Third Age Guidance: Research Into Guidance Needs And Methodologies

IAEVG International Conference 'Careers in Context: new challenges and tasks for guidance and counselling' Venue: University of Lisbon, Portugal Date: 14-16 September 2005

Third Age Guidance: research into guidance needs and methodologies © Dr Pamela Clayton, University of Glasgow This paper is dedicated to the memory of my uncle, Geoffrey Palmer, who died this year at the age of 92. Although he was in poor health, he was still writing and selling books right up to the end. Abstract Despite still widespread unemployment in Europe, there is a growing shortage of labour, due partly to the ageing of the population and discrimination against older people (from age 45 or even earlier in some industries - here referred to as ‘Third Agers’) both in and out of employment. Such discrimination is now outlawed but many third-agers have become discouraged or do not know how to make their careers more secure. Vocational guidance, therefore, is needed in order to help them reintegrate into the labour force and manage their careers effectively. For this reason, a European project, part-funded by the Leonardo da Vinci Programme, is currently exploring the guidance needs of this heterogeneous group and collecting guidance methodologies which have been used successfully. This research is currently being carried out by seventeen partner organisations in twelve countries. The paper will present the initial research findings generated by the partnership, in terms of defining older workers, their labour market situation and participation in learning, and the current availability of appropriate vocational guidance. It is based on recent research carried out in Austria, Denmark, France, Germany, Iceland, Spain, Sweden and the United Kingdom.

Third Age Guidance: research into guidance needs and methodologies: P Clayton 2005

1 Introduction The focus of this paper is on the labour market and the term 'work' is here used to refer to paid work, through either employment or self-employment, and is chosen purely for convenience. This usage is not meant to imply that other forms of activity, such as caring, housework, do-it-yourself, exchanging services, voluntary work and so on, are not 'real' work – they are, and they add substantially to the health of a country, its economy and its people. Other forms of 'real' work include 'informal' work (in practice, often exploited, low paid and unprotected, and in some cases indistinguishable from slavery, such as forced prostitution) and illegal activity, which detract from well-being. The kind of work our project team believes that older people in need of an income – just as much as younger people – deserve paid work in the legal economy that meets their individual needs, capabilities, desires and aspirations. A group which faces a particular challenge for guidance is that of the 'Third Agers', a term used in this paper for people above a certain (indefinable) age and still in work or seeking work. One aim of this paper is to show that older people are characterised by heterogeneity in terms of social variables – without even mentioning personality, aspirations, family situation, interests and all the other factors that make each person unique. Another is to highlight the particular difficulties of older people in the labour market. 2 Who are the 'Third Agers'? Everywhere in Europe, and in many cases beyond, life expectancy has increased as the birth rate has fallen, leading to an increased proportion of the population in the higher age ranges. We can conceptualise at least four 'ages of man' (pace William Shakespeare): •

the 'First Age', up to the end of formal education (whether primary school or postgraduate);

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the 'Second Age', of potential membership of the labour force;

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the 'Third Age', or the later stages of active life;

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and the 'Fourth Age', of frailty and greater dependency.

It is, however, difficult to define the Third Age and to draw the boundaries between it and the Second and Fourth Ages. The Third Age is variously described as 'older people', 'seniors', 'the elderly' and 'aged workers'. A more interesting definition is 'people in extended middle age', which reflects

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Third Age Guidance: research into guidance needs and methodologies: P Clayton 2005

changing perceptions of what 'old' means in terms of chronological age (Gray 2004). The 'working professional grandmother' is a good example of this. The age at which people are considered 'old' varies greatly, according to the way official statistics are presented, sector and labour market status. In some occupations, such as computer engineering, 35 is considered old; in others, such as politics, 60 may be rather young. Between 45 and 50 is a commonly-used boundary between the Second and Third Ages, but as Plant (2004) points out, an unemployed person might enter the Third Age after 45 whereas someone entering their final professional phase might be considerably older. In both Denmark and Sweden the main boundary appears to be 55, whereas in Spain it is 45. As for the boundary between the Third and Fourth ages, this may be as late as 80 or more, depending on when formal work ceases. And who is to say that a retired 70-year-old who has an active life outside the labour market has entered the Fourth Age? So there is no consensus and no 'magic age' at which one becomes 'old' or even 'older' … A more helpful approach is that of one partner who believes that they are 'persons who at some point of their careers have changed their social or labour condition (or somebody has done so for them) into a more senior status' (Jacobo Moreno, by email, 31.05.05). This is an important point, also well expressed in the following quotation: 'It is often the behaviour of others that makes a person more conscious of his or her own age' (IBW-Euroinstitut 2005). It is not only a question of how old you feel but also of how old others make you feel, and the power of others to translate their perceptions in concrete reality in terms of the labour market – in other words, through age discrimination. This exists not only in employment but also through discourse, notably in the media. Older people are often seen as a 'problem group' and this can become a self-fulfilling prophecy. One thing is clear from the disparate range of ages considered as Third Age: chronological age itself has limited significance (IBW-Euroinstitut 2005). The next section will demonstrate the importance of other variables and the heterogeneity of the Third Age group. 3 The labour market situation of Third Agers 3.1 Those still working In Sweden, 79% of those aged 55-64 are working, with little difference between men and women, a rate even higher than in Japan and the USA (Persson 2005) and

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Third Age Guidance: research into guidance needs and methodologies: P Clayton 2005

exceeded in Europe only by Iceland where 84% aged 50-69 are in the labour force (Vilhjálmsson 2005), and their unemployment rate at 4.1% is below the 16-64 average of 4.9%. The Swedish government, however, is not complacent about this and seeks even higher participation in order to improve the pension situation for both individuals and the state (Persson 2005). There are also people who carry on long after official retirement age, for example, nearly 10% of Danish men between 67 and 74 (Plant 2004). In France, those aged 50 and over constitute about one-fifth of the labour force and this is increasing in all sectors. One-third of all teachers and public sector executives are in this age group (IRFA Sud 2005). Generally, however, the percentage in the labour force decreases quite dramatically from a certain age. In Austria, three-quarters of those aged 50-54 are in the labour force but only 42% of the 55-59 group and as few as 12% of the 60-64 group. In Denmark, which has a general participation rate well above the EU average, 57% of the 55-64 group (compared with Germany at 50% and Austria at 30%) are working but this decreases substantially between 60 and 66 (Kocher 2005; Plant 2004). In the UK two-thirds of those aged 50 and above are working but only one-third of men aged 6064, even though the state pensionable age is 65 (Ford 2004). Age is not the only factor: other variables also play their part. The participation of Third Age women is generally lower than that of men. For example, in Austria, women aged 55-64 are less than half as likely as men to work and in Germany only one-third of the women aged 55-64 are employed (IBW-Euroinstitut 2005; Kocher 2005). In Denmark, too, women leave work from 60 onwards (Plant 2004). In France, older unemployed women are more likely than men to obtain shortterm contracts or part-time work or both and lower rates of pay (IRFA Sud 2005). Married men are more likely than single men or married women to stay in work (Plant 2004). Highly qualified people are the most likely remain in the labour market, partly because their earnings can be high and their work less physically demanding than that of manual workers (Kocher 2005; López 2005; Plant 2004) although, conversely, their greater financial resources allow them to leave earlier too (Humphrey et al 2003). Many continue to work because they enjoy working. Low skilled people, on the other hand, if not forced out by disability or redundancy, are also likely to stay on through financial need (Clayton 2005; IRFA Sud 2005). In Spain, the biggest proportions of those aged 44 and above and in employment are male professionals aged 45-50 and construction workers (López 2005).

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Third Age Guidance: research into guidance needs and methodologies: P Clayton 2005

Other factors include sector, size and type of firm and region. In France, older people are more likely to be found in large firms in the south and centre, but fewer in the north and very few in computing and social and cultural welfare. The regional difference is partly because of mid-career migration to the south, particularly in the public sector and financial services (IRFA Sud 2005). In the UK there are wide regional variations, with the highest Third Age participation in the South-East and the lowest in the West of Scotland (Clayton 2005). 3.2 Retirement, unemployment and hidden unemployment The actual average retirement age is often below the official age, that is, the age when citizens are eligible for a state pension or forced out of their jobs by a statutory leaving age. (European legislation on age discrimination is intended to end this situation but it is not yet clear how far it will be successful.) For example, people retire, on average, at 58 in France and Austria (IRFA Sud 2005; Kocher 2005). In Germany, over a fifth of 'retired' people are 55-64 (IBW-Euroinstitut 2005). As a result of transitions from unemployment to early retirement, therefore, unemployment rates among Third Agers are deceptively low in some countries. This 'retirement', however, is not always a matter of choice. It is estimated that two-thirds of older workers who left the workforce prematurely in the UK were forced out and in Germany the biggest proportion of employees seeking work after redundancy were aged 45-54 (Humphrey et al 2003; IBW-Euroinstitut 2005). If made redundant, the chances of re-employment fall as age increases and thus long-term unemployment becomes more likely (Ford 2004; López 2005). For example, the average duration of unemployment in Austria for those aged 25-29 is 103 days but this rises to 140 days for those aged 55-59 and 192 days at 60+ (Kocher 2005). This may be partly, as in Germany, because active job search declines steeply as official retirement age approaches, even where people say they would like to work, as especially where they receive some kind of state benefits or a company or private pension (IBW-Euroinstitut 2005; Plant 2004). Another possibility, noted in Sweden, is that older workers are less willing to re-locate, work longer hours, take lower-paid jobs or change occupation (Persson 2005). In the end, the desire for work can cease and be replaced by the less stigmatised label of 'retired'. In some areas there are simply not enough jobs for which older unemployed people are qualified, as in the North East of England (Ford 2004) and Madrid (López 2005). The Icelandic unemployment rate is very low at 2.4% but a quarter of these are 50-69 and

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Third Age Guidance: research into guidance needs and methodologies: P Clayton 2005

over three-quarters of these completed only primary school (Vilhjálmsson 2005). The people with the greatest difficulty in finding work at any age are those from ethnic minorities and the problem becomes more acute with age (Ford 2004; Plant 2004). State policy also affects work rates. In France, people over 50 appear to have low unemployment rates; but from 55 some people become eligible for retirement pensions and by 57.5 anyone can apply for these. Furthermore, unemployment benefits increase after 50 and this lowers the incentive to look for work (IRFA Sud 2005). This is, however, a reaction to the reality that it is very difficult to find a job after the age of 50. Those who do are likely to be male, qualified and not long unemployed. In the UK, a similar situation has arisen from a less formal policy – that of deeming many of the older long-term unemployed incapacitated, and moving them from the unemployment to the invalidity statistics (Ford 2004). Although there has been some rise in Third Agers re-entering employment, for example in Spain and the UK (López 2005; Ford 2004), there is ample evidence that those older unemployed people who continue to seek work face adverse discrimination from employers (Ford 2004; López 2005). This is an important factor in decrease in jobsearch activity as many become discouraged: perhaps for every ten people aged fifty or more registered unemployed there are twenty-five who have withdrawn from the labour market for this reason (Ford 1997). In England, 20% of job vacancies are unfilled because of a lack of skilled applicants, and yet there are older people with these skills who do not apply because of past experience of age discrimination (Ford 2004). This discrimination occurs partly because unemployment carries a stigma that attaches itself to individuals (Persson 2005), and the longer someone is unemployed, the less 'employable' s/he becomes (Ford 2004). Some employers excuse age discrimination on the grounds that older people are 'more expensive' and 'less productive', although highly skilled (expensive) professionals are less likely than most to become unemployed. Furthermore, the productivity levels of individual workers are very difficult to measure and may be affected by access to training or the health of the sector in general (IRFA Sud 2005). 4 Access to vocational guidance and counselling for Third Agers As is the case with adult vocational guidance generally, that for older people is patchy and where it exists it is provided by a range of agencies. In Denmark, Germany, Sweden, Austria and Spain, guidance and counselling are provided directly through

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Third Age Guidance: research into guidance needs and methodologies: P Clayton 2005

state Employment Services, by subsidised NGOs and not-for-profit companies, and as part of educational institutions' services to students. In Spain, those over 45 and unemployed can receive professional guidance but this ceases when they find a job. In any case, few Third Agers use the services available or even know about them (López 2005). In France, there are initiatives to help those aged over 50 to get or keep jobs but it is unclear how helpful these are to unemployed people or those working in the private sector (IRFA Sud 2005). In Iceland, with high labour market participation and very low unemployment, there is little state-provided guidance for older people, but some NGOs offer advice on education. Trade unions such as Efling offer pre-retirement courses and a number of private educational institutions offer courses and advice on developing computer skills (Vilhjálmsson 2005). In Germany, there are targeted measures for Third Agers, including financial assistance for jobsearch and job rotation schemes for the unemployed, and the promotion of further training for employees. Guidance accompanies some programmes such as those run by Universities of the Third Age and Senior Academies (IBWEuroinstitut 2005). Danish state guidance services do not target Third Agers but some more general services are open to them, such as the Unemployment Insurance Fund and the Public Employment Service, and a few private companies specialise in Third Age guidance. So there are many services but little co-ordination between them or single point of initial access, although there is a dedicated web portal for young people (Plant 2004). In Austria there are some interesting initiatives in this area, including: •

the Vocational Promotion Institute, a social partnership organising training for the unemployed and those at risk of redundancy and guidance for older people;

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Initiative50 and Initiative40 which help older job seekers to re-enter work;

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Arbeiterkammer, another social partnership that targets older employees in member firms;

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the Austrian Senior Experts Pool, through which retired managers act as teachers, coaches and mentors;

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Sozial Global Terra, which targets older migrants.

As in Denmark, however, these initiatives are unco-ordinated and unrelated to educational policy for older people (Kocher 2005).

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Third Age Guidance: research into guidance needs and methodologies: P Clayton 2005

In the UK, despite a high profile being given to Third Age issues, such as the Age Positive campaign by the Department of Work and Pensions, there are few targeted guidance initiatives and older people tend to use all-age services less than do younger people. Initiatives include: •

JobCentre Plus, which co-ordinates the New Deal 50 Plus for those out of work for at least six months, and the In Work Training Grant for older people who obtain work and who qualify financially for this grant;

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publicly-funded services such as Careers Scotland, Careers Wales and Northern Ireland's Educational Guidance Service for Adults and its Careers Service which is based in the Employment Service; and in England the Information, Advice and Guidance networks that are contracted by private companies and public organisations to offer free guidance to older adults who have qualifications below level 2 (equivalent to public exams taken around the age of sixteen);

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telephone and Internet services, such as LearnDirect and career service web sites – these are not targeted at older people but are useful to them;

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community-based services, again, useful though only in a few areas targeted to Third Agers;

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guidance as part of educational courses;

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a small but growing number of initiatives by large employers keen to retain their employees;

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trade union advice and guidance by Union Learning Representatives, most of whom are over 35 and particularly keen to help older employees make up for a lack of learning opportunities in their youth.

In England, however, which is by far the largest country in the UK, face-to-face guidance for adults in general, let alone Third Agers, lacks co-ordination and is difficult for people to access (Ford 2004). One gap in the services available in the countries surveyed is guidance for retired people who wish to return to work or take up self-employment. One interesting example of such a service, however, is the WISDOM Co-operative in the UK, which focuses on people who wish to start their own business (Gray 2004). Where guidance exists and is accessible, and where a suggested course of action includes further learning, what kind of learning opportunities exist for older people?

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Third Age Guidance: research into guidance needs and methodologies: P Clayton 2005

5 Access to lifelong learning for Third Agers The main thrust of the lifelong learning agenda is the importance of updating knowledge in an era of rapid technological change. Many adult educators have serious reservations about the vocational focus of the agenda; but there is undoubtedly a need for such learning and particularly for older people who in many cases did not have the educational opportunities that are now available for young people or the early acquaintance with computers and modern communication technologies that they grow up with. This issue, of retraining opportunities for older adults in a fast-changing economy is an absolutely critical one. Two questions arise: is learning available to older people and, if so, do they participate in it? The answer depends partly on how 'learning' is defined. It is pointed out that older people do continue learning but often informally or through self-study (IBW-Euroinstitut 2005). Formal learning opportunities, however, vary throughout Europe. In Sweden, Denmark and Iceland, popular education, trade union education, liberal education, folk high schools and study circles are among the types of learning open to all, irrespective of age (Persson 2005; Plant 2004; Vilhjálmsson 2005). In the UK, too, there is a range of opportunities, from Workers' Educational Association classes to the Open University. In Germany a wide range of courses is being developed for older people, including distance learning, multi-media exercises for self-directed learning and face-to-face courses delivered flexibly as to timing (IBW-Euroinstitut 2005). In Austria, however, adult education, although it certainly exists, can be hard to find and there is a low take-up by people over 50 (Kocher 2005). The French and Spanish partners found examples only of training, either by employers or for the unemployed (IRFA Sud 2005; Lopez 2005). A European survey, however, found that the amount of vocational training undertaken by employees declined with age, and especially training that was helpful for career progression. Yet older workers were more likely than younger ones to state that they needed training in certain aspects of their work, such as using a computer, though less likely to express a wish for training in being wellorganised, imaginative and dealing with the public (Spence & Kelly 2003). Sweden is one exception: 65% of those aged 45-54 receive training and this falls only to 58% in the 55-64 cohort (Persson 2005). Poor access to employer training – except for those who are already well qualified - is also reported for the UK, although it is estimated that one-third of people aged 50-64 have inadequate literacy and numeracy (Ford 2004), an issue being addressed now through the government's Employer Training Pilots that focus on basic skills (see http://etp.lsc.gov.uk); and for France, except in financial

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Third Age Guidance: research into guidance needs and methodologies: P Clayton 2005

services, transport and public administration (IRFA Sud 2005). Entry to apprenticeships is usually reserved for young people and older people may be ineligible for educational grants, including those for higher education (Ford 2004). 6 Implications for guidance services It is a moot point as to how many 'retired' people actually want to work but there is evidence that many do, but do not have the qualifications or 'employability' facets to find a job. Third Agers, while including some highly qualified people, are on the whole less well educated or qualified than younger people and, as noted above, even when in work receive less training. Nevertheless, Third Agers even without formal qualifications often have valuable skills learned through experience (Ford 2004). As the labour force becomes more skewed towards older workers who, nevertheless, will continue for some time to experience problems in re-entering the labour market and obtaining the training needed to secure their jobs, guidance services will have to adapt to this new target group. This will mean, inter alia, •

adapting their methods to serve clients who will in most cases have more work and life experience than the guidance workers themselves;

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acting as advocates with employers, to persuade them not to discriminate against older people, to offer work placements for older unemployed people and training for older employees;

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acting as advocates with learning providers to help them develop programmes for older learners which are suitable in terms of approach and mode of delivery;

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making their services accessible to older people, including targeted marketing.

Beyond these ideas, the challenge for guidance is to reflect on its current and future roles, analyse and plan the changes they need to make, and put these into practice. Bibliography Clayton, P. (2005), Can't work, won't work? People aged 50 and above in the Glasgow area (http://www.surrey.ac.uk/politics/cse/sequal-age-final-report-GU2.pdf) Ford, G. (1997), Career Guidance in the Third Age: a Mapping Exercise, Cambridge: NICEC

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Ford, G. (2004), 'Third Age guidance in the UK: labour market, learning and guidance issues' (http://www.gla.ac.uk/tag/rep1enuk.htm) Gray, H. (2004), 'The rediscovery of middle age' (http://www.gla.ac.uk/tag/wisdom05.htm) Gray, H. (2004), 'The WISDOM experience' (http://www.gla.ac.uk/tag/wisdom06.htm) Humphrey, A., Costigan, P., Pickering, K., Stratford, N. and Barnes, M. (2003), Factors Affecting the Labour Market Participation of Older Workers, DWP Research Report 200 IBW-Euroinstitut (2005), 'Third Age guidance in Germany' (http://www.gla.ac.uk/tag/rep1ende.htm) IRFA Sud (2005), 'Données sur la situation des seniors en France' (http://www.gla.ac.uk/tag/rep1frfr.htm) Kocher, A. (2005), 'Definition and situation of older working people' (http://www.gla.ac.uk/tag/rep1enat.htm) López, M. J. (2005), 'Third Age issues in Spain' (http://www.gla.ac.uk/tag/rep1enes.htm) Persson, M. (2005), 'Third Age issues in Sweden' (http://www.gla.ac.uk/tag/rep1ensv.htm) Plant, P. (2004), 'Third Age guidance, Denmark' (http://www.gla.ac.uk/tag/rep1endk.htm) Spence, J. and Kelly, A. (2003), Tremplin: The Mismatch of Skills on the Labour Market - an analysis and solutions provided by training, Luxembourg: Prism Research and Consulting sarl Vilhjálmsson, G. (2005), 'Third Age guidance – Iceland' (http://www.gla.ac.uk/tag/rep1enis.htm)

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