Managing An Aging Workforce

Presented By M. Kim Vance

kvance@bakerdonelson.com

Baker Donelson Bearman Caldwell & Berkowitz, P.C.(615) 726-5600

Our Aging Workforce Presents New Challenges

• Legal Compliance

• Business Operations

• Leadership/Management

• Morale and Human Nature

What is the biggest challenge?

Managing An Aging Workforce

Empower Your Management Team to Manage

Empowerment

Step 1: Understand the laws affecting older workers and train managers to manage within the law

Step 2: Understand generational differences and manage them productively

Step 3: Understand the impact of an aging workforce on your business and manage for change

Americans With Disabilities Act

Amendments Act

Effective January 1, 2009

Is “age” a disability under the ADA requiring reasonable

accommodation?

NO.

But many older workers develop medical conditions that may rise to the level of disabilities particularly under the new ADA amendments.

The result is that many older workers may need reasonable

accommodations.

What Is A Reasonable

Accommodation?

Any change in the work environment or in the way things are customarily done that

enables an employee with an ADA disability to perform the essential functions of the job.

May an employer apply the same quantitative and qualitative

requirements for performance to disabled employees?

Yes. Lowering or changing a production standard because an employee cannot

meet it due to a disability is not considered a reasonable accommodation.

If an employee’s disability causes violation of a conduct rule, may the employer discipline the individual?

Yes, if the conduct rule is job-related and consistent with business necessity. The

ADA does not protect employees from the consequences of violating conduct

requirements even where the conduct is caused by the disability.

The EEOC says employers may

• Prohibit inappropriate behavior between coworkers (no yelling, cursing, or shoving)

• Require employees observe safety and operational rules designed to protect workers from danger in the workplace (factories with moving machinery)

• Prohibit sending offensive emails or accessing inappropriate websites or excessive use of the Internet at work for personal reasons

Does the ADA require that employers exempt employees with disabilities

from time and attendance requirements?

No. An employer need not completely exempt an employee from time and

attendance requirements, grant open-ended schedules (e.g., the ability to arrive

or leave whenever the employee’s disability necessitates) or accept irregular, unreliable

attendance.

You must, however, consider whether the FMLA plays a role in the application of

attendance policies.

What is not reasonable?• Removing essential functions

• Lowering quality standards

• Lowering productivity standards

• Authorizing a completely flexible schedule or indefinite leave of absence

• Tolerating poor performance when the employee does not request an accommodation until after a performance problem occurs

• Excusing poor workplace behavior

No Law Requires Special Treatment Just For Older Workers

With Regard to Productivity, Quality, or Workplace Conduct

Rules

Legal Risks Are Increased By

• Recreating jobs for older workers• Making concessions to work rules for older

workers• Letting older workers “slow down”• Holding older workers to lower productivity

and quality standards• Allowing older workers to retire “on-the-

job.”• Not managing generational differences in

the workplace.

The New York TimesJuly 26, 2007

“When Whippersnappers

and Geezers Collide”

“Hello. W.U.!”

“When I was your age . . . “

This is the first time in history that four generations are

together in the workplace.• World War II survivors (pre-1940)

• Baby Boomers (1941-1964)

• Generation X (1965 – 1979)

• Generation Y (1980 +)

Generations at Work

• The events and conditions each of us experience during our formative years help define who we are and how we view the world.

• The generation we grow up in is just one of the influences on adult behavior.

Events and Experiences

Traditionalists:• Great Depression• New Deal • World War II• Korean War

Boomers:• Civil Rights• Sexual Revolution

• Cold War

• Space travel

• Assassinations

Events and Experiences

Xers:• Fall of Berlin Wall• Watergate• Women’s Liberation• Desert Storm• Energy Crisis

Millenials:• School shootings• Oklahoma City• Technology• Child focused world• Clinton / Lewinsky

Values

Traditionalists:• Hard work• Dedication &

sacrifice• Respect for rules• Duty before pleasure• Honor

Boomers:• Optimism• Team orientation• Personal gratification• Involvement• Personal growth

Values

Xers:• Diversity• Techno literacy• Fun and informality• Self-reliance• Pragmatism

Millenials:• Optimistic• Feel civic duty• Confident• Achievement oriented• Respect for diversity

Generational Interaction: An Example

Traditionalists and Boomers

may have a tendency not to

question or challenge

authority or the status quo.

This may cause confusion

and resentment among the

Xers and Millenials who

have been taught to speak

up.

Generational Interaction: An Example

Xers and Millenials who

have had different life

experiences and

communicate with people

differently, may fail to

actively listen to Boomers

and Traditionalists

thereby missing valuable

information and guidance.

Generational Differences in Caregiving Responsibilities

• Generation Xers have increasing Child Care responsibilities

• Baby Boomers have increasing Elder Care responsibilities

• See EEOC Policy Guidance memo on Caregiver Discrimination based on assumptions about gender and caregiving

• www.http://eeoc.gov/policy/docs/caregiving.html

When Generations Fail To Communicate

• May impact turnover rates• May impact tangible costs (i.e.

recruitment, hiring, training, retention)

• May impact intangible costs (i.e. morale)

• May impact grievances and complaints

• May impact perceptions of fairness & equity

Generational Feedback

Feedback style

and form can

be impacted by

generational

differences.

Generational Feedback

• Traditionalists – “No news is good news.”

• Boomers – “Feedback once a year and lots of documentation.”

• Xers – “Sorry to interrupt but how am I doing?”

• Millenials – “Feedback whenever I want it at the push of a button.”

Generational Work Performance Expectations

• Every employee should be held to the same standard.

• No adaptation should be made that compromises the integrity of the job or diminishes the effectiveness of a department to carry out its mission.

• All employees should comply with policies and procedures set forth by their department and the company.

Valuing Differences

Information flows in all directions in a

learning organization. The most

successful leaders find a way to let every

generation be heard. They recognize

that no one has all the answers. This

appreciation of diversity allows each

group to contribute and be a part of the

growth of a department or organization.

How Many Of Your Employees Are Baby Boomers (1946-1964)?

• How many have been with your company for more than ten years?

• How many have important historical information about how things are “done?”

• How many perform critical functions that only they know how to do and do well?

• How many are set to retire in the next ten years?

Should We Care?

• The oldest boomers are turning 62 in 2008.

• By 2010 they will be eligible for Medicare benefits.

• Although the economy has spawned lay-offs and hard times, many boomers still plan to retire at or before age 65.

If the boomers leave the workplace in mass, they will take with them a wealth of talent and institutional knowledge sometimes referred to as the “brain drain.”

What’s Your Plan?

• Know the demographics of your company.

• Have conversations about career aspirations (not retirement) so you will be able to gauge when employees may leave the workplace.

• Consider flexible work arrangements to keep some boomers around.

• Cross-train and build teams to share and maintain skills and talent

Managing An Aging Workforce

Empower Your Management Team to Manage

Empowerment

Step 1: Understand the laws affecting older workers and train managers to manage within the law

Step 2: Understand generational differences and manage them productively

Step 3: Understand the impact of an aging workforce on your business and manage for change