Analyzing the Impact of an Aging Workforce

As the global population ages and birth rates decrease, economies worldwide face the challenge of retirees leaving the labour force. This exodus, combined with the effects of the pandemic, has the potential to exacerbate an already large skills gap. To address this challenge, employers and experienced STEM professionals need to work together to protect and share specialist knowledge and skills.

This is according to a new report from SThree, titled ‘How the STEM World Evolves’. The study, based on over 2,300 permanent and contract workers in STEM disciplines, shows that third biggest challenge affecting STEM professionals’ careers is the ageing workforce.

The World Health Organization predicts that by 2030, one in six people will be aged 60 or over. By 2050, this figure is expected to hit 2.1 billion.

The report reveals a mismatch between what matters to STEM professionals in their jobs and how happy they are with these elements. The ‘satisfaction-importance gap’ highlights that over 50s are less likely to look for a new job, but are more likely to be dissatisfied with their working life than their younger counterparts.

Furthermore, the research highlights that employers need to focus on how to harness and protect the valuable skills and experience of older workers. This includes offering better pay, benefits, and job security, as well as improving pay transparency and fairness.

John Nesbit, CEO of SThree, commented: “Our study gives us unique insight into the minds of STEM professionals, so we can better understand what the future holds for the world of STEM. To retain and bolster the STEM talent pipeline, employers need to focus on meeting the needs of different generations in the workforce. This includes understanding what people want from their roles and implementing upskilling initiatives or knowledge transfer programmes to preserve specialised skills.”