The Impact of Population Aging and Delayed Retirement on Workforce Productivity. As the population grows older an increasing share of the workforce will be past age 60. Older workers are considered less productive than younger ones, raising the issue of whether an aging workforce will also be a less productive one.
Population ageing has reduced growth in the labour force across advanced economies, although strong migration has lessened some of this impact in Australia. Increased female and elderly workforce participation has partially offset the downward pressure from ageing.
Beyond worker health costs and absenteeism, aging populations can aggravate talent shortages for many businesses. As workers age and move into retirement, they leave talent deficits behind. Aon’s survey found that the manufacturing industry saw both workforce shortage and an aging workforce as key risk areas.
The impact of population aging is enormous and multifaceted i.e., deteriorating fiscal balance, changes in patterns of saving and investment, shortage in labor supply, lack of adequate welfare system, particular in developing economies, a possible decline in productivity and economic growth, and ineffectiveness of
Frequently the excuse of eliminating a position or role is used to discriminate against an employee based on their age. A company will tell an older worker the job they do is no longer of need and the position is being eliminated.
Older employees provide more value for their pay. They have better communication skills, both oral and written, and therefore may be excellent as trainers, consultants, mentors and coaches. They are eager to learn and pivot their career in a new direction.
The major disadvantage of an aging workforce is obvious: Higher medical and disability costs. In fact, age is less a factor in health care costs than the presence of such risk factors as smoking, obesity, lack of exercise, and diabetes!
The two main generally accepted underlying causes of aging populations are longer life expectancy and lower fertility. Conclusion: As aging has multiple social, political, and economic effects, the development and implementation of new policies toward the elderly and aging of population are very important.
Political issues which arise in an aging society include 1) a voting majority for the interests of the elderly, 2) a voting majority of females, 3) the domination of the decision power in corporate and similar ruling bodies, and 4) unemployment or a long wait for promotion for younger people.
But it is illegal. According to the Age Discrimination in Employment Act, your employer cannot be discriminate against you or other employees based on your ages. This protects those 40 years of age and older. You cannot be looked over for promotions, training, job assignments, pay, layoffs or fringe benefits.
If your retirement plan is a 401(k), then you get to keep everything in the account, even if you quit or are fired. However, if you have a traditional pension plan that your employer is contributing money toward, your employer can take back that money in the event that you are fired.
It’s theoretically better for your reputation if you resign because it makes it look like the decision was yours and not your company’s. However, if you leave voluntarily, you may not be entitled to the type of unemployment compensation you might be able to receive if you were fired.