The last of the summer wine

5 mins read

One in three manufacturers depends on an employee aged over 65, according to our recent People & Productivity report. WM united grassroots site managers to discuss the practical challenges presented by an ageing workforce

It's not just Compo getting hot under the collar at the sight of Nora Batty. Manufacturing managers are growing increasingly prickly as production lines start to resemble the cast of Last of the Summer Wine, according to delegates at WM's People & Productivity roundtable event. "If you look at the research, there were 167 respondents and in five years time 50% of those will have moved into that 65-plus age bracket. That's going to be a problem for all of us," said Mike Snaith, operations director at Plessey Semiconductors. It turns out the birthday card writers were wrong about age being just a number. The older you become, the more your physical and mental prowess wilt, with the average male losing 10% of his mental reasoning between the ages of 65 and 70, according to a University College of London study. That puts ageing employees on a collision course with employers demanding accuracy and alacrity, warned Snaith. "You're going to end up firing these really good people you've had for the past 20, 30 or 40 years on the grounds of capability." Dismissals are bound to be unpleasant, disruptive and sometimes disputed, predicted Andy Wadden, of Twickenham-based missile specialist, Thales UK. "The fact we've got rid of the default retirement age is just a time bomb for British industry. Although you might say you're sacking them on the grounds that they can't do the job, you could be faced with a huge number of industrial tribunals." But it doesn't have to end in tears, the debate heard. Getting your head up and talking to your fifty- and sixty-something workers now can prevent nasty surprises down the line. "We discuss things on an informal basis at production meetings," said Dave Lawton, production manager at Dynamic Ceramic. "We've got one guy who is 67 and he chooses to carry on working, and it suits both parties... We've got another who's retiring at Christmas and two more that want to go part time. It's not something that's put down on paper formally, but we discuss it openly and regularly." The impetus for these heart to hearts has been hit by legislative changes, explained Deborah Ritchie, HR manager at Brose. "Before the default retirement age went, we would look at our workforce as they reached 64." Removing the default retirement age has left the business landscape looking like the Wild West. And employers who don't tread carefully could find themselves in a showdown, warned Ritchie. "If I approached two people, one aged 45 and the other 65, and I asked the 65-year-old when he or she was thinking of retiring, I'd be discriminating." Asking both age groups would keep you on the right side of legislation, added Ritchie, although the conversation could trigger an unhealthy obsession with Oil of Olay for the 45-year-old in question. It's never too early to start thinking ahead, seemed to be the best practice tip from delegates. Succession plans don't have to be lengthy reports. Talking the future through with your workers as part of appraisals is as good a start as any. "It's very informal and we do it to look at where our skill sets are," said Jarrod Dooley of SDC Trailers, where older workers train up apprentices. "I'm looking at the age group of people and working with HR. If you twin someone who's 53 with an apprentice, then by the time the apprentice is finished he'll be 56. At what point is he going to want to carry on working in heavy industry?" Twinning the old and the young is a smart move in a sector where skill sets are under threat, delegates agreed. "On the maintenance side we've got a guy who's 63 and he's had an apprentice alongside him for the past 18 months," explained Lawton of Dynamic Ceramic. "He's very much passing on these skills and tips of the trade."An idyllic scene but one that is being undermined by economics, warned Elizabeth Bonfield of EAL. "That's a really brilliant model but in reality, because you're so lean, it's hard to find somebody to supervise and keep an eye on the apprentice." Instead of the old nurturing the new, they're actually getting in the way, some site managers warned. "Ageing workers are going to be barriers to bringing in new talent," warned Snaith. "You have a headcount that you can't exceed. You won't be able to bring in new people at the beginning of their careers because these guys won't leave. It's a problem now, but it's going to be a massive problem in five or ten years." It's a challenge that could yet be overcome by employers who make an effort to get in tune with ageing employees and show flexibility towards job roles. Do what you can to harvest every drop of the last of the summer wine. But in doing so don't forget to plant those grapevines so there is another vintage to enjoy in years to come. Other key points debated at the roundtable event 1 Basic literacy and numeracy lacking: Some delegates reported sending new recruits on basic numeracy courses because maths skills were so poor. One has actively recruited Polish workers to overcome deficiencies in local applicants who could not add up. 2 Male bias is through circumstance not choice: Female applicants are few and far between for many manufacturing posts. Restoring gender balance is going to need a sea-change in the way manufacturing and engineering careers are sold at school. 3 Two-tier management pay: Delegates felt manufacturing managers' earnings tended to lag behind contemporaries in other sectors. This was because candidates often came through from apprenticeship positions and progressed from lower pay bandings. 4 Tailor your benefits: Pension schemes may be the bread and butter of many company benefit packages. But younger workers are more likely to want gym memberships or flexible working. 5 Money isn't everything: Not a single delegate said they would swap life looking after the site for a supermarket, even with a healthy pay rise. Job satisfaction and work-life balance matter more than pennies and pounds, the debate heard. The holistic attitude explains why 80% of survey respondents reported high morale. Quotes of the day "If I was going into a new job it would be recruiting HR people. You're going to need them. Ageing workers are going to be barriers to bringing in talent at the start." Mike Snaith, operations director, Plessey Semiconductors "It's not just about the age group, but the skills they have. Because UK plc has not invested, a skilled engineer aged 30-45 is rare. We're more reliant on ageing workers in manufacturing." Deborah Ritchie, HR manager, Brose "Some of our industry people believe what they do is a black art. Trying to get that out of the younger guys is not a problem. Trying to get it out of someone who's been there for 30 years is a different story." Jarrod Dooley, production manager, SDC Trailers "I've asked the question, 'what are you planning at doing at 65?' The employee said he was hoping to wind down to three days. I said that's fine as long as I know, so we can get somebody in place." Dave Lawton, production manager, Dynamic Ceramic "That senior age group has an exit plan but some have got into a comfort zone. They can be inflexible about shift patterns." Brian Penniston, production manager, Paragon Print & Packaging "We have more apprentices and we have abolished the default retirement age. The two don't mix." Elizabeth Bonfield, head of business development, EAL "People are going to stay on for financial reasons with the banking collapse. If you look at what your pension annuity buys now it's 60% of what it was five yars ago." Andy Wadden, manufacturing methods, Missile Electronics, Thales UK