For the first time in history, we have four generations working together. How we deal with the challenges and opportunities this brings will determine the future of work, as well as individual and national economic stability.

The United Nations estimates that by 2050, one in three people living in the developed world will be over 60. In Australia, one in four people are older than 55 and over the next decade this will increase to about one in three.

As our demography continues to shift, it is imperative to prolong paid workforce participation and reduce the dependence of the non-working population on the working population.

Ageing workforce rhetoric has widely discussed policy implications – the cost of healthcare, the social welfare system, retirement savings and the broader economy – but important aspects of the ageing workforce have been largely omitted.

As our working population gets older, government, industry, families and individuals will feel the pressure but if we can deal with the issue constructively the pay-offs will be big, including reduced social welfare obligation, higher organisational productivity through the retention of skilled workers and greater personal fulfilment for older workers.

The onus is on organisations, business leaders and older individuals facing a longer stint in the labour market.

Human roles and functions are changing with new technology, so employees of any age will be required to reskill or upskill. Older employees face the added challenge of social bias and stereotyping, as well as potentially deteriorating health and family expectations.

Contending with bias

As part of the University of Melbourne’s Hallmark Ageing Research Initiative, the Centre for Workplace Leadership is in the early stages of investigating the perceptions of older people in society and in the workplace.

The investigation involves people from the age of 18 to 70 providing a unique insight into not only how younger people feel about the older generation, but also how older people feel about their place in society.

Different experiences and outlooks can give rise to increased interpersonal conflicts at work, and the research will look at how this can be managed.

The first step is understanding attitudes towards older workers and the second is investigating how these attitudes are shaped.

International research shows that attitudes are based on stereotypes, such as older workers are less motivated, harder to train, more resistant and less adaptable to change.

These, like many stereotypes, are inaccurate. In fact, even the definition of what constitutes an older worker is unclear; definitions range from over the age of 40 to over 60. Older workers often also hold these stereotypes themselves, and this can negatively impact workplace participation.

This bias also exists in the selection and recruitment process, resulting in barriers to entry. According to the Australian Human Rights Commission, more than a quarter of Australians over the age of 50 experienced some form of age discrimination in the previous two years and four in 10 organisations admitted they wouldn’t employ someone over the age of 65. People who think they are old are more likely to leave the workforce.

Age is more complicated than chronological years. Organisations need to be transparent and ensure their recruitment and performance systems are fair and bias-free.

Quality contact between generations has been shown to reduce negative perceptions and reduce intent to quit among older workers, so providing opportunities for generations to work together will also be vital.

Redefining career and life goals

The dream of retiring and living out their days by the beach will become just that for many. Most people won’t be able to afford to retire until they are eligible for the age pension, which will likely continue to be delayed.

As automation and new technology change the way we work and even the places in which we work, we need to reframe how we think about our careers and our role within a company. We may need to combine study and work, or move sideways in our careers.

This brings with it the potential for a more varied career but requires adapting to a new vision of success. With more disruptive change imminent, more flexible work practices, such as full-time and part-time options, and flexible hours and operating conditions, are required.

Another consideration is early retirement may not be a dream scenario for everyone. There are significant health and wellbeing benefits to staying in the workforce. We need to enable those want to continue to do so.

Adaptation and productivity

According to the Intergenerational Report, Australians are healthier for longer and living longer lives. However, the majority of Australians have a less than 50 per cent chance of still working between the ages of 60 and 74.

A homogenous approach to health and wellbeing practices just doesn’t cut it. The effects of ageing differ greatly from person to person; we can’t make assumptions about physical capability based on age.

If a worker can no longer fulfil the requirements of their job, the role should be tailored to ensure the knowledge and expertise of the older worker is retained. On the other hand, poor health may mean retirement is the only option for some.

We need to be financially prepared for this by managing our super and other savings from a younger age.

There are significant policy considerations, but organisations and employees need to take responsibility and play their role in the transition to an intergenerational workforce.

Peter Gahan is director of the Centre for Workplace Leadership at the University of Melbourne. Joshua Healy is senior research fellow at the Centre for Workplace Leadership. This article was first published on Pursuit, the University of Melbourne’s news site.

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