Getting older Australians back to work is an exciting economic opportunity

Recently the West Australian government announced a $5.5 million program encouraging employers to hire older jobseekers.

This initiative is music to my ears. By 2050, nearly one-quarter of all Australians will be aged 65 and over. In fact, the number of Australians in this age bracket is projected to overtake the number of children aged 0 to 14 by about 2025. People over 55 years of age are the largest – and fastest-growing – consumer cohort on the planet.

Too often, society has viewed older adults as an economic and social burden rather than recognising and cultivating their untapped potential. As the chief executive of the Global Centre for Modern Ageing, I collaborate with leaders across the globe to help improve the lives of older people, supporting intergenerational inclusion.

The concept of modern ageing stems from the recognition that ageing is a lifelong process, filled with opportunity. Rather than working until retirement and then becoming “old”, modern ageing sees our lives play out in phases, with each phase representing new opportunities to contribute to society in meaningful ways, from work to learning, enterprise, community contribution, leadership and more. We see longevity, when properly understood and responded to, as a positive, exciting economic and social opportunity.

Western Australia’s Job Reconnect program aims to target jobseekers aged 45 years and above who may have been historically overlooked by employers. The initiative is not only addressing skills shortages, and solving problems for older Australians today, but also solving problems for the future, too – given that a child born in Australia today has a good chance of living to 100 years or older.

While initiatives like this are exciting, and the benefits have the potential to be far-reaching, more needs to be done. Not only by governments across Australia but also by society at large because currently, the most common form of employment discrimination is related to age.

What is ageism?

According to the World Health Organisation, ageism refers to stereotypes, prejudice, and discrimination towards others or oneself based on age. Age discrimination happens when a person is treated less favourably, or not given the same opportunities as others in a similar situation, because they are considered to be too old or too young.

This phenomenon is all too common in Australian workplaces, with a recent report from the Australian HR Institute finding that 17 per cent of Australian HR professionals are “actively” excluding jobseekers over 65 years of age. What’s more, one in five Australian workers over 50 reported experiencing age discrimination in the workplace.

When it comes to hiring based on a diversity framework, research shows that we are measuring other important factors such as gender, race, and ethnicity, but when it comes to age, we are falling short. The impacts are twofold on the business side and on the individual side. Ageism is one “ism” we all share.

Finding common ground

Research tells us that workers of all ages share many of the same values.

Most people want work that is fulfilling and provides a sense of purpose. We want to use our skills and experience, have access to opportunities for training and career growth, have the option of flexible work arrangements, good relationships with our co-workers and the assurance of financial stability. There is more that unites us than divides us in an intergenerational workforce.

The benefits of addressing ageism through meaningful workforce engagement are widespread, including helping people feel financially secure and improving mental wellbeing through higher self-esteem, social connectivity, job satisfaction and career opportunities.

For organisations that are yet to harness the talents of older people, it can enable better productivity by providing greater diversity of thought and innovation. Older adults are proven to be reliable and bring perspective and resilience to everyday life. What’s more, older adults make up the largest consumer segment and are anticipated to do so for decades to come. It’s important that a workforce represents its consumers.

For organisations that are desperately short of talent, this rich, untapped source of human capital is often right in front of employers’ noses. Sure, there will be training and onboarding required, but that’s often the case with all new employees. The benefits can be worth far more than the investment required, with the payoff lasting for many years. For employers who are – or want to be – regarded as employers of choice, this is an opportunity to demonstrate inclusive, future-focused leadership.

Providing all employees, regardless of age, with opportunities to contribute and thrive, in truly inclusive environments, will support the attraction and retention of talent. By viewing this latest extension of our workforce and workplace – capability, competency, and culture – with an intergenerational, inclusive lens, we can positively reset organisational design for the future.

A workforce in flux

In recent workplace history, a person’s life would typically be split into three stages with distinct transition points. As a child and young adult, people’s time was devoted to education – including self-education. By their early 20s, and for the next forty years, they were in an earning stage. In their sixties, they retired and exited the workforce for good.

But as people live longer, life takes a more multi-stage model with career breaks, childcare, lifelong learning, travel, and retraining dotted into the tapestry of a person’s life. There is no longer a one-size-fits-all approach to working and retirement. There is mounting evidence that people are exiting the workforce, only to find that within a couple of years, they want to return. Instead of facing barriers, we should welcome these talented people with open arms. What’s more, working from home with the assistance of technology offers added flexibility. Older adults’ comfort with technology, and willingness and ability to be trained in new ways, is often vastly underrated.

In the US, reverse-mentoring programs have been introduced by 70 per cent of the Fortune 500 companies. Closer to home, companies like Bunnings offer age-inclusive workforce initiatives.

Changing the conversation

What the West Australian government is incentivising is fantastic, but to ensure initiatives are not limited to a panacea addressing short-term skills shortages, we must change the conversation when it comes to older Australians and inclusive workforces of the future.

It’s not just a matter of adding older adults to an existing workforce structure. We must restructure from the ground up, recognising that older workers have different needs and preferences. We must take a person-centred approach and include all employees.

It is possible to entice older people back to the workforce by addressing ageism in all its forms, be it the language used in job ads, arranging flexible working, avoiding assumptions about older workers’ retirement plans, and using a person-centred rather than organisation-wide approach. Management, including people and culture teams are essential. Educating our leadership inside organisations with evidence-based insights is a useful starting point.

For culture to change – language and actions need to change. Commonly used and accepted, ageist language is disrespectful and shames and limits our future selves. For example, when someone jokingly says “I’m having a senior’s moment” when experiencing a lapse of memory or concentration. If we think about that phrase, it’s really not OK.

By focusing on what unites a workforce, rather than what sets us apart, we can think differently about how people are involved in the workforce based on competencies, contributions, and values.

We have seen that addressing ageism isn’t just for the older generation. It will help younger people, too. Everyone wants to live a meaningful and fulfilling life regardless of age. They want to be seen as individuals, not pigeonholed by the number of years they have lived but measured by their aspirations, skill sets and connections. The West Australian government is setting an exciting precedent, and I will continue to work towards a future where people of all ages are treated equally in the workplace.

By Julianne Parkinson, founding CEO of the Global Centre for Modern Ageing