Like a Virgin: Secrets They Won't Teach You at Business School

Q: In Australia there is often an overt bias against employing older workers. In a recent business magazine article, a recruitment consultant stated he doesn’t look at anybody over thirty-five.

These are some of the preconceptions often aired: older workers can’t change; they are not as creative; they can’t think laterally; they are not open to learning; they cost more to hire.

What is your approach to hiring older workers? If you were looking for a position, how would you look to overcome the ageism barrier?

—C. Goldsworthy, Australia

A: Whoever that recruitment consultant is they deserve to be looking for a job themselves for making such a ridiculous confession. It is an especially appropriate time for me to address the issue of age and the workforce. I know this fact will surprise you (says he with tongue planted firmly in cheek) but I myself recently turned sixty.

The same year that I hit the big six-oh I also ran my first ever marathon and not only finished it but did so in just under five hours. In the same year I tried to set a record as the oldest person to kite surf across the English Channel; however, high winds (and waves) forced me to abandon the attempt – but I’ll be back!

Challenges such as these were once associated with younger people but nowadays people are living longer, much more active lives, so retiring at a relatively young age is no longer necessary. If people look after themselves with regular exercise and a good diet, there is no reason why they shouldn’t keep going forever: my grandmother played golf almost every day of her life and recorded a hole in one at the age of ninety!

I certainly plan to continue to work until I feel that I’m no longer making a real contribution to Virgin. I see a good thirty years of work ahead of me. It’s true that in my sixties there are some tasks that suit me better than others, but I see few real limitations to continuing in my current role.

In the UK, the government has recommended extending the age of retirement to sixty-seven, and many countries in the rest of Europe are contemplating similar legislation. It is not just governments, but company boards around the world, that are now facing the challenges of serving ageing populations.

So while it is certainly true that some employers may have negative preconceptions about hiring and retaining older workers, they are only doing themselves and their businesses a disservice. Entrepreneurs and managers who hope to succeed are taking a close look at older applicants.

Studies have shown that, contrary to popular perceptions, older workers actually have fewer timekeeping and absentee issues than do younger employees within a business; they also tend to have higher levels of commitment to their jobs and loyalty to their employers, which reduces staff churn and helps to reduce recruitment costs.

And there is a strong business case for companies to diversify the age groups they employ. In all our ventures, we put a real emphasis on offering great service, and, to succeed, we must truly understand our customers and see our service through their eyes. As our and others’ customer bases get older, managers will need staffers who mirror these changing demographics.

This is a challenge for Virgin since we have tended to be quite young at heart. Currently, the average age of the group is still fairly young, with more than a third of our staff under the age of thirty-five and only around 3 per cent over fifty-five years old.

This is largely determined by a few factors, including the sectors that we operate in and the newcomer status of some of the businesses. For example, Virgin Active, our health club chain, attracts a younger workforce due to the physical nature of the work. As the challengers of established brands, our airlines – Virgin America, Atlantic and Australia – have tended to be magnets for younger cabin crews and ground staff. These employee groups consist of such large headcounts that it does somewhat skew the overall average age of the Virgin group of companies. Even our finance business has younger staff – again, people interested in the company’s challenger status and also in new product development. But as we prepare for the future, this is a factor that clearly needs to change.

How? Well, many businesses retire their experienced staffers, both to cut costs when times get tough and as a matter of course. But those companies risk losing a lot of key skills when workers with a wealth of knowledge and experience leave the business.

One answer is to become more accommodating in work arrangements. Offering part-time jobs, job shares, flexitime and full-time jobs with longer holidays may attract older workers. This would enable everyone – and not just older employees! – to strike a better work-life balance and allow companies to retain their skills, experience and make a team for the newer generations.

I hope that with this approach our group will continue to maintain a very open policy of recruitment and that ageism will not be an issue. Hiring older workers isn’t just the right thing to do; it also makes good business sense.