Are employers biased against hiring workers aged 45 and up?

Report shows employers have concerns about 'fit,' skills, relevant job experience

BY Jim Wilson 09 Oct 2023

It seems employers are turning a blind eye to older job applicants even though they need to fill several positions, according to a recent report.

In 2020, workers aged 45 and up made up 44% of the long-term unemployed, up from 36% in 2000, says non-profit Generation and the Organization for Economic Co-operation and Development (OECD).

"Aging workers are an important asset, given their skill sets, experience, and commitment," said Stefano Scarpetta, director for directorate employment, labor and social affairs at OECD. "Retaining them in the workforce is key to sustaining high living standards in our economies. And with businesses struggling to recruit, it's more important than ever that all stakeholders do more to make longer and fulfilling careers a reality for all workers, regardless of age".

Recently, in a court case detailing the career trajectories of two rising stars in IBM’s 500-strong HR division, an alleged pattern was revealed of terminating older employees for replacement by younger workers with much less experience and qualifications.

Will you hire older workers?

It seems employers are just not eager to hire workers when they start to age, according to The Midcareer Opportunity: Meeting the challenges of an ageing workforce report from Generation and OECD, based on a survey of over 6,000 employed and unemployed people and 1,510 responses from hiring managers across eight countries, including the United States.

Specifically, 39% of employers say they “definitely would” hire someone aged between 20 and 29. This number jumps to 47% when considering hiring 30- to 44-year-olds. However, it drops to 35% when considering hiring 45- to 54-year-olds, and to just 13% when it comes to hiring those aged 55 to 65.

Also, 15% of employers probably or definitely would hire someone aged 55 or up, compared to just 2% (applicants aged 45 to 54), 3% (applicants aged 30 to 44) and 2% (applicants aged 20 to 29) for the younger groups.

In comparison, employers have a far more positive perception for workers aged 30 to 44 than those aged 45 to 65:

Employer perceptions	Workers aged 30 to 44	Workers aged 45 and up
Have relevant job experience	58%	28%
Have relevant educational background	52%	21%
Have well-prepared application documents	48%	30%
Have good referrals	51%	35%
Do well on the interview	54%	27%
Have good soft skills	53%	32%
Have good knowledge of tech skills	52%	30%
Have a persona that is a fit for the industry	58%	26%
Have a persona that is a fit for workplace culture	54%	27%
Have a persona that is a fit with team dynamics	54%	27%

Benefits of hiring older workers

Despite these perceptions, employers highly value the age 45+ employees they already have, according to the report. Nearly nine in 10 (89%) say that the midcareer and older workers they had hired performed as well or better than their younger hires, and that they learn as quickly if not more so (83%).

"Employers are missing out on talented candidates aged 45 and older," says Mona Mourshed, global CEO of Generation. "There is plenty of evidence that workers aged 45+ can thrive in the workplace. Employers can fill needed roles and boost organization performance by changing hiring practices to embrace candidates of all ages."

Older employees are more likely to go above and beyond at their jobs than younger ones, according to a previous report.

Here are five key values older workers offer employers, says Gary A. Officer, president and CEO of the Center for Workforce Inclusion, in a recent piece for Li Herald: