CampaignsAge DiscriminationPrince’s charity publishes ‘wake-up call’ to realise value of older workers Prince’s charity publishes ‘wake-up call’ to realise value of older workers
08/04/2009
The Prince’s Initiative for Mature Enterprise (PRIME), a charity founded by HRH The Prince of Wales, has published a report which reveals that ageist attitudes in the UK are standing in the way of hundreds of thousands of people contributing towards the British economy.
’Generations Forgotten’ follows a December 2008 survey commissioned by Bank of America on behalf of PRIME, that explored the attitudes towards older entrepreneurs across the UK. The report has been published on PRIME’s website www.primeinitiative.org in the hope that as many influencers as possible will view it and take appropriate action.
The survey revealed that 53 percent of people aged over 50 felt they are at a disadvantage to younger people in the job market. Of this group, 81 percent said that the attitude of employers to their age puts them at a disadvantage.
In the report, Laurie South, CEO of PRIME, comments: “The over 50s clearly perceive that ageist attitudes are rife in the labour market.
This is equally as unacceptable as gender or race discrimination.”
With barriers to traditional employment so strong, older people are looking to self-employment. But even here, societal attitudes are standing in their way. The report found that 44 percent of people believe that older generations would be less successful as entrepreneurs than those 25 years younger. It is also found 48 percent of people felt there are more negatives to starting a business as an older entrepreneur than there are positives.
However, these attitudes are in stark contrast to the real successes demonstrated by older entrepreneurs and the growing significance they might have for an economic recovery. The survey found that the majority of people believed that the average age of start-up entrepreneurs was between 20 and 29, whereas in reality, there are at least three times as many entrepreneurs in their 50s than in their 20s. Furthermore, companies started by over 50s have a 70 percent chance of surviving the first five crucial years, compared with just
14 percent of those started in the 25-49 age group.
The survey also revealed that the number of ‘olderpreneurs’ could be even greater if obstacles were overcome - 35 percent of those aged
50-64 have considered starting up their own business but have not followed through with their ambition.
The findings have a very real significance for the UK economy. There are more than 2.4 million economically inactive people in the UK over the age of 50. An estimated 800,000 of them could return to work if barriers to employment were overcome. However, if just one per cent of the economically inactive over 50s transferred to self-employment, it would not only create 24,000 new jobs and provide a valuable boost to the economy, but the savings in welfare payments would be around
£175 million.
Mr South said: “It is vital to the UK’s competitiveness that there is a constant flow of new business creating a vibrant economy, and with an ageing population, this will only happen if society becomes more open to the talents and invaluable experience older people can provide.
“This survey and report is a wake-up call. We need to see a fundamental shift in attitudes towards older people - they display an interest in self-employment on a huge scale but feel they are being held back by negative perceptions and ageist attitudes.”
PRIME was founded by Prince Charles to help people in the UK aged over 50 find a way back into work through starting their own business or setting up a social enterprise with other people. The charity provides business support though training, networking and mentors. It also campaigns for the better treatment of older workers.