How Avoiding Age Discrimination Can Be Good for the Workplace

Fair Treatment of Older Workers Can Improve Your Bottom Line Older employees typically offer benefits to a company, but those benefits come at a cost. Most long-term employees have higher pay rates and they tend to have more health problems. As a consequence, many employers may lean, intentionally or involuntarily, toward hiring younger workers and squeezing out older employees. That’s a practice that can be fraught with peril. Here are some of the reasons it can be to your benefit to be intentional in your employment practices as they relate to the age of your workers. Defending an Age Discrimination Lawsuit Can Be Costly The federal Age Discrimination in Employment Act (ADEA) provides certain protections for Americans over the age of 40. Like other anti-discrimination statutes, it typically falls under the purview of the Equal Employment Opportunity Commission (EEOC). Historically, though, the EEOC has focused more of its efforts on other types of discrimination, but industry watchdogs say that is changing. They say that older workers are far more savvy today than they were 20-30 years ago, and are far more willing to take legal action to protect their rights. Age Discrimination Sends the Wrong Message to Younger Employees Experts also say that policies and practices that either overtly or unintentionally favor younger workers over seasoned employees send a message to the younger workers that their value will decrease as they get older. As a consequence, those younger workers have little sense of commitment or loyalty. That in turn translates to less motivation to be productive, as they see themselves being replaced by younger workers when they get closer...

Age Discrimination in the Workplace: What Employers Should Know

What policies should you have in place to avoid age discrimination? Age discrimination in the workplace occurs more frequently than many people realize. What is age discrimination in the workplace? According to the EEOC, age discrimination occurs when an employer, based on age, treats an employee or job applicant less favorably than they treat other employees. The Age Discrimination in Employment Act (ADEA) is the federal law protecting workers who are age 40 or older against age discrimination. What types of work situations does the ADEA apply to? The ADEA covers any facet of employment, including: Hiring Pay Benefits Training Job assignments Promotion Layoffs Firing What is age discrimination harassment? As an employer, you cannot harass an employee based on their age. Examples of harassment would include: Offensive or derogatory remarks about the worker’s age Teasing or comments that become frequent or severe, resulting in a hostile work environment Harassment that results in adverse employment decisions, such as demotion or firing Harassment can come from a co-worker, supervisor or even a client or customer. What policies could help employers protect themselves against claims of age discrimination? Sometimes employers decide to reduce their workforce. They may consider terminating older workers, who are eligible for retirement or are close to being eligible. In many instances, due to longevity with the company, these are the most highly paid employees. Offering severance packages are one way to lessen the risk of age discrimination claims. Employers incorporate a release of claims into the package. The consideration an employer offers must go beyond already agreed upon pensions or accrued vacation or sick leave payments. As...

What Are Today’s Employment Perspectives Regarding Aging Workers?

More Aging Workers Are Staying and Re-entering the Workforce Cultural perspectives regarding aging workers may be changing. The following facts describe various social and economic influences over the past 50 years. Age and Work Force Factors in the 1960s Back in the 1960’s, the Wirtz Report revealed that age discrimination was prevalent: 50 percent of employers used age limits to deny jobs to workers who were 45 and older. Other differences existed as well. Men spent the majority of their careers working for one company, in one profession and retired at early ages with pensions. Slightly more than 33 percent of the workers at that time were women. Average life expectancies for men were age 67 and for women age 74. Age and Work Force Factors Today The work force in 2017 has more than doubled over what it was in the 1960s, which is now 50 years ago. Over the last 25 years the percentage of workers who are age 55 and older has doubled. More recently, the number of workers who are 65 and older who have stayed or re-entered the workforce is greater. The Bureau of Labor Statistics predicts that the percentage of workers between the ages of 65 to 74 and who are 75 and older will increase at the fastest rate, by 75 percent by 2050. In contrast, workers from the ages of 25 to 54 are only predicted to increase by two percent during this same period. More women at the age of 55 and older are expected to make up 25 percent of the women’s work force by 2024, which is double...

The Aging Workforce: What to Expect and the State of Age Discrimination

How Extensively Has Age Discrimination Changed in the Past 50 Years? Most employers are aware of the ADEA (Age Discrimination in Employment Act) passed in 1967. The law has been in existence for decades. What many employers may not be aware of is the fact that age discrimination continues to be an issue, and in some cases a growing issue. How likely are you to be sued for age discrimination? Are the statistics on your side or against you? Consider the following facts reported this year by the EEOC in a statement about the state of age discrimination and older U.S. workers. Age Discrimination Statistics Today More than 60 percent of workers surveyed in 2017 who were age 45 and older indicated they either noticed or experienced age discrimination in the workplace. Of the individuals in this group, 90 percent stated age discrimination was common. African Americans (77 percent) reported higher rates of age discrimination, followed by Hispanics (61 percent) and Whites (59 percent). More women than men said that older workers face age discrimination. Older workers in the technology sector indicated that 70 percent of those on IT staffs had observed or experienced age discrimination. More than 40 percent of older workers in the technology fields feared losing their jobs due to age. In a Forbes magazine article, the author commented about the EEOC’s report entitled “State of Age Discrimination Statement 50 Years After the ADEA.” The article said that since the 2009 Supreme Court ruling on the Case Gross vs. FB Financial Services, age discrimination has been much more difficult to prove in court. Types of reforms...