Despite decades of experience, those over 55 face challenges in re-entering the workforce during the COVID-19 -induced recession, reports CNBC.
As the world comes to terms with the racial and gender inequity the pandemic has worsened, yet another form of exclusion is silently impacting the fabric of the talent pool that organizations hire from. Ageism or age-related discrimination is as much a legal issue as are others. Still, companies may be failing to recognize it as a deep-rooted concern as resources are dedicated to other dimensions.
CNBC reportsOpens a new window about the worsening situation of older workers in the U.S. as the pandemic worsens. While the economic impact has been universal geographically, it has been starkly different in the context of the demographic profile. While many people have lost their jobs, some segments have faced a more massive and widespread job loss than others. As per CNBC, despite decades of experience, those over 55 face challenges in re-entering the workforce during the recession. The data shared shows how older workers’ average unemployment duration is much longer than younger workers’.
The worrying part is that many of these “older†employees have a significant part of their career before them and the possibility to make it to senior roles. A long unemployment duration significantly leads to loss of experience and expertise that would have helped companies in their growth phase and reduced the war for talent by providing them with experienced resources.
Why Do Companies Hesitate To Hire Older Employees?
As per the insights, the percentage of long-term unemployed job seekers – people unemployed for more than 27 weeks still seeking jobs – has increased from jumped to 26.4% from 14% in September for those 55 and older. According to CNBC, some possible reasons are that companies possibly find them too expensive, are not confident that they will have the right set of technical skills needed for a job, or fear that they won’t stay in the workforce for too long.
But the data is against all these odds. For instance, a PwC studyOpens a new window found that making older people a part of the workforce can boost a country’s GDP.
With fewer jobs available in the market, and this segment struggling to find opportunities despite their experience levels, the problem of age-related discrimination is rearing its head again. While companies have started addressing gender- and race-related questions and what they plan to do about it, their overall roadmap does not appear to cover the options needed to create a more age-inclusive workplace.
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Ageism Doesn’t Affect Everyone Equally
The first step to tackling any form of bias or discrimination is to admit that it exists. At this stage, most organizations skim over the fact that ageism is a reality, among other forms of discrimination. The acceptance of this area of exclusion is low, as is the admission.
It is also important to note that ageism works in both directions – younger employees can also be discriminated against from time to time. More importantly, gender, race, disability are among the other factors that can exacerbate the ageism problem at work.
So while reentry programs, unbiased hiring, and cross-generational mentoring are great ways to reinstate the older workforce, the range of inherent biases needs some addressing – at the leadership level as well as across the organization.
General MotorsOpens a new window has a career reentry program, Take 2, which is believed to be a good opportunity for professionals over 50 who want to re-enter the workforce and restart their careers. It is a 12-week training program where participants brush up on existing skills and learn new skills to enter the workforce. Identifying the need for skilled workers and the shortage that is likely to come up, GM believes this is a great program to fill the upcoming talent gap in the industry.
This is an initiative several other organizations can follow, while keeping workplace inclusion top of mind throughout.
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AARP dataOpens a new window found that two-thirds of individuals aged 45 to 74 have experienced age-related discrimination. Companies now need to step up to address diversity and inclusion in all aspects – including age. With concerted effort, there may be a chance that the older workers continue to remain employed beyond the traditional retirement age.