With fewer young people entering the labor market In part due to lower fertility rates and more extensive education, the workforce of the world has an aging trend, but that context can be a competitive advantage for companies willing to take advantage of this accumulated experience.
In an article published by World Economic Forum, Andres Schwedelpartner of Bain & Companya management consulting firm, notes that with retirement ages lengthening in many countries and the willingness of older workers to stay longer in the labor market, it is estimated that by the end of this decade approximately 150 million jobs will be filled by workers aged 55 and older.
However, the consultant says that, despite this trend, it is rare to see organizations implement programs to integrate older workers into their talent system.
To confirm, in a 2020 global survey of employers, AARP found that fewer than 4% of companies were already engaged in such programs, and only an additional 27% said they were "very likely" to explore this path in the future.
Scwedel outlines three steps companies can take to empower older workers and turn the skills and experience of this sector of the population into a competitive advantage.
Retain and recruit
Bain research details that before the age of 60, the average worker in developed markets is motivated primarily by good pay, the article states.
"Averages are often misleading, but not in this case. In almost all developed markets, good compensation is the top priority across all archetypes," says Schwedel.
Around the age of 60, there is a turning point. Interesting work becomes the number one job attribute, and both autonomy and flexibility increase significantly in importance.
The growing desire for autonomy and flexibility at work is often expressed in efforts to control schedules. Many more older workers now say they plan to reduce their work hours in preparation for retirement than they did a generation ago.
Managing the transition to fewer hours could be achieved through part-time work, self-employment or freelance work. Our research shows a significant increase in these forms of employment among the 55-and-older age group compared to those in mid-career, the consultant notes.
Retraining
Older workers place little importance on learning and growth. Only 3% of those 55 and older rate learning as their primary motivation, compared with 8% of 18- to 24-year-olds. Some believe they are already skilled for the job, with 29% of the 55-64 age group saying they do not need new skills. However, 22% of people in this age group say they need more technology skills.
It is true that older workers are not invited to training programs as much as younger colleagues, but in the United States, at least, more than half are offered training each year.
Both workers and employers need to change their thinking around retraining. The absence of a growth mindset on the part of an older worker could make him or her a weak candidate for job extension. But companies need to design programs that are attractive.
Older workers are motivated to participate when training helps accelerate their search for interesting work. Encouraging supervisors can also be an important motivator for older workers (and workers of all ages) to participate.
Respects their strengths
Older workers tend to be more loyal to their employers and more satisfied at work and with life in general.
Givers like to mentor. Artisans set high standards of mastery for those around them. Giving space for older workers to bring their unique benefits to the workplace can strengthen your culture for everyone.
Schwedel points out that companies that invest in recruiting, retraining and respecting the strengths of older workers will not only solve part of their talent gap problem, but will create a more productive, more balanced, more diverse and more loyal workforce than the one they have today.
Source: World Economic Forum
