Editor’s note: Veteran entrepreneur and investor Donald Thompson writes a weekly column about management and leadership as well as diversity and other important issues for WRAL TechWire. His columns are published on Wednesdays.
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RESEARCH TRIANGLE PARK – Sixty years ago, President John F. Kennedy issued a proclamation praising older Americans for “much of our Nation’s progress” and the group’s ability to “enrich our daily lives and to provide counsel and leadership.” With a wave of the presidential pen, “Senior Citizens Month” came to life (later renamed “Older Americans Month” in 1980 by President Jimmy Carter), and has been celebrated each May.
Donald Thompson
Given all the conversation around millennials and Gen Z, it might seem an odd time to be exploring the topic of older workers. Yet, what is becoming quite clear is that to win in a knowledge economy, we need these employees for their wealth of knowledge, skills and experiences. They bring immediate value by sharing their talents with younger colleagues, a critical component in Gen Z’s training, which I wrote about last week.
While the feel-good mental image of older employees mentoring younger groups gives senior leaders good vibes, it is also apparent that the economy needs its older members to remain active, particularly given current US demographic shifts. According to the Bureau of Labor Statistics (BLS), for example, the labor force participation rate from 2020 to 2030 is dropping across all age categories, but for those 75 and older, it is growing. In other words, companies and organizations need older workers to offset the drop in participation across the board in younger cohorts.
“By 2030, all baby boomers will be at least 65 years old, and 9.5% of the civilian labor force is projected to be older than 65,” the BLS report noted. “Not only is the share of older people in the labor force growing, but their labor force participation rates are rising.”
SIGNIFICANCE OF MULTIGENERATIONAL WORKFORCES
At The Diversity Movement, we employ a holistic definition of diversity, equity and inclusion (DEI) that includes multigenerational diversity. This view values the range of experiences, viewpoints and values people bring to the workplace based on their generational cohort. Our work with clients has demonstrated that promoting multigenerational diversity benefits organizations because they then have varied perspectives, experiences and skills. The range of potential outcomes includes better problem-solving, greater innovation and more effective decision-making.
From a marketing and brand reputation viewpoint, multigenerational perspectives help organizations serve customers and clients more effectively, since these audiences are themselves composed of people across age ranges. Understanding the needs of all age groups also enables organizations to offer better customer service, thereby building stronger relationships.
Internally, promoting and enhancing multigenerational diversity is the correct move culturally. Senior leaders must ensure that all employees feel valued and respected in the workplace regardless of their age. Inclusive leadership leads to stronger teams and better organizations overall.
Closing the Gen Z disconnect gap – How to lead a new generation
LEADERSHIP TIPS FOR WORKING TOGETHER ACROSS AGE GROUPS
There are many advantages in creating a workplace where older employees feel valued and respected. Here are some specific steps a CEO or manager can take to achieve this goal:
- Build a culture of respect. Collaboration, creativity and problem-solving all improve when teams operate in an environment based on mutual support. By serving as role models in building respectful cultures, managers will show their teams how to engage with one another.
- Promote a culture of mentoring and sponsorship. Deliberately bridging gaps between older and younger employees via mentoring or sponsorship initiatives can have a dual impact helping each group understand the other and benefit from the synergy. Mentoring can be even more valuable in industries where there is a perpetual shortage of skilled workers.
Older workers have decades of experience that younger employees have yet to gain. The deep understanding of best practices, strategy and industry trends is primarily gained through years of experience. On the other hand, younger professionals can also provide new insights to their older colleagues. An organization that can create a mentoring culture by harnessing that knowledge for the organization benefits everyone.
- Create flexible work environments. Older workers may have added caregiving roles or need added accommodations. Incorporating these initiatives into organizational talent strategy can provide an added boon as talent shortages continue to be problematic.
- Provide learning and development opportunities. Training and development programs can re-skill or retool current employees and also knock down barriers between colleagues from different generations. For example, Gen Z is often critiqued for its lack of communications skills, while older professionals are thought to be less tech-savvy. Creating learning initiatives that help each cohort gain these abilities while working together makes the organization more resilient and cohesive.
According to AARP Research, 67% of older workers want skills training. This percentage increases for older Black and Hispanic workers, especially for those in physically demanding roles. Using learning and development to retrain or re-skill older workers is not only smart for individual companies, but it is a wise move for organizations that want to improve their broader communities.
The demographic changes expected through the next decade reveal the growing importance of older workers if American companies hope to remain competitive on the world stage. As a result, DEI initiatives will be even more important in creating culture transformation that results in culture-centric organizations and leaders.
We often hear people lament how we treat older people in the US versus our counterparts in Europe and Asia, so this may be an opportunity to change that narrative for the better. From team-building activities to promoting stronger communication and dialogue, leaders can build workplaces that support and value employees regardless of age.
Executives – many at or entering the “older” employee designation – need to break down the barriers and stereotypes that prevent companies from utilizing these workers for the value they deliver. Ageism is real and can only be eradicated when business leaders and others put concerted effort into that goal. Let’s use the knowledge and experience of older employees to navigate the many complex challenges we face and find innovative solutions.
“This large segment of our population represents a great national resource of skills, wisdom and experience,” explained Kennedy in 1963. Little could he have predicted that some 60 years later his words would be even more prophetic.
About the Author
Donald Thompson founded The Diversity Movement to literally change the world. As CEO, he has guided its work with hundreds of clients and through hundreds of thousands of data touch points. TDM’s global recognition centers on tying DEI initiatives to business objectives. Recognized by Inc., Fast Company and Forbes, he is the author of Underestimated: A CEO’s Unlikely Path to Success, hosts the podcast “High Octane Leadership in an Empathetic World” and has published widely on leadership and the executive mindset. As a leadership and executive coach, Thompson has created a culture-centric ethos for winning in the marketplace by balancing empathy and economics. Follow him on LinkedIn for updates on news, events, and his podcast, or contact him at info@donaldthompson.com for executive coaching, speaking engagements or DEI-related content.
