Help Really Wanted? The Impact of Age Stereotypes in Job Ads
Published June 20, 2024
The United States faces potential long-term labor shortages as aging Americans retire with no one to replace them thanks, in large part, to declining birth rates. To make matters worse, employers have been found to use subtle yet discriminatory language in job ads, discouraging older workers from even applying for jobs and remaining part of the labor force. Not only is age discrimination illegal and completely at odds with American principles of equal opportunity, it threatens the stability of social safety nets and economic stability. Combating such discrimination is critical to leverage the skills of older Americans who wish to remain in the workforce, boost the well-being and financial security for older workers, and support nationwide economic prosperity.
Check Out More from David Neumark:
- Read David Neumark's Wall Street Journal op-ed, "California's Crazy 'Fast Food' Minimum Wage Takes Effect" here.
- Listen to David Neumark's interview on California's $20/hr minimum wage increase for fast-food workers on Chicago's Morning Answer with Dan Proft & Amy Jacobson here.
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With an aging population and declining growth in new workers and overall workers, America faces a looming and likely long term labor shortage. This workforce crisis is made worse by silent age discrimination against qualified older workers attempting to remain in the workforce. A previous large scale experiment using artificial job applicants has already shown that when older workers apply for jobs, callback rates for job interviews are roughly 25% lower than callback rates for younger job applicants.
Despite the Age Discrimination in Employment Act of 1967, which explicitly prohibits terms and phrases that impede the employment of older individuals. Employers still commonly include subtle ageist stereotypes in job postings that deter older workers from even applying for positions they are well qualified for. By creating and tracking experimental job ads, which included subtle ageist phrases related to communication skills, physical ability, and technological know how.
Application rates dropped by the same 25% margin as a previous study in which employers simply did not call back older employees for interviews. This discouragement is even worse when job postings include more overtly biased language like digital native, energetic person, or cultural fit language more obviously targeted towards younger workers.
The use of subtle language to deter older workers serves to mask discrimination in the hiring process, even in the absence of potential labor shortages from an aging population. Indirect age discrimination is at odds with our laws and values that promote equal opportunity for all. Older workers bring valuable knowledge, skills, and experience to the table from which younger generations have historically benefited.
Exploring ways to reduce this discrimination promises to increase workforce participation of older Americans, helping alleviate the strains on public finances and social safety nets. In addition, removing barriers can support mental and physical health in later years and boost the financial security of older Americans.