Wednesday 18th November, 2015

New research by recruitment specialist Robert Half UK, reveals that 74% of finance directors are concerned that the skills gap resulting from widespread retirement of baby boomers will have a negative impact on their organisation over the next two years. An even higher proportion (77%) say that the departure of older workers will have a negative impact over the next five years.

Born after the-Second World War and before 1965, baby boomers represent a bulge in the workforce that will soon be at retirement age.

Finance directors in small businesses looking further ahead are the most concerned about losing their experienced baby boomers, with 84% predicting that the departure of older professionals over the next five years will have a negative impact on their business. This compares to 77% for medium businesses and 69% for larger businesses, where the impact of key leavers can be more easily accommodated.

Companies are already preparing for the loss of older workers by increasing training and development programmes (45%), enhancing benefit programmes to retain baby boomers (32%), hiring mid-level talent to develop a skills pipeline (27%), increasing mentoring programmes (25%), hiring senior-level talent to replace retiring employees (22%) and offering flexible/or part-time work arrangements (16%).

Phil Sheridan, UK Managing Director of Robert Half, commented; "Employers are facing a profound shift as baby boomers look to exit the workforce, compounding the existing skills gap. With employers challenged in finding the skills they need to grow their businesses, establishing a succession plan with a robust attraction and retention strategy will be critical to succeed in today’s economy."

The study is based on more than 200 interviews with senior finance executives from companies across the UK.