4 ways to retain older workers and boost the global economy

My 80-year-old father still works. He’s healthy and enjoys the challenge of leading a company, though he has adjusted his schedule to include a midday walk and the occasional nap.

Like many seniors, his knowledge is invaluable. But he is a rarity in that he is both elderly and seen as a valuable asset in the workforce.

Many companies don’t even consider tapping talent like my father — despite a persistent and widening labour shortage across several key sectors, including healthcare, tech and education, one that’s expected to worsen in coming decades as the population ages and birthrates decline in many countries.

By 2050, the global population of those 65 or older will reach 1.5 billion, nearly double the 2020 level, according to the United Nations.

If more seniors worked longer and stayed healthier, it could offset the demographic drag of an ageing population and push global GDP noticeably higher, according to the Organization for Economic Cooperation and Development (OECD).

Similarly, cutting in half the decline in employment between ages 50 and 65 could boost the UK’s GDP by 4% annually, says Andrew J. Scott, director of economics at Oxford’s Ellison Institute of Technology and the author of the 2024 book The Longevity Imperative.

In my consulting work with large global firms, I see strong focus on Gen Z workers, which is appropriate. But older talent is often overlooked — especially women, who are more likely to report sex discrimination, according to numerous reports.

Of course, many older employees leave the workforce prematurely because of poor health, redundancy, caring responsibilities or age discrimination. Much of this can be addressed if business and government leaders focus on four key areas: providing flexible work arrangements, providing access to lifelong learning (especially artificial intelligence training), ensuring fairness, and preventing disease and promoting wellness.

Businesses that offer flexible hours, phased retirement and part-time positions enable experienced employees to remain productive — and save themselves money. The impact varies by industry but typically reduces employee turnover by 25% to 35%, according to multiple studies.

Flexibility is the most important factor for people aged 50 to 64 when choosing a new job, according to the 2025 annual survey by Randstad.

It’s also a priority for my father, who attends all his grandchildren’s concerts, whether they are the star performer or the back end of a horse.

Ongoing education keeps the brain agile, increases employability and boosts self-esteem. It is also a necessity as AI changes the workplace and required skills. Nearly 59% of the global workforce will need reskilling or upskilling by 2030 to keep up with technological changes, according to the World Economic Forum’s Future of Jobs Report 2025.

Seniors risk falling behind. The percentage of Gen Z employees now using AI at least three to four times a week at work has risen 34 percentage points since August 2023 to 58%, while the number of boomers not using the technology climbed 10 points to 45%, according to new global survey data from the Oliver Wyman Forum. Yet the desire to learn is also growing: 27% of boomers now want training, compared to 8% in 2021, according to the Oliver Wyman Forum research. Similarly, 30% of Gen X — those born between 1965 and 1980 — say they want training, up from 15% in 2025.

One big issue is access. Only a quarter of all employees and 17% of boomers say they have access to learning opportunities. Companies and businesses can reverse the trend by providing more upskilling and by identifying Gen Z superusers who can train other colleagues.

Despite numerous laws against age discrimination, ageism is widespread and strongly correlates with digital exclusion. Business and government can do more to foster equality in the workplace by instituting robust anti-discrimination internal policies, adopting and enforcing equal pay and pay transparency measures, and providing the training and mentorship programmes that seniors seek.

A growing number of companies are benefiting from these types of programmes. A large bank, for example, has been able to retain older workers by offering “life-stage” benefits that help employees avoid early retirement for family responsibilities or health issues. These include paid time off to support a new grandchild and sabbaticals to reward long-tenured employees and prevent burnout. Another bank has a reverse mentoring programme that pairs senior executives with millennials and Gen Z colleagues. While the programme helps seniors improve their tech and AI skills, it also gives them different perspectives and helps retain younger employees.

If society wants seniors to remain employed, business and government leaders need to help them stay healthy. The medical system currently focuses too much attention on illness and not enough on prevention, which is especially important as people live longer.

Countries like Japan and Singapore help seniors stay healthy with coordinated policies that combine healthcare, housing, urban design and social engagement. The UK has some big assets to make improvements, including Our Future Health, a public-private collaboration that is trying to enlist five million people in a project to develop new ways to prevent, detect and treat diseases. They hope that the data will help scientists spot early signs of disease, which could lead to better screening and care.

Business and society need to toss the stereotypes and stop underestimating the capacity of older people. There are many stages of ageing, just as there are multiple phases of childhood. Some seniors want cruises, while others are eager to hike mountains. Not every senior must or wants to work. The goal is to remove barriers so that those who can or must continue can work productively and securely.

The benefit is clear: Increased employment of older workers would raise output, broaden tax receipts and decrease pressures on pensions. The social return is also significant. Prolonged participation provides people like my father with purpose.