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ByGreg Wilson, CFA Updated onNovember 17, 2024 Reading Time: 13 minutes
Home » Money Matters » The Real Reasons Companies Now Avoid Hiring People Over 50

The Real Reasons Companies Now Avoid Hiring People Over 50

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A man in a light blue shirt and striped tie sits at a desk, resting his head in his hand while looking down at paperwork, seemingly pondering why companies do not hire over 50.
Image Credit: DepositPhotos

There’s a noticeable trend in the job market lately. Companies seem less likely to hire people over 50 years old, leaving older job seekers feeling left out and wondering why. 

According to the Journal for Labour Market Research, older workers aged 50 and over are hired at less than half the rate of those aged 25-49. But what’s the reason behind this preference for younger hires? 

In this deep dive, we’ll take a closer look at the reasons why companies prefer to hire younger workers. We will find out what’s really going on and what it means for older workers.

Let us know what you think about these reasons why companies avoid hiring older workers, and the solutions we provide. We also included a video at the end.

Table of Contents

  • Reason 1: The Longevity Myth 
  • How To Overcome: Highlight Long-term Commitment
  • Reason 2: The Cost of Hiring 
  • How To Overcome: Prove Cost-Effectiveness
  • Reason 3: Perceived Inflexibility 
  • How To Overcome: Demonstrate Adaptability
  • Reason 4: Threat to Younger Employees 
  • How To Overcome: Highlight Mentorship Skills
  • Reason 5: Health Concerns
  • How To Overcome: Emphasize Wellness
  • Reason 6: Technological Skills
  • How To Overcome: Showcase Tech Proficiency
  • Reason 7: Salary Expectations
  • How To Overcome: Display Compensation Flexibility
  • Reason 8: Overqualification
  • How To Overcome: Qualify Your Experience
  • Reason 9: Cultural Fit
  • How To Overcome: Highlight Values Alignment
  • Reason 10: Energy Levels
  • How To Overcome: Showcase Vitality
  • Reason 11: Training and Development
  • How To Overcome: Showcase Eagerness to Learn
  • Reason 12: Retirement Plans
  • How To Overcome: Communicate Long-Term Career Goals
  • Reason 13: Job Market Competition
  • How To Overcome: Differentiate Durable Experience
  • Reason 14: Bias and Stereotypes
  • How To Overcome: Showcase Contemporary Capabilities
  • The Value of Experience
  • Highlighting Veteran Expertise
  • The Advantage of Experienced Workers 

Reason 1: The Longevity Myth 

Three people are seated at a conference table with open laptops and notepads, appearing to be in a meeting discussing why companies do not hire over 50.
Image Credit: Pexels

One major reason companies prefer younger workers is they believe younger people will stay in the job longer. Employers think someone in their 20s or 30s will work for the company for many years, while they think someone over 50 is close to retiring. 

This assumption isn’t always accurate. Younger workers often change jobs more often, while someone over 50 might actually prefer a stable job and stay longer if they feel valued.

How To Overcome: Highlight Long-term Commitment

Two men in business attire shake hands and smile at the camera in a modern office setting, a poignant moment amidst growing discussions on why companies do not hire over 50.
Image Credit: Pexels

To counter this misconception, older candidates should talk about their commitment to long-term jobs during interviews. They can share real-life examples showing how loyal they have been to previous employers by working there for many years. 

Clearly explaining their desire for a steady job and willingness to use their skills for a long time can counter the mistaken belief that they will only work for a short period before retiring.

Reason 2: The Cost of Hiring 

one dollar bill currency money

Hiring new employees is very expensive for companies. Advertising job openings and providing training, the costs really add up. Companies worry about spending all this money on someone who might retire soon. 

But the truth is, many people in their 50s are not ready to retire yet. They want to keep working and contributing their knowledge.  

Related: Are You In The Upper Middle Class? 20 Clues Someone Is Upper Middle Class

How To Overcome: Prove Cost-Effectiveness

A man in a suit points to a graph on a whiteboard during a presentation in an office. The whiteboard, labeled "Quarterly Report 2021," subtly addresses the topic of why companies do not hire over 50.
Image Credit: Pexels

Older job seekers can show they are a good financial choice by demonstrating their ability to become productive quickly with little training.

Giving examples of how they quickly adapted to new roles before and started making valuable contributions right away can prove they are a cost-effective hire from the start.

Reason 3: Perceived Inflexibility 

A man with a gray beard and mustache, wearing a dark suit and tie, sits in an office with shelves and plants in the background, pondering why companies do not hire over 50.
Image Credit: Pexels

Many companies think older workers are set in their ways and dislike change. Employers worry these workers will resist trying new methods or learning modern skills. This perceived inflexibility makes some companies hesitant to hire people over 50. 

This view is often mistaken. Many older workers are open to learning and embrace change eagerly, bringing valuable experience.

Related: 31 Things You Should Never Do Again After Age 50

How To Overcome: Demonstrate Adaptability

A man in a suit presents at a whiteboard with an agenda listing VR training, client development, and market research, addressing why companies do not hire over 50.
Image Credit: Pexels

To overcome this perception, older candidates should showcase their openness to change and adaptability. During interviews, they can share specific examples of times they enthusiastically embraced new technologies or processes at previous jobs. 

Highlighting their curiosity to learn and grow can effectively counter assumptions about being inflexible or resistant to change.

Related: Are You Middle Class? 23 Clues Someone Might Be Middle Class

Reason 4: Threat to Younger Employees 

Two people at a table looking at a laptop screen, one person pointing at the screen while another looks on. A third person is seated in the background. The setting appears to be a modern office, possibly discussing why companies do not hire over 50.
Image Credit: Pexels

Another common worry is that older, more experienced workers may clash with or intimidate their younger colleagues. Some employers fear the substantial knowledge of seasoned employees will overshadow or make younger staff feel insecure about their own abilities. 

This concern overlooks the potential benefits of an age-diverse team. Groups with a mix of younger and older perspectives can actually be more creative, productive, and innovative.

Related: How to Ask for a Raise: The Ultimate Guide To Get What You’re Worth

How To Overcome: Highlight Mentorship Skills

An older adult male presents a lesson on a whiteboard to two people sitting at a table. The text on the whiteboard includes "Objectives" and "Risk Management," subtly addressing why companies do not hire over 50. The scene is in a professional setting.
Image Credit: Pexels

Instead of seeing their experience as a problem, older candidates should see it as a strength that can benefit the entire team. They can showcase their ability to mentor and their enthusiasm for sharing knowledge to help younger colleagues grow.

Emphasizing a collaborative spirit focused on elevating the whole team can ease concerns about outshining others.

Related: 22 Things That Become Less Important As You Get Older

Reason 5: Health Concerns

A person sits at a desk with a laptop, covering their face with their hands, perhaps pondering why companies do not hire over 50. Glasses and a notebook are on the desk next to them.
Image Credit: Pexels

Employers worry that older workers will have more health issues and take more sick days. While health problems can sometimes occur with age, many people in their 50s are in great health and actually take fewer sick days than younger employees. 

Older workers often have a better work-life balance, leading to higher productivity. Many companies offer wellness programs and benefits that can support employees of all ages in maintaining their health.

How To Overcome: Emphasize Wellness

Elderly man with gray hair and beard in a plaid three-piece suit adjusting his jacket, standing against a plain white background, illustrating the misguided reasons why companies do not hire over 50.
Image Credit: Pexels

To ease these concerns, older candidates should be prepared to discuss their commitment to maintaining a healthy lifestyle during interviews. Sharing instances of rarely missing work and consistently showing up on time at previous jobs can show their energy and strong work habits. 

Highlighting habits like regular exercise and healthy eating can also demonstrate their proactive approach to staying healthy.

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Reason 6: Technological Skills

An older man with gray hair and glasses is using a laptop at a desk. He is wearing a plaid shirt and appears focused on the screen, perhaps researching why companies do not hire over 50.
Image Credit: Pexels

There is a common belief that older workers struggle with technology. In today’s increasingly digital world, this perceived lack of tech-savviness can be a major barrier to getting hired. 

This stereotype is often inaccurate. Many people over 50 are extremely tech-capable and eager to continue expanding their skills. older employees can bring a unique tech perspective from having experienced the evolution of workplace technology over decades.

In fact, many of these older employees developed the technology in the first place.

How To Overcome: Showcase Tech Proficiency

An elderly man in a suit and tie uses a laptop at a desk with two computer monitors in the background, challenging the notion of why companies do not hire over 50.
Image Credit: Pexels

Older applicants should take steps to disprove assumptions about their technological abilities. Keeping skills current through online courses and certifications in relevant software and digital tools is crucial. 

During interviews, highlighting comfort and hands-on experience with the specific technologies required for the role can demonstrate a strong match for the position’s technical needs.

Reason 7: Salary Expectations

An older man in a suit sits at a table, smiling while counting a stack of money. A cup and a laptop are on the table, challenging the stereotype of why companies do not hire over 50.
Image Credit: Pexels

Employers often assume that due to their years of experience, older workers will demand higher salaries compared to younger candidates. While experience should certainly be compensated fairly, this is not always the case. 

According to 2024 data, people in their 20s earn an average of $38,012. By their 30s, this rises to $54,080. In their 40s, it goes up to about $65,676. Even in their 50s, the median salary is only $66,144, just a bit more than in their 40s.

So, while it makes sense to pay more for experience, the pay increases are small. Many people over 50 actually care more about finding work they find fulfilling than getting the highest salary possible.

How To Overcome: Display Compensation Flexibility

An elderly man wearing a suit and glasses is seated on a green couch, smiling while holding a red folder and reading documents, pondering why companies do not hire over 50.
Image Credit: Pexels

To address this misconception, older job seekers should discuss salary openly and realistically during interviews. They can show they’re willing to have an honest conversation about their expectations, which should match their qualifications and the company’s policies.

Prioritizing job satisfaction over the highest pay can also show their flexibility.

Reason 8: Overqualification

A man in a suit and glasses is sitting at a table, reviewing documents and taking notes with a pen, possibly researching why companies do not hire over 50.
Image Credit: Pexels

Being perceived as overqualified for a role can have both good and bad sides for older job seekers. Some employers fear that a very experienced applicant might get bored or not find the job challenging enough. 

In contrast, many older workers actively look for new challenges and chances to use their knowledge in fresh ways. Their skills and expertise are valuable assets.

How To Overcome: Qualify Your Experience

A man in a suit sits on a green couch, holding an open red folder, pondering why companies do not hire over 50.
Image Credit: Pexels

The most effective way for over 50 to handle concerns about being overqualified is by customizing their resume and messaging. By adjusting their resume to match closely with the job requirements, they can avoid seeming overqualified.

In cover letters and interviews, they should directly discuss any worries about being overqualified by showing their excitement for the job duties and how they can use their skills effectively.

Reason 9: Cultural Fit

A group of five people interact around a desk with documents, possibly discussing why companies do not hire over 50. Some stand while one person is seated, delving into the topic. The background features white walls and framed pictures.
Image Credit: Pexels

Companies naturally prefer to hire people who fit well with their organization’s culture. There’s a mistaken belief that older employees might find it hard to blend into workplaces where younger colleagues dominate. 

This view ignores the advantages of having teams with diverse ages. Workers of different generations bring varied perspectives that help create a more inclusive and comprehensive culture.

Related: The Evolution From Baby Boomers to Gen Alpha

How To Overcome: Highlight Values Alignment

Two men standing by a window, engaging in a conversation about why companies do not hire over 50 while holding mugs. One man is in a sweater, the other in a suit and tie with glasses and a folder.
Image Credit: Pexels

Older candidates sshould spend time researching a potential employer’s culture and core values. In interviews, they can explain how their principles and work style fit with the company’s environment. 

Giving examples of how they’ve worked well in different team settings in previous jobs can show they can adapt to any professional culture.

Related: 30 Things Likely To Vanish With Baby Boomers: A Farewell to What Was Normal

Reason 10: Energy Levels

An elderly man in a suit and tie uses a desktop computer at a wooden desk with office supplies organized around, perhaps pondering why companies do not hire over 50.
Image Credit: Pexels

Despite the common belief that older workers lack the energy and motivation of younger ones, many employees over 50 defy this stereotype. 

While some may experience reduced physical stamina as they age, many older workers show remarkable enthusiasm, passion, and commitment to their jobs. Their wisdom and experience often result in a strong and consistent work ethic.

Related: 24 Things People Over Age 60 Should Never Do Again

How To Overcome: Showcase Vitality

A middle-aged man in a suit stands with crossed arms, smiling confidently in front of a large window with greenery visible outside, challenging the misconceptions about why companies do not hire over 50.
Image Credit: Pexels

To clear up any misconceptions, older candidates should arrive at interviews ready to show energy, alertness, and a vibrant presence. 

Sharing inspiring examples of going beyond expectations or demonstrating stamina on significant projects can demonstrate their strong motivation and dedication. Showing clearly that their age hasn’t reduced their professional enthusiasm can be very impactful.

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Reason 11: Training and Development

An elderly person with short white hair is sitting at a desk, using a laptop computer and writing in a notebook with a pen—a poignant reflection on why companies do not hire over 50.
Image Credit: Pexels

Some employers might hesitate to spend a lot on training older workers because they think these employees will retire soon, so they won’t get much benefit from the training. 

This ignores the fact that learning and growing professionally is important for everyone, no matter their age. Many workers over 50 are eager to learn new skills and feel good about continually improving themselves.

How To Overcome: Showcase Eagerness to Learn

Man with glasses and suit sitting at a desk, smiling at the camera, with mixing equipment and a computer in front of him, possibly challenging the notion of why companies do not hire over 50.
Image Credit: Pexels

Older job seekers can address worries about the cost of training by actively looking for chances to learn. Getting certifications or taking courses shows they are keen to learn more. Talking about recent training shows they are committed to staying updated. 

Showing enthusiasm about the chance to learn new skills through company programs can also show they are eager to keep learning.

Related: 23 Easy To Get Certifications That Lead To High Paying Jobs

Reason 12: Retirement Plans

A man in a suit and tie sits at a conference table with documents in front of him, looking attentively to his left, perhaps pondering why companies do not hire over 50.
Image Credit: Pexels

Older job seekers often face a challenge because people assume they’re nearing retirement age just because they’re over 50. In reality, most individuals in this age group actually plan to continue working for many more years, often into their late 60s or even 70s. 

Their passion for their careers and desire to keep contributing their talents has them intending to remain employed for the foreseeable future.

How To Overcome: Communicate Long-Term Career Goals

A man in a suit and tie is sitting at a desk in an office, holding a pen and writing on a document. An open laptop and a pile of documents are on the desk. Shelves with files, including ones that discuss why companies do not hire over 50, are in the background.
Image Credit: Pexels

It’s important for over-50 candidates to directly address potential retirement timing misunderstandings. In interviews, they should confidently explain their plans to continue working actively for years. 

Giving a clear idea of how much longer they intend to work can reassure employers about their commitment. Talking about future career goals can also show their determination to keep progressing instead of slowing down.

Reason 13: Job Market Competition

An older man with a beard in a suit carries a large stack of files in an office setting, subtly highlighting why companies do not hire over 50. In the background, a person sits and works at their desk.
Image Credit: Pexels

In today’s competitive job market, employers have many candidates to choose from for open positions. Some companies may prefer younger applicants because of biases against older people. 

This overlooks the great value and stability that experienced, older workers can offer. Their wealth of knowledge and professional skills are assets that make them excellent hires.

How To Overcome: Differentiate Durable Experience

A man wearing a suit and glasses stands confidently with arms crossed in an office environment, in front of a desk with multiple computer monitors displaying graphs and data, pondering why companies do not hire over 50.
Image Credit: Pexels

Older candidates need to emphasize what sets them apart from the competition during the hiring process. They should highlight their unique combination of soft skills, specialized expertise, and proven track record in accomplishing goals. 

Giving specific examples of how they increased revenue, efficiency, or introduced new ideas can show how much they can contribute compared to younger, less experienced candidates.

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Reason 14: Bias and Stereotypes

Man with gray hair facing a computer displaying the words "too old" on a white screen, pondering why companies do not hire over 50.
Image Credit: Pexels

Unfortunately, ageism and negative stereotyping of older workers still occurs in the workplace and impacts hiring decisions at many companies. Unfair preconceived notions about inflexibility, lack of technological ability, or slowing down can cause age discrimination. 

According to an AARP survey, roughly two-thirds of adults aged 50 and older have experienced age discrimination at work, and 91% think ageism is common. 

How To Overcome: Showcase Contemporary Capabilities

Two women sit at a table in an office, engaged in a conversation about why companies do not hire over 50. Papers, a cup of coffee, and business materials are on the table. One woman is holding a pen while the other is facing away.
Image Credit: Pexels

For older candidates, directly addressing and disproving age biases is key during the interview process. They can showcase their adaptability by discussing recent skills they’ve acquired and comfort with the latest processes or technologies. 

Highlighting their dedication to ongoing learning and a modern mindset can counter stereotypes about being outdated or resistant to change.

The Value of Experience

Two women seated on a green couch are engaged in a conversation about why companies do not hire over 50 while holding documents. One woman gestures with her hand, and there are red and orange cushions in the background.
Image Credit: Pexels

The years of valuable experience and knowledge that older workers bring should be seen as a strength, not a weakness. These experienced professionals have a special mix of skills, insights, and wisdom that can really help any organization. 

They improve problem-solving and offer important guidance, making a workplace stronger with people of all ages.

Related: 30 Activities to Avoid After 75

Highlighting Veteran Expertise

A group of people in a meeting room discusses why companies do not hire over 50. Two men are shaking hands while others sit at a table with laptops and papers. A whiteboard with graphs is in the background.
Image Credit: Pexels

Older job seekers should embrace their years of workplace experience when applying for jobs. They can give examples of how their extensive skills and deep knowledge helped them solve difficult problems, improve workflows, or give strategic advice. 

Presenting this wealth of expertise as something that can boost a company’s success is very impactful. 

Related: 30 Things Likely To Vanish With Baby Boomers: A Farewell to What Was Normal

The Advantage of Experienced Workers 

Five people in business attire, smiling and holding office-related signs and papers, stand by large windows with a city view. Their enthusiasm challenges common misconceptions about why companies do not hire over 50.
Image Credit: Pexels

Overlooking experienced workers is a missed opportunity for companies. Employees over 50 offer invaluable knowledge, skills and commitment that can greatly benefit any company. 

Older candidates should highlight their adaptability, passion for continuous learning, and proven track records. Their years of wisdom are assets that fuel innovation, problem-solving, and mentorship across generations.

By valuing experienced workers, companies will gain from their exceptional abilities.

We also created this video about the reasons why companies no longer hire people over 50.

YouTube video

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