Article The Second 50: What living longer means for you and your employees

Generation by generation, on average, people in the UK are living longer.¹ In fact, it’s now estimated that one-in-seven males and one-in-five females born today will live to the milestone of 100.²

In living longer, those of us in our 50s and beyond – or our Second 50, as we like to call it – are being presented with a variety of new opportunities and challenges associated with greater longevity. Nowhere is this more deeply felt than in our relationship with work, as efforts to balance an ever-evolving mixture of Second 50 responsibilities lead many to adopt new work patterns, return to employment having previously stopped, or even delay retirement completely.

As their employer, you know the value, skills and expertise that people in the second half of life can bring to your business. Helping them to thrive in the workplace is important to achieving a people-first, wellbeing-led culture, and it starts with developing a deeper understanding of what your over-50 colleagues may need, aspire to, and are concerned by.

The second edition of our Second 50 report

We’ve recently launched the second edition of our thought-leading report, ‘The Second 50: Navigating a multi-stage life’ – designed to explore what a longer life could mean for your employees and their plans for later life. This article will introduce you to the concepts of the Second 50 and a ‘multi-stage’ life, sharing key insights into how your over-50s employees see their work and considerations for how you can better support them.

Unless otherwise stated, all data presented is from this report.

What is the Second 50 and a 'multi-stage' life?

In the age of the 100-year life, the ways in which we approach key aspects of life are evolving, as we seek to balance our time and make the most of our later years.

At the forefront of this evolution are those coming up to or already in their Second 50. Presented with a realistic chance of living longer, they’re developing new ways of raising their families, working and preparing for later life.

The result is that many in their Second 50 are now living highly varied, ‘multi-stage’ lives, defined by a blurring of responsibilities and challenges in managing resources to meet their needs. Here are some examples of how the Second 50 could be affecting your over-50 employees:

• Average life expectancy for a 50-year-old in the UK is now 86, meaning they’ll likely have a further 36 years to plan for, finance and enjoy.³
• We’re having children later and are financially responsible for them for longer too, with the number of families in England and Wales in which adult children live with their over-50 parents rising 13.6% between 2011 and 2021.⁴
• At the same time, we’re also looking after our ageing parents as they live longer, with 1.3 million people in the UK – the majority of which are aged 35-54 – bearing care responsibilities to both younger and older family members.⁵
• To meet the financial demands of our growing responsibilities, we’re choosing to work for longer too, with the number of UK workers aged 65+ increasing by 36% between 2014 and 2022.⁶

How is the Second 50 affecting employees' relationship with work?

With so many responsibilities to juggle over an increasing number of years, it’s no surprise that over-50s are facing a changing relationship with their work.

Our Second 50 research, featuring the views of 900 UK workers and 100 retirees, found that only 28% of people now envision a clean break from full-time employment into full-time retirement. Instead, many now favour a longer and more gradual transition out of the workplace via flexible work arrangements, such as part-time or temporary contract (40%). Surprisingly, almost a quarter of people plan to never stop working, maintaining some form of paid employment throughout their life (22%).

For employers, this could mean you see a growing number of your over-50 colleagues remain with you for longer, or an increase in demand for part-time/flexible work patterns from them. When it comes to vacancies, you could also see more people aged 50+ applying for open roles.

Thankfully, the motivations for working longer appear to be largely positive, which can only be a good thing for your current and future Second 50 workforce. Half of workers say it’s because they want to keep their brain active (50%), while 42% simply enjoy their work and working life, and 23% feel empowered to continue. However, a further 23% do so out of fear they’ve not saved enough.

Understanding your employees' expectations for work and retirement in later life

From collaborative internal cultures to people-first benefits packages, the ability to support your employees stems from an understanding of their needs, goals and worries. This includes considerations for both the workplace and their life once they’ve retired from it. Here are some of our key findings.

Employee aspirations for work and retirement in later life

Among survey respondents, travelling and spending more time with friends and family are the joint most common aspirations for later life (both 54%). A further 37% hope to pursue new hobbies.

Of work-related goals, the most popular was to take up volunteering (18%). A significant portion of employees hope to remain working in same field (16%), while an only slightly smaller 11% hope to move into an entirely new area of work.

As their employer, you’re in a unique position to help your employees prepare for and achieve their later-life goals – both in and out of the workplace. Your company pension scheme could support colleagues to fund their plans to travel or try new hobbies, while promoting volunteering initiatives and cross-department development opportunities could fulfil their work-related aspirations.

Employee concerns for work and retirement in later life

Worryingly, almost half of people fear running out of money in later life (44%). We’ve discussed how 23% of current employees continue to work due to fears they haven’t saved enough, but this figure could rise in the future if the wider worries about money are not addressed.

45% of workers are also concerned about their declining physical health. In fact, among those who plan on retiring, we found that people expect to spend almost a third of their later life in ill health (32%).

For employers, financial struggles and health issues among employees could impact work patterns and workplace requirements. You may see colleagues stay longer in order to cover personal monetary concerns, but you could also see them take more time off as their health declines with age.

More directly linked to employment, only 70% of UK workers feel their skills and experience are relevant to the workforce of today – a figure that falls to 65% for people aged 50-59 and 63% for those aged 60+. This lack of confidence is particularly worrying considering a larger proportion of these people are planning on staying in work for longer.

How can employers support their Second 50 employees?

With more over-50s staying in or re-joining the workforce, our Second 50 research presents an opportunity for you to adapt your workplace culture into something even more inclusive, welcoming and supportive of individual growth. By addressing the specific worries and goals that define employees aged 50 and over, you could foster an environment that will promote confidence and development for years to come.

At the same time, you might also see improvements in your recruitment and retention of talented colleagues, as well as increased productivity and the achievement of business objectives.

Here are a few considerations for how you can best support your Second 50 employees.

Building confidence and skills

Workers in their Second 50 are more likely to worry that their skills aren’t relevant to the modern workplace, but you know first-hand just how much value and experience they can offer. To help them be more confident and competitive in the work environment, you may wish to offer targeted training and up-skilling opportunities – either for their current role, or in other areas that they might be interested in.

Flexibility in work patterns

Although not all changes from the pandemic have stayed, the concept of flexibility has remained important for many workers and companies. This is especially true for people in their Second 50, as work is increasingly balanced alongside caring responsibilities to ageing parents and a need to look after their own health. To enable them to give their best, you could welcome the use of more flexible work patterns, such as less rigid working hours or designated time off to provide care.

Supporting retirement saving

With running out of money in later life a major concern for many across the UK, you could see an opportunity to promote the importance and value of your workplace pension scheme. By helping employees to understand and engage with their workplace pot, you could foster better savings habits and inspire confidence. Learn more about promoting your scheme on our website.

Transition from work to retirement

As more people choose to adopt a more gradual transition into retirement, you may wish to implement new workplace policies that better support them to balance work with their other commitments. This could include greater availability of part-time roles or new leave policies.

What's next

All of the findings and takeaways from this article are from the latest edition of our ‘The Second 50: Navigating a multi-stage life’ report, filled with unique insights into the UK’s changing relationship with later life. For more helpful tips and the latest trends for managing your workplace scheme, be sure to check our Insights hub.