United Kingdom: Survey Finds Increase in Forced Retirements at Age 65

A survey conducted by DNS/BMRB for Age Concern and Help the Aged suggests that the number of people aged 65-plus forced to retire during 2009 increased to more than 100‚000, a figure four times higher than the number the charity feared would be hit when the Default Retirement Age was introduced in 2006. According to the poll of people aged 60 to 70, 24% knew a friend or colleague who had been made to retire at or after 65.

Michelle Mitchell, a director at Age Concern and Help the Aged, said: “Our survey clearly shows the use of forced retirement has spiralled out of control, offering some employers a low-cost shortcut to shed jobs during the recession."

Source: AgeUK News Release (February 25, 2010)

United Kingdom: Report Released on Evaluating Return to Work Efforts on Behalf of 50 Plus

The UK's Department for Work and Pensions has released a report reviewing the literature to provide greater insight into how the Department's back to work provision supports the over-50s return to work has been published. The main findings of “50+ Back to work evidence review and indicative guide for secondary data analysis” prepared by Sandra Vegeris, Deborah Smeaton and Melahat Sahin-Dikmen, Policy Studies Institute, are:

• Advisory support: Older customers valued regular meetings and support with job searches, IT skills and preparing CVs. Older people with professional or managerial backgrounds were less likely to find adviser services helpful. In programmes that involved a mandatory interview with an adviser, 50+ customers were more likely to have a health condition or disability which may have restricted engagement with advisory services.
• Training: Studies reported lower than expected rates of training among 50+ customers. Few studies provided reasons for non-take up: these included perceptions of being ‘too old’ for training or disappointment with training options. Positive work outcomes attributed to participation in Work Based Learning for Adults (WBLA) (a voluntary programme) did not identify possible reasons for this favourable outcome among older participants.

Source: Department for Work and Pensions News Release (January 26, 2010)

United Kingdom: Survey Shows More Older Workers Planning To Opt Out of Automatic Pension Enrollments

A survey conducted by B&CE with respect to its United Kingdom customer views and intentions around the introduction of the National Employment Savings Trust (NEST) in 2012 show that older workers are much more likely to opt out as automatic enrollment is phased in until 2017. While only 10% within the 18-34 age group indicated that they would opt out, as did 17% of those in the 35-54 range, 42% of those 55 and older said they would opt out.

John Jory, Director of B&CE Insurance Ltd, commented: "The survey results for the higher age bands are disappointing but perhaps not surprising." B&CE suggested that for older workers might feel that it’s too late to start saving, especially with the potential negative impact of means testing.

Source: B&CE Benefit Schemes News Release (January 26, 2010)

United Kingdom: Equality and Human Rights Commission Launches New Program for Older Workers

Accompanied by research report and policy brief, the United Kingdom's Equality and Human Rights Commission (EHRC) has released its "Working Better - The over 50s, the new work generation " to open up more work opportunities for older Britons and address the challenges of an aging workforce. In so doing, EHRC has made a series proposals for fundamental changes to employment policies, including "abolishing the default retirement age, the extension of the right to request flexible working to all, overhauling employer recruitment practices to prevent discrimination and improved training and development."

EHRC's research report--"Older workers: employment preferences, barriers and solutions"--was authored by Deborah Smeaton, Sandra Vegeris and Melahat Sahin-Dikmen and finds, among other things, that of workers aged 50-75:

• 24% of men and 64% per cent of women say they plan to keep working beyond the state pension age;
• 55% cent say they are unhappy with some aspect of their working lives;
• half say the availability of part-time or flexible work would help them;
• 38% of men and 46% of women are not aware of the right to request flexible working available to adult carers; and
• 60% say they are as physically capable now to perform their jobs as when younger.

EHRC's policy briefing--"Working Better: The over 50s, the new work generation." draws on the new research and contains findings, recommendations and practical solutions for government and employers, and also features case studies from both employees and employers. In presenting its recommended solutions, EHRC states:

Tackling barriers to the employment of older people requires taking action on a number of fronts: the quality and flexibility of jobs; occupational health; retirement and pension policies; and attitudes and assumptions about the older generation. This will mean collaboration between government, employers, trade unions, occupational health experts and others.

Source: Equality and Human Rights Commission Media Release (January 25, 2010)

United Kingdom: Survey Finds Over-50s Looking to Keep Working in Flexible Retirement

According to a survey conducted by Saga, around 24% of people in the United Kingdom over 50 have rejected full retirement in favor of continuing with some paid work, as well as carrying out voluntary work and having more leisure time. In addition, according to the Saga Manifesto, which advocates the abolition of the default retirement age, almost 97% of over-50s reject the idea of working doggedly until state retirement age and greatly prefer to scale back working hours before this time.

Saga predicts that there will be a 50% increase in the number of people who take this approach to retirement during the next 10 years, with around three million over-50s combining work and volunteering by 2019. People will typically start scaling back their working hours when they are 57, with the average person carrying out 27 hours a week of paid work and eight hours of voluntary work.

Sources: Saga Media Release (January 11, 2010); UK Press Association "Over 50s taking gradual retirement" (January 7, 2010)

United Kingdom: Study Released on Employers and Aging Workforce

According to research conducted by the United Kingdom's Institute for Employment Studies and the Policy Studies Institute, only half of employers have a formal pro-age recruitment policy, and many are nervous of discussing age issues with workers as they approach retirement. However, many businesses are open to making adjustments to the workplace to help retain staff if the issue is raised on an informal basis.

The report "An Ageing Workforce--The Employer’s Perspective", authored by Helen Barnes, Deborah Smeaton, and Rebecca Taylor and funded by Nuffield Foundation, explores the attitudes of employers towards older workers, the range of interventions in place to prevent early exit and facilitate their continued employment. The report found that many employers are happy to let people carry on working after the normal retirement age of 65, and many would also be happy to see compulsory retirement abolished, but that they need support to get the best out of more mature workers.

According to Barnes:

The role of line managers is crucial here. Employers must make a greater effort to communicate with staff and highlight that alternative working arrangements are a possibility, and that staff have a degree of choice in the run-up to retirement age. Employees on their part also need to be better informed of their rights to help encourage them to engage with their employer.

Other findings include:

• Formal pro-age recruitment policies and age management policies are more common in larger organisations.
• Some employers did express reservations around older workers, where they did not match their customer demographic or there was a heavy manual element to their work.
• Health is still largely regarded as a private, individual matter rather than a concern for employers beyond meeting specific health and safety regulations.
• Some employers simply do not have any experience of staff retiring, often because they have a small business or a new business with a young workforce. Larger employers were familiar with the retirement process and more often had policies in place to manage the process.
• Older workers in sectors with skills shortages are recognised as a valuable resource, and employers are keen to retain them.

In addition, a summary of the report is available.

Source: Institute for Employment Studies Press Release (October 21, 2009)

United Kingdom: Older Workers Worried about Recession

Workers aged 50 and over in the United Kingdom are worried about a recession double whammy according to a survey released by Help the Aged and Age Concern: afraid they will be forced out of their jobs due to their age and worried that their retirement incomes will be decimated by the recession. On the job front, 28% fear that their age will see them forced out of jobs if their employer decides to reduce staff numbers due to the economic downturn; and on the retirement income front, 47% said they are less confident than six months ago that their pension and savings will provide them with a comfortable standard of living in retirement.

This situation means for many‚ continuing working and retaining earning potential is more important than ever before. A massive 60 per cent of respondents said the recession has meant they will have to or want to work longer than originally planned. Yet‚ the economic situation and the lack of support available for over 50s who do lose their job will leave many of them permanently out of work and facing a long and difficult retirement.

Source: Age Concern News Release (May 26, 2009)

United Kingdom: How Age Diversity Can Help Business during Downturn

Nicola Brewer, the Chief Executive of the United Kingdom's Equality and Human Rights Commission, said that employers who retain the skills and experience of older workers will be better placed to emerge from the recession. Speaking at a one-day conference organized by the Commission and the Age and Employment Network on "Age Diversity in the Downturn," she lso argued that the economic downturn should not be used as an excuse to justify redundancy on the grounds of age.

"We already have more people in the UK over state pension age than under 16, and, within 15 years, a third of the workforce will be over 50. Embracing the skills of older workers should be a top priority--unless we are prepared to miss out on a third of the available talent pool."

Her words were echoed by The Commission's Policy Director Alan Christie, Policy Director at the Commission, who said "We must stop stereotyping and worrying about how many candles a worker has on their next birthday cake, instead of looking at what they can offer. It's important to recognise that flexibility can help business weather the difficult times and prepare for the recovery, by attracting and retaining vital talent and skills, including older workers."

Source: Equality and Human Rights Commission News Release (March 20, 2009)

United Kingdom: Study Finds Lack of Training and Learning Opportunities for Older Workers

The University of Leicester's Centre for Labour Market Studies has released a study with a stark warning about the lack of training and learning opportunities for older workers. The report--"Older Workers – Older Learners"--prepared for the Learning and Skills Council East Midlands shows "show the lack of preparedness that the region and society as a whole have towards the ageing of our workforce and of society more generally. Yet the ageing workforce is one of the more valuable assets a business can have."

According to Dr. Vanessa Beck, who led the project, while it was disappointing to find the lack of preparedness and the extent to which learning and training opportunities were taken up, "it was surprising to see that on an individual and organisational level, there are a whole host of practices in place that can benefit older workers as well as the organisations that employ them."

Practices and policies already in place that could, in some form, benefit older workers include flexible working; Apprenticeships enabling them to move into different areas of work; structured learning and training supported by the Train to Gain service, Skills Pledge, Skills Accounts, and Foundation Degrees accrediting expertise older learners already have; reward systems; and positive age awareness management.

Older workers are valued for their experience and expertise, knowledge which can be passed on to younger colleagues either formally through apprenticeship assessment or informally as mentors in the workplace.

Source: University of Leicester Press Release (March 10, 2009)

United Kingdom: NHS Employers Puts Forth Best Practices for Older Workers

In conjunction with the Channel 4's broadcast of "Too Old To Work," NHS Employers has emphasized the importance of demonstrating new and imaginative approaches to age diversity in the workforce in light of the demographic challenge it faces.

NHS Employers states that there is clear evidence that both staff turnover and absenteeism are reduced and that motivation and commitment are improved in organisations employing people of all ages. In particular, as a result of the NHS Employers age diversity work programme, 78% of NHS organisations had workforce policies for age in place in 2007, either as part of wider equal opportunities policies or specifically on age diversity.

NHS Employers knows that the NHS is working hard to address the issue of age discrimination and has a key role in highlighting good practice case studies among NHS organisations. One good practice case study is Sheffield PCT.

Chris Stocks, Head of Human Resources, Sheffield PCT, said:

"After we'd fully assessed the legislation, the Board - fully supported by the trade unions - agreed to do away with the default retirement age of 65 and give employees the choice of working longer if they so wanted.

"We then wrote out to staff and briefed managers on the reasons and practical implications. The move has been well received by staff."

NHS Employer resources include information on the business case for utilizing older workers and anonymised examples of good practice in the NHS.

Source: NHS Employers Press Release (February 10, 2009)

Survey: Baby Boomers in United Kingdom Shifting Attitudes towards Retirement

A survey conducted by Standard Life shows a transformation in attitudes to retirement amongst the baby boomer generation. As presented to a Reform debate on "The Death of Retirement," the research found, among other things, that rather than retirement being when they stop work, 39.3% of adults in the United Kingdom (rising to 42% of 46-65 year olds who are wealthier) want to continue to be involved at work but on their own terms, whereas only 15% of their parent's generation wanted to stay in some kind of work at retirement.

Andrew Haldenby, Director, REFORM commented: "This debate shows there is clear support for the idea of an active retirement and the fact that people need to take more control. Government needs to do more to encourage that." Nigel Waterson MP, Shadow Pensions Minister said: "Retirement should be less of an event and more of a process. We need to move away from the notion of pensions towards long term savings. It's all about flexible retirement."

Source: Standard Life Press Release (February 4, 2009)

United Kingdom: Research Suggests Older Workers a Key During Economic Downturn

Research commissioned by the Learning and Skills Council is being used to urge West Midlands employers to take full advantage of the skills and experience of older workers (those aged 50 to 70) during the economic downturn. According to "Labour Market and Training Experiences of Older Workers in the West Midlands ", employers are increasingly aware of the benefits of older job applicants when searching for recruits with personal qualities such as loyalty, experience and reliability. In addition, older workers provide employers with practical advantages such as better retention, fewer training needs, and fewer family and childcare commitments.

Among other findings of the research study:

• the older people are, the more likely they are to have no qualifications. Nearly 60% of people aged 60 to 64 have no qualifications, a proportion that rises steadily from 26% among those aged between 40 and 44;
• although most employed older workers had a positive attitude to work, this was balanced by reservations about stress and excessive paperwork;
• a large proportion of employed participants believed that larger employers offer more advantages to older workers, including clearer progression routes and better policies on issues such as flexible working and job-sharing.

Source: West Midlands Learning and Skills Council Press Release (January 23, 2009)

United Kingdom: Older Workers Facing Higher Layoffs in Recession

According to Age Concern, older workers are experiencing job loss at rates more than twice that of any other group. Citing government statistics that, from September to November‚ unemployment of up to 6 months increased by 29.8% for those aged 50 plus‚ 4.8% for those 25-49‚ 12.2% for 18-24 year-olds‚ and -0.9% for 16-17 year-olds, Age Concern warned that "that older workers are facing a dual blow of rising unemployment and forced retirement‚ which could make them amongst the biggest 'job-cut casualties' of the forthcoming recession."

Older workers were disproportionately affected by job cuts in the last two recessions. In addition, Age Concern research shows this is a huge concern with half of workers aged 55 and over being worried they are more at risk of losing their job because of their age and almost nine out of 10 people thinking it is harder for older jobseekers to get a job. To avoid mistakes made in previous recessions, Gordon Lishman‚ Director General of Age Concern, called on the government to help older people as a group particularly, repeating calls to scrap the default retirement age and seeking more tailored and immediate support‚ training and advice for older workers.

Source: Age Concern News Release (January 21, 2009)

United Kingdom: Government Reports on Flexible Retirement, Seeks More Comments

The United Kingdom's Department for Work and Pensions (DWP) has released the results of its consultation on flexible retirement and, in turn, has announced a new consultation to explore this issue further. According to DWP, the "most obvious conclusion from this exercise" is that the age discrimination regulations "continue to cause some unease and uncertainty for employers, trustees, professional advisers, members and their representatives alike."

According to DWP, the age rules were intended to combat the worst aspects of discrimination, and "it would be counterproductive to introduce a regulatory regime that subverted the Government’s wider policy of ensuring that older people have opportunities to carry on working and earning towards retirement." Accordingly, DWP wants to promote fairness, not set impossible standards. Thus, DWP now seeks "to consult on alternative options for a further exemption in respect of flexible retirement arrangements to mitigate any disincentive effect." Specifically, DWP is asking, among other things:

Question 1: The definition of ‘flexible retirement’ excludes members continuing in the same grade with the same hours, but who take all or part of their age-related benefits. Do you (or employers or schemes you advise) enable workers to continue to work after NPA in the same grade and with the same hours whilst taking their age related benefits? If so, does the practice cause significant problems for the scheme and are you (or any of the employers or schemes you advise) considering withdrawing the policy? If not, please explain why the practice has not been adopted.

Question 4: We welcome further evidence to determine the extent to which the Age Regulations deter employers from offering flexible retirement arrangements. Do you (or the employers or schemes you advise) currently provide flexible retirement arrangements to staff? If so, are you (or the employers or schemes you advise) considering withdrawing or limiting those arrangements? Why? If you (or the employers or schemes you advise) do not offer flexible retirement arrangements, what is the reason for this? Would an exemption from the Age Regulations lead you (or the employers or schemes you advise) to change your current practice?

Sources: Department for Work and Pensions "Flexible Retirement and Pension Provision" (December 16, 2008); Professional Pensions "DWP launches age discrimination consultation" (December 17, 2008)

Case Study: How One U.K. Business Maximizes Use of Older Workers

B&Q, one of the founders of the Employers Forum for Age in the United Kingdom, has become a case study for many ways in which an employer can utilize older workers for both the employees' and company's benefit. Policies on employee engagement, work-life balance, equal opportunities and internal communications have helped the retailer, as have experiments, such as opening a store staffed entirely by those 50 and older. In the latter case, a study showed that that store out-performed others in terms of profits, employee turnover, absenteeism, and inventory shrinkage.

Sources: theMatureMarket.com PRess Release (November 21, 2008); Human Resource Management International Digest "Employee engagement “does it” for B&Q: Diversity at the heart of business success" Vol. 16, Issue 7 (2008)

United Kingdom: Study Focuses on How To Encourage Labor Market Activity Among 60-64 Year Olds

Researchers have published the results of a study (done on behalf of the Department of Work and Pensions (Extending Working Life Division)) on how to best encourage the 60-64 age-group to take up or remain in work. According to the report--"Encouraging labour market activity among 60-64 year olds", flexible working, particularly part-time and short-term contracts, were favored among those research participants who wanted to work longer.

For those not looking to work longer, most typically felt that they had worked for long enough, althouth women were much more likely to mention social reasons for continuing to work, whereas the men were more inclined to feel that they had already "done their bit."

Among the conclusions of the researchers from the School of Social Policy, Sociology and Social Research, University of Kent in conjunction with The University of Edinburgh Business School, was that "Extending working life for those able and willing to work for longer requires action on a number of different fronts and by a range of stakeholders." In particular, employers "will have a pivotal role in providing and sustaining employment for older workers in a range of different circumstances and individuals themselves need to improve their understanding of, and ability to, respond to the opportunities and disadvantages that they experience as older workers."

Sources: University of Kent News Release (November 11, 2008); Department of Work and Pensions Abstract (November 11, 2008)

United Kingdom: Survey Suggests Older Workers May Bear Brunt of Redundancies

According to the CIPD/KPMG Labour Market Outlook "Redundancy Special," a survey of 721 UK employers suggests that older workers are set to bear the brunt of redundancies in the year ahead. Specifically, 26% of employers have contingency plans to make new or further redundancies in the next twelve months in addition to those already planned, and almost one in five employers say that they are going to enforce the Government’s retirement age policy--which allows UK organizations to make workers over 65 redundant without having to provide a business reason for doing so--more vigorously.

Source: CIPD Press Release (October 31, 2008)

United Kingdom: Survey Shows Continued Age Discrimination Affecting Older Workers

According to a survey conducted by the Age and Employment Network (TAEN), only 10% of surveyed jobseekers in the United Kingdom aged 50 and over could say they had never experienced age discrimination when looking for work. In addition, just 13% thought the UK age discrimination legislation introduced in October 2006 had helped older people find work.

TAEN's "Survey of Jobseekers Aged 50+" also surveyed employer perceptions. While 67% of jobseekers felt they had the right skills for today’s labour market, 63% believed they were seen as too old by employers and 42% said they were seen as too experienced or over-qualified.

Chris Ball, Chief Executive of TAEN , commented:

We began gathering responses to our survey in January 2008, before the labour market slowdown and the crisis in financial markets started to bite. Our data represents responses from older jobseekers in a context when personal financial worries were probably less grave. We cannot but be concerned that the over-50s are going to face even greater barriers as the economy deteriorates.

Source: The Age and Employment Network Press Release (October 27, 2008)

Commentary: Aging Workforce Presents Longterm Retirement Planning Opportunities for Employers and Employees

Ian Martin, UK Head of Retirement Businesses, HSBC Insurance, suggests that "Ageing populations are an opportunity for us all--be it increased longevity for individuals or access to mature, skilled workers for employers." However, this opportunity also comes with responsibilities: "for individuals to prepare and for employers to understand the value of older workers and ensure the working environment helps older workers to continue to flourish."

Martin's comments drew on an HSBC Insurance global report--"The Future of Retirement: Investing in Later Life"--which identified an ill-prepared generation with high expectations for their retirement but, perhaps unwittingly, unprepared for the cost implications for funding their increased longevity and desired retirement lifestyle.

Source: Director of Finance Online "Long term retirement planning " (September 26, 2008)

Advocate General Opinion Supports U.K.'s Mandatory Retirement Law at European Court of Justice

Jan Marzak, the Advocate-General for the European Court of Justice, has issued an opinion recommending that the Court uphold the United Kingdom's law taht bans discrimination on the ground of age but excludes pensioners, who can be dismissed at 65 without redundancy payments, or at the employer's mandatory retirement age if it is above 65. According to Marzak:

A rule such as that at issue in the main proceedings, which permits employers to dismiss employees aged 65 or over if the reason for dismissal is retirement, can in principle be justified under Article 6(1) of Directive 2000/78 if that rule is objectively and reasonably justified in the context of national law by a legitimate aim relating to employment policy and the labour market and it is not apparent that the means put in place to achieve that aim of public interest are inappropriate and unnecessary for the purpose.

According to Gordon Lishman, director general of Age Concern, one of whose member organizations--Heyday--brought the case to set aside the law, "This is a set back, but it is not a disaster." While Age Concern would have preferred to have the Advocate General’s support, his "opinion confirms that the EU Directive requires age discrimination to be justified. It’s now up to the UK government to prove to the High Court that their social and employment policies are important enough to justify kicking people out of work at 65."

Sources: The Times "Setback in battle against compulsory retirement age" (September 24, 2008); Personnel Today "Heyday age discrimination ruling: what the employment lawyers and experts say" (September 23, 2008); Age Concern Press Release (September 23, 2008); Employers Forum on Age Press Release (September 23, 2008)

United Kingdom: Research Suggests Older Workers Key to Retail Industry

According to new research by Skillsmart Retail, older employees are likely to be more loyal and stay in the retail sector long term. Following a survey by the Sector Skills Council into the attitude of retail workers that found that although while one-third of the retail workforce is under 25, employees in their 30's, 40's and 50's saw their jobs as much more permanent, Skillsmart Retail undertook a larger piece of research investigating the importance of older workers in an ageing population and shrinking labour pool.

The "Adult Retail Employment Survey" carried out in August 2008 by TNS Research found that 63% of 35-64 year-olds saw themselves continuing in retail for the foreseeable future-- nearly twice the average of that of all ages (37 per cent)--and that just 17% of 35-64 year-olds saw retail as a temporary phase, compared to the average figure of 41%.

Karen Charlesworth, Head of Research at Skillsmart Retail, said: "While more research needs to be carried out, this age group may be a key way of increasing the skills base in the industry and we are now looking into expanding our research in order to investigate this further."

Source: Skillsmart Retail News Releae (September 10, 2008)

Survey: Flexible, Delayed Retirements on Increase in United Kingdom

As part of CBI (Confederation of British Industry)/Pertemps Employment Trends Survey on telework and flexible work, CBI reports that the United Kingdom is experiencing a growth in flexible retirement. Specifically, in 2007, 31% of employees reaching retirement age asked if they could postpone their retirement. Employers granted 81% of those requests were granted, which CBI points out is still significantly lower than the 95% of flexible work requests from parents which are accepted.

Employers continue to face challenges when assessing requests to postpone retirement, and it is essential to keep a default retirement age as a trigger for discussion.

[John Cridland, CBI Deputy Director-General] said: "Many older workers do not want to retire, or do not feel financially secure enough to do so, particularly with the downturn in the housing market. In the majority of cases employers are very happy to retain older staff, who often have invaluable skills and experience."

Source: Confederation of British Industry Press Release (September 8, 2008)

Additional Reading: The Times "It is no time to retire as the gloom deepens" (September 8, 2008)

Survey: Older Workers Happier than Younger Workers

Vodafone UK has released survey results that older people are the happiest and most motivated workers in Great Britain, with satisfaction levels soaring above those in their twenties, thirties and early forties. According to "Working Nation 2008: The Nature of Work", 97% of those working beyond 65 feel "enabled" in their work (compared to just 61% of 31-35 year olds), seven out of ten workers of 50 and over say they are fulfilled, with just half of 25-31 year olds saying the same, and satisfaction levels peak at over 90% among the oldest age group (65 and over).

As was noted in the introduction to this report, there is a widespread assumption prevalent today, as illustrated by the CMI Management Futures report, that technology will fundamentally change the world of work over the next ten years. Attendant to this assumption is the feeling that the consequence of this change will be that young people will be handed an unprecedented advantage, allowing them to leapfrog older generations into positions of power and create hitherto undreamed of new business opportunities.

This report serves to temper that view with the perspective of older generations, bringing to the fore the human factors that in many ways cannot be substituted or replaced, regardless of technological innovations.

In addition to issuing the report, Vodafone has created a Working Nation blog for additional follow-up.

Source: Vodafone UK Press Release (July 17, 2008)

United Kingdom: SME's Looking to Older Workers To Fill Skills Shortages

The Tenon Forum reports that entrepreneurs in the United Kingdom are increasingly relying on older workers to plug skills shortages in their businesses. Tenon regularly surveys small and medium enterprises (SMEs), and its latest research reveals that 30% of SMEs have a strong representation of employees aged over 50, with many businesses utilising the experience of older workers as coaches and mentors for younger employees (20%) or in the capacity of consultants following retirement (12%).

SMEs are looking to older workers to address concerns about skills shortages and that younger recruits are often just not up to the job: 34% report a lack of work readiness amongst graduates and 31% cite poor literacy and numeracy amongst school leavers as a key issue facing their business. Accordingly, 66% of SME leaders agree that the employment of workers aged 50 plus is a good solution to skills shortages, and 22% favor the hiring of older workers over college leavers as a solution to staffing problems.

According to Andy Raynor, CEO of Tenon:

Changes to pensions legislation, combined with the recent age discrimination legislation, are encouraging people to put their retirement on hold and continue working in some capacity, either as full-time or part-time employees, or as consultants. Older members of staff can bring huge benefits to an organisation and we expect to see more and more entrepreneurial businesses taking a flexible approach to recruitment and utilising this valuable skills base.

Source: Tenon Group Press Release (May 6, 2008)

United Kingdom: Manufacturers Becoming More Positive about Hiring Older Workers

A report issued by EEF, the manufacturers' organisation finds that manufacturers in the United Kingdom are adopting an increasingly positive attitude towards employing older workers in order to address the challenges posed by continued skills shortages and an ageing population. According to the report--"An Ageing Workforce--How are manufacturers preparing?" (available to registered users)--manufacturers believe older workers are a valuable part of their workforce--more productive and less likely to be absent than younger workers--and that the more physical nature of manufacturing employment is not an impediment to the employment of older workers.

Sixty percent of the companies surveyed cited "loss of specialist skills" as a significant concern. EEF also reports that manufacturing companies are adopting pro-active approaches towards the use of flexible working and managing rehabilitation: rehabilitation and return to work policies are standard in 58% of companies, rising to over 80% of firms employing 250 people or more. In addition, flexible working hours are standard in nearly two fifths of companies with half of companies employing 100 or more people having flexible working in place.

Sources: EEF, the manufacturers' organisation Media Release (April 20, 2008); The Birmingham Post "Employers outline value of experience" (April 24, 2008)

United Kingdom: DWP Study Shows Retirees ' Unease at Retirement

The Department for Work and Pensions (DWP) reports that less than half of Britons chose the word “happy” to describe how they felt on the first day of retirement: "evidence the traditional sudden stop approach no longer works for many people." According to the research conducted by Ipsos MORI, while 48% were happy and 31% relaxed, almost one in ten reported being sad (11%), anxious (8%), or lost (8%).

Pensions Minister Mike O’Brien commented:

The idea that one day you work and the next you stop can be a shock to the system. These findings challenge the traditional "one size fits all" approach to retirement. Many of today’s older workers are rejecting the cliff edge between work and retirement in favour of a gradual step down. And employers should help them to do this.

Gordon Lishman, Director General of Age Concern, responded in decrying the "ultimate 'cliff edge'" of the mandatory retirement age of 65 and said The "government must abolish this discriminatory barrier if it is serious in wanting to help older people to continue working." Charles Cotton, Reward Adviser at the CIPD, was reported as responding: "Both our own research and the report published today from the DWP show that people are increasingly eager to work past the default retirement age, for social, personal as well as financial reasons."

Sources: Department for Work and Pensions Press Release (April 8, 2008); Fair Investment Company "Pension and other worries tarnish retirement" (April 8, 2008); Age Concern Response (April 8, 2008); TrainingZone.com "New research strengthens case for older workers" (April 8, 2008)

United Kingdom: Age Law Easing Older Workers Conserns in Shifting Jobs

A survey conducted for Joslin Rowe suggests that the United Kingdom's age discrimination legislation is leading to a significant increase in job moves amongst "older" workers in the financial services sector. Specifically, workers ove 35 years of age account for 18.1% of total moves in 2007 compared with only 14.0% five years earlier. Even more significantly, workers over 56s made up only 0.1% of job changes in the financial services sector five years ago, but, following the legislation, this figure has grown to 0.5%--an absolute increase of 323.2% over the last five years.

Source: Joslin Rowe Press Release (February 25, 2008)

United Kingdom: Employers Need To Be Much More Focused on Rewards Needed To Incent Older Workers

Employers that are addressing the challenges presented by an ageing workforce to recruit, retain, and engage talent are acting mostly on an ad hoc basis, according to a report on employer incentives for older workers issued by the Chartered Institute of Personnel and Development (CIPD), based on research carried out on behalf of the CIPD by Cranfield School of Management. The CIPD Research Insight "Managing an ageing workforce: The role of total reward" shows that a more holistic approach to pay and reward is necessary--"organisations need to look across their financial and non-financial reward offerings to consider whether they are attractive to older workers."

What is lacking is a systematic and integrated approach to reward that examines whether the pay and the financial and non-financial benefits are appealing to all individuals, irrespective of their age, race, gender, etc.

According to Charles Cotton, CIPD Reward and Employment Conditions Adviser, employers "need to take the opportunity to examine whether how they reward their employees is appealing to older workers, as well as other groups.” In addition, the research suggests that employers need to make sure not to neglect the training and development needs of older workers. Dr Emma Parry, Research Fellow at Cranfield School of Management and author of the research, suggests that as employees approach retirement age, they have different needs and says that the "total rewards package offered to employees should be designed in such a way as to accommodate these differing needs so that workers of all ages are motivated to stay with the organisation.”

Source: Chartered Institute of Personnel and Development Press Release (January 31, 2008)

United Kingdom: Study Shows Older Workers Demanding More Work

In the United Kingdom, the demand for working beyond 65 looks set to increase significantly over the next 15 years, according to survey results from the Chartered Institute of Personnel and Development (CIPD). Specifically, 38% of workers aged between 50 and 64 years plan to carry on working beyond 65, compared with only 11% of the workforce currently working beyond that State Pension age. Furthermore, "among those who said they did not plan to work past 65, 31% would change their mind if their employer allowed them to work flexibly."

According to Charles Cotton, CIPD reward adviser:

On one level the survey findings look very positive, in that they show a strong demand for working beyond retirement age that is as much down to financial as other reasons such as individuals wanting to use their skills and experience. However, it is clear that Government policy could do more to encourage more older workers to stay on by extending the right to request flexible working beyond parents and carers and making pension arrangements more flexible. If the Government fails to do this, its target of having a million older workers in work will become a mere aspiration.

Source: Chartered Institute of Personnel and Development Press Release (January 25, 2008)

United Kingdom: Survey Shows Workers Becoming More Interested in Working Past 65

Nearly 2 in 5 workers (38%) currently aged 50 to 64 plan to carry on working beyond 65, according to a survey conducted by Chartered Institute of Personnel and Development (CIPD). This would represent a significant increase, as currently only 11% of the United Kingdom workforce work beyond State Pension age.

In addition, the survey found that of those who are not planning on working past 65, 31% would change their mind if their employer allowed them to work flexibly and another fifth say that they would be tempted to carry on working past 65 if they were offered a deferred larger state pension.

Charles Cotton, CIPD reward adviser, "On one level the survey findings look very positive, in that they show a strong demand for working beyond retirement age that is as much down to financial as other reasons such as individuals wanting to use their skills and experience. However, it is clear that Government policy could do more to encourage more older workers to stay on by extending the right to request flexible working beyond parents and carers and making pension arrangements more flexible."

Source: Chartered Institute of Personnel and Development Press Release (January 25, 2008)

United Kingdom: Study Released on Older Workers in the Construction Industry

The Strategic Promotion of Ageing Research Capacity (SPARC) has released a study of older workers investigating the needs and abilities of older workers in the construction industry and providing insight into how the working environment may be improved to accommodate those needs. According to "Understanding the Older Worker in Construction", led by Professor Alistair Gibb of Loughborough University, one of the most important issues affecting older workers is employment tenure--being directly employed rather than self-employed is associated with a more favourable working environment for the older worker.

The research suggested that by easing the physical burden of the work wherever possible and by developing interventions to encourage all workers to follow safe practice, work-related injury and ill-health could be largely prevented in the long-term, allowing older workers to remain in the industry for longer. While the findings provide much evidence of the desire of older construction workers to remain in the industry, they also show how the attractions of employing young, cheap immigrant labour far outweigh any desire by the industry to take care of its older workers, so that, in effect, the taxpayer picks up the cost of workplace induced sickness, ill-health and injury.

Source: Strategic Promotion of Ageing Research Capacity News Release (January 22, 2008)

United Kingdom: Study Released on Workplace Design and the Older Worker

The Strategic Promotion of Ageing Research Capacity (SPARC) has released a study of older workers that finds that their motivation to continue to work could be greatly improved if more attention was paid to both the way they are managed and their physical working environments. According to "Workplace Design for the Older Worker", led by Professor Peter Buckle of the University of Surrey, this could include small steps to reduce the physical consequences of manual work, such as redesigning equipment and training workers in its use. The research also suggests that scheduling work in a way which respects the capabilities of the older worker may become more important as the workforce ages. According to Buckle:

Our research has enabled us to create a new model which identifies factors important to the ageing workforce. By mapping existing practices to the new model, and by identifying and resolving areas of difference, organisations and managers will be able to maintain and motivate their older workforce.

In addition, the impact of shift work is identified as a cause of some health concerns, as is the working environment (dust, heat and noise), to which older workers are more sensitive, and manual tasks such as lifting and manipulating heavy objects.

See also, a presentation on "Understanding the Design of the Workplace for the Older Worker" at a workshop jointly organized by SPARC and TAEN discussing showcasing the research.

Source: Strategic Promotion of Ageing Research Capacity News Release (January 22, 2008)

United Kingdom: Report Finds Older People Want to Work or Start Businesses

According to a report commissioned by PRIME and written by the economist Christopher Smallwood, some 800,000 people in the United Kingdom between 50 and state pension age are currently inactive but want to work. The report--"Improving Employment Prospects for the Over 50s"--also finds that the majority of new businesses are created by people in their 40s and 50s and that Companies started by older people have a 70% chance of surviving the first five years, compared with only 28% for younger people.

“It is worth putting real money behind a drive to re-employ economically inactive over-50s”, says the report’s author Christopher Smallwood.

“In order to reintroduce them to the workforce, two things are needed: (1) widespread changes in employers’ practices relating to training, retention and recruitment, and (2) a more proactive approach from Government agencies to help people back to work, particularly in the area of self-employment.”

The report says that while there are still a greater number of complaints about age discrimination in the workplace than about any other form of discrimination, a change in employer attitudes and practices of employers, together with a greater focus on the possibilities for self-employment, would do more than additional legislation.

An executive summary of the report is also available.

Source: PRIME Business Club News Release (January 14, 2008)

United Kingdom: TUC Head Calls for Full Use of Older Workers

Trades Union Congress (TUC) General Secretary Brendan Barber, delivering the Life Academy annual lecture in London, called for employers to fully use older workers and the for the UK government to give older workers more choice about how and when they retire. In order not to waste the experience and talent of older workers

Barber presented four key dimensions to the age management challenge as part of the bold, imaginative policies that are needed to cover the full spectrum of issues:

1. Invest in the skills of older workers. The TUC is calling for a right to retraining for older workers, with paid time off to learn new skills, supported where appropriate by subsidies for employers.
2. Take a flexible approach to retirement--do not compel people to work past the state retirement age, but offer the opportunity to work longer for those who want to. At the same time, make retirement itself less of a dramatic cut-off point, less of a cliff edge.
3. Do more to promote flexible working for all by coming to grips with how we enable everyone to balance work and family life.
4. Promote well-being among older workers. Employers should make reasonable adjustments to enable older staff to perform to their full potential, backed by redeployment opportunities and proper investment in occupational health.

Source: Trades Union Congress News Release (November 21, 2007)

United Kingdom: Prudential Survey Shows Workers Retiring Early, but Golden Age is Ending

Accounts of a new Prudential survey in the United Kingdom state that, despite widespread concern about the pensions crisis, people planning on retiring in 2008 have in many cases never had it so good. Nevertheless, according to the rudential Class of 2008 Retirement Report, 2008 could be the beginning of the end for the golden age of retirement with younger generations facing a very different retirement future as experts warn 80% of final salary schemes are now closed to new members.

Reporting to be the first major study of people retiring in a specific year, the study finds the average age for men to give up work is 60 while women are retiring at an average 58 compared to statutory retirement ages of 65 and 60. Specifically, around 11% of men retiring in 2008 will be more than 65, while 33% of women will be more than 60.

Source: FirstRung.com "Retiring next year? You've never had it so good" (November 24, 2007)

United Kingdom: Engineering Firms Redesigning for Older Workers

The Royal Academy of Engineering has released a study showing that engineering businesses are re-designing the future of work in order to cope with the ageing population. The survey of 208 engineering businesses was commissioned by the Royal Academy to investigate awareness and opinion relating to older employees within engineering based businesses.

According to "Engineering Employers Research 2007," 44% of the firms experienced recruitment difficulties over the last year; 49% believed their workforce would face a shortage of young people over the next decade; and 71% are concerned about the loss of skilled workers as employees retire. In response to this, according to the survey:

• 91% of the firms favor their employees working beyond the age of 65;
• 58% offered re-training to their older workers;
• 36% had increased the pay of older workers to encourage them to stay in employment;
• 46% enabled retirees to return to work; and
• 30% had created a reserve of retired workers who can be called upon to work on discrete projects as and when required.

Source: Royal Academy of Engineering News Release (November 16, 2007)

United Kingdom: European Court Decision Seen as Supporting Mandatory Retirement Law

A number of United Kingdom lawyers, reacting to the European Court of Justice decision upholding Spain's manatatory retirement law, believe the decision suggests that a challenge to the UK law will also fail. Thus, for example, a story in Personnel Today quotes Rachel Dineley, employment partner at law firm Beachcroft, as saying:

"While Heyday may persist with its challenge regardless of this development, employers can take comfort from what is clearly a sound and sensible view.

"Conversely, employees who had contemplated challenging their employer's decision to require them to retire on reaching age 65 may reluctantly accept the decision, and recognise that any challenge through the Employment Tribunal is very probably futile."

Similarly, in an article for THe Times, Michael Herman quotes James Baker, a solicitor at Macfarlanes, as saying: “The court has clearly accepted that mandatory retirement ages are discriminatory but that they can be justified as in this case.”

However, in a story in Clickdocs, quotes Juliet Carp, an employment solicitor with Speechly Bircham LLP, as saying:

"At first sight, the ECJ's decision seems likely to disappoint older workers - and delight many employers.

"Although the judges in Palacios made it clear that a wide discretion is offered to member states, it is still possible that the ECJ might not accept the British policy objectives as a legitimate excuse for age discrimination."

In addition, Gordon Lishman, Director General at Age Concern, has announced that, while disappointed that the the Palacios case did not succeed, Age Concern still believes "it is discriminatory for an individual to be made to retire on the grounds of their age and against their will," and that the Court decision will not set back the legal case that Heyday, supported by Age Concern, is bringing to the Court. "There are significant distinctions between the Heyday case and the case of Felix Palacios. The legal advice we are hearing is that Heyday should forge ahead with its case undeterred."

Sources: Personnel Today "European Court of Justice signals UK's mandatory retirement age will survive Heyday challenge" (October 16, 2007); The Times "EU ruling a blow to workers over 65" (October 17, 2007); Clickdocs "Compulsory retirement not prohibited, says ECJ" (October 18, 2007); Age Concern News Release (October 17, 2007)

United Kingdom: Government Seeks Feedback on Flexible Retirement

The United Kingdom's Department for Work and Pensions has issued a consultation, seeking views on key issues raised by industry since the implementation the pension provision of the Employment Equality (Age) Regulations in December 2006, particular application of the regulations in relation to flexible retirement and pension provision. The Department believes that there is still confusion as to whether the age rules can allow more flexible retirement.

The issue is especially important, since the government considers flexible retirement key to meeting the challenges of an ageing population by providing choices and opportunities for older people to plan how they want to stop working. "Increasing the incentives to work for longer will give individuals the opportunity to plan for a longer working life and save towards a more financially secure retirement." However, because of the age rules, "[e]mployers and the pensions industry may be reluctant to implement change without case law and therefore are cautious in proposing modifications to a scheme which could be considered discriminatory or which cannot be objectively justified if challenged."

Thus, in the consulation, the Department seeks responses to, among other questions:

Q1. We would welcome your views on what you believe might constitute direct or indirect age discrimination in relation to flexible retirement.

Q2. It would also be helpful if you could indicate practices which you believe should be exempt or which could be objectively justified.

Source: Department for Work and Pensions "Flexible Retirement & Pension Provision" Consultation Document (October 10, 2007)

Survey: Older UK Workers Less Likely To Take Sick Leave When They Do Not Need To

Research from Unum suggests that older workers in the United Kingdom demonstrate greater integrity than their younger colleagues when it comes to taking days of work sick when they don’t really need to. Specifically, 99% of 56 to 64 year old workers in full-time employment had not taken a single day off sick when they hadn’t really needed to in the past 12 months, while 25% of 16 to 24 year old and 17% of 25 to 34 year old workers had taken at least one day.

With respect to days taken off for genuine illness, Unum’s research revealed that older people take slightly more days off work than their younger colleagues: on average, 16 to 34 years old workers took approximately four days off a year while 45 to 54 year old workers took around seven and a half days. However, 55 to 64 year old workers took just under seven days.

Commenting on the findings from a medical point of view, Unum’s Chief Medical Officer, Professor Michael O’Donnell, said:

Occupational Health professionals have long believed that short-term absence is less frequent in older workers. This research confirms that the reason for this is that they are less likely to take time off for trivial or spurious reasons.

Source: Unum Limited News Release (October 1, 2007)

Other Sources: Health Insurance & Protection "Older workers 'take less sickies'" (October 1, 2007)

Wales: Report Issued on Importance of Older Workers To Boost Economy

As reported by Aled Blake of the Western Mail, a report issued by the Wales Management Council and Age Concern Cymru shows that more people working past the official retirement age would boost the economy in Wales. The report calls on more to follow the lead of business leaders who continue to work despite their age and warns that employers need to shed negative attitudes towards these workers if they are to capitalise on this reservoir of talent

Among other things, the report--"Older Workers in Wales"--also calls for :

• the abolition of the offical retirement age;
• training for bosses in how to help staff members to make better choices about retirement;
• the introduction of continental style phased retirement, which avoid an abrupt and “often psychologically damaging” end to a person’s working life;
• setting aside public funds to help older workers adapt their skills, with grants to help older workers in their search for suitable alternative jobs; and
• employers to change their attitudes to flexible and part-time work, while at government level, there should be changes to the state pension regulations to avoid penalising those who stay on in work past the traditional retirement age.

Source: Wesern Mail "Older workers ‘can help economy'" (September 28, 2007)

Survey: Younger and Older Workers Appreciate Diversity of Age in the Workplace

A survey of older and younger employees in the United Kingdom shows that working in a mixed aged workforce is important for both older (66%) and younger (65%) workers with all recognizing the benefits of working with people of mixed ages. In the study commissioned by Jobcentre Plus, part of the Department for Work and Pensions, 40% of older workers believe their younger colleagues teach them skills they previously did not have, while one third of younger workers believe older workers are more likely to work anti-social hours than colleagues their own age.

Lesley Strathie, Chief Executive, Jobcentre Plus commented: "The research shows that having the right balance of age and skills can bring numerous benefits to establishing a complete workforce for both employers and employees. Both older and younger workers appreciate and learn from the qualities each brings to the workplace."

Among other findings in the study:

• Younger workers think their older colleagues bring experience (94%), reliability (66%), and understanding (63%);
• two thirds of older workers are impressed by their younger co-workers ability to learn quickly, be flexible (61%), and give them energy (51%); and
• Younger workers stated that their older colleagues were more likely to be left in charge (60%), while over half of older workers believe their younger colleagues to be more likely to take risks, with 16% commenting that they are also more likely to be given manual tasks.

Source: JobCentre Plus News Release (Sepbember 26, 2007

Related Stories: Globe and Mail "Young, old and in-between: an we all get along?" by Jim Grey September 28, 2007

AJCJobs.com "Younger boss, older worker: Cooperation, communication can overcome age differences" by Karl W. Ritzler September 28, 2007

United Kingdom: Extensive Research Study Highlights Employers' Approach to Older Workers

A qualitative study looking at how United Kingdom employers are responding to an ageing workforce carried out by the Centre for Research into the Older Workforce (CROW) and published by the Department of Work and Pensions suggests that most employers say they have positive attitudes to older workers, although they are more reluctant to recruit the over-50s and training seems to tail off for this group. Many employers claim to prefer older workers to younger ones, because of their attitudes to work and their experience. Small firms were particularly likely to keep older people on after State Pension Age.

The study--"Employer Responses to an Ageing Workforce"--was authored by Professor Stephen McNair, Director of CROW, Matt Flynn and Nina Dutton and is based on in-depth interviews with either a senior human resource (HR) manager or a general manager at one of 70 firms, across nine occupational sectors, with a wide geographical spread. According to the summary introduction to this 188-page report:

This study has found that awareness of the Age Regulations is high among employers and that, in general, most are sympathetic to avoiding age discrimination in the workplace, although many do not make the connection between this and business needs, partly perhaps because they are unaware of long term demographic trends. Attitudes towards 'older' workers were generally positive, while young people were viewed more negatively and rarely seen as victims of age discrimination. There was a good deal of change in HR practices generally, but rarely as a sole result of the Regulations. Positive practices on retention of existing workers were much more common than active policies on recruitment. Employers were most likely to be anxious about the implementation of the new provisions on retirement, and the management challenges which this might present. In this area defensive responses appeared sometimes to be having the opposite effect to that intended by Government. The attempt to minimise risk and workloads for managers was a common theme. Within the limitations of the sample interviewed, there was no evidence of regional variation in employer behaviour.

Source: Department for Work and Pensions Research Report No 455--"Employer responses to an ageing workforce: a qualitative study" (September 27, 2007)

Survey: Talent Gap Widens as Workforce Ages in G7 Countries

According to a study conducted by Towers-Perrin on behalf of AARP, as the number of workers reaching traditional retirement years increase in the G7 countries, the marketplace is experiencing a decline in the number of skilled younger workers available to fill in the ranks of those retiring. Thus, suggests AARP, employers must end age discrimination in the workplace if countries and employers are to be best positioned to thrive in the global economy tomorrow.

The study--International Profit from Experience--was released in advance of a conference on the same sponsored by AARP, in partnership with the European Commission, the Business Council for the United Nations and Nikkei. Among the survey's key findings:

• Age discrimination is the single largest barrier for those 50+ who want to continue working past their anticipated retirement age, with at least 60% of employees 50+ in each G7 country viewing age discrimination as the primary barrier to securing new jobs;
• Older workers in the G7 countries want to continue to work on average an additional 5 years;
• Surges of immigration and productivity that might offset the anticipated decline in skilled workers are unlikely to occur; and
• Allowing employees to continue working past their traditional retirement age will not only allow older workers to remain in their careers and stay active, but will have a positive impact on an employer’s bottom line.

Line Vreven, Director of AARP International, says that “While the survey clearly identifies the talent gaps emerging within G7 countries, the responses by employers do not sufficiently address this challenge.” In addition, those "nations working to actively retain older workers and are providing incentives, rather than deterrents, to their continued employment, will reap economic gain in the long-run.”

An executive summary of the full 124-page report is also available.

Source: AARP Press Release (September 25, 2007)

Survey Shows Flexibility of Older Workers, Openness to New Tasks

Research conducted in the United Kingdom by Talent Q, shows that older workers can often be the most flexible--that as people get older they become increasingly willing to take on new tasks and more varied roles. The research, based on in-depth analysis of over 5,700 workers, challenges the common preconception that older workers are unwilling to accommodate change and that they may be unresponsive to new challenges presented in the workplace.

In other findings, the study showed that older workers are happy to work on their own and take a leading role without the need for much guidance, and that they demonstrate a high level of ability in building successful working relationships with colleagues, clients and suppliers. "While it was shown that workers in their fifties and sixties are much less ambitious than their younger colleagues, this is probably just an indication that they have already achieved their goals or have decided that they are happy with their lot in life."

Steve O’Dell, chief executive of Talent Q, said: “Older people in the workplace might sometimes be viewed as being stuck in their ways and a little less sharp. Our research gives a very different perspective.

“Talent Q found that older workers are less preoccupied about climbing the career ladder and that they tend to be happy, fulfilled and confident. As a result, they are glad to take on new work or projects, and aren’t unduly phased by lots of changes. They tend to plough on regardless--a fact that employers are quickly discovering can be a real benefit to their business."

Source: Taent Q Age Research (September 5, 2007)

United Kingdom: TUC Debates Accessibility to Training for Older Workers

In a web-based debate, TUC assistant general secretary Kay Carberry told her audience that "We need to look at the upper age limit for funding apprenticeships, because most apprenticeship funding at the moment is largely limited to people under 25." Instead of taking the "mistaken" view that once you’ve been around for a few decades that’s it, Carberry said that the priorities were to scrutinise everything that happens in the workplace to make sure that it ‘s free of age discrimination and to train older workers--give them more opportunities than they’ve got now.

Carberry was participating in a live tele-cast debate sponsored by Equal-works on the topic of "The value of experience: older workers, their importance and their rights".

Some employers felt it wasn’t worth investing in training older workers because they weren’t going to be around that long. This was a misconception, she said. It was also wrong to think "that older workers aren’t going to be susceptible to learning new skills because they ‘re getting a bit doddery and they’re getting a bit slow.

"I think there are a lot of people who have worked in one particular field, who get into their late 50’ s early 60’s, don’t want to carry on doing that particular kind of work but would welcome the opportunity to do something a little bit different and quite often they don’t get that opportunity maybe with the same employer, maybe voluntary work.

"What the unions are concerned about is that older workers or workers in other age ranges are not viewed as an undifferentiated lump. We would like to see public policy more finely attuned to individuals needs."

Source: Further Education News "TUC Asst Gen Sec: End discrimination against older workers and open up training to them" (August 11, 2007)

United Kingdom: Aging Workforce To Triple by 2017

Research conducted by Aon Consulting shows that UK employers need to prepare for an aging workforce as 78% of employees anticipate working beyond 65. While only an estimated one million are currently working past the state pension age, AON suggests that this would treble amongst people aged 65-70 by 2017.

According to its research, a quarter of respondents would carry on working past the official retirement age simply because they wanted to, while 53% believe it will be necessary to increase their pension. In comparing different regions, AON reorts that 57% of Newcastle workers were committed to topping up their pension, while 49% of Scottish employees would do so.

Source: AON Consulting News Release (June 25, 2007)

United Kingdom: Small Businesses Slow To Adapt to Post-65 Work Rules

A study prepared by Lloyds TSB Business and the SERTeam at the Open University has found that three quarters of Britain’s small firms (with fewer than 50 employees) have yet to put in place procedures to allow their employees to carry on working beyond 65, with 45% saying they were still undecided as to whether they would implement the procedures and 28% claiming they intended to do so. Only 25% of the firms had put in place the ‘right to request’ rules for employees,

Even if they haven't implemented the rules yet--some fearing red tape or rising costs, most firms recognize that there is a need to retain older workers.

Despite the apparent reluctance to encourage staff to work beyond the age of 65, more than a third (34 per cent) of those surveyed said they were bracing themselves for a drop in the number of younger workers over the next decade. Amongst larger firms this view was even more widely held, with 57 per cent of firms employing 20-49 people expecting a fall in younger employees.

Source: Lloyds TSB Business News Release (May 25, 2007)

United Kingdom: Tesco Issues Phrase Guide so Older Employees Can Understand Younger Workers

According to news reports, Tesco is issuing employees over retirement age with a phrasebook listing more than 30 of the most common phrases used by teenagers so that older workers to help them understand and communicate with their younger colleagues.

For example, for older workers "getting caned" means receiving six of the best in the headmaster's study and "rank" is one of the few things told to the enemy, along with one's name and number. However, the phrasebook points out that rather than a beating, "caned" means doing something to excess, and "rank" means disgusting or horrible.

Source: The Daily Mail "'That's phat, brotha! Innit?' Tesco issues guide to teenage slang for its older staff" (May 31, 2007)

United Kingdom: Older Workers More Responsible about their Own Training

In its annual survey of learning at work, the National Institute of Adult Continuing Education (NIACE) reports that, among other things, The older the worker, the more likely they are to feel responsible for their own training and development. According Practice Makes Perfect: A NIACE briefing on learning at work, when asked where the main responsibility for the training and development of workers lay--with the worker, their employer, or shared between, only 28% of the youngest workers, aged 17-19, felt the main responsibility lay with themselves, whilst 41% of 55 plus employees thought they bore the main responsibility.

Source: National Institute of Adult Continuing Education Press Release (May 24, 2007)

United Kingdom: Call for Retirement Reform To Allow People To Continue Working Past Retirement Age

Under the auspices of the Social Market Foundation, former Civil Service Chief Lord Andrew Turnbull has issued a report that analyses a number of false assumptions which underlie thinking about retirement in the United Kingdom and that calls for a radical overhaul of employment and leadership models that will allow people to continue working past retirement age.

The report--"The New Demographics: Reshaping the world of work and retirement"--argues that current employment models, where you retire at your most senior position and leave the organisation completely, lack flexibility and are a result of widespread ageism in the workplace. Leadership models also suffer from a similar inflexibility with companies assuming they should continue to be led by their oldest employees.

The report’s author, Lord Andrew Turnbull, said:

“We need to alter fundamentally our assumptions about work and retirement and the transition between the two. A profitable decade of mixed working and retirement ought to be the dominant model of how to make the most of our flexible years, easing ourselves into a restricted income rather than plunging into it.”

Commenting, Director of Social Market Foundation, Ann Rossiter, said:

“Lord Turnbull’s report makes an important contribution to the debate about work and our ageing society, questioning the assumptions that see the skills and knowledge of older people wasted through the continuing use of outdated models of leadership and employment patterns.”

Source: Social Market Foundation News Release (May 16, 2007)

United Kingdom: "Zenployment" Survey Shows Older Workers Searching for "Fulfillment"

According to a survey released by Norwich Union, 66% of British employees say they are "unfulfilled", "miserable" or "drifting" in their jobs, 52% claim they'd happily earn less money in a role that made them feel better about themselves, and 47% say they aim to be in a second career that offers fulfillment and the chance to make a difference ("Zenployment") by the age of 45. William Nelson, of trend analysts the Future Foundation, said: "The ethical and spiritual dimensions of work therefore are more of a priority, and people want to believe their careers contribute towards a better future - not just for themselves but for society as a whole."

The survey also found that withdrawal from work is being rejected in favor of Zenployment, with 50% saying they will not follow the traditional retirement path of their parents and 52% not aiming to put their feet up in a country cottage or villa abroad. In addition, 66% of those aged 45-54 and 72% over 55s are seeing an increasing number of their friends move into second careers.

Source: Norwich Union News Release (May 11, 2007)

United Kingdom: Minister Addresses Learning and Older Workers

In a speech to the Associate Parliamentary Skills Group, Bill Rammell--Minister of State for Higher Education and Lifelong Learning--addressed the Leitch Review of Skills and specifically the challenge to engage older workers in obtaining the skills they need to succeed, given that those 50 and older are less likely than younger people to be interested in learning and tend to have fewer formal qualifications.

Rammell said that "the government is taking the needs of this group seriously" and that "[e[mployers must draw on the full range of skills and talents of the whole of the workforce" and, in fact, "will have to attract older people in order to support their own future growth." He addressed a number of government initiatives, but he rejected any need (as expressed in the Skills Forum report) to recognise that older workers learn in a different way to everyone else, a difference that should be recognised in qualification design and teaching methods: "[A]s someone approaching the accepted lower age limit for an older worker I find the idea slightly insulting. We can’t lump all older learners together to be treated differently from everyone else."

In concluding, Rammell said that he is optimistic about promoting and communicating our policies and programmes to all adults regardless of age. "It is easy to point to lower participation rates for older workers than for younger ones. But the situation is changing. Over the last 10 years the number of learners in Further Education aged 60 and above has more than doubled--from 113,000 in 1997 to almost 270,000 today." In addition, "[a]s greater numbers of older people remain in, or return to, the workforce I expect this to increase further, not least because most training is through employers."

Source: Department for Education and Skills Speech (April 25, 2007)

Survey: Global Consumers Anxious About Retirement, Savings

Aviva, which conducts a global annual survey of consumer attitudes to savings, released findings from its latest survey showing that only 45% of its global sample are saving regularly (only 36$ in the United Kingdom), despite people in most markets agreeing that investing or saving regularly is the most practical way to live comfortably in retirement. In addition, the survey shows that:

• there are persisting high levels of anxiety over retirement, with people knowing that having enough money in retirement is important but in many countries, Eastern Europe in particular, few are taking steps to protect themselves;
• over 40% of retired people, and even more in emerging markets, wish they had done something earlier to provide for their retirement; and
• over 40% of people globally feel that financial planning for retirement is too complex.

In addition, the survey shows that in the United Kingdom, around half of those surveyed accept that they are going to have to work beyond their normal retirement date to fund their retirement.

In order to engage more consumers in financial planning for the future, Aviva has launched www.six-steps.org, a free, unbiased planning resource to help people make informed financial decisions about their retirement.

Source: Aviva PLC News Release (April 19, 2007)

European Court Upholds Collectively-Bargained Mandatory Retirement Age

Jan Mazak, an Advocate-General of the European Court of Justice, has rendered an opinion that European law allows individual countries to pass legislation permitting mandatory retirement ages. Thus, a provision in the Spain's discrimination laws that effectively allows employers to force staff to retire at 65 is compatible with European law.

The dispute was brought by Félix Palacios de la Villa against Cortefiel Servicios SA, in which Mr Palacios claims that his dismissal on the ground that he had attained the compulsory retirement age laid down in a collective agreement was unlawful. However, the Advocae-General ruled that the European principle of non-discrimination on grounds of age does not preclude a national law pursuant to which compulsory retirement clauses contained in collective agreements are lawful, where such clauses provide as sole requirements that workers must have reached normal retirement age and must have fulfilled the conditions set out in the social security legislation of the Member State concerned for entitlement to draw a retirement pension under the relevant contribution regime.

This decision particulary attracted attention in the United Kingdom.

Although [the] case concerns collective employment agreements, which are much less common in the UK than elsewhere in Europe, lawyers said that the legal opinion also applies to individual contracts and so the case is directly relevant to British workers.

James Baker, an employment lawyer at Macfarlanes, said: “This opinion will disappoint thousands of workers in the UK who are pinning their hopes on a legal challenge to the mandatory retirement age.

Source: European Court of Justice Opinion of Advocate General C-411/05 Palacios de la Villa (February 15, 2007)

Other References: The Times of London "Blow for workers as European court says mandatory retirement is lawful" (February 15, 2007)

United Kingdom: Flexibile Retirement and Pensions

Age Positive has issued a news release stating that, since the pension provision of the United Kingdom age regulations came into force on 1 December 2006, concerns have been expressed with regards to flexible retirement not being adequately covered by the regulations or accompanying guidance. In particular, points have been raised about the ability of employers and schemes to alter accrual or payment in the light of working beyond normal retirement age. According to the Department for Work and Pensions (DWP), this is a complex and developing area and it intends to examine whether it is possible to provide greater certainty where flexible retirement and pensions is concerned.

In conjunction, Age Positive has published a report--Flexible Retirement: A Snapshot of Employer Practices 2006--produced for DWP by Employers Forum on Age (EFA) and IFF Research Ltd. The findings include a practical guide (a checklist) for employers who may wish to take advantage of the rule changes in order to deliver flexible retirement options for their employees. In addition, it the report includes a small number of case studies illustrating how some large employers developed (or are in the process of developing) flexible retirement policies.

Source: Age Positive News Release (January 17, 2007)

United Kingdom: Participation in Defined Benefit Schemes Falls, Retirement Age Rises

The Office for National Statistics (ONS) has reported that membership of employer-sponsored defined benefit pension schemes fell from 39% 35% of employees between 2004 and 2005--down from 46% in 1997, when recordkeeping began. Membership of defined contribution schemes increased from 10% to 15% of the working-age population between 1997 and 2005, driven by increases in membership of group personal and stakeholder pensions.

The ONS publication Pension Trends has been updated to reflect this data. In addition, it shows that the average age at which male and female workers withdraw from the labour force is rising. In 2006, it was 64.2 years for men, the highest level since 1984, when data first became available. The average age for women was 61.8 years, the second-highest
on record.

In addition, employment rates of older men and women rose in spring 2006 to the highest levels since comparable records began in 1984. For men aged from 50 to under 65, the employment rate was 72.6% and for women aged from 50 to under 60, it was 67.9%. For men over that state pension age, the employment rate was 9.6% and for women, 11.1%.

Source: National Statistices News Release (Decenber 5, 2006)

United Kingdom: Companies Urged To Recruit Older Workers

Taleo, a provider of on demand talent management solutions, and The Age and Employment Network (TAEN) have jointly published a white paper--"Tapping into the Older Worker Talent Pool”--that highlights the opportunity for companies to address the looming skills crisis by recruiting older workers, and provides step by step advice on how companies can execute this strategy.

Despite the the demographic trends in the UK with an ageing workforce that is causing a general shortage of skills, many organisations retain significant biases and misconceptions about recruiting older workers. According to the white paper, "practical recruitment strategies that take advantage of the growing talent pool of older workers will therefore be increasingly critical in creating a competitive workforce in the UK." Specifiically, TAEN and Taleo Research recommend that employers:

• Consider where you are advertising your job opportunities
• Word your job opportunities carefully
• Capture candidate data on compliant, electronic application forms
• Drive the selection process based on skills
• Consider re-skilling or up-skilling new or existing employees

Source: Taleo Press Release (November 30, 2006)

United Kingdom: Delivering Healthier, Safer Workplaces for All Ages

Over one third (36.5%) of UK workers believe they will be unable to do their job at 60, according to the latest statistics, revealed in Hazards Magazine. The report--'Going strong'--shows that the great majority of employees have no significant health impediments to prevent them working up to 65, or beyond if they wish, yet poor health is the most common reason why people over 50 leave a job, with only half retiring early by choice. Hazards calls on employers to stop using bogus health and safety excuses to get rid of, or not employ older people, and start helping keep the ageing UK population in work and off benefits.

A special feature on older workers by editor Rory O’Neill spells out the measures necessary to deliver healthier workplaces for all, regardless of age. Among other things, the article points out that improving health and longevity mean the great majority of workers have no significant health impediments to prevent work up to the age of 65 and for many, where they wish, beyond, and that workplace health and safety considerations are not a valid reason to prevent older workers continuing in work.

Age management strategies must target “ageing” rather than just “older” workers. Planning occupational health interventions and devising job redesign or alternative work in good time, with policies looking at workers in the 45+ age group, will provide greater scope for creating suitable and healthy work transitions. Career structures should allow a shift to more suitable work, where necessary or desirable.

Among the topics explored in detail are:

• workplace health, citing findings that “older workers do not have more accidents in the workplace.”
• older women, older workers, which notes that the impact of work on the health and employability of older women workers is particularly neglected, so that strategies must be both age and gender sensitive to ensuring the “work ability” of older women workers.
• safety rep's checklist

In addition, the article provides links to sources and websites pertaining to the issues discussed.

Sources: Hazards Magazine "Not dead yet" (No. 96, October-December, 2006); Trade Union Congress Press Release (November 24, 2006)

United Kingdom: Age Legislation Not Ending Ageist Attitudes

Findings from the Recruitment Confidence Index (RCI), produced by Cranfield School of Management, suggest that organizations have a long way to go to eliminate age discrimination at work and become fully compliant with the recent UK legislation. Specifically, while 89% of organizations claim to have introduced or changed their policies and practices to comply with the legislation which came into effect on October 1, 24% do not have an age discrimination policy and only 54% provide training to managers with regard to age discrimination. Furthermore, one in seven of the responding HR managers admitted to being aware of current discriminatory policies and practices within their organization.

Commenting on the findings Dr Emma Parry, Research Fellow at Cranfield School of Management, said:

"These results give particular cause for concern as the respondents are HR managers, who should be responsible for championing the elimination of age discrimination within organisations. The results also demonstrate that the creation of policies regarding age discrimination is not enough. Training and education programmes are needed in order to address these attitudes and the discrimination that is commonly associated with them."

Source: Cranfield University School of Management Press Release (November 21, 2006)

Survey: Kelly Global Workforce Index Reports on Ageism Around the World

Kelly Services has released results of the Kelly Global Workforce Index, a survey of over 70,000 workers in 28 countries about their experiences in workforce discrimination on account of age (both young and old). For example, in Australia, the Index reports that almost half of all Australians believe they have been discriminated against in applying for a job, with older Australians now facing the greatest prejudice. Specifically, 48% of workers aged 45 or older felt they had been discriminated against on the basis of their age. In India, age also was the major source of prejudice, cited by 16% of the respondents there.

According to Kelly Services Sales & Operations Director (New Zealand), Steve Kennedy,

“Ageism has overtaken ethnicity and sexism in many areas as the greatest source of discrimination in employment. At a time when we face an ageing population and skills shortages, many organisations are putting obstacles in the way of hiring older people. This can be devastating for individuals but it is also means many organisations are shutting off an important source of talent and diversity. Organisations that don’t address these issues directly can do themselves considerable damage and can suffer costs both direct and indirect. They may suffer high staff turnover, absenteeism, poor morale, low productivity, poor reputation, and also the possibility of civil claims and penalties arising from breach of anti discrimination laws.”

The Kelly Global Workforce Survey Results are available (with free registration).

Source: News Releases Australia (October 2006); Canada;
India (October 19, 2006): New Zealand (October 17, 2006); Spain (October 24, 2006); United Kingdom (October 24, 2006)

United Kingdom: Conservative Party Leader Calls for Greater Attention to Older Workers

David Cameron, the leader of the Conservative Party, called for a profound culture change in the way the United Kingdom population thinks about the elderly, backed by a revolution in social responsibility in the way we behave towards older people. Speaking at Age Concern meeting in London, he emphasised that retirement should be seen more as a gradual process:

Retirement used to be a luxury for a lucky few - a few brief years of inactivity between work and death. But now a long life after 65 is the norm. And yet we still hold on to the idea of retirement at 65. You work at full pelt right up to the wire--then you stop altogether. It doesn't make sense anymore. We need to see retirement as a process, not an event--a slope, not a cliff - then we will realise the potential of older people. Older people need to be able to shift gradually from full-time economic activity into other things.

Source: Conservative Party "Social responsibility and our ageing population" (October 23, 2006)

Related News: Politics.co.uk "Cameron bids for grey vote" (October 23, 2006)

United Kingdom: Workers Fear that Employers Won't Hire Them at 65

Nearly a third of respondents to a survey conducted in the United Kingdom for Help the Aged believe that employers will not want to hire older workers, despite new laws designed to prevent age discrimination in the workplace coming into force on 1 October. According to the poll carried out by GfK NOP, a majority of people think ageism is widespread in British industry and 25% of people approaching retirement age thought ageism would prevent them from working beyond 65.

Kate Jopling, Senior Policy Manager at Help the Aged, says: ‘Despite the Government passing new laws to protect older workers, many people simply don’t believe that British bosses will hire them once they reach 65. Employers need to realise that just because someone has reached a certain age, it doesn’t mean they aren’t fit for work. In fact, our survey shows that 80 per cent of people consider older workers to be more loyal and dedicated than many other age groups in the workplace.

Source: Help the Aged News Release (September 22, 2006)