February 19, 2018
The key to tackling future economic challenges is to harness the ageing workforce
Providing American seniors with better work incentives and opportunities will be crucial for the United States to meet the challenges of its rapidly ageing population. By 2028, more than one in five Americans will be aged 65 and over, up from fewer than one in six today, according to a new OECD report. Working Better with Age and Fighting Unequal Ageing in the United States finds that employment rates among older workers in the United States are above the average across OECD countries. In 2016, 62 percent of all 55-64 year olds were employed compared with the OECD average of 59 percent. However, employment rates are much lower among the ageing workforce. Early retirement is prevalent among workers from vulnerable socio-economic backgrounds, often occurring as soon as Social Security benefits become available at age 62. Poverty among seniors is a challenge: more than 20 percent of peopled aged 65 and over have incomes below the relative poverty line – defined as half of the median disposable household income – compared with the OECD average of less than 13 percent.
Demand for labour is likely to remain relatively strong in the near-term which is one of the main reasons why employers support a national approach to tackling the UK’s skill and labour shortages post-Brexit, in comparison with a regional or sectoral one. According to the latest quarterly Labour Market Outlook from the CIPD and The Adecco Group the preference for a national labour or skills shortage occupation scheme reflects the main reason given by organisations for employing EU nationals, which is that they have difficulty finding local applicants to fill lower skilled roles, as cited by 18 percent of employers. The national survey of more than 2,000 employers found that the relative majority of employers (41 percent) would prefer a UK-wide immigration system that is based on national labour or skill shortage occupations in the likely event of migration restrictions once the UK leaves the European Union. In contrast, around one in ten (13 percent) favour a sector-based policy and just 5 percent would back a regional policy.
A third of workers (32 percent) regularly struggle to be productive in their job, and one in six (16 percent) blame their manager – claims a new survey from ADP. This puts bad management ahead of inefficient systems and processes (15 percent) and staff shortages (13 percent) as the biggest drain on productivity in the UK workplace. The UK has been grappling with low productivity levels for a number of years, consistently placed behind other leading economies, such as Germany and the US in official productivity tables. While recent ONS figures suggested a recovery is underway, reporting 
Less than a quarter (23 percent) of employees feel completely informed about the values of the organisation they work for and just 19 percent of employees feel completely informed about their employer’s corporate mission claims a new survey by Reward Gateway. These statistics are even more problematic when you consider that 83 percent of employers say it’s critical to the success of their business that employees understand their mission. Recognition is one of the key drivers needed to ingrain employees with a company’s values and corporate mission, however, 40 percent of employees don’t agree that their employer recognises them when they demonstrate the values their company cares about. Furthermore, the study has found a break-down of communication and trust between employees and their employers. 81 percent of senior decision makers say that their organisation is transparent with employees about how they plan to achieve the company mission. However, only 22 percent of employees say they strongly agree that they trust their employer to communicate information openly and honestly.
Most people who work in HR now recognise how essential technology is for delivering more strategic value to their organisation, but a new report suggests that HR teams are not prepared to meet the 
Concern amongst small and medium sized enterprises (SMEs) regarding the current economic climate fuelled by worries over a Brexit-related skills shortages, is at a three-year high, according to the latest Zurich SME Risk Index. It now sits at 56.38, indicating almost a 2 percent rise in perceived risk since Q1 2016 (55.43), and more than 3 percent higher than in October 2016 (54.55). SMEs attitudes towards economic growth, presently sits at a four-year low – with just two in five (40 percent) businesses confident that the UK economic situation will improve over the next 12 months. Similarly, the results regarding SMEs attitudes towards the international trade environment, reveals concern regarding overseas competition and currency rate fluctuations being at its highest in four years at 45.49. Equally, workforce challenges, namely the availability of skills and talent, is also an increasing concern for smaller businesses. Two in five (40 percent) SMEs now see workforce challenges as a major concern for their business; a rise of 8 per cent since October 2016, indicating that political issues are a major influence on the current attitudes of business owners in the UK.
