- Employers could offer support through a midlife MOT, which provides a health and financial career check to help employees plan for retirement.
- Pre-retirement coaching can help to educate older employees on how to prepare for life away from work.
- Organisations can improve the recruitment, retention and development of older workers by signing up to the age-friendly employer pledge.
Job and community site Workingwise.co.uk found in its November 2023 research that work-life balance is important to 36% of older workers, while 55% said it has become more so as they aged. But what benefits can employers offer to support the ageing workforce?
Attracting older employees
Today’s workforce is commonly made up of four generations, ranging from the baby boomers through to Generation Z, while women aged over 50 represent the fastest growing segment of the workforce. Employers should bear this in mind when looking at their benefits offering, as this group will be a key part of their workforce. Much can be achieved by seeking feedback on what they would find useful.
Chris Andrew, head of Caburn Hope, says: “Employers can personalise communications for the best possible engagement with benefits. Through data analysis tools, they can specifically pinpoint which campaigns stimulated the most responses from older employees and use these insights to enhance engagement.”
Organisations can show they value older workers by signing up to the age-friendly employer pledge to improve the recruitment, retention and development of employees over the age of 50. They should also signal through job vacancies, and where they advertise, that they encourage applications from this group.
Tracy Riddell, senior programme manager for age-friendly employment at the Centre for Ageing Better, says: “Older workers want employers that actively promote an inclusive culture that supports everyone’s contributions.”
Financial benefits
Some employees are working into their 70s because financially, they have no choice. They will be looking for an employer that is aware of the support they may require in the next stage in their life, whether that is work or retirement.
One form of support is a midlife MOT, which is designed to help workers plan ahead for their future finances and wellbeing. Aimed at employees aged 45-65 years old, it offers a health, wealth and career progression check ahead of their retirement. Employers can offer this tool to employees through benefits providers, while the Department for Work and Pensions has a dedicated website.
Bringing pre-retirement support forward to midlife gives people space to think about their aspirations for the rest of their lives, explains Riddell.
“Effective midlife support can be delivered through one-to-one coaching, group workshops, webinars, individual reflection workbooks, or a mixture,” she says. “There is no one size fits all for delivery and the format should be shaped by what is most applicable and effective for the intended participant group.”
For older employees supporting younger dependants, financial assistance and counselling can be useful in navigating further education or helping a loved one get on the property ladder and the knock-on effect on their retirement plans.
Mark Pemberthy, benefits consulting leader at Buck, says: “While face-to-face coaching is still often a preference, webinars and virtual support can play a pivotal role in empowering employees to make good financial decisions whatever their stage of life.”
Wellbeing and caring support
However, according to an April 2021 report by The Centre for Ageing Better, the majority of employers failed to offer what older employees were looking for, with only one in 20 job adverts mentioning flexible working, and an even lower proportion including training opportunities. Valued benefits include above-statutory pension contributions, group life and income protection cover, and healthcare provision.
Since the Covid-19 pandemic, some older employees have dropped out of the workforce for health reasons, so investing in occupational health services is vital to support their health and wellbeing, says Mandy Garner, editor at Workingwise.co.uk.
“Support for return from career breaks for health reasons is also vital, as is carer’s leave or related networks,” she says. “Menopause support, or at the very least recognition and awareness of menopause-related issues, is also becoming increasingly important.”
Some older employees may have caring responsibilities for elderly relatives or grandchildren for example, so offering hybrid working and different job patterns can be useful for their work-life balance.
“Employers should consider providing access to care and support for extended family, medical and protection benefits for dependants, and flexible working to allow employees to take time off to care for loved ones without sacrificing their job security or development,” says Pemberthy.
Another form of support for older employees is pre-retirement coaching that covers how and when to claim a state pension, how to trace lost pension pots, and help with the cost of living, heating costs, free prescriptions, bus and tube passes.
Emily Gillmore, people experience director at Gallagher, says: “Fundamental to helping older workers to prepare for retirement is how they are supported in mentally preparing for the transition away from work. Employers should consider that older people may benefit from a phased retirement to help to allow them to mentally and financially adjust to life after work.”
Offering older employees a well-rounded benefits package is key to building trust, job satisfaction and a lasting commitment to an organisation. This will also help to boost employee attraction and retention.