Last May, Mike Ungar, 62, happily headed off to retirement. After 35 years working in management for tire manufacturer Michelin North America MGDDY, +1.40%, Ungar, of Simpsonville, S.C., was looking forward to volunteer work and spending more time with his then 2-year-old grandson.But despite those best-laid plans, Ungar’s retirement only lasted about a month.
Michelin’s Returning Retiree Program is a response to the aging global workforce. One in four workers is now 55 or older. Ironically, though, many companies are shedding older workers these days, to make room for younger ones.“Companies don’t really measure the value of intellectual property that sits in these individuals,” says Andres Tapia, global diversity, equity and inclusion strategist at the management consultant Korn Ferry.
So far, more than 200 employees have taken part in FlexRetirement, including Harris Hof, 65. She works on a team using analytics to problem-solve and improve performance.Hof moved into FlexRetirement last July, hoping to work fewer hours and still complete a project before fully retiring this coming August.
The U Work and U Renew programs at Unilever Other companies, including United Kingdom-based Unilever UL, -1.31%, are looking for ways to balance the demands of an older workforce with the business’ new skill requirements.
No, actually, by retaining these older workers, younger workers are being denied their opportunity to contribute, innovate, and improve the business/industry. If older workers can prove the value of their intellectual capital, sure, keep them. If not, move over and retire.