SHRM Survey Findings: The Aging
Workforce—
Recruitment and Retention
Funded by the Alfred P. Sloan Foundation
January 12, 2015
Introduction and Definition
Introduction
SHRM and the SHRM Foundation have launched a national initiative highlighting the value of older
workers and identifying—through original research—the best practices for employing an aging workforce.
This three-year initiative is generously underwritten by a grant from the Alfred P. Sloan Foundation.
The purpose of this research is to:
 Investigate the current demographics of organizations and their views on how the demographic
breakdown of their workforces is likely to change in the future in both their organizations and
industries.
 Determine what, if any, actions organizations are taking to prepare for an aging workforce,
including recruiting and retention strategies to specifically target older workers.
 Identify the skills and experience HR professionals most value in older workers.
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Introduction and Definition (continued)
The following topics are included in the three-part series titled 2014 Older Workers Survey:
 Part 1: State of Older Workers in U.S. Organizations
 Part 2: Recruitment and Retention
 Part 3: Basic and Applied Skills
Definition
 For the purpose of this survey, “older workers” were defined as employees age 55 or older.
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Key Findings
•
Changes in retention, recruiting and general management policy practices in response to aging
workforces: Two-fifths of responding organizations indicated the increasing age of their workforce has
not prompted changes in retention (42%), recruiting (42%) or general management policy practices
(41%).
•
Recruiting methods to directly target older workers: Of responding organizations that indicated the
increasing age of their organization’s workforce has prompted changes in their recruiting practices, the
most commonly reported recruiting method to directly target older workers was through employee
referrals (33%); one-quarter (24%) indicated they relied on networking.
 Over one-half (54%) indicated they do not actively recruit older workers.
•
Use of social media to target older workers: Of responding organizations that indicated they used
social media to target older workers, three-quarters (74%) indicated they used LinkedIn, and one-half
(49%) indicated they used Facebook.
•
Level of difficulty in recruiting older workers: About one-fifth to one-quarter of HR professionals
indicated it is easy/extremely easy to recruit exempt and nonexempt older workers (21% and 24%,
respectively).
•
Level of difficulty in retaining older workers: About two-fifths of HR professionals indicated it is
easy/extremely easy to retain exempt and nonexempt older workers (45% and 42%, respectively).
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Key Findings (continued)
•
Factors contributing to difficulty in retaining older workers: Of HR professionals who indicated it is
“difficult” or “very difficult” for their organization to retain older workers compared to other workers, the
three most challenging factors cited included:
 Inability to offer flexibility in work location (e.g., working from home, satellite offices) (47%).
 Inability to offer career flexibility (e.g., reduced responsibilities, job change/occupation shift)
(45%).
 Inability to offer work hour flexibility (e.g., reduced hours, job-sharing, phased retirement, partyear employment) (44%).
•
Level of difficulty in recruiting older workers by employee type: About one-quarter of HR
professionals indicated it is difficult or extremely difficult to recruit older workers qualified for labor,
skilled (25%), executive (25%), salaried individual contributor/professional (22%) and management
(22%) positions compared to other workers.
 Regardless of the type of position, a lack of or few applications from older workers for eligible
positions was the most cited difficulty in filling positions with older workers who are qualified
compared to other workers (46%-60%).
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Key Findings (continued)
•
Older workers who were formerly retirees: Two-thirds (66%) of responding organizations indicated
their organization employs older workers who retired from other organizations or careers before joining
their organization.
 However, the vast majority (90%) indicated just 1%-20% of their organization’s older workers were
retirees before joining their organization.
 Of responding organizations that indicated they employ older workers who were formerly retirees,
about two-fifths (43%) indicated all of these employees were in full-time positions, and just 11%
indicated they were all in part-time positions; almost one-half (46%) indicated they were mixed
between full-time and part-time positions.
•
Factors in former retirees returning to work: Almost three-quarters (72%) of HR professionals
indicated money was a factor in former retirees returning to work; almost three-fifths (58%) indicated
enjoyment/occupying time was a factor, and about two-fifths indicated health care benefits (45%) and
social interaction (42%) contributed to the decision to return to work.
•
Capitalizing on and incorporating the experience of older workers: Over three-fifths (61%) of HR
professionals indicated their organization attempts to capitalize on and incorporate the experience of
older workers to “some” or a “great extent.”
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Key Findings (continued)
•
Formal strategies for retaining or recruiting older workers: Very few responding organizations
indicated they have a formal strategy for retaining (4%) or recruiting (3%) older workers. Of responding
organizations that indicated they have a formal strategy to recruit or retain older workers:
 About one-half (48%) indicated they offered reduced hours or part-time positions to older workers,
two-fifths hired retired employees as consultants or temporary workers (40%) and/or started
flexible scheduling (37%), and about one-third created positions/redesigned positions that allow
bridge employment (30%) and/or offered phased/gradual retirement (30%).
•
Steps taken to recruit or retain older workers: Of HR professionals who indicated their organization
has taken a specific step(s) to recruit or retain older workers, the majority indicated hiring retired
employees as consultants or temporary workers (67%), offering reduced hours or part-time positions to
older workers (57%) and starting flexible scheduling (63%) were very effective in recruiting or retaining
older workers.
•
Use of steps/methods implemented to recruit or retain older workers: Of responding organizations
that indicated they have taken a specific step(s) to recruit or retain older workers, less than one-quarter
indicated that more than one-half of their eligible employees actually used reduced hours or part-time
positions (21%), flexible scheduling (24%) or phased/gradual retirement (16%) programs for older
workers.
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Implications for HR
•
As the workforce continues to age, the percentage of organizations prompted to make changes in
general management policy/practices, retention practices or recruiting practices is likely to increase.
Even HR professionals in industries and sectors that currently skew toward younger employees will
need to consider how the aging population will affect them.
•
The more highly skilled positions are likely to continue to be the most challenging for organizations to
fill and are thus the jobs for which the greatest efforts to locate qualified older workers will be made.
•
Currently, recruiting and retaining older workers are not seen as particularly difficult. However, this
could change if skills shortages ramp up demand.
•
Because employee referrals and networking are currently the most common ways organizations are
targeting older workers, employees themselves are a central part of the recruitment of older workers.
•
The recruitment of older workers is likely to become more integrated into overall diversity initiatives.
•
The use of social media to target older workers could become more prevalent, especially if
generational differences in the use of these kinds of technologies start to fade.
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Implications for HR (continued)
•
Organizations that currently indicate that it is “difficult” or “very difficult” to retain older workers
compared to other workers provided a sense of what factors play the biggest role in meeting the
needs of this demographic: offering flexibility in work location, career structure, work hours and
scheduling, and type of employment and benefits attractive to older workers.
•
Although most organizations do employ older workers who retired from other organizations or
careers before joining their organization, it remains a fairly small percentage of their overall
workforce.
•
As the workforce ages and especially if skills shortages intensify, learning the best ways to
incorporate the experience of older workers will be considered a competitive edge. Thus, HR
professionals will likely be increasingly focused on recruiting and retaining the best older workers.
This could influence all aspects of the employment from the type of flexible work arrangements
organizations offer to employee benefits.
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Extent Increasing Age of Organization’s Workforce Has
Prompted Changes in . . .
General management policy/practices
4% 24%
Retention practices 7%
Recruiting practices 8%
To a great extent
26%
27%
To some extent
31%
41%
26%
42%
24%
41%
To a small extent
Not at all
Note: n = 1,832-1,843. Respondents who indicated “Not applicable” were excluded from this analysis. Percentages may not equal 100% due to rounding.
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Recruiting Methods Used by Organizations to Directly
Target Older Workers
Employee referrals
33%
Networking
24%
Internet (e.g., websites geared toward older audience)
14%
Employment agencies
13%
Use of current older workers as recruiters
13%
Social media
12%
Temporary firms
11%
Executive search firms
8%
Specify older workers are welcomed & encouraged to apply
7%
Government-based employment programs
Churches
6%
4%
Recruit through local senior citizen community groups
3%
Older workers’ job fairs
2%
Newsletters (e.g., AARP Bulletin)
1%
Retirement communities
1%
Other
3%
We do not actively recruit older workers
Note: n = 1,074. Only respondents who indicated the increasing age of their organization’s workforce has prompted changes in their recruiting
practices were asked this question. Percentages do not equal100% due to multiple response options.
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54%
11
Social Media Resources Used by Organizations to
Directly Target Older Workers in Their Recruiting Efforts
LinkedIn
74%
Facebook
49%
1
Professional or association social networking site
28%
Twitter
28%
YouTube
10%
SHRM Connect
9%
Google+
8%
Foursquare
3%
Pinterest
3%
MySpace
2%
Second Life
1%
Other
11%
Note: n = 115. Only respondents who indicated their organization uses social media to target older workers were asked this question. Percentages do not
equal 100% due to multiple response options.
1 Other than SHRM Connect
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Difficulty Level to Recruit and Retain Qualified Older Workers
Compared with Other Workers, by Exempt Status
Recruit
Exempt
older
workers
Exempt
older
workers
17%
Nonexempt
older
workers
Non-exempt
older
workers
17%
Extremely difficult/Difficult
61%
21%
59%
24%
Neither easy nor difficult
Easy/Extremely easy
Retain
Exempt older workers
Nonexempt older workers
9%
10%
Extremely difficult/Difficult
46%
45%
48%
42%
Neither easy nor difficult
Easy/Extremely easy
Note: Percentages may not equal 100% due to rounding.
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Difficulty Level to Recruit Qualified Older Workers Compared
with Other Workers, by Job Category
Labor, low-skilled
17%
Labor, skilled
(e.g., technician, mechanic, foreman)
25%
Administrative/secretarial 7%
22%
Management
(e.g., director, manager, supervisor)
22%
Extremely difficult/Difficult
41%
46%
45%
Salaried individual contributor/professional
(e.g., analyst, nurse, engineer)
Executive (e.g., CEO, CFO, VP)
41%
25%
30%
48%
47%
44%
46%
Neither easy nor difficult
n = 1,064
n = 1,123
n = 1,549
31%
34%
29%
n = 1,464
n = 1,601
n = 1,300
Easy/Extremely easy
Note: Respondents who indicated “Not applicable” were excluded from this analysis.
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Factors That Contribute to Difficulties in Retaining
Older Workers
My organization is unable to offer . . .
Flexibility in work location (e.g., working from home, satellite offices)
47%
Career flexibility (e.g., reduced responsibilities, job change/occupation shift)
45%
Work hour flexibility (e.g., reduced hours, job-sharing, phased retirement, part-year employment)
44%
Work schedule flexibility (e.g., changing starting and ending times periodically, compressed
workweek )
43%
Flexibility in type of employment (e.g., consultant work, temporary work)
38%
Benefits attractive to older workers (e.g., different health care benefits, wellness plans)
34%
Other
15%
Note: n = 242. Only respondents who indicated it is “Difficult” or “Very difficult” for their organization to retain older workers compared to other
workers were asked this question. Percentages do not equal 100% due to multiple response options.
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Factors That Contribute to Difficulties in Recruiting Qualified
Older Workers Compared with Other Workers, by Job
Category
Bias toward older
workers in the hiring
process
Labor, low-skilled
Unable to offer
benefits attractive
to older workers
Unable to offer
work schedule
flexibility
17%
25%
36%
(n = 177)
Labor, skilled
19%
22%
35%
(n = 270)
Administrative/secretarial
33%
17%
30%
(n = 103)
Salaried individual
contributor/professional
23%
22%
24%
(n = 316)
Management
24%
25%
24%
(n = 340)
Executive
19%
21%
20%
(n = 310)
Note: Only respondents who indicated it is “Difficult” or “Very difficult” for their organization to recruit older workers compared to other workers
were asked this question. Percentages do not equal 100% due to multiple response options.
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Factors That Contribute to Difficulties in Recruiting Qualified
Older Workers Compared with Other Workers, by Job
Category (continued)
Unable to offer
work hour
flexibility
Labor, low-skilled
Unable to offer
flexibility in work
location
Unable to offer
career flexibility
34%
34%
27%
(n = 177)
Labor, skilled
39%
37%
30%
(n = 270)
Administrative/secretarial
33%
34%
27%
(n = 103)
Salaried individual
contributor/professional
28%
31%
28%
31%
25%
(n = 316)
Management
28%
(n = 340)
Executive
23%
23%
20%
(n = 310)
Note: Only respondents who indicated it is “Difficult” or “Very difficult” for their organization to recruit older workers compared to other workers
were asked this question. Percentages do not equal 100% due to multiple response options.
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Factors That Contribute to Difficulties in Recruiting Qualified
Older Workers Compared with Other Workers, by Job
Category (continued)
Unable to offer
flexibility in type of
employment
Labor, low-skilled
Lack of or few applications
from older workers for
eligible positions
Other
60%
31%
15%
(n = 177)
Labor, skilled
56%
24%
13%
(n = 270)
Administrative/secretarial
28%
48%
20%
(n = 103)
Salaried individual
contributor/professional
23%
54%
17%
(n = 316)
Management
21%
47%
17%
46%
17%
(n = 340)
Executive
17%
(n = 310)
Note: Only respondents who indicated it is “Difficult” or “Very difficult” for their organization to recruit older workers compared to other workers
were asked this question. Percentages do not equal 100% due to multiple response options.
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Older Workers Retiring from Other Organizations or
Careers Prior to Joining Current Organization
To your knowledge, in your organization, are there
older workers who retired from other organizations or
careers before joining your organization?
66%
34%
Yes
No
Note: n = 1,528. Respondents who indicated “Don’t know” were excluded from
this analysis.
What percentage of older workers at your organization
previously retired from other organizations or careers
before joining your organization?
0%
1-20%
21-40%
41-60%
61-80%
81-100%
1%
90%
5%
2%
1%
1%
Note: n = 925. Only respondents who indicated their organization has older
workers who retired from other organizations or careers before joining their
organization were asked this question. Respondents who indicated “Don’t
know” were excluded from this analysis.
Are the older workers in your organization who retired
from other organizations or careers working in full-time,
part-time or a mix of full-time and part-time positions at
your organization?
A mix
46%
Full-time
Part-time
43%
11%
Note: n = 984. Only respondents who indicated their organization has older
workers who retired from other organizations or careers before joining their
organization were asked this question.
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Reasons Retirees Return to Work1
Money
72%
Enjoyment/occupying their time
58%
Health care benefits
45%
Social interaction
42%
Challenge
28%
Retirement benefits
16%
Alternative career tracks for older workers
Wellness programs attractive to older
workers
Other
13%
3%
8%
Note: n = 994. Only respondents who indicated their organization has older workers who retired from other organizations or careers before joining their
organization were asked this question. Percentages do not equal 100% due to multiple response options.
1 Survey question: “In your view, why have these former retirees returned to work? (Check all that apply.)”
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Extent Organization Attempts to Capitalize on and
Incorporate the Experience of Older Workers
To a great extent
22%
To some extent
39%
To a small extent
Not at all
24%
15%
Note: n = 1,737.
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Organizations That Have a Formal Strategy for Retaining
and Recruiting Older Workers
Retain
Recruit
Yes,
4%
No, 96%
Note: n = 1,739
Yes, 3%
No,
97%
Note: n = 1,740
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Steps Taken to Recruit or Retain Older Workers
Percentage
Offered reduced hours or part-time positions to older workers
48%
Hired retired employees as consultants or temporary workers
40%
Started flexible scheduling (e.g., telework, alternative work schedules)
37%
Created positions/redesigned positions that allow bridge employment1
30%
Offered phased/gradual retirement
30%
Provided training to upgrade skills of older workers
29%
Provided opportunities for older workers to transfer to jobs with reduced pay and responsibilities
27%
Increased training and cross-training efforts to induce older workers to stay with or join the
organization
Increased recruiting efforts aimed at older workers who have the skills being lost due to retiring
employees
Offered wellness programs to attract and retain older workers
24%
23%
23%
Note: n = 99. Only respondents whose organizations have a formal strategy to recruit or retain older workers were asked this question. Percentages do
not equal 100% due to multiple response options.
1 Opportunities
that allow near retirees to ease into retirement while allowing the organization to retain good employees.
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Steps Taken to Recruit or Retain Older Workers (continued)
Percentage
Asked older workers for feedback via survey or other mechanism about what would encourage them
to join or stay with the organization
23%
Started remote location programs to enable workers to work at the location most convenient for them2
14%
Started job-sharing
13%
Changed health care benefits to attract and retain older workers
10%
Established alternative career tracks for older workers
9%
Have not done/do not plan to do anything
8%
Changed retirement benefits to attract and retain older workers3
7%
Created new benefits to induce older workers to stay with or join the organization
6%
Put it on the radar screen, but essentially have done nothing else
3%
Other
5%
Note: n = 99. Only respondents whose organizations have a formal strategy to recruit or retain older workers were asked this question. Percentages do
not equal 100% due to multiple response options.
2
E.g., at home, “snowbird” employees who work in different locations at different times of the year.
3
E.g., offering deferred retirement option plans (DROPS), which allow workers who reach retirement age to continue working while receiving
contributions to a retirement fund equal to the pension benefit they would receive if they were retired.
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Effectiveness of Various Steps Taken to Recruit or Retain
Older Workers
Hired retired employees as consultants or
temporary workers*
Offered reduced hours or part-time positions
to older workers*
Started flexible scheduling (e.g., telework,
alternative work schedules)
Very effective
67%
57%
63%
Somewhat effective
33%
n = 39
43%
34%
n = 44
3%
n = 32
Not at all effective
* 0% indicated “Not at all effective.”
Note: Only respondents who indicated their organization has taken a specific step(s) to recruit and/or retain older workers were asked to evaluate
the step(s) taken. Response options (i.e., steps taken) with n < 30 are not reportable (NR). Respondents who indicated “Too soon to evaluate” were
excluded from this analysis.
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Percentage of Eligible Employees Using Each
Option/Program Implemented by Organization
Offered reduced hours or part-time
positions to older workers
4%
Started flexible scheduling (e.g., telework,
alternative work schedules)
Offered phased/gradual retirement 7%
None
1% to 25%
26% to 50%
45%
30%
46%
30%
63%
51% to 75%
19% 2% n = 47
19% 5%
n = 37
13% 13% 3%
n = 30
76% or more
Note: Only respondents who indicated their organization has taken a specific step(s) to recruit or retain older workers were asked to evaluate the
step(s) taken. Percentages may not equal 100% due to rounding. Response options with n < 30 are not reportable (NR).
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Demographics
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Demographics: Organization Industry
Percentage
Professional, scientific, technical and information services
21%
Manufacturing
20%
Government agencies
17%
Health care and social assistance
10%
Retail and wholesale trade, and accommodation and food services
10%
Educational services
8%
Real estate and leasing, and finance and insurance
8%
Transportation and warehousing
6%
Construction
5%
Administrative and support, and waste management and remediation services
4%
Utilities
4%
Note: n = 1,784. Percentages do not equal 100% due to multiple response options.
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Demographics: Organization Industry (continued)
Percentage
Arts, entertainment and recreation
3%
Mining, quarrying, and oil and gas extraction
3%
Religious, grant-making, civic, professional and similar organizations
3%
Repair and maintenance
3%
Agriculture, forestry, fishing and hunting
2%
Personal and laundry services
1%
Other industry
10%
Note: n = 1,784. Percentages do not equal 100% due to multiple response options.
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Demographics: Organization Sector
Publicly owned for-profit
15%
Privately owned for-profit
49%
Nonprofit organization
17%
Government agency
17%
Other
2%
Note: n = 1,696
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Demographics: Organization Staff Size
1 to 99 employees
16%
100 to 499 employees
35%
500 to 2,499 employees
24%
2,500 to 24,999 employees
25,000 or more employees
20%
6%
Note: n = 1,011
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Demographics: Other
Does your organization have U.S.-based
operations (business units) only, or does it
operate multinationally?
U.S.-based operations only
77%
Multinational operations
23%
n = 1,717
Is your organization a single-unit organization or a
multi-unit organization?
Single-unit organization: An organization in
which the location and the organization are
one and the same.
39%
Multi-unit organization: An organization that
has more than one location.
61%
n = 1,722
What is the HR department/function for
which you responded throughout this
survey?
Corporate (companywide)
69%
Business unit/division
15%
Facility/location
16%
n = 1,101
For multi-unit organizations, are HR policies and practices
determined by the multi-unit headquarters, by each work
location or by both?
Multi-unit headquarters determines HR
policies and practices
53%
Each work location determines HR policies
and practices
4%
A combination of both the work location and
the multi-unit headquarters determines HR
policies and practices
43%
n = 1,102
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SHRM Survey Findings: 2014 Older Workers Survey—
Recruitment and Retention
Funded by the Alfred P. Sloan Foundation
Survey Methodology
• Response rate = 9.9%
• 1,913 HR professionals from a randomly selected sample of SHRM’s membership participated
in this survey
• Margin of error +/-2%
• Survey fielded May-July, 2014
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About SHRM Research
For more survey/poll findings, visit shrm.org/surveys
For more information about SHRM’s Customized Research Services, visit
shrm.org/customizedresearch
Follow us on Twitter @SHRM_Research
Project lead:
Karen Wessels, researcher, SHRM Research
Project contributors:
Evren Esen, SPHR, director, Survey Programs, SHRM Research
Jennifer Schramm, GPHR, manager, Workforce Trends and Forecasting, SHRM Research
Yan Dong, intern, SHRM Research
Copy editor:
Katya Scanlan, SHRM Knowledge Center
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About SHRM
Founded in 1948, the Society for Human Resource Management (SHRM) is the
world’s largest HR membership organization devoted to human resource management.
Representing more than 275,000 members in over 160 countries, the Society is the
leading provider of resources to serve the needs of HR professionals and advance the
professional practice of human resource management. SHRM has more than 575
affiliated chapters within the United States and subsidiary offices in China, India and
United Arab Emirates. Visit us at shrm.org.
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About the Sloan Foundation
The Alfred P. Sloan Foundation believes that a carefully reasoned and systematic
understanding of the forces of nature and society, when applied inventively and wisely,
can lead to a better world for all. The Foundation makes grants to support original
research and broad-based education related to science, technology, and economic
performance; and to improve the quality of American life. Though founded in 1934 by
Alfred P. Sloan Jr., then-President and CEO of General Motors, the Foundation is an
independent entity and has no formal relationship with the General Motors Corporation.
The Foundation is unique in its focus on science, technology, and economic
institutions. It believes the scholars and practitioners who work in these fields are chief
drivers of the nation’s health and prosperity. In each grant program, the Foundation
seeks proposals for original projects led by outstanding individuals or teams.
http://www.sloan.org/
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