The Ministry of Economy reveals: Discrimination against adults in dismissal from work

The findings of the survey 'Adult Employment in the Business Sector from the Employers' Perspective,' published this morning (Monday) by the Ministry of Economy, reveal - for the first time - the positions of employers regarding the employment of adults.

The survey revealed, among other things, the following findings:

40% of employers believed that men in core positions in the business should retire before the age of 67, 50% that the current retirement age for men was appropriate and 10% wanted to raise the retirement age for men; 39% believed that women in core business roles should retire before the age of 62, 54% believed that the current retirement age was appropriate, and 16% wanted to raise the retirement age.

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301% of workers in the communications, information and computing industries are 45 years old and older;  21% estimated that productivity towards retirement decreases, 9% estimated that in the years before retirement, workers' productivity increases, and 70% estimated that there is no change; 55% of the employers assessed: "There is discrimination against adults in Israel in terms of dismissal from work"; On average, employers estimated that discrimination against men begins at age 50; On average, employers estimated that age discrimination against women begins at age 47.

The survey was conducted by telephone in January 2014 among 623 employers and managers, representing the entire business sector in Israel, and it reveals for the first time data on the issue of adult employment in the business sector from the perspective of employers. The data, which was collected and analyzed by the Research and Economics Administration in the Ministry of Economy, and which was compiled and prepared in preparation for the fifth conference of the Equal Employment Opportunity Commission under the theme "Motivating Equality," also reveals the following data, among others:

 The proportion of older workers, out of all workers in businesses from the business sector included in the survey, was 35%.

• 44% of the businesses had a young workforce, with up to a quarter of the employees being 45+ years old.
• 16% were businesses with an older workforce where 60% or more of their employees were 45 years old or older.

 Industries that employ a relatively high proportion of older workers:

• Management and support services – these services include: security, maintenance, rental and employment services (54%)
• Health and Nursing Industries (49%)
• Industries (41%)
• Transportation Industries (40%)

 Lower than average wages for workers aged 45+ are found in the following industries:

• Hospitality and Food (20%)
• Professional, Technical and Scientific Services (29%)
• Communications, information and computing industries (30%).

 A continuous relationship was found between the seniority of the business and the proportion of employees aged 45+ out of all employees. In the older businesses, the proportion of employees aged 45+ was high.

• About 701% of employers estimate that there was no change in employee productivity in the years before retirement.
• 9% estimated that in the years before retirement, employee productivity increases.
• 21% estimated that productivity towards retirement is declining.

 Employing adults versus employing young people:

• 38% of employers estimate that hiring older workers is more profitable overall than hiring young people.
• 40% employers believe the viability is similar.
• 22% believed that it was less profitable overall to employ older workers.

 The appropriate retirement age for men and women in core business roles:

• 40% of employers believed that men in core roles in the business should retire before age 67 (the current retirement age).
• 50% believed that the current retirement age for men was appropriate.
• 10% wanted to raise the retirement age for men.
• 39% believed that women in core business roles should retire before the age of 62.
• 54% believed that the current retirement age was appropriate.
• 16% wanted to raise the retirement age.
• The desired retirement age for men in core positions, according to employers - 63.7: 3.3 years less than the current retirement age.
• The desired retirement age for women in core positions, according to employers, is 60.9 years, 1.1 years less than the current retirement age.

 Raising the retirement age and its impact on business:

• 90% of the employers believed that raising the retirement age for men from 65 to 67 did not affect business.
• 4% believed that the change had positive consequences for the business.
• 6% who believed the consequences were negative.

 The impact of gradually raising the retirement age for women on business

• 68% of the employers tended to estimate that gradually raising the retirement age for women to 67 would have no impact on the business.
• 11% estimated that raising the retirement age would have positive consequences.
• 21% estimated that the consequences would be negative.

 Adults ranked fourth in the assessment of the level of discrimination in employment.

(Referring to five groups: older workers, women, Arabs, Haredi and people with disabilities).

• In first place in the assessment of the level of discrimination in employment - people with disabilities.
• In second place in the assessment of the level of discrimination in employment - Arabs
• In third place in the assessment of the level of discrimination in employment are Haredim.

 77% of the employers estimate: "In Israel, there is discrimination against adults in employment.".

• 55% of employers estimate: "There is discrimination against adults in Israel in terms of dismissal from work.""
• Regarding the assessment of the age at which age discrimination against men begins:
• 151% of respondents estimated that discrimination begins at age 40 or before.
• 26% estimated that discrimination begins between the ages of 41 and 49.
• 33% believed that discrimination begins at age 50.
• 21% said that age discrimination begins after the age of 50.

 On average, employers estimated that discrimination against men begins at age 50.

 Regarding the assessment of the age at which age discrimination against women begins:

• 29% believed that discrimination begins at age 40 or younger.
• 25% estimated that it begins between the ages of 41 and 49.
• 22% indicated age 50 as the year the discrimination began.
• 18% estimated that discrimination begins after the age of 50.

 On average, employers estimated that age discrimination against women begins at age 47.

 Familiarity with the Equal Opportunity Law, which prohibits discrimination against adults:

 48% of the employers said they knew the law

• 34% said they have some knowledge of the law
• 18% who said they didn't know the law.