Older workers

As the demand for jobs in the hospitality industry increases and the traditional pool of employees under twenty-five decreases, it is normal to consider age groups that will increase in number as sources of potential future employees. One such group is the older worker.

A recent study in the food-service industry indicated that approximately 10 per cent of employees and 13 per cent of managers are over 50 years of age. Participation of those over 50 is highest in the institutional sector and lowest within fast-food units. These percentages are likely to increase as more of the US population is found in the older age categories.

US Census Bureau figures indicate that between 1982 and the year 2000 the population aged 55 to 74 is expected to increase 11.1 million, a jump of 31 per cent. In 1982 about one in every five persons was 55 or older. This ratio will be one in four by 2010 and nearly one in three by 2030. As more customers appear in the older age brackets, the presence of older workers will be a marketing tool to appeal to that segment.

At least half of all working adults express a desire to continue working past the standard retirement age. This desire is aided by changes in US Social Security Administration that allow those between 65 and 69 to earn more before benefits are affected. In 1989, seniors below the age of 69 can earn USD 6,000 before forfeiting USD 1 for every USD 2 over that amount. Employees between the ages of 65 and 70 can earn up to USD 8,160 before they are penalized. After the age of 70 there is no penalty. After 1990 the penalty will be reduced to USD 1 for every USD 3 over the allowed amount.

Recruitment of older employees is curtailed because of prejudice. Some of the persistent myths are:

There may indeed be performance slowdown in some older workers due to sensory and motor changes. This is an individual matter, however, and each person should be considered individually. Generally speaking, people age in a way consistent with the personalities they developed at an early age. Given a supportive climate, most people will choose to do things that give them a sense of self-esteem in a way consistent with their previously established values and concepts of life.

There is also a significant variation in health problems encountered with age. Overall, recent advances in medicine have resulted in healthier older people. As life expectancy continues to increase, older people actually have fewer serious illnesses per year than younger ones. Nearly all older people do have at least one chronic health problem, however. The most prominent are arthritis, hypertensive disease, hearing impairments and heart conditions. Despite this, 80 per cent of today's elderly conduct their lives with no restrictions caused by health problems.

Various studies have shown that major differences in productivity between younger and older employees are less likely than between different groups of younger workers. Some studies even suggest that the productivity of older employees is greater. Older employees have many characteristics that increase productivity. Older workers are more dependable, have lower absenteeism, are punctual, perform a high quality and quantity of work, show good judgment based on their past experience, interact well with others, and show greater motivation due to increased job satisfaction and less job-related stress. They also have fewer on-the-job accidents. One study of more than one million accidents from the early 1980s found that the accident rate for workers over the age of 60 was about half that of employees in their twenties.

Additionally they require less supervision. Food-service managers rated older workers' performance highest in the areas of emotional maturity, quality of work, and guest relations, though lowest in adaptability and creativity.

Older workers have also been rated as above average during training. They rate highest in terms of quality of work, self-confidence, and volume of work, but lowest in ability to adjust to changes in work demands and flexibility to adapt to new tasks. Older workers may require more training initially. Once trained, however, they tend to remain longer than younger employees.

To be successful, training should follow certain principles, according to the American Association of Retired Persons. It should be directly related to the job for which the person is being trained. It should be given only for jobs that the employee has a real chance of getting upon completion of the training. Hands-on training is much more effective than passive learning. Older people learn better through self-paced and individualized instruction. Short-term training also seems to work better than longer-term programs.

Older workers are difficult to reach for several reasons. First, if they have been out of the job market they probably will not be used to scanning newspapers for jobs. Second, they tend to think that job advertisements are for younger people even though age discrimination is unlawful. An outreach program is necessary. Employees close to retirement can be solicited regarding their interest in continuing full- or part-time work. Specialized organizations may be of assistance in contacting older potential employees. Examples are given at the end of this chapter.

Most national surveys indicate that older workers prefer part-time employment, phased retirement, and flexible work schedules. This finding was not supported, however, in a study of older workers in the food-service industry. It does, however, appear that older people identify themselves with pictures of people 8 to 15 years younger than themselves. To attract the older employee, therefore, it is advisable to feature in job advertisements and literature pictures of employees younger than the age group being sought.

The major reason that seniors want to work is social interaction, followed by having a purpose in life. It is important, then, to stress opportunities to interact with others on the job and let the seniors know that their experience is appreciated.

It is particularly important that the conditions of work and the benefits are clearly spelled out. While realizing that benefits for part-time employees will be less than for full-time workers, older employees are very concerned about health benefits to supplement their coverage in the event of illness. Because of the limit on earnings before Social Security is taxed, fringe benefits such as free or discounted meals and transportation are important in addition to health-insurance policies.

Three hospitality companies noted for their efforts with seniors are fast food restaurants McDonald's and Kentucky Fried Chicken and hotel company Marriott. The McDonald's McMasters program started in 1986 and at present operates in at least 17 cities. Seniors are recruited in groups of six, eight, or ten. By coming in as a group they already have a source of support to turn to for any assistance. The trainees work one-on-one with a job coach (a McDonald's manager on leave for a year) and participate in 15 to 20 hours of training a week. McDonald's specifically targets older employees to be salad makers, biscuit makers, hosts and hostesses, and even swing manager if the employee has previous experience.

Kentucky Fried Chicken developed the new position of part-time assistant manager to attract seniors who wanted stimulating part-time work and good fringe benefits. The managers receive medical and life insurance and paid vacations and holidays, in addition to a competitive salary.

The Marriott Corporation uses flexible work schedules, rotating shifts, and part-time positions to appeal to the older employee. In the company's fast-food restaurant the seniors work as host and problem solvers. After a training period of from one week to two months, they are assigned to a unit. For full-time employees, benefits include medical, life, and disability insurance, profit sharing, and stock purchases.

In summary, older workers represent a productive resource for hospitality companies. In an atmosphere that encourages the older employee, a company can gain by hiring dependable, productive employees who will also provide valuable role models for younger workers.