Factors influencing leave intentions among older workers: a moderated-mediation model

Pages898-914
Date04 June 2019
Published date04 June 2019
DOIhttps://doi.org/10.1108/PR-03-2018-0095
AuthorTimothy Andrew Bentley,Stephen T. Teo,Bevan Catley,Kate Blackwood,Maree Roche,Michael P. O’Driscoll
Subject MatterHr & organizational behaviour
Factors influencing leave
intentions among older workers:
a moderated-mediation model
Timothy Andrew Bentley
School of Management, Massey University, Auckland, New Zealand
Stephen T. Teo
School of Business and Law, Edith Cowan University, Joondalup, Australia
Bevan Catley and Kate Blackwood
School of Management, Massey University, Auckland, New Zealand
Maree Roche
University of Waikato, Hamilton, New Zealand, and
Michael P. ODriscoll
School of Psychology, University of Waikato, Hamilton, New Zealand
Abstract
Purpose The engagement and retention of older workers is a major concern for organisations and has been
an increasing focus for human resource scholars internationally. Drawing on social exchange theory (SET),
the purpose of this paper is to examine the conditions underwhich retention and engagement of older workers
could be enhanced, together with the potential for perceptions of age discrimination to negatively influence
these outcomes.
Design/methodology/approach The study surveyed a large sample of New Zealand workers aged
55 years and over from across 28 New Zealand organisations of varying size and from a wide range of
industrial sectors. A moderated-mediation model was proposed to examine the relationship between
perceived organisational support (POS) and intention to leave, the mediating effect of job engagement in this
relationship, and the moderating influence of perceived age discrimination on this mediation.
Findings While POS was negatively related to workersintention to quit, job engagement partially
mediated this relationship. Age discrimination moderated this mediation. As perceived age discrimination
increased, the mediation of job engagement was weakened as POS had less influence on the job engagement
of older workers.
Research limitations/implications Implications for human resource management practice include
the importance of providing organisational support for older workers along with protections from age bias
and discrimination.
Originality/value The study is one of the first to apply SET to the context of older workers, and has
extended the SET literature through its examination of the role of employee engagement as a mediator of this
relationship, and how perceived age discrimination, as a negative aspect of the work environment, can
negatively impact these relationships.
Keywords Quantitative, Age discrimination, Older workers, Employee engagement, Social exchange,
Perceived organizational support, Worker retention
Paper type Research paper
Introduction
Perspectives among researchers and commentators differ on the value of retaining older
workers. This is reflected in the different lines of research inquiry evident in the extant
literature, including, on the one hand, questions concerning the cost of retention for
businesses and the impacts of efforts to retain older workers on the youth employment
market, and on the other, the need to retain older workers in countries and industry sectors
that are vulnerable to critical sudden losses of skilled workers without adequate
replacement available (Conen et al., 2012; Earl and Taylor, 2015; Shacklock, 2006).
Personnel Review
Vol. 48 No. 4, 2019
pp. 898-914
© Emerald PublishingLimited
0048-3486
DOI 10.1108/PR-03-2018-0095
Received 19 March 2018
Revised 30 April 2018
4 November 2018
Accepted 16 December 2018
The current issue and full text archive of this journal is available on Emerald Insight at:
www.emeraldinsight.com/0048-3486.htm
898
PR
48,4
In 2013, the percentage of the worlds population over 60 years was 11.7 per cent, and, by
2050, this figure is projected to be doubled (United Nations Department of Economic and
Social Affairs Population Division, 2013). Internationally, the ageing of the workforce is a
dominant theme in commentaries on the future of work as the retirement of the baby boomer
generation gathers pace (OECD, 2016). As a result, a decreased labour supply accompanied
by a sudden loss in skills and experience is expected over coming years across many
countries (OECD, 2006). Additionally, many developed nations are moving to increase the
age eligibility for government superannuation schemes to ensure financial sustainability.
Thus, many nations are faced with a number of pressing economic, social and political
drivers to ensure older workers are engaged and retained in employment, particularly in
sectors most vulnerable to a skills shortage as older employees retire.
Responding to these concerns, this paper addresses the issue of ensuring that older
workers are able to positively participate in the workforce as determined by their
perceived engagement with, and intention to remain in, their employment. Through the
lens of social exchange theory (SET), this study examines the extent to which perceived
organisational support (POS) can engender positive work effort, loyalty and engagement
with the organisation among older workers. Limited research has investigated mediators
in the relationships between POS, as an organisational antecedent, and the engagement of
older workers in their jobs. In particular, this study is the first to examine the mediating
role of job engagement between POS and intention to quit the organisation among a large
sample of older workers, and the moderating influence of perceived age discrimination on
this mediation relationship. It is within this context that we locate the major contribution
of this paper.
Older workers
There is no consensus on the categorisation of olderworkers. Ekerdt et al. (1996), for
example, define an older worker as being 50 years and over, while others such as Greller
(2006) define older workers as 5070 years old and McGregor and Gray (2002) use 40 years
and over. The OECD use the age of 55 years and over to define an older worker.
In New Zealand, the Department of Labour (2007) (now Ministry for Business, Innovation
and Employment), defined the older workforceas those people in the workplace aged
5064 years. While these specific age cut-off points can be debated, career development
research indicates that there is a marked difference in attitudes between workers aged
4049 years and those aged 50 years or over (Simpson et al., 2002). Thus, consistent with
much of the scholarly research in this field (e.g. Bentley et al., 2017), the present study
defined older workers as those individuals 55 years and over, and sought to determine the
extent to which leadermember relations and organisational support influence desirable
organisational outcomes among this group of workers.
Until recently, encouraging early retirement of older workers has been a key policy
objective for reducing high unemployment levels during times of instability and change
(Ebbinghaus, 2006; Eichhorst et al., 2014; OECD, 2006). Yet, the economic costs of retirement
income support and healthcare provision for retirees, and recognition of economic
prosperity and social cohesion potential created by fostering active and independent lives
for older people through work (Davey, 2014), have led to changing perceptions of the value
of older workers.
Although studies indicate productivity reductions in some older workers, this has been
found only within certain roles and responsibilities (Van Dalen et al., 2010; Ng and Feldman,
2008). Older workers bring considerable experience, skills and knowledge to the
organisations in which they work (Ackerman et al., 2002), are found to be equally as
motivated (Ng and Feldman, 2008), and are more likely to embrace change than their
younger counterparts (Avery et al., 2007; van Veldhoven and Dorenbosch, 2008).
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Factors
influencing
leave
intentions

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