Australian employers are increasingly labelling workers in their early 50s as “older”, with 24 per cent of HR professionals now classifying those aged 51–55 in that bracket, up from 10 per cent in 2023, according to new research from the Australian HR Institute (AHRI) and the Australian Human Rights Commission (AHRC). The authors say the trend risks sidelining experience at a time of acute skills shortages.
The report, Older and Younger Workers: What Do Employers Think?, is the fifth national survey of employers and HR professionals by AHRI and the Commission, providing a snapshot of how different age groups are perceived, supported and included at work.
Despite more than half of respondents (55 per cent) reporting hard‑to‑fill vacancies, only 56 per cent said they were open “to a large extent” to hiring people aged 50–64. That fell to 28 per cent for those 65 and over, with 18 per cent saying they would not hire from this age group. At the other end of the market, just 41 per cent were open “to a large extent” to recruiting jobseekers aged 15–24.
‘Our research found some workplaces are hesitant to employ workers over the age of 50, before they are even close to retirement age, or under 24 – including Gen Z’s digital natives,’ said Sarah McCann-Bartlett, CEO of the Australian HR Institute. ‘One in 5 HR professionals say their recruitment practices negatively impact older workers, and 23 per cent say the same about younger workers.’
The findings land amid renewed focus on lifting productivity, which the Productivity Commission, Treasurer Jim Chalmers and Prime Minister Anthony Albanese have all identified as a pressing economic challenge.
‘In a tight labour market, there is a clear economic imperative to tap into the full potential of the available labour pool, and that means building inclusive practices that support employees at every stage of their careers.’ Robert Fitzgerald AM, Age Discrimination Commissioner at the Australian Human Rights Commission, said the findings highlight the need for sustained action against ageism. ‘Older and younger workers can be a real advantage for businesses. Age-diverse teams bring different life experiences to the table and are better at solving problems. Employers need to support inclusive workplaces, where competency isn’t assessed against age or career stage. Providing equal opportunity for people of all ages to remain engaged in meaningful work can enhance productivity, while also helping close skills gaps,’ he said.
Perceptions about capability are blocking employers from tapping the right skills, the survey suggests. Older workers were rated higher for loyalty (74 per cent), reliability (64 per cent) and ability to cope with stress (62 per cent), but scored lower on technology use and ambition. Only 1 per cent of respondents said older workers had better technology skills, and 7 per cent thought they had higher energy levels. Younger workers, meanwhile, were rated comparatively lower for reliability (1 per cent), loyalty (2 per cent) and ability to cope with stress (2 per cent), despite being rated higher for energy and technological fluency.
Nearly 60 per cent of respondents said the departure of older workers had led to a loss of key skills, yet only 13 per cent reported their organisation consistently captures that knowledge. ‘What we’re seeing is bias at both ends of the age range. Sadly this undermines diversity of thought and productivity,’ Commissioner Fitzgerald said.
The report also identifies practical steps to retain older workers and extend productive careers. Almost three in four employers (72 per cent) now offer flexible working arrangements as a recruitment strategy to support age‑diverse hiring, up from 49 per cent in 2021. Employees continue to rate flexible options as the top factor (80 per cent) likely to keep people in the workforce longer. Higher pay has surged as a retention lever, from 0 per cent in 2023 to 48 per cent, reflecting persistent cost‑of‑living pressures. Coaching and mentoring opportunities rose to 38 per cent (from 34 per cent in 2023) and training and development to 36 per cent (from 31 per cent).
‘If we want to fill our skills gaps and improve productivity, we need to shift from age-based assumptions to evidence-based strategies. That means designing jobs that keep people engaged across the life cycle, using emerging techniques to attract and retain different generations and building workplace cultures where no one is written off because of the year they were born,’ concluded McCann‑Bartlett.
AHRI and the AHRC surveyed 148 HR professionals between 31 March and 5 May 2025, including respondents from the private, public, not‑for‑profit and academic sectors. Not all respondents answered every question. The full report, Older and Younger Workers: What Do Employers Think?, is available from AHRI.
