Jobs famine deepens the generational rift

As someone in their mid-50s, I welcome the opportunity to have a choice to work as long as I can. But what are the consequences for young people struggling to find work?

We already live in a segregated society when it comes to mixing across the age ranges. Many older people don’t understand the younger generation and the young have many misperceptions about older people. Young people may perceive older people to be "blocking" potential job opportunities, thereby deepening the rift between young and old.

Almost a million 16- to 24-year-olds who are not in education, employment or training (Neet) are unable to integrate with the workforce. Young people who are Neet not only face long-term unemployment but also reduced facilities due to spending cuts hitting youth services across the country. Is there any wonder that these young people may feel that allowing older people to remain in employment past the age of 65 will quash any chances they might have of gaining employment? This in turn could sour relationships between the generations.

At a recent Grandparents Plus lecture, Work and Pensions Secretary Iain Duncan Smith said we have to challenge the damaging claim that older workers block employment opportunities for young people. He said this belief is a fallacy, based on the idea that there is a fixed amount of work available in the economy.

He went on to say that, in fact, evidence from the UK and abroad suggests that this notion is far from the case and that having more people in work is likely to increase the availability of jobs through the effect it has on growth.

However, there simply is no job growth; more and more people are losing their jobs and businesses are finding it difficult to invest in jobs or sustain growth. As our ageing population grows in a time of austerity, more older employees will want to remain in paid work, while young people will find it more difficult to get jobs and be out of work for longer given the persistently weak economy.

In years gone by, it was the norm for young men to replace their fathers and grandfathers in the factories, as successive generations often worked in the same businesses. But as manufacturing declined, the jobs went.

So how do we balance the dilemma of older people working longer, while helping young people to succeed and gain meaningful employment, as well as building bridges between the generations?

Could businesses look more intelligently at sharing work between older employees who may be looking to do fewer hours – perhaps semi-retiring – and the young who are keen to start getting some experience and a foot on the first rung of the employment ladder? Employers need to recognise the benefits of having a multi-generational workforce.

The additional tax and national insurance contributions resulting from older people working longer could fund projects and businesses to employ and train young people.

But equally, there will be older people who do not want to work post-retirement age. They could offer to mentor young people and support them to improve their skills.

On a positive note, an ageing population also brings opportunities for young people to consider a career in care. But this growing sector must recognise the need to professionalise and offer career progression as well as better wages.

Whatever the solutions, we need to act fast to help young people access sustainable jobs so that they can contribute to society and work alongside older employees who still want to work. Doing nothing will only divide generations further.

Denise Burke is director of United for All Ages