The Financial Services Council and the Commonwealth Bank released the FSC–CBA Older Workers Report yesterday. The report has found that the notion of retiring at 60 is becoming unrealistic, with 76 per cent of 60–69 year olds and 57 per cent of 70–75 year olds still willing to work.
Financial security and not having enough money to retire were the two biggest factors influencing Australians over 60 to continue working. This reinforces the findings of the 2015 Intergenerational Report, which suggests Australians will need to work longer in order to maintain financial health.
The 2015 report also saw a significant shift in age discrimination towards older workers with 13 per cent of respondents reporting age-based discrimination in the workplace compared with 28 per cent in 2012.
“People in that age group are starting to realise they literally do not have enough money to sustain that level of income in retirement,” said the Commonwealth Bank’s General Manager Retirement Nicolette Rubinsztein.
“Supporting older workers in the workforce is paramount to addressing our longevity challenges and maintaining the health of our retirement system,” said Rubinsztein.
“We are beginning to see a positive shift in how society and the workplace values older workers” said Financial Services Council Chief Executive Sally Loane. “Employers are increasingly embracing the unique skills and experience that older workers contribute and are introducing programs to train and retrain mature staff.”
The latest figures released in the FSC–CBA Older Workers Report yesterday probably won’t shock anyone. Many older Australians who face an uncertain entitlement future are willing to work longer to sure up their retirement as they continue to live longer lives than any previous generation.
The introduction of compulsory superannuation has, to an extent, eased the financial burden of retirement, but the average Australian will still need to work well into their 60s and potentially even 70s if they wish to maintain a comfortable retirement.
If older Australians are to continue to work longer, then it is imperative that the problem of age discrimination in the workplace is addressed, so that mature employees can continue to work in a comfortable and accepting environment.
Are you still working or plan to work into your 60s and 70s? If so, what motivates you to continue working? Do you enjoy working at your age and stage of life? When are you looking to retire, if at all?