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Age Action says party manifestos ‘prepare to fail’ for Ireland’s ageing population

Published 27/11/2024

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According to Dr Nat O’Connor, Age Action’s Senior Policy Adviser:

“There are already over 1.1 million people aged 60 or older and, in the lifetime of the next government, 2025-2029, there will be an extra 135,000 people aged 60 and older, including an extra 47,000 aged 80 and older. Yet, none of the political parties have a comprehensive plan to prepare Ireland to meet the needs of its ageing population”.

“In just twenty years from now, in 2044, there will be 757,000 more people aged 60 and older, including 252,000 more people aged 80 and older. Ireland does not have the public services to meet their needs, and it takes years to build hospitals and to recruit healthcare professionals. The political system is currently failing to prepare for the demographic transition, and while ageing is mentioned by most parties, their manifestos reflect a lack of urgency in relation to Ireland’s demographic transition”.

“Age Action has called for the establishment of a Commissioner for Ageing and Older Persons, a proposal popular among older persons who often feel left out and ignored in political processes. The Commissioner would follow the examples in Northern Ireland and Wales and fill the gap that currently exists in the state, where there is currently no office or body responsible for ageing and older persons. Such an office would support the Government to keep a focus on Ireland’s ageing demographic and prepare accordingly.”

“The cost-of-living crisis and inflation has seen a huge fall in the spending power of the state pension, many older people live close to or just below the poverty line. People want certainty in older age, when they no longer have an opportunity to add to their incomes. The solution is simple, and already the norm in many other countries: benchmarking and indexing the State Pension to ensure it keeps pace with wages. We would like to see broad political commitment to this.”

Dr O’Connor concluded, “Ireland needs a new, comprehensive, all-of-government ageing strategy. With a multi-party government being the most likely outcome of this election, we would like all parties to commit to this during the campaign.”

Age Action’s ten asks for the general election are:

Appoint a Commissioner for Ageing and Older Persons, with a supporting legal framework and an independent budget, to ensure we are all treated fairly and with dignity as we age.

Pass a law to benchmark and index the state pension so that its rate will always be at least equal to 34% of total average earnings to preserve its status as the bedrock of income in older age.

Abolish the prevalent ageist practice of mandatory retirement, so that we all have the option to remain in or re-enter employment beyond age 65, as a step towards eliminating legally permitted age discrimination.

A comprehensive, all-of-government national ageing strategy, with a requirement for implementation plans in every relevant state agency, to eradicate ageism and to ensure that we prepare sufficiently for the demographic transition.

Deliver on the pledge of a strong, fully universal and accessible healthcare system that is tax-funded and free-of-charge at the point of use.

An Energy Guarantee for Older Persons payment, targeting those in poorly insulated homes as well as those on lower incomes, as a tangible example of climate justice.

Prohibit ‘digital only’ services, fund digital skills training and adequately resource traditional alternatives such as desk and telephone services, as a step towards implementing a rights-based approach to accessing publicly funded services.

A care strategy using a human rights-based approach to improve, expand, and harmonize our care options.

Implement policies to ensure that all of us can age in place in our homes and communities, in particular, support and protections for older persons renting, and the enforcement of universal design principles for all new builds.

Support the introduction of a UN Convention on the Rights of Older Persons to address the gaps in the existing human rights system by clarifying states’ human rights obligations and responsibilities towards older people.

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The new Bill is an inadequate response to the growing demand for the abolition of mandatory retirement.

According to Dr Nat O’Connor, Age Action’s Senior Policy Adviser: “Age Action strongly opposes the revival of the Employment (Restriction of Certain Mandatory Retirement Ages). Bill 2024, which is an inadequate response to the growing demand for the abolition of mandatory retirement.”

“Across political parties, in unions and among older persons, we see support for ending the practice of forcing people out of work before they are ready, but the proposed Bill makes no meaningful progress toward that end. The aim set out in its title, to restrict certain mandatory retirement ages, betrays its lack of ambition. All it provides for is the establishment of a complex, formal procedure so that employees can make a written request to stay on past their contractual retirement age; a request which can still be denied by their employer. This is the sole ‘restriction’ the Bill would impose on mandatory retirement.”

“This is a weak and ineffective Bill which is unlikely to help most employees who are forced out of work against their will for the offence of reaching a certain birthday. There is no reason for such timid action when we have seen other countries like Canada, New Zealand, Australia, the UK, and the United States abolish mandatory retirement entirely, in some cases decades ago. These countries have continued to enjoy well-functioning and productive labour markets and workplaces, showing that there is no foundation for the fears expressed by people who want to keep mandatory retirement.”

“Mandatory retirement is age discrimination. If the State allows a form of discrimination to be practiced, it must set out clear justifications for the practice. However, the popular arguments in favour of mandatory retirement are all myths. There is no evidence that older persons are less able to contribute to a workplace, or that they cost more than they contribute, or that they prevent younger workers from gaining employment. In fact, research has demonstrated the many benefits older workers bring to workplaces, including institutional experience, mentoring, and soft skills like better stress management.”

“Mandatory retirement is based on gross and insulting stereotypes about ageing. It is experienced by workers as a humiliating and dehumanizing injustice. It takes away our autonomy and our control over how and when we retire, which is a major life event. People who had no choice in retiring report poorer mental health, life satisfaction, health status, dietary habits, marital satisfaction, self-efficacy, and income adequacy, even years into their retirement.”

Dr. O’Connor concluded: “The proposed Bill is an incomplete and inadequate response to the problem of mandatory retirement, and by virtue of its incompleteness, reinforces and legitimises the dangerous ageism on which mandatory retirement is founded. We want our new government to take strong and decisive action, rather than tinkering around the edges of a serious problem. The Bill needs to be abandoned in favour of legislation that really helps the workers who wish to remain in work for longer.”

Churn:
It is not reasonable to suggest that the abolition of mandatory retirement would create a large problem for companies, when the scale of churn in the labour market is already far higher. The Irish labour market experienced 12.8% churn in quarter 3 of 2024, meaning that 1 in 8 jobs were created, abolished or vacated during this period, which was 365,750 jobs (Central Statistics Office 2024).

Compared to this level of hiring and resignations, managing the relatively small number of older workers who may seek to work longer or whose productivity may fall in older age is a much smaller human resources management issue for companies.

CSO (2024) Labour Market Churn Q3 2024 https://www.cso.ie/en/releasesandpublications/fp/fp-lmc/labourmarketchurnq32024/

Age Action’s detailed policy paper outlining the case against mandatory retirement can be accessed here: https://www.ageaction.ie/sites/default/files/age_action_paper_abolish_mandatory_retirement.pdf