Post by Banjo on May 31, 2013 12:53:28 GMT 7
Greedy pensioners? Far from it
There is strong evidence that older Australians have the skills, knowledge, and desire to contribute in the Australian workforce. So why are so many denied the opportunity? Susan Ryan says unfounded negative stereotypes undermine great economic potential.
Older Australians are commonly perceived as an economic burden on younger generations. They are typecast as unable to learn or up-skill, highly dependent, likely to be sick and exorbitant spenders of public funds, especially in the areas of aged care and health services.
However, this portrait of greedy senior pensioners spending the hard-earned dollar of younger generations is simply not an accurate reflection of reality. Evidence shows that many older Australians want to contribute and indeed do continue to contribute to the Australian economy and community in meaningful ways.
One in three Australians over the age of 55 is in paid employment -approximately 1.9 million people - a figure projected to rise by nearly 50 per cent over the next 40 years.
Older Australians are also actively involved in unpaid voluntary work. Australian volunteers contribute approximately 700 million hours of unpaid work to the community every year. The University of Adelaide has calculated the economic value of this voluntary work to over $200 billion. Older Australians currently contribute the highest number of volunteer hours of any other age group with one in four Australians aged 65+ participating in voluntary work.
Women alone in the 65-74-year age group contribute $16 billion per year in unpaid care-giving and voluntary work. It is very difficult of course to attribute a monetary value to care-giving. The time and effort spent in supporting family and friends who are aged, ill or living with disability is both a necessity to those receiving the care and crucial to the sustainability and well-being of society as a whole.
The stereotype of older Australians as passive receivers of assistance also fails to recognise the reality of intergenerational financial transfers - which predominantly flow from older Australians to younger family members. A 2012 study conducted by the University of Adelaide for National Seniors found that the majority of financial transfers flow from older people to younger generations - a staggering 72 per cent compared to 5 per cent up-flow. Older Australians also provide practical assistance in various forms, such as babysitting grandchildren, which amounts to the monetary value of approximately $50 billion every year.
Yet, despite the enormous contribution of older Australians to paid and unpaid work, to their families, to local communities and to the Australian economy, negative social stereotypes are preventing older Australians from reaching their full potential and maximising their contributions.
New research I will be releasing next month has unveiled a host of negative stereotypes and misconceptions about older people in Australia. And, based on these negative stereotypes, one in 10 Australian businesses has said that they will not hire anyone over the age of 50.
But the reality is that many older Australians want to work. National Seniors Australia reported that in 2009 nearly 2 million older Australians were willing to work, could be encouraged to work, or were unemployed and looking for work. However the ABS found that for 18 per cent of people aged 55 years and over, the main difficulty in finding work is being 'considered too old by employers'.
There is no good reason why many older Australians shouldn't be working. Contrary to stereotypes, Ian Hickie of the University of Sydney Brain and Mind Research Institute has said that "the brains of many modern 65 to 75 year olds are in pretty good shape compared to previous generations – and often too young to be retired".
Despite this, nearly 80 per cent of people aged 65 receive social security in the form of the full or part Aged Pension. Approximately 55 per cent are wholly dependent on the pension. This is putting pressure on our economy and our health system.
An ageing population means increased costs and a greater demand for health services. A similar story applies in East and South-East Asia, where working-age populations are expected to change dramatically in the next 10 years.
Research has shown that people staying in the workforce past retirement age have better health status compared with those not working. Maintaining a healthy and active older generation that is able to generate capital through work is the most sustainable way to grow Australia's economy. A mere 5 per cent increase in paid employment of Australians over the age of 55 has been estimated to create a $48 billion boost to the economy every year.
It is time to stop stereotyping older people. Negative stereotypes undermine the economic potential of older people and create tensions between the young and old. This is not productive - it is misleading and divisive.
What is productive is to harness the skills, knowledge and experience of the 2 million or so older Australians who are ready, willing and capable of working and contributing positively to the economy.
Susan Ryan is Federal Age Discrimination Commissioner
www.abc.net.au/unleashed/4724970.html
There is strong evidence that older Australians have the skills, knowledge, and desire to contribute in the Australian workforce. So why are so many denied the opportunity? Susan Ryan says unfounded negative stereotypes undermine great economic potential.
Older Australians are commonly perceived as an economic burden on younger generations. They are typecast as unable to learn or up-skill, highly dependent, likely to be sick and exorbitant spenders of public funds, especially in the areas of aged care and health services.
However, this portrait of greedy senior pensioners spending the hard-earned dollar of younger generations is simply not an accurate reflection of reality. Evidence shows that many older Australians want to contribute and indeed do continue to contribute to the Australian economy and community in meaningful ways.
One in three Australians over the age of 55 is in paid employment -approximately 1.9 million people - a figure projected to rise by nearly 50 per cent over the next 40 years.
Older Australians are also actively involved in unpaid voluntary work. Australian volunteers contribute approximately 700 million hours of unpaid work to the community every year. The University of Adelaide has calculated the economic value of this voluntary work to over $200 billion. Older Australians currently contribute the highest number of volunteer hours of any other age group with one in four Australians aged 65+ participating in voluntary work.
Women alone in the 65-74-year age group contribute $16 billion per year in unpaid care-giving and voluntary work. It is very difficult of course to attribute a monetary value to care-giving. The time and effort spent in supporting family and friends who are aged, ill or living with disability is both a necessity to those receiving the care and crucial to the sustainability and well-being of society as a whole.
The stereotype of older Australians as passive receivers of assistance also fails to recognise the reality of intergenerational financial transfers - which predominantly flow from older Australians to younger family members. A 2012 study conducted by the University of Adelaide for National Seniors found that the majority of financial transfers flow from older people to younger generations - a staggering 72 per cent compared to 5 per cent up-flow. Older Australians also provide practical assistance in various forms, such as babysitting grandchildren, which amounts to the monetary value of approximately $50 billion every year.
Yet, despite the enormous contribution of older Australians to paid and unpaid work, to their families, to local communities and to the Australian economy, negative social stereotypes are preventing older Australians from reaching their full potential and maximising their contributions.
New research I will be releasing next month has unveiled a host of negative stereotypes and misconceptions about older people in Australia. And, based on these negative stereotypes, one in 10 Australian businesses has said that they will not hire anyone over the age of 50.
But the reality is that many older Australians want to work. National Seniors Australia reported that in 2009 nearly 2 million older Australians were willing to work, could be encouraged to work, or were unemployed and looking for work. However the ABS found that for 18 per cent of people aged 55 years and over, the main difficulty in finding work is being 'considered too old by employers'.
There is no good reason why many older Australians shouldn't be working. Contrary to stereotypes, Ian Hickie of the University of Sydney Brain and Mind Research Institute has said that "the brains of many modern 65 to 75 year olds are in pretty good shape compared to previous generations – and often too young to be retired".
Despite this, nearly 80 per cent of people aged 65 receive social security in the form of the full or part Aged Pension. Approximately 55 per cent are wholly dependent on the pension. This is putting pressure on our economy and our health system.
An ageing population means increased costs and a greater demand for health services. A similar story applies in East and South-East Asia, where working-age populations are expected to change dramatically in the next 10 years.
Research has shown that people staying in the workforce past retirement age have better health status compared with those not working. Maintaining a healthy and active older generation that is able to generate capital through work is the most sustainable way to grow Australia's economy. A mere 5 per cent increase in paid employment of Australians over the age of 55 has been estimated to create a $48 billion boost to the economy every year.
It is time to stop stereotyping older people. Negative stereotypes undermine the economic potential of older people and create tensions between the young and old. This is not productive - it is misleading and divisive.
What is productive is to harness the skills, knowledge and experience of the 2 million or so older Australians who are ready, willing and capable of working and contributing positively to the economy.
Susan Ryan is Federal Age Discrimination Commissioner
www.abc.net.au/unleashed/4724970.html
