Is this the age of 'unretirement'?
Gone are the days when people automatically retired at the end of 30- or 40-years’ service, with the fabled gold watch and a gold-plated pension.
Perhaps those days did exist once for a fortunate few, but the working landscape, the economy, the cost-of-living crisis, and the extension of the state pension age means it is something rarely even aspired to nowadays. According to Age UK research we are heading into the age of ‘unretirement’.
Does anyone still work for the same organisation their entire career?
The non-linear nature of our working lives in the twenty first century means that people don’t necessarily want to retire in the traditional sense. In November 2023 nearly one third of the UK workforce were already over 50 (ONS data). Workers can be on their second or third career: They retrain, take a job with less responsibility, or reduce their hours to ‘phase-in’ retirement.
How many people really want to - or will have the choice to - completely retire?
Findings from The Great British Retirement Survey 2023, reveal that 1 in 5 people under age 40 expect their state pension age to be 75 or over and a staggering 67% of women currently aged 41-55 believe they will never retire at all.
The survey finds that there is a ‘pensions gap’ that affects women (and disabled people), significantly affecting their likelihood to have a pension pot, never mind one that will fund a comfortable retirement. That’s partly because they are more likely to work part-time work or have career gaps. This naturally affects pension income expectations.
Whether or not people want to retire, or can afford to, older workers are a valuable asset to employers. They bring a wealth of experience and long-honed skills to many occupations. They can actively help fix the skills gaps seen in many sectors, either by retraining or passing on existing skills to the next generation.
Recognising the value of age diversity
From an organisational perspective, embracing age diversity can tap into a wider range of experience, perspectives, and skills, fostering innovation and promoting a balanced and inclusive work environment.
In their 2022 study The Unretirement Uprising 55/Redefined found that two thirds of over-50s predict age will work against them in recruitment process.
One key aspect of age-inclusive practices is the use of non-discriminatory recruitment and selection processes. Age-neutral language should be used in all communication, promoting the idea that all individuals, regardless of their age, have an equal chance of being considered for a position.
Encouraging intergenerational collaboration
Equal opportunities for all employees requires a supportive and inclusive work environment.Organisations should consider how much colleagues and managers know about age diversity and ageism awareness to educate them about the impact of age bias and stereotypes.
It is important to emphasise the benefits of intergenerational collaboration, highlighting how diverse age groups contribute to the overall success of a team or organisation.
Serco’s mentorship programme matches mentors and mentees from different areas of the business and across different age groups, giving colleagues the opportunity to connect and learn from each other. This facilitates knowledge sharing, skills development, and encourages mutual respect and understanding and can lead to career progression.
Creating flexible age-inclusive workplaces
Flexible work arrangements are another crucial aspect of age-inclusive workplaces. By catering to the needs of employees across various life stages, including those nearing retirement or managing caregiving responsibilities, organisations can help to retain valuable talent.
Flexible working can support the retention of experienced individuals – especially women – as well as creating an environment where employees feel valued.
At Serco, there is a parents and carers network, which encompasses caregiving at all life stages and extends a hand of friendship and support to colleagues who have caring responsibilities that must be balanced with work.
Implementing age-inclusive practices recognises and harnesses the value of diverse experiences, fostering a work environment that benefits from intergenerational collaboration, enhanced innovation, and a culture of inclusion and respect.
