There are pros and cons for both the employee and employer in this situation. Many people do not prepare for retirement psychologically and socially. I know of several people who having retired find themselves back in the saddle a few months later. Others delay their retirement for as long as possible. Although the nature of the world’s workforce is predicted to drastically change in the future due to robotics, this will not happen anytime soon. While we still have real people going into a specific place of work, employers might consider keeping workers for longer than the retirement age for several reasons.
Pensions
It could reduce the burden on pension funds by reducing the number of people dependent on those pensions for a while longer. Since younger employees move frequently, keeping older staff for longer should not disadvantage them.
Passing knowledge on
Skills retained by this practice will benefit the company as well as entry-level workers who can be mentored by the experienced, older staff avoiding the expense of further training for a company’s specific needs.
Job loyalty
Over-sixty workers are more inclined to remain in their positions for longer, creating more stability and resulting in a lower staff turnover for the long term.
Maturity
The more mature someone is, the more they may appreciate the benefit of useful occupation more and more. Therefore they may develop a different work ethos. This plays a big role in being reliable – getting the job done becomes more important than a missed lunch break.
Life demands
Maturity also brings dependability. There are fewer family demands for an older worker whose family has already grown and moved on.
The disadvantages are minimal. I can think of only two:
Company image
If the product that the company promotes requires younger staff then keeping retirees on will not work unless the older worker is strictly a back-room staff member.
Work demands
When the actual work is labour intensive and too strenuous for an older person then it may be better to retire.
Allowing older workers to use their strengths
Another way to keep staff for longer is to offer older workers positions that are strictly for the training of new and existing staff who may want specific training. This could also cut costs of employing outside trainers for some courses. The positions could be on a part-time basis or as needed by the company. This would work well for staff who prefer more freedom.
What could the future hold?
As robotics gradually take over the workforce as is envisaged by many, young people could, as some already do, work from wherever it suits them to do so, thanks to smartphones and other modern technology. This would hopefully lead to more quality time with family, while the older staff still going into work could manage the robots at the office or the factory.
Want more?
We hope that you have taken something from this blog. In case you missed our previous post earlier this month, we discussed ten ways to improve your confidence at work. Keep an eye on our blog page as we add several new posts each month.
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