Is Your Business Ready for the Great Unretirement?

We’ve had a long list of new terms thrown our way over the last few years, but the latest one to add to the list is ‘unretirement’: the act of returning to work after you’ve retired.

Unretirement is a growing trend in the UK. According to The Telegraph, a record number of 174,000 extra people aged 65 years and above returned to work between March and June 2022 compared to the previous quarter.  

So, why is this happening and how will it affect your business? Let’s have a closer look. 

Why are people unretiring? 

There are a couple of accepted explanations for the growing number of older people coming out of retirement. The first, most pleasant reason is that we’re seeing a bounce-back from the high retirement rates during the pandemic. Stuart Lewis, Chief Executive of Rest Less (a digital community for the over 50s), commented that, “in some ways, the pandemic forced the hands of many and gave them an opportunity to trial retirement.” Now, some experts believe that over 65s are feeling safer returning to work and are positively re-entering the workforce. 

The other, more worrying explanation is that the rising cost of living is forcing retirees to return to work in order to make ends meet. Stuart Lewis has said that, “with spiralling inflation and volatile financial markets impacting pension funds, some people are having to find work again to bring in some extra income.” Some sources are quoting that as many as 20% of retirees who would consider returning to work would be motivated by the increasing cost of living or topping up their pensions.  

Whatever the reason, it is clear that the age of the workforce is increasing, with almost a third of workers aged 50 or over.  

What does this mean for your business? 

From a purely economic perspective, more people returning from retirement is a good thing. In a speech earlier this year, Claire Lombardelli (the Treasury’s top economic adviser), warned that the higher number of early retirees was a key driver of inflation. Bringing over 50s back to work (and keeping the ones already working) can help to put the brakes on unemployment rates and rising costs.  

However, Neil Bradbury, Chief Executive Officer of Age UK Scarborough & District, makes the strong point that, “over 50s are an incredibly diverse range of people and shouldn’t be linked together into a headline.” He says, “The cost-of-living crisis is forcing some older people back into work, while others are the glue that holds working families together, looking after grandchildren so that loved ones can realise their potential at work.” It would clearly be unfair and untrue to argue that the only way retirees can help the economy is by returning to traditional employment. 

Ultimately, as always, really understanding your labour force and investing in their needs will be vital to building strong working relationships, creating high-performing teams and retaining your employees. Depending on your business and current workforce, changing trends may mean that you have to adapt to an increased average employee age, ensuring that all your employees feel valued. 

What do we recommend? 

We can offer a 30% funding contribution to a wide range of high-quality training and expert consultancy to keep your business on the right track, including: 

ILM Certificate in Leadership & Management – Level 5 (Action Training Limited): Advanced support in leadership and management skills, including an initial skills analysis, training and development courses, assessments and feedback. 

Total cost: £1,195 (+VAT) 
Your Scale Up price: £717 (+VAT) 
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Managing Teams Coaching/Consultancy (BSA Training): Tailored session based on your needs, including the development of a clear action plan. 

Total cost: £1,600 (+VAT) 
Your Scale Up price: £960 (+VAT) 
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Understanding & Adapting Communication Styles (Pro-Development Ltd): Exploring your communication style and how you can adapt to strengthen relationships and improve communication with colleagues. 

Total cost: £400 (+VAT) 
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People Management Skills for New Managers (CDI Alliance Ltd): Exploring the six pillars of management techniques to develop motivation and team cohesion. 

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Your Scale Up price: £846 (+VAT) 
Saving: £564