Older employees face unique challenges in today’s workforce.
Let’s explore some of those key challenges:
🔹 Retirement Planning
Older employees are currently making critical decisions, especially regarding new tax regulations. The decision of whether to trigger the new capital gains tax before June 2024 can significantly impact retirement planning for older employees with multiple residences.
🔹 Discrimination
Older employees often face discrimination and unfair conclusions about their productivity and ability to adapt to new technologies and procedures.
These individuals will have a harder time securing employment if they find themselves in market. Companies may be reluctant to invest in training someone who may retire soon.
🔹 The High Rate Environment
Given the high rate economic environment we’re in, many Boomer employees have cause for concern that they’ll be pushed out, or “involuntarily retired.”
Older employees are often longer-serving, which means they’re likely to have higher compensation.
One common tactic is offering a reduced workweek to older employees, a form of constructive dismissal that allows employers to terminate employees at lower costs.
While older generations still in the workforce may face unique challenges, their legal protections are there to protect them against discrimination or aggressive tactics to push them out. They should be aware of their rights in these situations. Employers, on the other hand, should be mindful of the value of their experience, and the legal consequences of discriminatory practices.
As always, contact us to get excellent advice.