A recent report has revealed that when people over the age of 50 stay in employment they generate more jobs for younger people. The report was conducted by Ros Altmann, who was appointed by the government to investigate the impact of older people in the workforce.
This revelation is in marked contrast to an intuitive belief by some that it would mean less jobs for younger employees. Dr Altmann also stated that if every person worked for just twelve months longer it would mean 1% accumulating on the annual GDP.
Dr Altmann, who used to be a consultant to the prime ministerís office, commented on the report: ìAcademic and historical evidence shows that, far from damaging job prospects, keeping more older people in work is associated with rising employment and wages for younger people.î
The explanation behind this report is that the longer the elderly continue to participate in the workforce, the more money they have to spend which in turn creates more jobs. This benefits all demographics, including young people. The inversion of this phenomenon is that with less elderly earners there is less money in the economy and subsequently fewer positions available.
Ros Altmann went on to warn the government and the public that if the current trend is maintained, and people over 50 continue to leave the workforce at this alarming rate, Britain will undergo huge problems because of the consequential deficit in labour and skilled workers.
The report from Dr Altmann is titled ìA New Vision for Older Workers: Retain, Retrain, Recruitî and highlights a number of problems pertaining to ageism in the workforce. This includes negative and unhelpful views of elderly people as incompetent and inefficient, whilst it also emphasises the obstacles they face in terms of retraining and rising up the corporate ladder. It also stipulates that elderly women face the hardest challenge in many ways.
Dr Altmann implored the government to display and use innovative images in public representing elderly people in order to alter these negative stereotypes. In a related suggestion, she argued for more people of age to be hired for public roles such as presenting in television.
Furthermore, the government should employ a spokesperson to be a campaigner and champion for older people on a national basis and initiate a scheme to enhance the skills of adults and elderly people. Moreover, there was a call for legislation and penalties to target age-discrimination and also for schemes at the job centre which specifically help people over the age of 50.
Another suggestion was that the government get rid of signs and images that have elderly people bent over when crossing the road as it serves to perpetuate negative stereotypes.
The problem needs to be dealt with sooner rather than later because according to the data, by 2022 the number of people in the demographic 16-49 years old in Britain will drop by 700,000 and even the influx of migrants will be not be able to counteract that total loss of workers.