The majority of workers who are aged 50 and over plan to retire later than they would have expected to 10 years ago, according to Aviva.
More than 60% of over-50s, equivalent to 6.4 million workers, plan to retire at a later stage in their working life. However, the research carried out by Aviva found that 44% of this group felt unsupported by their employer.
As a result, the insurer says employers must take more action to support this growing section of the workforce.
Amongst the over-50s who are looking to extend their working life, 40% blame the rising cost of living, while 38% say they don’t have a sufficient pension.
Aviva says that if employers fail to support these staff, they risk creating a disheartened and unmotivated workforce.
More than four in 10 (41%) of over 50s who were surveyed by Aviva felt confident that they could continue to keep up at work in the future, which compares to 36% of workers aged between 25 and 34. Meanwhile, 37% of over-50s believe their skill-set will remain relevant, which was once again higher than 33% of those aged 25 to 34.
The default retirement age was abolished in 2011 and since 2012 the number of workers aged over 50 has increased by 20%. The state pension age currently stands at 65 for men and is gradually increasing for women from 60 to 65. It is scheduled to reach 68 by 2037.
Since 2012, support in the workplace – including guidance on retirement – has remained static. For example, the ability to work more flexibly has only increased from 12% to 14% between 2012 and 2018.
Commenting on the research, Lindsey Rix, managing director, savings and retirement at Aviva says: “Millions of people are facing up to the realities of longer working lives on a daily basis. Working for longer brings opportunities and challenges in many areas of life, which means that supporting staff beyond the age of 50 has to become about much more than just financial planning.”
“We urge government, employers and industry to work together to encourage people to sustain longer, productive and healthy working lives while considering their financial position,” she added.
Out of date information
The state pension age currently stands at 65 for men and is gradually increasing for women from 60 to 65. It is scheduled to reach 68 by 2037.
If only that were true - I am a man and my state pension age is 67!