The composition of today’s workforce is evolving, with multiple generations now working side by side, prompting a reevaluation of rewards and benefits programmes.
As highlighted by the CIPD, the proportion of the UK workforce over the age of 50 has increased to 32.6%, up from 21% in the early 1990s. Despite the rise in "silver workers," older individuals often face greater hurdles in securing employment compared to other age groups, largely due to employer bias, discrimination, or a lack of readiness to address their unique needs.
Taking age into account when designing employee benefits packages can help businesses attract a diverse talent pool, promote an inclusive environment, and benefit from the strengths of a multi-generational workforce.
What are the benefits of an age-diverse workforce?
Age-diverse teams are valuable because they unite people with various skill sets, networks, and perspectives. This combination of well-earned wisdom and youthful enthusiasm can yield significant benefits, including improved decision-making and enhanced performance.
Companies with diverse teams are more likely to deliver higher financial returns than those without, while studies show that being part of a mixed-aged workplace can increase motivation and loyalty.
To leverage the potential of a multi-generational workforce, companies should design a flexible reward and benefits strategy suitable for the full spectrum of age groups.
So, how do you do this while meeting the differing expectations of Baby Boomers, Gen X, Millennials, and Gen Z?
Start by looking for where their needs overlap. Here are the three cornerstones you should implement for an effective, age-diverse benefits package.
Key components of an effective age-diverse benefits programme
1. Flexibility matters, no matter the age
As we age, our priorities shift, and they don’t always fit neatly into the traditional 9 to 5. Whether it’s caring for young children or older relatives, balancing work and studies, or managing a chronic illness or disability, flexibility can be crucial to employee well-being and satisfaction.
If you're one of the 24% of companies not offering flexible working, you could see a multi-generational talent exodus. According to CIPD, over 4 million people have changed careers due to a lack of flexibility at work.
Outcome: Introducing flexible working arrangements like flex-time, hybrid and WFH options, or compressed workweeks helps attract and retain an age-diverse workforce.
2. Support mind and body across generations
Many popular employee health and wellbeing benefits focus on current lifestyle habits (eating better, exercising more, practising mindfulness). However, as more people work later in life, benefits must also consider certain age-related events.
Employees encounter different challenges as they age, and your benefits package needs to be tailored to help them overcome these challenges when they arise.
Support for potentially severe and life-changing circumstances, such as pregnancy loss, chronic health conditions, disabilities, and menopause transition, should be offered alongside standard workplace health benefits.
Outcome: Demonstrating that you’re set up to support employees as they age could boost loyalty and help you retain talent during tumultuous life events.
3. Remove the taboo from money talk
While wealth is a contentious issue between generations, not talking about money is a uniting characteristic—and one of the biggest obstacles to financial wellbeing.
Many older people still think that talking openly about money is taboo. Meanwhile, younger people often avoid speaking about money due to a lack of experience.
Your benefits package should break this taboo and relieve stress surrounding money by offering education and advice to improve financial literacy. For example, calculation tools could help employees check current pension contribution levels and forecast retirement income, while jargon-free guides could explain complicated terminology.
Outcome: Workers who can manage their finances tend to be healthier, happier, and more engaged, which can lead to higher productivity levels.
The future of rewards and recognition for an age-diverse team
With greater age diversity comes greater responsibility for a reward and benefits strategy that ticks the right boxes. Catering to different demographic groups and generational needs will mark you as a progressive company of choice.
FlexGenius is a flexible benefits platform that incorporates all your employee benefits in one place. The customisable software allows you to tailor programmes to a multi-generational workforce and adapt them as your employee demographic evolves.
If you’d like to join companies experiencing increased employee engagement and retention by offering thousands of benefits, sign up to FlexGenius today.
To find out more about FlexGenius or book a demo of our leading flexible employee benefits software solution, book a demo now or visit our contact page or give our team a call on 0800 652 4745.
This article was first published on the REBA website. FlexGenius is a member of REBA, the Reward and Employee Benefits Association.
