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Commercial	
  in	
  confidence	
  	
  
	
  
Baby	
  Boomer	
  Contingent	
  Workforce	
  	
  
	
  
Why	
  not	
  a	
  Baby	
  Boomer?	
  
	
  
The	
  main	
  hurdle	
  in	
  securing	
  (and	
  retaining)	
  work	
  for	
  baby	
  boomers	
  is	
  embedded	
  
with	
  a	
  recruitment	
  attitude	
  stuck	
  in	
  a	
  1970’s	
  and	
  80’s	
  mindset	
  that	
  full	
  time	
  
work	
  is	
  the	
  most	
  legitimate	
  application	
  of	
  paid	
  labour.	
  	
  
	
  
The	
  ambivalence	
  amongst	
  HR	
  and	
  recruiters	
  toward	
  providing	
  part	
  time	
  work	
  
centres	
  around:	
  
	
  
• It	
  is	
  too	
  difficult	
  to	
  manage	
  
• It	
  is	
  undervalued	
  –	
  this	
  attitude	
  also	
  prevails	
  with	
  women	
  returning	
  to	
  
work	
  after	
  motherhood	
  
• A	
  part	
  time	
  employee	
  won’t	
  stay	
  long	
  enough	
  so	
  it	
  is	
  not	
  worth	
  the	
  
training	
  investment	
  	
  
	
  
Compounding	
  this	
  is	
  recruiter	
  prejudice	
  of	
  employing	
  older	
  workers	
  based	
  on	
  
perceived:	
  
	
  
• Inflexible	
  nature	
  of	
  older	
  workers	
  
• Not	
  IT	
  savvy	
  
• Negative	
  mindset	
  –	
  just	
  seeing	
  out	
  their	
  days	
  	
  
• “We	
  are	
  doing	
  them	
  a	
  favour”	
  
	
  
Shifting	
  mindsets	
  
In	
  a	
  contracting	
  economy,	
  Australian	
  businesses	
  have	
  been	
  quick	
  to	
  cull	
  their	
  
contingent	
  workforce	
  and	
  also,	
  in	
  some	
  cases	
  their	
  older	
  full	
  time	
  employees.	
  	
  
In	
  doing	
  so,	
  they	
  have	
  placed	
  themselves	
  in	
  a	
  vulnerable	
  position	
  from	
  reduced	
  
productivity,	
  knowledge	
  loss	
  and	
  increased	
  costs	
  of	
  rehiring	
  when	
  conditions	
  
improve	
  cyclically	
  –	
  as	
  they	
  always	
  do.	
  
The	
  vulnerability	
  is	
  centred	
  squarely	
  on	
  productivity	
  and	
  risk.	
  
According	
  to	
  the	
  2014	
  Contingent	
  Workforce	
  Index,	
  Australia	
  fell	
  from	
  fourth	
  
place	
  in	
  the	
  2013	
  rankings	
  to	
  15th	
  in	
  the	
  2014	
  rankings	
  due	
  to	
  reduced	
  cost	
  
favourability	
  and	
  workforce	
  availability.	
  	
  
The	
  false	
  of	
  economy	
  of	
  quitting	
  your	
  people	
  when	
  things	
  tighten	
  is	
  a	
  recurring	
  
phenomenon	
  perpetuated	
  by	
  reactive	
  workforce	
  planning.	
  	
  
Over	
  a	
  five-­‐year	
  business	
  cycle,	
  the	
  direct	
  costs	
  of	
  re-­‐booting	
  the	
  business	
  in	
  an	
  
improved	
  environment	
  far	
  outweighs	
  the	
  costs	
  of	
  keeping	
  staff	
  is	
  a	
  constrained	
  
economy.	
  
	
  
Commercial	
  in	
  confidence	
  	
  
The	
  role	
  of	
  the	
  contingent	
  workforce	
  can	
  be	
  a	
  significant	
  factor	
  in	
  repositioning	
  
the	
  marketing	
  of	
  baby	
  boomers	
  in	
  the	
  Australian	
  work	
  place.	
  	
  
The	
  opportunity	
  
Communicate	
  the	
  position	
  that	
  right	
  now	
  Australia	
  needs	
  a	
  force	
  of	
  baby	
  boomer	
  
contingent	
  workers	
  who	
  can	
  provide	
  short	
  term,	
  task	
  based	
  and	
  knowledge	
  
oriented	
  labour.	
  
For	
  those	
  sectors	
  that	
  are	
  currently	
  haemorrhaging,	
  there	
  is	
  enormous	
  scope	
  to	
  
market	
  baby	
  boomer	
  expertise	
  in	
  a	
  “care	
  taking	
  mode”	
  ensuring	
  that	
  operational	
  
processes	
  and	
  knowledge	
  are	
  not	
  degraded.	
  
For	
  businesses	
  that	
  require	
  specialised	
  support	
  at	
  critical	
  times,	
  opportunities	
  
exist	
  for	
  placing	
  baby	
  boomers	
  into	
  short	
  term	
  contracts	
  such	
  as	
  shutdowns	
  or	
  
overhauls.	
  
For	
  all	
  sectors	
  there	
  is	
  also	
  the	
  opportunity	
  to	
  place	
  baby	
  boomers	
  in	
  mentoring	
  
roles	
  for	
  younger	
  workers.	
  
This	
  approach	
  would	
  suit	
  the	
  vast	
  majority	
  of	
  baby	
  boomers	
  who	
  only	
  want	
  to	
  
participate	
  as	
  a	
  contingent	
  worker.	
  
	
  
The	
  Pitch	
  
	
  
At	
  the	
  moment	
  recruiters	
  perceive	
  they	
  are	
  throwing	
  baby	
  boomers	
  a	
  lifeline	
  by	
  
employing	
  them	
  and	
  therefore	
  lack	
  any	
  incentive	
  to	
  try	
  hard.	
  
	
  
Rather	
  than	
  pitch	
  this	
  as	
  a	
  like	
  for	
  like	
  recruiting	
  project,	
  target	
  the	
  message	
  to	
  
Boards,	
  CEO’s	
  and	
  CFO’s	
  that	
  a	
  contingent	
  workforce	
  of	
  baby	
  boomers	
  will,	
  at	
  the	
  
very	
  least	
  maintain	
  current	
  productivity	
  and	
  mitigate	
  the	
  risk	
  of	
  knowledge	
  loss.	
  	
  
	
  
When	
  conditions	
  improve,	
  the	
  business	
  will	
  be	
  ready	
  –	
  their	
  younger	
  workers	
  
will	
  have	
  the	
  benefit	
  of	
  knowledge	
  transfer,	
  the	
  ramp	
  up	
  to	
  full	
  production	
  will	
  
be	
  quicker	
  and	
  there	
  will	
  be	
  no	
  need	
  to	
  reinvent	
  the	
  wheel.	
  	
  
	
  
Communicate	
  the	
  message	
  that	
  by	
  providing	
  a	
  flying	
  squad	
  of	
  on-­‐hand,	
  skill	
  
based	
  knowledge	
  workers,	
  baby	
  boomers	
  are	
  doing	
  a	
  favour	
  for	
  Australian	
  
businesses.	
  	
  
	
  
	
  

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Baby Boomer Contingent Workforce

  • 1. Commercial  in  confidence       Baby  Boomer  Contingent  Workforce       Why  not  a  Baby  Boomer?     The  main  hurdle  in  securing  (and  retaining)  work  for  baby  boomers  is  embedded   with  a  recruitment  attitude  stuck  in  a  1970’s  and  80’s  mindset  that  full  time   work  is  the  most  legitimate  application  of  paid  labour.       The  ambivalence  amongst  HR  and  recruiters  toward  providing  part  time  work   centres  around:     • It  is  too  difficult  to  manage   • It  is  undervalued  –  this  attitude  also  prevails  with  women  returning  to   work  after  motherhood   • A  part  time  employee  won’t  stay  long  enough  so  it  is  not  worth  the   training  investment       Compounding  this  is  recruiter  prejudice  of  employing  older  workers  based  on   perceived:     • Inflexible  nature  of  older  workers   • Not  IT  savvy   • Negative  mindset  –  just  seeing  out  their  days     • “We  are  doing  them  a  favour”     Shifting  mindsets   In  a  contracting  economy,  Australian  businesses  have  been  quick  to  cull  their   contingent  workforce  and  also,  in  some  cases  their  older  full  time  employees.     In  doing  so,  they  have  placed  themselves  in  a  vulnerable  position  from  reduced   productivity,  knowledge  loss  and  increased  costs  of  rehiring  when  conditions   improve  cyclically  –  as  they  always  do.   The  vulnerability  is  centred  squarely  on  productivity  and  risk.   According  to  the  2014  Contingent  Workforce  Index,  Australia  fell  from  fourth   place  in  the  2013  rankings  to  15th  in  the  2014  rankings  due  to  reduced  cost   favourability  and  workforce  availability.     The  false  of  economy  of  quitting  your  people  when  things  tighten  is  a  recurring   phenomenon  perpetuated  by  reactive  workforce  planning.     Over  a  five-­‐year  business  cycle,  the  direct  costs  of  re-­‐booting  the  business  in  an   improved  environment  far  outweighs  the  costs  of  keeping  staff  is  a  constrained   economy.    
  • 2. Commercial  in  confidence     The  role  of  the  contingent  workforce  can  be  a  significant  factor  in  repositioning   the  marketing  of  baby  boomers  in  the  Australian  work  place.     The  opportunity   Communicate  the  position  that  right  now  Australia  needs  a  force  of  baby  boomer   contingent  workers  who  can  provide  short  term,  task  based  and  knowledge   oriented  labour.   For  those  sectors  that  are  currently  haemorrhaging,  there  is  enormous  scope  to   market  baby  boomer  expertise  in  a  “care  taking  mode”  ensuring  that  operational   processes  and  knowledge  are  not  degraded.   For  businesses  that  require  specialised  support  at  critical  times,  opportunities   exist  for  placing  baby  boomers  into  short  term  contracts  such  as  shutdowns  or   overhauls.   For  all  sectors  there  is  also  the  opportunity  to  place  baby  boomers  in  mentoring   roles  for  younger  workers.   This  approach  would  suit  the  vast  majority  of  baby  boomers  who  only  want  to   participate  as  a  contingent  worker.     The  Pitch     At  the  moment  recruiters  perceive  they  are  throwing  baby  boomers  a  lifeline  by   employing  them  and  therefore  lack  any  incentive  to  try  hard.     Rather  than  pitch  this  as  a  like  for  like  recruiting  project,  target  the  message  to   Boards,  CEO’s  and  CFO’s  that  a  contingent  workforce  of  baby  boomers  will,  at  the   very  least  maintain  current  productivity  and  mitigate  the  risk  of  knowledge  loss.       When  conditions  improve,  the  business  will  be  ready  –  their  younger  workers   will  have  the  benefit  of  knowledge  transfer,  the  ramp  up  to  full  production  will   be  quicker  and  there  will  be  no  need  to  reinvent  the  wheel.       Communicate  the  message  that  by  providing  a  flying  squad  of  on-­‐hand,  skill   based  knowledge  workers,  baby  boomers  are  doing  a  favour  for  Australian   businesses.