Archive for category Research
What would influence your decision to work longer?
Ageing workforce specialists SageCo recently asked more than 300 mature employees, “What would influence your decision to work longer?” More than 60 percent said that the opportunity to work the same role but on a more flexible basis would be a reason to stay. In the same vein, over half said that working in a similar role but with reduced hours and less responsibility would see them working beyond the traditional retirement date.
“The trick to the age management puzzle is slowing the rate of retirement” says SageCo MD, Alison Monroe. “Use your workforce planning data to determine the risk of not only how many you are losing, but also who you are losing.”
Extending the working life of our baby boomer generation is a key strategy for ensuring a future workforce. By 2016 we have more people leaving the workforce than entering it; something has to shift. But how?
The results of this survey suggest that managers and HR professionals need to build a high level of competency in redesigning roles, applying flexible work arrangements and dealing with the more granular tasks of remuneration and superannuation.
While flexible work opportunities were the clear winner here, respondents showed strong support for an organisation’s alumni program to provide contracting opportunities and the means to contribute knowledge to special projects.
“SageCo sees a strong argument for the reinvention of the alumni model.” says Catriona Byrne, SageCo Director and Product Development Lead. “Up till now, most alumni programs simply provide a means for past employees to keep in touch annually.
We are having early discussions with a few progressive organisations who have tapped into the opportunity of using their alumni program as a way to resource the future. The new alumni model is a living, breathing knowledge database and a talent pool of experienced, contingent employees who can hit the ground running.”
None of these interventions will make a difference unless organisations have a baseline of good people management. However, it is clear that new practices must be put in place to influence retiring employees.
“The results also indicate that organisations need to actively support late career employees in their decisions about work and retirement.” suggests Alison Monroe “The mindset shift required by employees and employers alike won’t happen left to chance.”
New age, different stage
Welcome to 2010! As we round the corner on a brand new year, social commentator and futurist Mark McCrindle has released what he sees as the Top Ten Trends that will define this decade. Many of these have a significant impact on Australia’s demographics and our favourite topic – mature age workers.
By 2020 our population will hit 27M with 1 in 5 aged 60+. An acceleration in baby boomer exits from the workforce will see the beginning of the ‘age wave hitting Australia’ says McCrindle.
The stage on which organisations perform is changing radically. When the closing curtain comes down on this decade, how many will have thrived rather than simply survived? According to McCrindle, this will require a return to skill development, training, longer job training and stability.
The Generation Myth
Some interesting research from AIM SA regarding the Generation Gap Myth. I’ve never felt comfortable with ‘generation gap’ as a reason for team or workplace dysfunction; it’s more a conversation gap than a generation gap. The finding that ‘similar work ethics are at the core of a strong workplace’ particuarly resonates with me.
What are the key messages for employers?
1. Not all employees are the same, yet it’s not about age
The generation gap does not exist in the workplace as far as this research is concerned. Many respondents were even angry at an insinuation of an age difference. There are four unique segments of employees, yet age and other demographics are of little, if any, relevance. While the four segments revealed are very interesting in terms of unique psychographics and attitudes, they are compiled of people with diverse demographics. Similar work ethics are at the core of a strong workplace.
2. Management should stop shifting the blame
The 2007 research (of Gen X / GenY) concluded that “management needs to take a long hard look at themselves” and that “attempting to shift the blame is viewed as unacceptable”. A consistent response emerged in 2009. While other factors may come in to play, the single biggest reason for staff departures from an employer was poor management. Universally across all segments, a respectful and trustworthy management were demanded in addition to a reasonable standard of output and workload.
3. Communication with staff is a weakness
Only second to strong management was the need for good staff communication. This was viewed as essential across all employees, yet typically a weakness across the research. Even the happy and loyal staff often viewed communication with staff as a weakness. At times they were not kept informed of what was occurring and other times considered the lack of
communication linked to disrespect.
4. Job satisfaction does not equal loyalty
Even the happiest staff are not necessarily loyal. There is little difference between age groups and segments of employees with regard to loyalty. While 87% of employees are happy, 64% are likely to be with the same employer in three years. Consistent with the 2007 research amongst Gen X and Y staff, the 2009 research of all employees revealed only around 5-10% of employees as extremely happy and extremely likely to be with the same employer in three years. In saying this, it does appear that staff aged 40-59 are slightly more loyal. Staff aged 60+ appear to be the least loyal, although this could at least partly be attributed to a lower level of perceived job security and retirement plans.
5. Older staff are not that different
Staff aged 60+ appear to be the least loyal, although this could at least partly be attributed to a lower level of perceived job security. Most have an enthusiastic attitude to work and are
not dissimilar to younger employees. They are often seeking professional development and challenges as are other employees. For many, they now have an invigorated relationship to work and may be seeking a second, third or subsequent career change. There is generally an eagerness to work within a team of differing ages. They prefer managers aged 38-60.
Get Email Updates of SageCo Talk / Entries (RSS) and Comments (RSS)

prepared for what?
Posted by Catriona in Commentary, Musings, Research on March 29th, 2010
The recent Mercer Superannuation Sentiment Index indicates a dip in retirement confidence given the impact of the GFC on funds. But it is this statement that really interests me:
This figure correlates with the research that SageCo has conducted over the last five years. Over 5000 employees have been through organisationally sponsored ‘retirement preparedness’ programs with us. While financial reasons weigh heavy on decisions about retirement, we think there are fundamental questions which need examining before you can adequately address the financial concerns.
These are tough enough questions at any age. Even when ‘retirement’ may seem a long way off, having a plan in mind while you have earning capacity is so important. Not having a plan weighs heavily on mature employees.
Organisations who support their ‘late-career’ employees in retirement preparedness will reduce the risk of retirement loss and increase productivity.
ageing workforce, reinvention, retirement, staff retention
No Comments