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Workers over 40 say they’re being passed over for promotions and cut out of higher salaries

Emma Burleigh
By
Emma Burleigh
Emma Burleigh
Reporter, Success
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October 3, 2024, 8:17 AM ET
Workers aged 40 and older say they're passed up on critical career opportunities, and that ageism is stunting their pay.
Workers aged 40 and older say they're passed up on critical career opportunities, and that ageism is stunting their pay.Getty Images

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As the U.S. workforce grows older, the problems around ageism in the office are coming to a head. Elder millennials, Gen X, and boomer employees all say they’re experiencing serious discrimination issues, and it’s hurting their morale. 

About 90% of U.S. workers aged 40 or older say they have experienced ageism in the workplace, according to a new report from Resume Now, a jobs platform. The most glaring example is compensation—nearly half of these older workers report earning less than their younger colleagues, according to the study. And the same proportion of respondents, about 49%, say they make less money than Gen Z and younger millennial workers for doing the same job. 

Older millennials, Gen Xers, and boomers say they’re also being given fewer opportunities to progress in their roles, creating barriers in their career growth. About 22% of employees 40 years or older say their work environments skip over older colleagues for challenging assignments, according to the report. Nearly all survey participants said that ageism limits their access to professional development and training services, and around 16% of respondents say their employer engages in a pattern of passing over older workers for promotions in favor of younger counterparts who may have fewer qualifications.

Unsurprisingly, this ageism is impacting the way workers show up to their jobs. Discrimination bulldozes employee well-being: of workers aged 40 or older who have faced ageism, 45% say the bias made them feel isolated and lonely, 44% suffered from depression, and 36% experienced anxiety.

Unfortunately, ageism can be difficult to prove and police, putting up roadblocks for affected staffers to advocate for themselves. About 94% of survey participants who have faced age bias say they have reported the discrimination to their HR teams, but only 45% say that HR mediated the situation. Among workers who have faced ageism, about 37% of those who reported the situation say the ageist coworker was given a warning, 30% said they got a slap on the wrist but weren’t fired, 23% say the person was terminated, and 5% said administration took no action.

There’s no doubt that the workforce is getting older. And as long as ageism persists, HR leaders must work to help companies dismantle their bias, create more equitable career advancement opportunities, and recognize that America’s aging workforce should be respected for their contributions

Emma Burleigh
emma.burleigh@fortune.com

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At odds. Dyson rolled out surprise layoffs in Singapore following its positive earnings call this week, —and still plans to reduce its U.K. workforce by one third. —Ryan Hogg 

Tech turmoil. OpenAI just debuted its newest model, GPT4-o, but employees say leadership was embroiled in arguments and that staffers experienced constant pressure to build advanced products at a fast pace. —Jeremy Kahn, Sharon Goldman, Kali Hays

This is the web version of Fortune CHRO, a newsletter focusing on helping HR executives navigate the needs of the workplace. Sign up to get it delivered free to your inbox.
About the Author
Emma Burleigh
By Emma BurleighReporter, Success

Emma Burleigh is a reporter at Fortune, covering success, careers, entrepreneurship, and personal finance. Before joining the Success desk, she co-authored Fortune’s CHRO Daily newsletter, extensively covering the workplace and the future of jobs. Emma has also written for publications including the Observer and The China Project, publishing long-form stories on culture, entertainment, and geopolitics. She has a joint-master’s degree from New York University in Global Journalism and East Asian Studies.

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