Report challenges forced retirements

Press, 25 February 1978, Page 11

Report challenges forced retirements

Parliamentary reporter Th. principle of forced retirement at the age of 60 or 63 is challenged in a 110-page report issued by the Labour Department. The report, intended to concentrate attention on the job position of older workers, notes that the population aged over 40 had increased from 28.3 per cent in 195) to 33.2 per cent in 1971 and would continue to rise to 35 per cent by 1996. “By about 2006 to 2020. the ‘baby boom' will have become the geriatric boom,” the report said. But in spite of this, older people were tending to retire earlier. Between 1966 and 1976 the proportion of men aged 60-64 who were working fell from 72 to 57 per cent. That was partly

tion of working men aged 65-6£ fell from 42 to 25 per cent while the proporbecause employers preferred younger workers. Of 4931 job advertisements in a Wellington employment publication, only 1.3 per cent stated a preference for people aged over 45, while 30.2 per cent wanted only younger persons. Although the number of unemployed older people was no greater than their share, they tended to be unemployed for much longe’- than younger people. It was very difficult for such people to train for new jobs but the report quoted overseas research to suggest that “the capacity to learn new things does not disappear at the magical age of 40.” “The objection of employers that younger

workers are better value for training because they have more years ahead of them is also questionable. What is often overlooked is that turnover rates for younger workers are much higher than for older workers.” In some countries, such as Norway and Ireland, retirement was usually at 70 instead of 60 or 65. In France, advertisements for jobs were prohibited from stating an age preference. In Sweden, pensions increased gradually between the ages of 60 and 70 as people gradually reduced their hours of work. The report said programmes to prepare workers for retirement were needed. Apart from the police and the N.A.C., few New Zealand companies or unions provided that.