Horn and Nicole Corre, among job seekers unemployed during the recent recession, adults aged 55+ are finding it increasingly difficult to land a job and are more likely to remain out of work longer than younger job seekers.

Among other findings:

• 84% of older workers followed who were unemployed in August 2009 were still unemployed in March 2010, and 67% of older job seekers included in the survey reported looking for work longer than a year;
  
• 12% of the older workers surveyed had taken new education or training courses in the past year, compared to 20% of younger job seekers;
  
• 13% of older job seekers had used online social networking sites, compared to 28% of younger job seekers;
  
• 64% of older job seekers rated the job search tools they were using as not helpful, compared to 49% of younger job seekers.

Sources Sloan Center on Aging & Work News (November 16, 2010); New York Times Economix Blog "Older Job-Seekers More Willing to Take a Pay Cut" (November 17, 2010)

EEOC Hears Testimony on Impact of Recession and Age Discrimination on Older Worrkers

The U.S. Equal Employment Opportunity Commission (EEOC) held a meeting at which various experts testified that age discrimination is causing the nation’s older workers to have a difficult time maintaining and finding new employment, a problem exacerbated by the downturn in the economy. The hearing was conducted at a time in which the number and percentage of age discrimination charges filed with the EEOC have grown, rising from 16,548 charges--21.8% of all charges--filed in fiscal year 2006, to 22,778--24.4% of all charges--in fiscal year 2009.

In the leadoff testimony, Dr. William Spriggs, Assistant Secretary for Policy, U.S. Department of Labor, testified that the rate of unemployment for people age 55 and over "rose from a pre-recession low of 3.0 percent (November 2007) to reach 7.3% in August, 2010, making the past 22 months the longest spell of high unemployment workers in this age group have experienced in 60 years." Older workers also spend far more time searching for work and are jobless for far longer periods of time compared to workers under 55.

In addition, the EEOC heard testimony on legal issues from Mary Anne Sedey, Partner, Sedey Harper P.C., Michael Foreman, Clinical Professor, Pennsylvania State University, Dickinson School of Law, and R. Scott Oswald, Principal, The Employment Law Group. This was followed by testimony on employer best practices from Deborah Russell, Director, Workforce Issues, American Association of Retired Persons and Cornelia Gamlem, President, GEMS Group and Society for Human Resource Management. Among other things, Gamlem highlighted strategies to create discrimination-free workplaces that recognize the value of older workers; programs, such as flexible work arrangements, that enable employees to work longer if they choose to do so; and ways to implement reductions-in-force to avoid inadvertent age-based discrimination.

"Hard working men and women should never be harassed at work or forced out of their jobs on account of their age,” said EEOC Chair Jacqueline A. Berrien. “The testimony we heard today also sheds light on some of the unique challenges faced by older job seekers and will be invaluable as the Commission works to strengthen its enforcement of the Age Discrimination in Employment Act."

"The treatment of older workers is a matter of grave concern for the Commission,” said EEOC Commissioner Stuart J. Ishimaru. “We must be vigilant that employers do not use the current economy as an excuse for discrimination against older workers.'

Source: U.S. Equal Employment Opportunity Commission Press Release (November 17, 2010)

Germany: Government Reaffirms Commitment To Raising Retirement Age

According to news reports, Labor Minister Ursula von der Leyen has confirmed that the plan to raise the retirement age gradually beginning in 2012 from 65 to 67 will proceed and presented a report showing improved employment opportunities for older workers. Von der Leyen said that the employment rate for those aged 60 to 65 is currently at 38% and has doubled in the last 10 years; furthermore, without the changes, Germany would be forced to cut pensions or drastically increase employee contributions.

Economists cited in the daily Financial Times Deutschland argued this trend should continue--Martin Dietz from the Institute for Employment Research (IAB) told the paper that an employment rate of 50% was possible for over-60 workers.

The retirement change will begin in 2012, with those born in 1947 having to work one month extra. The transition is to be complete years later when those born in 1967 retire at the age of 67.

Sources: Deutsche Welle "Government sticks to plan for retirement age to increase to 67"; The Local "Labour Ministry defends raising retirement to 67" (November 17, 2010)

European Parliament Calls on Solidarity between Generations including "50-plus Employment Pact Initiative"

The European Parliament has passed a resolution calling for measures to improve job prospects for young and old, and so reduce the costs of funding social security and pensions. The "the demographic challenge and solidarity between generations" resolution addresses rising longevity and a declining birth rate in Europe, stating that access to employment should be at the core of policy-making between generations, as younger and older people face higher levels of unemployment.

Among other things, the resolution proposes that the European Commission and member states take "a fifty-plus employment pact initiative" to increase the share of workforce aged over 50 to 55%, eliminate early retirement incentives, combat aged-based discrimination and to develop incentives and opportunities for workers over the age of 60 to pass on their knowledge and experience. Included would be "setting country-specific targets for access to training and lifelong learning for older workers, broken down by age group and gender, thus increasing the proportion of people of all generations in initial and further training; and facilitating access to training for older workers by the setting up of incentives/bonuses by employers for older workers who decide to continue their education after the age of 50."

The resolution also calls on the Commission to develop a proposal to make 2012 "the European Year of Active ageing and Solidarity between generations", which will highlight the contribution of older people to society.

A background report on on the demographic challenge and solidarity between generations is also available.

Source: European Parliament Press Release (November 11, 2010)

United Kingdom: 50 Plus Workers Want To Retire Earlier, Note Career Stagnation

A survey conducted by the Employers Forum on Age (EFA) and Cranfield School of Management reports that even though mandatory retirement will end in the United Kingdom and the retirement age will rise to 66 in 2020, on average workers want to retire at 61. In addition, the study--"Change at any Age"--finds that there is considerable stagnation in the careers of many over 50s, and many employers are not currently doing enough to prevent this and the loss of skills and attitudinal problems that result.

The study noted the stagnation in different trends. For example, the average time since individuals had made their last transition was, for those under 30 year olds, 12 months, while it was 28 months for for 31-50 year olds, and 37 months for over 50 year olds. In addition, while romotions were the most common form of career transition overall, older workers were less likely to have been promoted outside of their current business unit. Older workers were also more likely to have reduced the number of hours that they work.

Rachel Krys, Campaign Director at the Employers Forum on Age, comments: "As employment rates have risen in the past decade, there are now a lot more people remaining in their jobs for longer before they retire. However, our study tells us that many employers do not have the correct measures in place to motivate older workers and help them develop. This means that apathy may set in amongst the workforce once it reaches a certain age, which has a detrimental effect on both individuals' own working lives and those around them. Workers now need to have more than one career in their lifetime to keep them motivated as they get older, so therefore many employers must change the way they manage people in the future."

Source: Employers Forum on Age Press Release (November 11, 2010)

The Wealthy Never Retire According to Barclay's Report

According to a survey of wealthier individuals issued by Barclay's Wealth, most of those surveyed want to keep on working in some form and never intend stopping, even if they have little financial need to do so. Barclay's The Age Illusion: How the Wealthy are Redefining Their Retirement calls these people "Nevertirees" and says that they "are very actively engaged in what we would traditionally regard as their retirement years; continuing to work, starting businesses and taking on new projects." Some 60% of respondents say they envision always being involved in commercial or professional work of some kind, whatever their age.

However, while the corporate sector will gain from their experience at the board level, businesses may worry about how to get individuals eventually to step down. In addition, continuing to work may complicate succession issues at firms.

Sarah Harper thinks increasing numbers will want to keep on working but not necessarily in the same role. As lead investigator on Oxford's Ageing Workforce Programme, she has recently completed a study on "Extending Late Life Work" and she says, "We do a lot of work around the importance of the age of 50 to 70 - an age when you're incredibly experienced, you've got so much to offer, but maybe want a second career. Maybe you want to do something different, or maybe you want to stay in the same work but in a different role."

Source: TAEN "The Rise of the Nevertirees" (November 11, 2010)

Ireland: Older Workers Faring Better in Recession in Both North and South

According to the Centre for Ageing Research and Development in Ireland (CARDI), older people are better represented in the workforce in Ireland, North and South, than in the past and have been less affected by unemployment during the recession than their younger counterparts. This information was presented at a seminar on "Living Longer, Working Longer" at which CARDI also explored issues such as the impact of an aging population on Ireland’s workforce, North and South; the reasons why some people retire early and others continue working; and the urgent need for research on older people’s experiences in the workforce in light of the fact that the retirement age is set to rise.

On the statistical front, the number of workers aged 55 or older rose by 73% in the Republic of Ireland between 1998 and 2008 (up 120,000) and by 50% in Northern Ireland (up 35,000). In particular, older women have benefited, with the female labour force participation rate at age 55-59 jumping in the Republic of Ireland by a full 20 percentage points, from 30% to 50%, and for women aged 60-64 increasing from 17% to 33%.

“The pension age in both the Republic of Ireland will rise to 66 in 2014 and Northern Ireland in 2016 and later to 68,” said [Paul McGill, Strategic Research Officer with CARDI]. “At the same time, the numbers of older people in Ireland as a whole are steadily increasing: by 2041, it is estimated there will be 1.89 million people aged 65 and over. In light of this, government and employers need to make provisions now to accommodate older workers."

CARDI cited a number of reasons why older people are better represented in Northern Ireland’s current workforce than they were in the past, including:

• employers having greater difficulty offering pension top-ups to encourage early retirement;
• the outlawing of discrimination against older workers is beginning to have an effect;
• older people may have been worried by increases in food and fuel prices during the economic boom and, as a result, decided to hold on to their jobs for longer; and
• Poor private pension provision.

Source: Centre for Ageing Research and Development in Ireland News (November 10, 2010)

Russia: No Plans To Raise Retirement Age

In an interview published in Rossiiskaya Gazeta, Russian President Dmitry Medvedev says that there are no plans to raise the retirement age, even if there are shortfalls in the Russian pension system and one of the lowest retirement ages. According to Medvedev, the much lower mortality age in Russia dictates a different approach to retirement age than in other Western countries.

“In a society where people live up to 90 years, retirement at the age of 70 appears to be normal. In such a society people are confident that with the high level of health care and proper attention to their own health after retirement they have many years to rest, travel around the world and spend time with grandchildren,” the president said.

“It’s not so simple here. And this is why we cannot just copy Western pension systems. Our life standards are different. And the average life expectancy is different too,” he added.

However, Russian presidential aide Arkady Dvorkovich said the country might need to increase the retirement age in several years.

Source: ITAR-TASS "Medvedev says no plans to raise retirement age in Russia in near futurе" (November 11, 2010)

France: Pension Reforms Signed into Law

According to press reports, French President Nicolas Sarkozy has signed into law pension reform changes that will gradually raise by two years the minimum retirement age and the fully pensionable retirement age, to 62 and 67, respectively. The signing followed immediately on the approval of those provisions by the Constitutional Council.

The Council's decision and the law are available in the Journal Officiel of November 10, 2010.

As noted in the Washington Post, this change is viewed by some outside France as only a moderate change:

Simon Tilford, chief economist at the Center for European Reform in London, says Sarkozy "had no choice" other than to get the reform through because otherwise France's - and his - credibility would have suffered.

"For anyone outside of France, this looks like a pretty modest move forward," he said. "Other EU countries are moving much much more rapidly" on pension reform.

France has the highest life expectancy in Europe but still one of the lowest retirement ages, prompting Tilford to predict that retirement issues will come up again before markets believe that France has its finances in order.

"A retirement age of 62 is still far far too low," he said.

Sources: Reuters "France's disputed pension reform becomes law" (November 10, 2010); Washington Post "Sarkozy signs the law: French retire at 62, not 60" (November 11, 2010)

United Kingdom: Study Shows Offshore Workers are Getting Younger

In a sign that concerns about an aging workforce in the energy sector may be receding, Oil & Gas UK has released a report showing that, for 2009, the average age of offshore workers is 40.4 years old--the lowest since the industry body began compiling this data in 2006. According to "Oil & Gas UK Workforce Demographic Report 2009," there is also evidence of much younger workers taking up positions in key areas, with, for example, increases in the numbers of 18 to 23 year olds and 24 to 29 year olds working in areas such as deck crew, drilling, electrical, management, production, rigging and scaffolding.

Oil & Gas UK’s health, safety and employment issues director, Robert Paterson, said: “Oil & Gas UK’s latest offshore workforce demographics report highlights some very positive findings indeed.

“It’s encouraging to see evidence of not only the youngest recorded average age of offshore workers but more and more young people under the age of 30 taking up important skilled jobs in key areas of the offshore industry.

“I think we can now put the myth to bed that the North Sea and wider UKCS has an ageing workforce."

Source: Oil & Gas UK Press Release (November 4, 2010)