In 1997, only 14% of the labour force was over age 60. This number had nearly doubled by 2017, when the same cohort had risen to 26%.[1]
Yet as more and more Canadians live longer, healthier lives, it will be more and more common to see older workers remaining in the workforce, whether out of necessity or by choice.
The good news is that any older worker who remains employed stands to benefit – and not just financially. Studies have shown that those who continue to work after age 65 are three times more likely to report they are in good health. They are also half as likely to have cancer, heart disease or another serious illness.[2] Working can contribute to better mental health as well.
Yet many older workers – especially those who don’t run their own businesses – find it challenging to remain in the workforce. Many employers create a strong push for older workers to retire, and society in general is prejudiced against older people, seeing them as slower or less able.
Those employers looking to keep older workers in the workplace can take steps to retain them. Consider these 5 tips for retaining older workers:
- Be flexible. Just as organizations make policies that accommodate working parents or Millennial workers, it’s a good idea to take the needs of older workers into account as well. A tapered retirement plan is a good option for many older workers who want to remain in the workplace but don’t want a full-time position. This also includes physical accommodations, such as larger fonts or accessible workstations with more light.
- Share the spotlight. Give older workers an opportunity to share their experience and knowledge with younger workers who need direction or guidance. Even without offering a raise, older workers who are managers, supervisors or mentors feel needed when they have a chance to coach junior employees who are just starting out. At the same time, younger workers can mentor older workers in technology or other areas where they may need support.
- Reduce ageism. Consider a generational aspect of your diversity, equity and inclusion (DEI) program. Introduce age-targeted recruitment policies, including training to raise awareness about ageism among all workers (but especially hiring managers). Direct any recruiters you work with not to discriminate by age. Invite retired former employees to return to the workplace for a specific purpose, and share success stories of older people succeeding in your company.
- Focus on customers. It’s worthwhile to understand the Boomers, since they still make up roughly one quarter of Canada’s population.[3] Keeping older employees on your team can help you provide the right kind of customer service and products for that cohort. Similarly, age-diverse teams have been shown to be more productive and more innovative – and therefore, better able to come up with creative solutions to customer problems.
- Entice them to stay. Younger workers may have fresh perspectives, but the brain drain that comes from retiring Boomers is real. Tailor support for older workers to remain in the workplace by offering unique benefits packages that entice them to stay. Create training opportunities and workshops for others in the organization to promote learning about different management styles. And foster contact and growth between age groups across the organization.
There isn’t a single, perfect time to retire. Many older workers are happy to remain in the workplace as long as they have productive work to do where they can make a difference. Rather than sending your employees to retirement pasture the day they turn 65, consider the ways they can help you, your other workers and your entire organization by sticking around a little longer.
[1] Statistics Canada, “Reasons for working at 60 and beyond,” December 14, 2018.
[2] Harvard Health Publishing, “Working later in life can pay off in more than just income,” June 1, 2018.
[3] Statistics Canada, “A generational portrait of Canada’s aging population from the 2021 Census,” April 27, 2022.