Scandinavian countries rank highly in PwC’s index on utilising the over 55s
One of the key megatrends affecting the UK and most other developed countries is an ageing population. Harnessing the potential of older workers will therefore become an increasingly important source of competitive advantage for both nations and businesses, according to PwC.
To explore how the UK compares with other OECD economies in this regard, PwC has developed a new ‘Golden Age index’ comparing how well they are utilising workers aged 55 and over. The index includes relative employment, earnings and training rates for older workers for 34 OECD countries over the period since 2003.
Key findings include:
· UK’s employment rate for older workers has risen over time, but so has that for most other OECD countries, so our relative index performance remains middling (19th out of 34)
· If the UK could boost its employment rate for 55-69 year olds to match that of Sweden, the best performing EU country, this could boost annual UK GDP by around £100 billion (5.4%).
· The top five countries in the index are Iceland, New Zealand, Sweden, Israel and Norway, with Chile a fast riser since 2003 in 6th place.
· The US, South Korea, Japan and Estonia round out the top ten on the index.
PwC says this analysis complements its earlier Women in Work index, which looked at how well countries were performing on female labour force participation and gender pay gaps.
In both indices, Scandinavian countries occupy many of the top places, while the UK’s relative performance remains middling compared to the OECD average, despite some improvement over time in absolute terms. This indicates great potential for further improvement if UK government policies and business practices can match best practice around the world, according to the company.
Originally sourced from PwC: http://www.pwc.co.uk/services/economics-policy/insights/uk-economic-outlook/pwc-golden-age-index-2015.html