Standing Committee on Employment, Education and Workplace Relations

Inquiry into issues specific to older workers seeking employment, or establishing a business, following unemployment
Media release, 14 August 2000

Age Counts report release

The House of Representatives Standing Committee on Employment, Education and Workplace Relations today, Monday 14 August, released Age counts, its report into employment and mature-age workers.

Age counts features 38 Recommendations that were developed from the personal and professional experiences presented to the House Employment Committee. The main objective of the recommendations is to find ways to remove age discrimination.

The recommendations focus on establishing a code of conduct for retrenching workers, providing greater flexibility in accessing superannuation, ensuring government assistance programs and support services are appropriate for mature-age people, and establishing training systems that will ensure older workers are more job ready.

The Mature-age Workers inquiry began in March 1999 after the Minister for Employment, Workplace Relations and Small Business, the Hon Peter Reith, asked the House Employment Committee to review the social, economic and industrial issues specific to workers over 45, seeking employment or establishing a business following unemployment.

During the inquiry, the House Employment Committee received more than 200 submissions, held public hearings in most capital cities and some regional centres, and convened a round table with representatives from relevant departments, as well as some peak labour and social services associations to consider a code of conduct on how retrenched workers may be supported.

"The Committee was grateful that so many people wanted to share their own personal and emotional experiences because they believed it was important that we were aware of the incredible difficulties that face many mature-age workers when unemployed," Dr Nelson explained. "Without these honest accounts we would not have such a valuable report." The House Employment Committee examined a number of the barriers faced by older workers, including how workers are retrenched. The Committee found that some people are so devastated by the trauma, their job searching is severely affected.

"Many have been through a harrowing experience similar to losing a loved one or a limb," Dr Nelson said. "Others have been given a more humane parting and this helps them in finding another job. It is much more devastating for those in rural and regional communities where jobs are already scarce and some people are forced into relocating and uprooting the whole family to find work."

One of the key recommendations in the report Age counts is the development of a code of conduct for employers, so that retrenched workers are supported and given relevant, appropriate advice. The Committee also recommends that older workers at high risk of becoming long-term unemployed should have immediate access to early intervention and Intensive Assistance when eligible for the Job Network program.

A number of recommendations highlight the financial impact unemployment has on mature-age people, especially those who have dependent children and aged parents. Some retrenched mature-age workers still have house mortgages and the Committee recommends that these people should be given the option of accessing their superannuation contributions for a maximum unemployment period of 26 weeks, so they can meet their house repayments.

Other recommendations focus on the need for more flexibility with support services and policy guidelines: such as considering allowing a retrenched mature-age person, under certain circumstances, to retain personal savings and also receive Government income support; and changing the eligibility requirements for the Government's New Enterprise Incentive Scheme (NEIS).

The Committee was also concerned about the barriers that many mature-age people face when seeking re-employment. These include age discrimination, perceived inappropriate or out-of-date skills, and difficulties faced by those job seekers in remote/regional areas without ready access to transport.

The Committee was enthusiastic about developing options to allow mature-age job seekers to re-skill and upgrade their training. One recommendation suggests the use of training credits, tied to a specific job offer, thereby increasing a mature-age person's chances when applying for a job. Once hired, the training required would be at no cost to the employer.

"This inquiry highlighted to all of us how important it is to value the experience and knowledge of mature-age workers," Dr Nelson added. "It is important for any organisation to have a mix of age groups as this creates a healthy and dynamic workplace. With mature-age employees, firms can benefit from their wealth of experience, whether they undertake a role as mentor, decide to remain in the workforce or if they choose to seek work following retrenchment. We need to create a society that doesn't see age as a barrier. People should have the opportunity to make choices in life-and we should encourage this, not prevent it." A major concern of the committee's was the number of retrenched people who opt to start their own business. The committee believes it is very important that such people be informed about the risks involved. These people should also be allowed to access training so that the infant business is supported in its first two years. Otherwise the failure of the business can be devastating, coming so soon after retrenchment, especially if savings are lost.

For media comment contact Dr Brendan Nelson MP, Chair of the House Employment Committee, on 0418 123 438 or 02 6277 4433 (Parliament House).

For media inquiries contact the House of Representatives Media Adviser, Sally Webster on 02 6277 2063 or 0401 143 724.

For background information and copies of Age counts report, contact the Committee Secretariat on 02 6277 4573 or visit the House Employment Committee website.

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