International Comparisons
EFA Summary: The Nature of Work in the 21st Century: Employment in Later Life - Policies and Practices
Speech
March 2004
Samantha Mercer
Director
Employers Forum on Age, UK
A
Balancing Act: Achieving Adequacy and Sustainability in
Retirement Income Reform
Brussels, Belgium
Work of EFA and UK Employers:
The EFA is run by UK employers who determine our activities. EFA membership is growing (160+members) and we anticipate significant growth this year as UK employers start to prepare for age laws.
The EFA has built up a considerable body of knowledge over the last 7 years and is now able to set the agenda on age/employment in the UK.
Some of the reasons UK employers work with the EFA include current skills shortages and low unemployment rates in the UK which have encouraged employers to look at targeting non traditional groups for employment - particularly the over 50’s.
Employers get help, support and guidance on good practice from working together and are able to provide business to business communication on this issue. Government is perceived as having an agenda - mainly about forcing people to work longer to stave off a pension crisis. The benefit of one business telling another that age discrimination is ‘bad’ for business must not be underestimated.
Age diversity means employing all ages - it is not about just employing people over 50. Employers do not want to become associated only with older worker issues - this not only runs counter to the forthcoming legislation but also brings up a key point. This is not about one age group competing against another.
UK Age Legislation:
In the UK we have had an extended consultation and debate over age laws, which has enabled us to raise awareness and challenge employment practice very effectively.
Age discrimination law is about far more than removing date of birth from an application form. Future laws affect all ages - unlike the US - and therefore nearly all employment policies. Our clear message to the UK Government over the last three years has been employers need clear and workable laws, comprehensive guidance and time to prepare.
Pursuing a non-discriminatory age policy should never be perceived as a disadvantage. Good ‘age’ practice often enables employers to review and amend outdated employment practice that fails to deliver to the business.
Good Employer Practice:
- Safeway’s have incorporated age into EO policies, reviewed recruitment literature and advertising material, re-trained staff in selection.
- M&S have redesigned their recruitment process to remove bias. Focused much more on telephone recruitment & have as a result not only cut costs significantly - but also improved the age range of staff employed.
- British Telecom has introduced innovative retirement policies. By introducing more flexible policies, BT has increased the numbers of 50+ employees staying on in the business by 13% in just 2 years.
- Nationwide reviewed and raised their normal retirement age to 70. This has been such a positive experience for the company - they are now allowing individuals to stay on after 70.
An overview on trends and patterns:
To effectively tackle age discrimination in employment:
- We have to rethink how we work. We need to accept we will all have to work for longer - but in a different way. This may mean people have more than one career; and more career breaks in their 30’s and 40’s - so employees are willing to work for longer.
- We need to re-assess how we treat workers of all ages. Discriminatory behaviours are the consequence of many years of ageist attitudes and practices which have affected all age groups. If we discriminate against young people, we establish a cycle of discrimination and will never effectively tackle discrimination against older people.
- We must ensure we give choice to everyone. It is essential we recognise ‘portfolio’ careers may be difficult to deliver in practice. We must ensure we create more choices for everyone rather than the white, middle classes with portfolio careers.
- We have to recognise that age discrimination laws will not be enough to challenge ageism. We have to recognise that as a society we have a responsibility for ageist stereotypes. Employers alone cannot possibly bring about the changes we desire.