Population aging in a globalizing labour market: implications for older workers

Against a background of population aging, and with it, warnings about the sustainability of social welfare systems and problems associated with declining labour supply, there is an increasing policy emphasis on extending working lives of older workers among the industrialised nations (Hirsch, 2003; Keese, 2005; Taylor, 2006). However, recent commentaries have tended to focus on the relationship between population aging and the labour market, largely ignoring other critical factors that are affecting older workers’ relationship with the labour market. This contrasts with extensive research undertaken in the 1980s and 1990s when the forces acting upon older workers at that time were thoroughly elucidated (e.g. Kohli et al., 1991). The focus of this paper is on the labour supply challenges for employers and nations arising from demographic trends, in combination with social and technological changes and the wider forces of globalisation, how each is responding, and how these trends are affecting older workers’ trying to secure or maintain footholds in a labour market but facing, as Richard Sennett (2006) puts it, the ‘spectre of uselessness’ as jobs they could do have either migrated to other parts of the world or have been destroyed in the wake of industry failure.

Population ageing in a globalizing labour market : implications for older workers

This article concerns the changing nature of the relationship between age and the labour market. Global demographic, economic and technological changes potentially pose major challenges for older workers trying to maintain a secure attachment to the labour market. Recent public policy has responded by defining concepts such as 'active ageing' which encourage older workers to participate fully within society, including maintaining workforce participation. Older workers' ability to secure quality work within a volatile labour market is considered. While activation approaches are currently popular among policymakers, the notion that older workers will easily avoid a diminution of their employment prospects is challenged.

Attitudes of employees and employers towards older workers in a climate of anti-discrimination

Attitudes and practices towards older workers were surveyed in Brisbane with 525 employees randomly sampled from the electoral roll and executives of 104 companies obtained by stratified random sampling from the Register of Workplaces (response rates, 60% and 80% respectively). The results indicated that “older workers” are young in terms of contemporary life expectancy, and younger for employers than employees; they have some desirable personal qualities (eg. loyalty), but are not perceived as adaptable; workers aged 25–39 were preferred on qualities held to be important in the workplace and there was minimal interest in recruiting anyone over 45 years.

Managing older workers during a period of tight labour supply

This article reports on a recent survey of employer attitudes and policies towards older workers in Australia at a time of sustained economic growth and ongoing concerns about labour shortages. Findings from a survey of 590 employers with more than 50 employees in the State of Queensland point to an unusually strong orientation towards the recruitment of older workers among respondents, although the retraining of older workers is not prioritised by the majority. The issue of workforce ageing is viewed as being of medium-term importance by the majority of respondents, although for a substantial number the issue is of immediate concern. Both sector and organisation size are predictive of the application of a broad range of policies targeting older workers, with public-sector and larger organisations more likely to be active. Concerns about workforce ageing and labour supply are predictive of employer behaviours regarding older workers, suggesting that sustained policy making may be emerging in response to population ageing over and above more immediate concerns about labour shortages and that this broad thrust of organisational policy making may be immune to the point in the economic cycle. This study found no evidence that the flexible firm will not countenance an ageing workforce.

The determinants of hiring older workers in Britain revisited: an analysis using WERS 2004

This article reexamines the role of specific human capital and back loading of compensation as deterrents to hiring older workers. We utilize the framework initially suggested by Hutchens (1986) and more recently implemented by Daniel and Heywood (2007). This approach identifies the extent to which firms hire older workers at a rate less than full replacement would imply. Using the 2004 British Workplace Employment Relations Survey, we examine whether a more favourable climate including a much tighter UK labour market combined with the abandonment of defined benefit pension schemes has increased the tendency to hire older workers. We also examine the impact of private health insurance.

Perceptions and expectations for learning and development for older workers within Queensland local government councils : a case study

Current literature warns organisations about a global ageing phenomenon. Workplace ageing is causing a diminishing work pool which has consequences for a sustainable workforce in the future. This phenomenon continues to impact on local government councils in Australia. Australia has one of the world’s most rapidly ageing populations, and there is evidence that Australian local government councils are already resulting in an unsustainable workforce. Consequently, this research program investigated the role of older workers in the Queensland local government workplace in enabling them to extend their working lives towards transitional employment and a sustainable workforce in the future. Transitional Employment is intended as a strategy for enabling individuals to have greater control over their employment options and their employability during the period leading to their final exit from the workforce. There was no evidence of corporate support for older workers in Queensland local government councils other than tokenistic government campaigns encouraging organisations to "better value their older workers". (Queensland Government, 2007d, p.6). TE is investigated as a possible intervention for older workers in the future. The international and national literature review reflected a range of matters impacting on current older workers in the workforce and barriers preventing them from accessing services towards extending their employment beyond the traditional retirement age (60 years) as defined by the Australian Government; an age when individuals can access their superannuation. Learning and development services were identified as one of those barriers. There was little evidence of investment in or consistent approaches to supporting older workers by organisations. Learning and development services appeared at best to be ad hoc, reactive to corporate productivity and outputs with little recognition of the ageing phenomenon (OECD, 2006, p.23) and looming skills and labour shortages (ALGA, 2006, p. 19). Themes from the literature review led to the establishment of three key research questions: 1. What are the current local government workforce issues impacting on skills and labour retention? 2. What are perceptions about the current workplace environment? And, 3. What are the expectations about learning and development towards extending employability of older workers within the local government sector? The research questions were explored by utilising three qualitative empirical studies, using some numerical data for reporting and comparative analysis. Empirical Study One investigated common themes for accessing transitional employment and comprised two phases. A literature review and Study One data analysis enabled the construction of an initial Transitional Employment Model which includes most frequent themes. Empirical Study Two comprised focus groups to further consider those themes. This led to identification of issues impacting the most on access to learning and development by older workers and towards a revised TEM. Findings presented majority support for transitional employment as a strategy for supporting older workers to work beyond their traditional retirement age. Those findings are presented as significant issues impacting on access to transitional employment within the final 3-dimensionsal TEM. The model is intended as a guide for responding to an ageing workforce by local government councils in the future. This study argued for increased and improved corporate support, particularly for learning and development services for older workers. Such support will enable older workers to maintain their employability and extend their working lives; a sustainable workforce in the future.

Recruiting/hiring of older workers

This chapter reviews five key components of the recruitment process with regard to an aging workforce. First, targeted recruitment entails that organizations understand the needs, preferences, and strengths of older workers. Second, the recruitment message should communicate job and organizational characteristics that are attractive to older jobseekers. Third, the recruitment source should be consistent with the mediayse and job-search behaviors of older jobseekers. Fourth, the characteristics and behaviors of recruiters play an essential role in the recruitment of older applicants. Finally, organizations need to convey an attractive image of themselves as employers for older workers. Throughout the chapter, best practices are contrasted with available research evidence, and directions for future research are outlined.

Was wollen jüngere und ältere Erwerbstätige erreichen? Altersbezogene Unterschiede in den Inhalten und Merkmalen beruflicher Ziele [What do younger and older workers want to accomplish? Age-related differences in content and characteristics of occupational goals ]

Demographic changes necessitate that companies commit younger workers and motivate older workers through work design. Age-related differences in occupational goals should be taken into account when accomplishing these challenges. In this study, we investigated goal contents and goal characteristics of employees from different age groups. We surveyed 150 employees working in the service sector (average age = 44 years, age range 19 to 60 years) on their most important occupational goals. Employees who stated goals from the area of organizational citizenship were significantly older than employees with other goals. Employees who stated goals from the areas of training and pay/career were significantly younger than employees with other goals. After controlling for gender, education, and work characteristics, no age-related differences were found in the goal areas teamwork, job security, working time, well-being, and new challenges. In addition, no relationships were found between age and the goal characteristics specificity, planning intensity, as well as positive and negative goal emotions. We recommend that companies provide older workers with more opportunities for organizational citizenship and commit younger workers by providing development opportunities and adequate pay

Older workers' age as a moderator of the relationship between career adaptability and job satisfaction

Research on career adaptability and its relationships with work outcomes has so far primarily focused on the cohort of younger workers and largely neglected older workers. We investigated the relationship between career adaptability and job satisfaction in a sample of 577 older workers from Australia (M age = 59.6 years, SD = 2.4, range 54–66 years), who participated in a 4-wave substudy of the 45 and Up Study. Based on socioemotional selectivity theory, we examined older workers’ chronological age (as a proxy for retirement proximity) and motivation to continue working after traditional retirement age as moderators of the relationship between career adaptability and job satisfaction. We hypothesized that the positive relationship between career adaptability and job satisfaction is stronger among relatively younger workers and workers with a high motivation to continue working compared to relatively older workers and workers with a low motivation to continue working. Results showed that older workers’ age, but not their motivation to continue working, moderated the relationship between career adaptability and job satisfaction consistent with the expected pattern. Implications for future research on age and career adaptability as well as ideas on how to maintain and improve older workers’ career adaptability and job satisfaction are discussed.

HRM and the employment of older workers: Germany and Britain compared

This study examines Human Resource Management (HRM) policies and practices towards older workers in Britain and Germany. While it is widely suggested that older workers have to be better integrated into the labour market, youth-centric HRM is still prevalent. However, HRM is shaped by multiple and contradictory pressures from the international and national institutional environments. We test this dynamic by analysing two national surveys, the German firm panel (IAB)1 and the British Workplace and Employment Relations Survey (WERS).2 Our findings suggest that the institutional environment shapes HR policies and practices distinctively in both countries. We find that age discrimination at the workplace is more prevalent in Germany than in Britain, which can be explained by divergent institutional patterns. As a result, we argue that although both countries will have to continue fostering an age-neutral HR approach, this has to take country-specific institutional peculiarities into account.

Extending double standards and stereotyping approaches to hiring older workers

This thesis examined factors underlying discrimination against older job applicants. Drawing upon stereotyping and double standards-based approaches to discrimination the thesis found that positive and negative aspects of the older worker stereotype can have cumulative effects on hiring decisions and may interact with job requirements to affect discrimination.