OLDER WORKERS AND INTERGENERATIONAL WORKPLACES: IMPLICATONS FOR
MANAGEMENT EDUCATORS
Josephine Bourke
Lecturer, Open Polytechnic of New Zealand
Josephine.bourke@openpolytechnic.ac.nz
Denis Bourke
Centre Manager, Open Polytechnic of New Zealand
Denis.bourke@openpolytechnic.ac.nz
OLDER WORKERS AND INTERGENERATIONAL WORKPLACES: IMPLICATIONS FOR
MANAGEMENT EDUCATORS
Increased workforce participation by older workers is an emerging reality. Older workers are
often perceived as reluctant learners unable to adapt to new technology, but both research
and empirical evidence suggest that this stereotyping is not valid. Where managers hold to
this view they create the reality of aged-based cohorting by denying older workers training in
technology, which in turn leads to reduced technological skills. Consequently, older workers
will be denied positions where technology skills are important. Yet, as producers and
consumers, older workers can only remain valuable economic contributors if managers better
understand how to encourage them to change and (re)train.
The limiting factors in developing workers are attitude and aptitude, not age. Discrimination
on age-related grounds can distract the debate from the real management issues around
maintaining a competent workforce. Training and development in the workplace is about
developing workforce skills. Managers cannot expect optimal performance in a changing
workplace unless investment is made in developing workers hand-in-hand with investment in
technologies. Stigmatising a worker cohort on the basis of age is counter-productive to this
process.
This paper reports an analysis made of relevant New Zealand Diploma in Business courses to
establish the extent to which learners are introduced to management of intergenerational
workplace issues. The conclusion reached is that no learning outcomes address these issues,
and raises the question of whether management educators are permitted sufficient flexibility
to introduce emerging workplace issues in this programme.
Keywords: Management, older workers, technology.
Introduction
Stereotypical attitudes exist across generations (Desmette & Gaillard, 2008; Erber & Long,
2006).
These stereotypes have fostered an environment which values a youthful workforce, and
accordingly there is a tendency to “…downgrade and discourage older workers…” (Patrickson &
Hartmann, 1995). Many workers experience ageism in the workplace (Davey & Davies, 2006),
despite this being illegal under New Zealand legislation (Department of Labour, 2009a). There is
further evidence of stereotypical cohorting of older workers as a group that is generally resistant to
change (Alpass & Mortimer, 2007; Department of Labour, 2001; Gray & McGregor, 2003; Knight,
2006). It seems often presumed that this resistance is purely a product of age, yet every older worker,
at one stage, was a younger worker.
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The findings of research undertaken by Goodmeasure Inc., an international consulting firm
based in Boston, Massachusetts, were distilled into ten common factors which cause resistance to
change, but none of these factors provide evidence that workers resist change simply on the basis of
their age (Kanter, 1985). The factors that might contribute to the perceived resistance in workers are
loss of control, loss of face, concerns for future competence, and past resentments that previous
change did not deliver the intended benefit to the workplace nor the personal reward that was
promised (Daft & Marcic, 2009; Devos, Buelens, & Bouckenooghe, 2007; Labianca, Gray, & Brass,
2000). Perhaps it is more of a matter of ‘...here we go again, another bunch of consultants telling us
we’ve got it wrong, who will raise a lot of dust and then disappear, leaving us to clear up’.
There is a paradox apparent in the attitude displayed by managers towards older workers. On
the one hand, despite professing to value their experience, reliability and loyalty (Loretto & White,
2006), many managers appear reluctant to hire older workers (Guest & Shacklock, 2005; Loretto &
White, 2006; Patrickson & Hartmann, 1995). On the other hand, because of the perceptions that older
workers are reluctant to change, managers fail to respect them or acknowledge their skills (ArmstrongStassen, 2008; Davey & Davies, 2006). Perhaps this paradox is explained by the fact that over the last
twenty years there has been a focus on downsizing workforces, and policies adopted have deliberately
encouraged older workers to exit the workforce (Armstrong-Stassen, 2008).
Currently demographic forecasts are driving debate on the sustainability and affordability of
pensions, with some claiming that the baby boomers are robbing the next generation. Various
solutions such as charging surtax on baby boomers to support their own generation, increasing the
pension entitlement age, and reducing pension incomes have been suggested.
Any of these
alternatives will force older workers to remain in the workforce for years beyond previously accepted
retirement ages. Older workers will therefore comprise an increasing factor in workforce intergenerational diversity into the future (Armstrong-Stassen, 2008; Davey & Davies, 2006; Guest &
Shacklock, 2005; Pillay, Kelly, & Tones, 2010; Statistics New Zealand, 2010).
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At present, there is no general agreement on the when a person becomes an older worker
(Claes & Heymans, 2008). However, a consensus is forming that people aged over 50 are more
generally regarded as ‘older workers’ (Department of Labour, 2009b; Dixon, 2009; Loretto & White,
2006; Morrow & McElroy, 1987). It is concerning that the outcome of this consensus might be that
“…from the moment they are categorized as “older workers”, individuals become potential targets for
prejudice…related to ageing…”. (Desmette & Gaillard, 2008). If such prejudice is permitted to
persist, then managers will either ignore, or fail to recognise, the huge resource in knowledge and skill
possessed by the older-worker cohort.
Given the reality of an ageing workforce, it is essential for managers to acquire the knowledge
and skills to balance the expectations of an inter-generational workforce. Management educators in
turn need to introduce discussion on intergenerational issues into their teaching curriculums. While
there is growing understanding of the dynamics involved in intergenerational workplaces, the concerns
and expectations of each generation cohort must be carefully managed. The New Zealand Diploma in
Business (NZDipBus) is designed to provide learners with opportunities to gain a broad range of
business knowledge and skills1. The qualification includes an option to specialise in studying
management, but little within the courses offered can claim to address the emerging management
problem of the intergenerational workforce. It is time for educators to consider introducing learners to
this emerging issue and for the NZDipBus to incorporate an intergenerational aspect into its
prescriptions for management studies.
METHODOLOGY
The prescriptions for NZDipBus management-related courses were examined to determine to
what extent, if any, they currently address intergenerational workforce issues. Four courses within the
NZDipBus programme were identified as addressing the management discipline, and therefore logical
vehicles for including discussion about intergenerational workplace issues. The four courses were:
530 Organisation and Management
1
Information from www.nzqa.govt.nz
4
630 Leadership
633 Human Resource Management
635 Employment Relations
Each course prescription was analysed to determine if any of the Learning Outcomes addressed agerelated workforce diversity. Version 2 of the NZDipBus no longer includes teaching notes or lists of
recommended resources such as textbooks in its published prescriptions. Therefore, a selection of
well-known textbooks which are relevant to the four courses was reviewed, to determine if they in turn
contained any discussion on intergenerational workplace issues.
RESULTS AND DISCUSSION
The analysis of the course prescriptions highlighted sections within the required learning
outcomes which could be expected to include discussion on intergenerational workplace issues. The
sections identified addressed workplace environment and organisational culture, leadership, change
management, and various aspects of managing people in organisations. Table 1 summarises the
sections of the learning outcomes in each of the four courses dealing with the management topics
likely to address age-related workplace issues.
Course
530 Organisational and
Management
Learning Outcome
3 (Environments – including organisational culture)
8 (Leadership, motivation and delegation)
630 Leadership
1 (Leadership)
2 (Culture and leadership)
4 (Applying leadership to change)
633 Human Resource
Management
1 (Relationship of HRM to organisation)
3 (Recruitment and Selection)
5 (Performance management)
7 (Legislative requirements)
635 Employment
Relations
1 (Key factors)
2 (The employment relationship)
Table 1: Management topics considered relevant to intergenerational workplace issues.
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Having identified logical areas in the prescriptions for the four courses where these issues
could be raised, the analysis found nothing in the learning outcome wording that gave any hint that
intergenerational workplace issues need to be discussed. Attention was then turned to the well-known
textbooks that had been identified as typical of the resources used by educators teaching the four
courses. The textbook review indicated that for the course 530 Organisation and Management a
typical textbook might be “Understanding Management” by Daft & Macic (2009). This is a dynamic
and interesting text, which introduces management learners to a wide variety of current issues,
including environmental, diversity, innovative and ethical goals (Daft & Marcic, 2009). This book
introduces the concept of intergenerational diversity, but it does not elaborate on the requirements of
managing older workers. The general thrust of its discussion appears little more than the statement that
“…generational diversity is a powerful force in today’s workplace, with employees of all ages working
together…”(Daft & Marcic, 2009, p. 20).
For the course 630 Leadership a suitable text to support learners is “Leadership” by Dubrin,
Dalglish and Miller (2006). This text includes much that would be useful to managers seeking to
improve their skills in managing diversity and understanding change. Change is covered in Chapter
14, where issues around organisational change are looked at in some detail, emphasising the
importance of leadership in managing change (Dubrin, Dalglish, & Miller, 2006). The text also
devotes Chapter 15 to managing for diversity, stating that “…valuing diversity (should be) embedded
in organisational strategy…” (Dubrin, et al., 2006, p. 443). However the emphasis of the chapter is
clearly aimed at cultural differences with no discussion on the intergenerational workforce.
633 Human Resource Management might typically use “Human Resource Management in
New Zealand” by Rudman (2010). There are several points at which discussion could be expanded to
include intergenerational issues. However, no specific study of older workers as a group is offered.
Critical human resources challenges facing managers outlined in the book include “…managing
demographics — adapting to a shifting age structure and the resulting loss in productivity and
capacity…” (p.30) “… The labour force aged 65 and over will rise …to…about 200,000 from the
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mid-2030s…” (Rudman, 2010, p. 33) and similar age-demographic observations can be found
elsewhere in the text. Nevertheless, the general tone in the book of dealing with an ageing workforce
seems to be one of encouraging retirement. Chapter 26 for example goes into detail on redundancy,
retirement, and preparation for retirement. Even though it is acknowledged that in a previous era
“…many competent people were forced to retire on reaching retirement age to leave jobs in which
they were still performing and contributing well,,,” (p. 332) the reader is then told that people are
encouraged “… to retire before the ‘normal’ retiring age as a way to reduce staff numbers or clear
succession or promotion blockages…” (p. 333).
The text book selected as suitable for 635 Employment Relations is “Employment Relations in
New Zealand” by Rasmussen (2009). This book is largely focussed on the structure and process of
employment relations as managed in New Zealand, with coverage of relevant legislation, bargaining
and negotiation. The text refers to equal employment opportunities, an area which would be of
importance to older workers. There is information on flexibility and labour market models which
might be relevant to workplace diversity (Rasmussen, 2009). It also covers the area of age
discrimination as part of the overall discussion of discrimination in the employment relationship, and
introduces the learners to the increasing participation of older workers, indicating that “…Continuing
discrimination on the basis of age and the demographic trend towards an older population and labour
force make the issue of age an important one…” (Rasmussen, 2009, p. 221).
It is reasonable to conclude at this juncture that current textbooks are beginning to address the
emerging issue of the ageing workforce, but the prescriptions for the NZDipBus have not yet
recognised the need for this learning. There are three areas which are logical points for introducing
inter-generational awareness in management education, being:
1. Motivation
2. Staff Training
3. Change Management
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Motivation
Motivation is an area which should include the concerns of older workers. According to
studies conducted by Claes and Heymans (2008), the motivational variables that drive employee
attitudes change over a working lifetime. If employees are to be equally valued by their organisations
then understanding the motivations behind older worker performance will be beneficial to
management (Claes & Heymans, 2008).
Staff Training
A general perception persists that older workers are difficult to train, are unable to cope with
technology (Gray & McGregor, 2003), or do not want to take part in training (Claes & Heymans,
2008). Interestingly, mentoring and coaching of junior staff is a function often undertaken by older
workers (Rudman, 2010). Australian data shows that people aged between 55 and 64 (older workers)
are the fastest growing users of information technology (Australian Human Rights Commission,
2010). Furthermore, the Committee for Economic Development in its study New Opportunities for
Older Workers (1999) found that appropriate training provided in a supportive environment can
greatly assist older workers to learn new technology systems (Australian Human Rights Commission,
2010). However, if managers hold what is an erroneous discriminatory view, then older workers will
be denied the training opportunities necessary to fully engage in the future workforce.
Change Management
The stereotyping of older workers as reluctant to change ignores the fact that older workers
have encountered an employment environment which has changed significantly since they began their
careers. The earlier clarity and reciprocity around employment relationships has become faded (Ng &
Feldman, 2008). Managers need to understand that any change needs to be well led, well
communicated, and inspired (Kotter, 2006) and provide people with an opportunity for control and
choice (Chua & Iyengar, 2006). This is particularly true in situations where employees are likely to
have experienced loss of trust previously, as they will need more encouragement to embrace current
change successfully (Devos, et al., 2007).
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Recommendations
The NZDipBus, has a stated purpose of providing learners with opportunities to gain a broad
range of business knowledge and skills. If this is to be fully met, then the learning outcomes should
provide opportunities for discussion of intergenerational workforce issues. Table 2 identifies the
points at which information about and discussion of intergenerational diversity could be introduced
into the learning outcomes of the selected courses..
Course
530
Organisational
and
Management
Learning Outcome
3 (Environments –
including organisational
culture)
8 (Leadership, motivation
and delegation)
Suggested inclusion
3 (Workplace age-diversity)
630
Leadership
1 (Leadership)
2 (Culture and leadership)
4 (Applying leadership to
change)
1 (Leadership and older workers)
2 (Organisational culture including age)
4 (Leading older workers through change)
633 Human
Resource
Management
1 (Relationship of HRM to
organisation)
3 (Recruitment and
Selection)
5 (Performance
management)
7 (Legislative requirements)
1 (HRM and intergenerational workforces)
1 (Key factors)
1 (Understanding employment relationships in
intergenerational workplaces)
2 (The employment relationship with diverse
workforces)
635
Employment
Relations
2 (The employment
relationship)
8 (Motivating intergenerational employees –
particularly older workers)
3 (Recruiting and retaining older workers)
5 (Performance management of older workers)
7 (Legislative requirements)
Table Two: Expanded learning outcomes for intergenerational issues.
Limitations and suggestions for future research
This study concentrated on analysing current NZDipBus prescriptions (and a selection of
textbooks) for the four management-related papers. Further research could expand this study by
considering whether NZDipBus management educators are adopting the principle of ‘what is
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measured is what is managed’ (in regard to New Zealand Qualification Authority moderation
processes), rather than taking initiative to introduce learners to emerging issues such as
intergenerational diversity.
Should the current proposal to develop the NZDipBus into a three-stage qualification be
accepted, then introducing a paper devoted to intergenerational issues at the advanced stage is
warranted.
Conclusion
The early years of the 21st century have seen some consolidation of attitudes. The apparent
increase of cynicism of employees and mistrust of managers may be contributing to a lack of desire to
change. It also indicates a lack in management abilities. Gaining the trust of staff when change is
needed, will be a particular challenge for managers when dealing with older workers whose earlier
change experiences have been unsatisfactory. Managers must be equipped with the skill to approach
future change management initiatives with a clear understanding of intergenerational factors. The
ageing workforce is an unavoidable reality, and therefore managers cannot afford to allow the human
resource potential of older workers to be ignored or wasted.
Current NZDipBus prescriptions and learning outcomes do not address the emerging issues
around intergenerational workplaces. As a national qualification the NZDipBus needs to recognise the
reality of an ageing workforce and include enough flexibility for management educators to introduce
information and discussion for learners about the implications of increasing workplace age diversity.
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