The population pyramid
The demographics of the UK working population are in flux. Indeed, the workforce is changing shape.
On a physical level the UK population has grown heavier in recent years. This increases the risk of health issues for the individual citizen and by extension increased problems for the National Health Service (NHS).
But workforce generational changes have far greater implications for the nation. For the age demographics of the nation have changed markedly in recent years.
At the end of the 20th Century, it was common for the media to refer to the UK as having a “population pyramid”. This related to demographic visuals that placed the relatively small number of older people at the top of the chart, and the far larger groupings of younger citizens towards the bottom. When ranked in this way it did indeed look like the UK population was pyramid shaped.
This assumption was more than a simple visualisation technique. It enabled successive governments to deliver state benefits support for the elderly with the certainty that there was always a steady supply of younger workers and new taxpayers to meet those costs.
This belief persists to the current day. Yet the UK population is no longer pyramid shaped at all. Indeed, the numbers living long past State Pension Age have increased just as younger workers and potential future taxpayers have dramatically reduced.
Old age costs
This matters. For older members of society are the most expensive to support.
Most obviously there are old age pensions and other financial benefits to be provided. And the use of expensive support offerings such as the NHS will also (understandably) peak as people approach the end of their natural lifespan. This increased expenditure usually arises alongside a reduction in the tax paid by the retiree.
It follows that new, younger, taxpayers are essential to maintain the welfare state.
2.4 children?
Yet here we encounter the failure of another modern-day demographic myth. For the idea of 2.4 children per family is now woefully out of date.
In 2023 it was reported that the birth rate per woman in Britain dropped below 1.5%. Yet to maintain current population numbers that figure has to remain above 2%.
Simply put, the number of potential future taxpayers is now under severe pressure. Even if there were a sudden and unexpected increase in the birth rate, it would take at least 20 years for this to make a positive difference to HM Treasury’s bottom line.
Employer problems too
Yet this is not just a problem for government. The same demographic shifts will impact employers also.
For the UK working population is aging. Older workers (those aged 50 and above) are estimated to now represent around a third of the national workforce. The need to hold onto such workers and keep them fit, healthy and productive will soon become a key challenge for UK employers.
One obstacle to this ambition is the proximity of these older workers to the attractions of retirement. Yet there are many other challenges unique to this grouping. Age discrimination remains a genuine concern. And health issues and unpaid family care are also problematic. In 2018 the House of Commons Women & Equalities Committee found that;
“Health conditions and caring responsibilities are two of the biggest factors that result in people leaving the labour market early.”
The workforce is changing shape
It follows that employers must soon recognise the importance of older workers and the challenges they face. HR teams should also consider putting this issue at the front and centre of their future thinking.
One response would be to simply improve the wellbeing support already on offer.
Yet a less obvious approach might also reap dividends. For improving the health surveillance of the workforce will identify current concerns and prevent future problems. Employers should perhaps consider introducing or improving pre-employment health questionnaires, staff surveys, medical check-ups, occupational health assessments, line manager training, and exit interviews. All these have a role to play in identifying potential workforce health issues long before they become a major obstacle.
The simple reality is that the workforce is changing shape. It follows that employers and wellbeing policies should be changing too.
About Occupational Health Assessment Ltd
Occupational Health Assessment Ltd is an SEQOHS Accredited and Certified B-Corp nationwide occupational health provider.
We provide rapid access to expert occupational health support for businesses right across the United Kingdom. Appointments are available nationwide within two days.
With a unique occupational health assessment service, night worker health assessments, fitness certifications and access to clinics in Belfast, Birmingham, Bradford, Brighton, Bristol, Cardiff, Coventry, Derby, Edinburgh, Glasgow, Hull, Leeds, Leicester, Liverpool, London, Manchester, Newcastle, Northampton, Nottingham, Plymouth, Portsmouth, Reading, Sheffield, Southampton, Stoke, Surrey and more, the business provides high quality, expert medical advice.
Please contact us for further information or assistance.