Home National Australia faces a skills shortage, yet there’s a particular group that employers hesitate to hire.

Australia faces a skills shortage, yet there’s a particular group that employers hesitate to hire.

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Recent findings highlight a concerning trend in Australian workplaces, where age bias is causing employers to overlook both older and younger employees. According to a newly released joint report by the Australian HR Institute (AHRI) and the Australian Human Rights Commission, nearly 25% of HR professionals now consider workers aged 51-55 as "older," a significant rise from just 10% in 2023. This shift indicates that many employers are neglecting experienced talent in an economy already facing skills shortages.

Despite the fact that over half of employers (55%) struggle to fill vacancies, only 56% remain open to hiring workers aged 50-64, with the number dwindling to a mere 28% for those aged 65 and above. Alarmingly, 18% of employers outright refuse to consider this cohort. Similarly, younger jobseekers, particularly those aged 15-24, face challenges, with only 41% of employers willing to hire them.

Sarah McCann-Bartlett, CEO of AHRI, noted that existing recruitment practices unfairly disadvantage both older and younger candidates, with one in five HR professionals admitting their practices adversely affect older workers and 23% acknowledging the same for younger workers. The report, titled Older and Younger Workers: What Do Employers Think?, represents the fifth survey conducted by AHRI and the Commission, drawing responses from approximately 150 HR professionals across various sectors.

Robert Fitzgerald, Age Discrimination Commissioner, emphasised the necessity for sustained efforts to combat ageism. He asserted that diverse age groups within teams can provide unique perspectives that enhance problem-solving capabilities. Employers should focus on creating inclusive environments that assess competencies without age-related biases, thereby allowing individuals of all ages to engage in fulfilling work and help address skills shortages.

The report also revealed interesting perceptions about skills related to age. Older workers often ranked higher in loyalty (74%), reliability (64%), and stress management (62%), yet were seen as lacking in technology and ambition compared to younger workers. Merely 1% of respondents believed that older workers had superior tech skills, and only 7% felt they had greater energy levels. Conversely, younger workers were rated lower on reliability (1%), loyalty (2%), and stress handling (2%), despite being recognised for their energy and tech-savviness.

Notably, almost 60% of respondents stated that the exit of older personnel has resulted in a significant loss of critical skills, with only 13% indicating that their organisations effectively capture such knowledge. Fitzgerald pointed out the damaging dual bias against both ends of the age spectrum, ultimately undermining diversity and productivity in the workplace.

These findings are particularly pertinent as the federal government prioritises productivity in its agenda. Prime Minister Anthony Albanese plans to hold a productivity round table in August to explore expansive economic reforms.

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