The most recent Office for National Statistics (ONS) labour market data published yesterday (13 May) revealed that the UK’s unemployment rate has hit a four-year high.
The rate of unemployment was 4.5% between January and March 2025. This is the highest rate since June to August 2021, when unemployment hit 4.7%.
Could supporting over-50s into work help solve the unemployment crisis?
People aged 50 and over have been a key driver of economic activity since the Covid-19 pandemic, explained Catherine Foot, director of think tank Phoenix Insights.
She told HR magazine: “Boosting the number of over-50s in paid work would add billions to our economy, as well as helping more people to continue earning and saving for longer, heading off a looming retirement crisis.
“To retain and attract these experienced workers back into the labour market, businesses and HR leaders should ensure age-inclusive hiring practices are the norm across businesses. They should also offer as wide a range of flexible working options as they can, along with paid carer’s leave and comprehensive sick leave policies. These policies can make a huge difference in helping over-50s colleagues manage health conditions or caring responsibilities while staying in paid, fulfilling work, and avoid thousands falling out of the workforce due to later-life burnout.”
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HR leaders and managers should also support older workers in their skills development, in order to retain them, explained Jeanette Wheeler, chief people officer at HR, payroll and finance provider MHR.
“Older generations need to see their organisation adopting a skills-first approach when it comes to attracting and retaining talent. For people and business leaders, this means getting out of a traditional career path mindset, and instead acknowledging and acting on the value of identifying individual skillsets and creating tailored learning pathways.
“Employees will only stay engaged with a company if they understand the individual role they play in helping it achieve its goals. People leaders must work with the C-suite to spearhead new ways of working that champion individual strengths.”
The estimated number of job vacancies in the UK fell by 42,000 to 761,000 between February and April 2025. The number of estimated payroll employees fell by 53,000 (0.2%) between January and March 2025.
Read more: "We must address bias against older workers"
The recruitment of older workers can solve a number of issues amidst unemployment and economic inactivity, Mark Williams, managing director EMEA at frontline work resources platform WorkJam, stated.
He told HR magazine: “Older workers are often surrounded by a prevailing misconception that they are less adaptable, less productive, and less likely to remain in their roles for extended periods of time. However, this blanket assumption is unfair and inaccurate.
“A more mature workforce can have hugely beneficial effects on not only the workplace culture, but the organisation’s ability to relate to and cater for a wider demographic of customers. Mature workers also often have greater scheduling flexibility, as they are typically less tied to familial commitments, making them reliable team members who can adapt to business needs.”
Fostering multi-generational workforces can be a smart and strategic move for employers, added Mark Rothwell, CEO of recruitment agency Hiring Hub.
Speaking to HR magazine, he said: “These professionals bring a wealth of life experience, industry-specific expertise, and strong soft skills that can significantly boost productivity. In many roles, they can also act as mentors, playing a key part in succession planning and knowledge transfer.
“Encouraging multi-generational teams doesn’t just fill vacancies, it builds more resilient, high-performing workplaces. And in an era of job cuts and uncertainty, fostering transparency, internal mobility, and wellbeing is critical to keeping teams motivated and engaged."
