**People Power Survey on ‘Thoughts on Extending the Retirement Age’**
A survey has revealed that 8 out of 10 companies view retirement age extension positively. According to a survey conducted by Talent Acquisition Platform Saramin among 461 companies about their thoughts on extending the retirement age, 79.8% (368 companies) responded positively.
The primary reason for supporting the extension was the ability to utilize the expertise of skilled workers, cited by 57.9% of respondents (multiple responses allowed). Other reasons included increased stability in the lives of elderly workers (39.7%), ability to counteract the decrease in the productive population (34.2%), potential increase in applicants in sectors facing labor shortages (31.8%), and boosted employee morale due to enhanced job security (24.2%).
When asked about the ideal extended retirement age, the average was 65.7 years. Specifically, 57.9% considered 65 years appropriate, followed by 13% for 70 years or above, 7.6% for 63 years, 6.3% for 69 years, 4.3% for 68 years, and 3% for 64 years.
On the other hand, 93 companies were against extending the retirement age, citing concerns such as negative impacts on job creation for young people (44.1%, multiple responses allowed), adverse effects on company culture due to the stagnation of older employees in positions (41.9%), potential conservatism within the company atmosphere (35.5%), frequent disregard for the 60-year retirement age (30.1%), and the possibility of older employees working excessively long (18.3%).
Along with the positive perception towards retirement extension, more than half of the companies (52.9%) were considering hiring Middle-aged workers from the 50s and 60s age group (referred to as ‘Young Seniors’). Notably, companies facing recruitment difficulties (60.7%) were more inclined to consider middle-aged hires than those not experiencing such difficulties (43.9%).
The main reason for hiring middle-aged employees was their large pool of experience and networks (47.1%, multiple responses allowed). Other reasons included unfavorable application rates from younger generations (30.3%), stable employment retention (28.7%), a low number of applicants in general recruitment (21.7%), and the desire to contribute to middle-aged job creation (15.2%).
Regarding job roles for ‘Young Seniors’, the manufacturing and production sector had the highest demand at 40.2% (multiple responses allowed).
Conversely, companies with no plans to hire ‘Young Senior’ employees cited reasons such as potential discomfort due to age differences (40.6%, multiple responses allowed), lower physical capabilities and productivity compared to younger employees (30%), and high salary expectations (26.3%).
This survey was conducted from the 7th to the 12th of the current month among 461 companies registered for talent acquisition with Saramin that agreed to receive emails.