While more businesses are finding ways to make their workplaces more age-friendly, many organisations have yet to make any changes, according to Anthony Raja Devadoss, vice-president of Asia-Pacific at Kelly Outsourcing & Consulting Group (KellyOCG).

“Based on our engagement with customers in Malaysia and across Asia-Pacific, more organisations are now trying to address these issues to prevent a potentially huge loss of knowledge from the workplace to maintain high productivity," he says.

Despite that, he adds, many companies and institutions have yet to make the practical adjustments to their business practices to meet the demands of their ageing workforce, either through recruitment behaviours, improved working environments or flexible working hours.

“That [adjustments] will involve placing health and well-being front and centre and focusing on motivating staff to want to work beyond the traditional retirement age,” says Devadoss.

Most organisations in Malaysia do not have a retiree workforce because it requires additional cost in terms of technology, salaries and healthcare.

“The retiree workforce may not be well versed with the current technology. There could also be an increase in [the company’s] health and welfare costs due their age. Considering the work experience the retiree might have, a higher salary scale could be added to the scenario.

“The retirees may be less able to adapt to evolving company policies and practices. Plus, their lower physical fitness level for jobs that require physical strength and fitness can worsen the mature worker’s health,” he adds.

Devadoss says organisations should consider evaluating their processes, culture and working environment to gauge its age-friendliness. “Investigate government policies and resources for businesses seeking to support older workers in continuing work or returning to the workforce, and look at ways where older workers can be used as leaders through mentorship or coaching programmes to pass on their valuable insights, skills and knowledge.”

In 2013, the Minimum Retirement Age Act 2012 (MRAA) came into force. It introduced a minimum retirement age of 60 for all Malaysian employees in the private sector. 

Devadoss says the current landscape makes it all the more important for employees to find out how ready they are for retirement. To do that, he says, KellyOCG’s Active Life Planning programme and LifeOptions profile can help employers provide a “reality check” for their employees who are a decade away from retirement.