The 2003 National Omnibus survey
Relatively little is known about how far the labour market is different for older people, although a few facts are clear:
- the trend to earlier retirement appears to have halted.
- employer investment in employee training declines with age.
- employer discrimination on grounds of age is common.
To increase knowledge of the older labour market (broadly for people over 50), and to provide a baseline for further research, CROW's first piece of work was a national survey of the population, to examine work transitions (changing employers, changing roles, moving to part-time or self-employment etc.). It looked at the causes and outcomes of change, the extent of support which people have for change, and their attitudes to work after formal retirement.
The study analysed data on 5500 individuals, collected through questions added to the Omnibus Survey carried out monthly by the Office of National Statistics, 1600 of the sample were in the 50-69 age range. The data on job change was analysed in relation to a wide range of factors, including nature of employment, social class, marital status, educational background, general health, income and social class.
The report of this study has been published as Changing Work in later life: a study of job transition (McNair et al, 2004). The printed report is available from CROW at a price of £12.00 (including UK postage), and a full text is available online in PDF format.
The outcomes of the survey have been used to shape the priorities and research questions for the Centre's subsequent work.
1136 of those questioned in the 50+ age group agreed to follow up interviews, and they formed the basis of the subsequent postal survey and qualitative interviews conducted through a project on the effects of eudcation and gender. This combination of three interlocking samples provides a rich body of linked quantitative and qualitative data.
Key findings from the CROW National Omnibus Survey
How frequent is job change? - two thirds of people change job in some form in a five year period. The frequency declines with age, but even in their 60s one in three report a job change other than retirement
Why do people change jobs? - the main reasons for job change are work related, in most cases positive (promotion, career etc). This declines with age but career remains the biggest single reason until the late 50s
What role do qualifications play in job mobility? - the higher a person's qualifications the more likely they are to change job, and to increase their skills and responsibility as a result. The better qualified stay in work longer than the unqualified.
Why do people stay in work later in life? – one major factor in the decision to stay longer in work is a sense of control of work. Those who describe their job changes in positive terms (“I wanted to…” “I chose to…”) are more likely to stay in work, and to consider work after retirement than those whose changes were forced on them (“my employer decided…”, “I was made redundant”).
Does job change relate to increased skills and responsibility? - half of all job changers report that the change results in increased responsibility, and 40% report needing more skills to do the new job. These effects decline with age, but only in the 60s are those increasing skills and responsibility outnumbered by those reducing them.
What support do people have for job change? - two thirds of all job changers report receiving no support (training, advice, etc) to make the change. This is true even for one third of those who say they needed a lot more skills for the new job. The better qualified an individual is, the more likely that they will receive support.
Do people want to continue working later? - a majority of people say they would consider working after formal retirement, but most would only do so on a part-time or flexible basis. The proportion willing to consider this rises with age until around 60, after which it declines. Few of those not already working would consider work after retirement age. (it should be noted that notions of what “retirement” means differ – some people define it a leaving full time work, or drawing a pension, even if they continue to work on a full or part time basis for the same or a new employer)
What part does self employment play in extending working life? – although older people are not as likely to start self employment than younger people, they form a growing proportion of the workforce, as others retire. They include professionals, skilled craftspeople and unskilled workers. All are more likely to be working in their 60s and 70s than any other group, and when they do retire they are more likely than other groups to do son on health grounds,
Are large and small firms different? - people in large firms are more likely to take on increased responsibility and skills in their 50s and 60s than those is small firms. Older workers in small firms are more likely to cite personal reasons for job change.
A cluster analysis of the data suggested that the older workforce can be divided into three broad groups:
"choosers" , are highly qualified, mainly in managerial and professional jobs, and motivated by the intrinsic attractions of work. Two thirds are men.
"jugglers" , have formal qualifications, but below degree level, and are working part-time. They are spread across the full range of occupations and social classes. Almost all are women.
"survivors" , are mostly unqualified and work in routine and semi-routine occupations. Two thirds are male. They work for financial reasons, and would stop working if they could afford to.
Strategies for extending working life need to recognise that these groups are differently motivated, and have different needs and expectations of work in later life.