NTUC
Help People To Work Longer

We should start thinking smart if we want to succeed in raising the employment rate of older workers
Room for Thought
By Lim Boon Heng, NTUC Secretary-General

NTUC News 2 Sep 2005

IS THERE age discrimination? Many older Singaporeans will say there is.

Is there age discrimination in the United States, where there is a law against age discrimination? Many will say there is, though American workers are better protected.

Is there age discrimination in Japan?  I asked my counterpart from Japan recently.  His emphatic “Yes” came even before I finished my question.  His colleague (in his late 50s) related how he tried the job-matching service “Hello Work” operated by the Japanese Ministry of Labour.  He entered his age and qualifications, to see what jobs were available. There were none.  He then entered his age, qualifications and salary expectations.  There were no jobs.  He progressively lowered his salary expectations, and found no job offers until the salary level was 20 per cent of his original figure!

The task of helping people to work longer is therefore a difficult one.  What approach should we take?

Success will only come if it makes economic sense to employ older workers.  An employer will not engage older workers if doing so dents the bottomline.

Taking this approach, some employers have found it profitable to employ older workers.  They make the best use of the qualities of older workers.  They are punctual, more considerate and tolerant.  Their level-headedness and calmness make them ideal for handling customers.  They are loyal, so training is cost-effective. The employers who engage older workers do not do so for publicity, but have a keen eye on the bottomline.

So these employers are not trapped in a pro-youth bias. They know that people over 50 or 60 can outperform younger workers in certain jobs.

Other employers recognise the physical condition of older workers, and therefore change work processes.  They make it possible for older workers to carry out the work with ease and comfort.  NTUC FairPrice, for example, buys mechanical stackers to enable older workers to stock the shelves.  A shipyard provided stools for older welders to sit down.

Some employers change working hours, using older workers for shorter shifts. Some found that it was a plus because older workers are able to arrive on time for the early morning shift while younger workers seem to have some difficulty doing so.

Thinking employers, therefore, change their thinking about recruitment, work processes and working hours.  By doing so, they employ older workers and use them productively.  For them, employing older workers adds to the bottomline, and is not a community service or national service.

So, if we are to succeed in raising the employment rate of older workers – thereby raising the effective retirement age – we should start thinking smart, like what some employers have done.