Companies Shift to Skills-First Hiring as Workforce Ages, Opening Doors for Older Employees

The Changing Workforce Landscape

By 2033, nearly one-third of individuals over 70 are expected to remain in the workforce, according to reports from recruitment firm Korn Ferry. This demographic shift is creating what analysts describe as a “profound structural challenge” for employers seeking to maintain skilled, motivated teams across careers spanning 40-50 years. The report indicates that almost half of baby boomers and more than one-third of Generation X feel excluded from opportunities to learn new skills and technologies.

The Changing Workforce Landscape
Skills Over Chronology
Experience as Asset, Not Liability
Corporate Implementation
Managing Generational Balance
Career Restarters Finding Success

Skills Over Chronology

Companies addressing these challenges are realizing traditional corporate pyramids no longer fit an economy defined by artificial intelligence and disruption, sources indicate. Michael Kienle, L’Oréal’s global vice-president of talent acquisition, states that talent management should continue until an employee’s last day. “It’s not a question of age, it’s about skills and competencies,” he emphasizes. The report suggests that what were once considered sideways moves into complementary roles are now viewed as legitimate upskilling opportunities.

Experience as Asset, Not Liability

Technology consultancy Softwire is among organizations challenging conventional thinking about career stages. Director Zoe Cunningham suggests businesses must stop treating mid- and late-career staff as “finished products.” She questions why companies wouldn’t invest equally in employees in their fifties who potentially have 20 years of work remaining. “Skills don’t expire,” Cunningham insists, “but they do need updating. The tech might change, but the mindset of curiosity is what keeps people relevant.”

Softwire has embedded what Cunningham describes as “life-long, bidirectional learning” into its culture. The company has witnessed situations where graduates teach senior engineers about new coding frameworks while learning communication skills from their more experienced colleagues. Retraining has lost its stigma as something exclusively for the inexperienced, with coaching programs designed for experienced staff transitioning to new roles, including flexible leadership positions.

Corporate Implementation

Mastercard has adopted a similar philosophy across its age-diverse workforce. Lucrecia Borgonovo, the company‘s chief talent and organizational effectiveness officer, says they’re taking “a more skills-first approach versus focusing on traditional parameters like experiences or degrees.” This approach reportedly helps democratize opportunity access across the workforce.

Artificial intelligence enables this shift through platforms like Mastercard’s Unlocked, which functions as an internal marketplace where employees post skills and interests before matching with projects, mentors, or learning opportunities. Borgonovo notes that all her mentors on the platform are earlier in their careers, helping her increase comfort with new technologies., according to related coverage

Mastercard has also established dual advancement routes allowing employees to progress as leaders or deepen expertise as distinguished engineers or Mastercard Fellows. “We provide individuals with different career paths so we can meet people where they are in their journey,” Borgonovo explains.

Managing Generational Balance

The extended workforce participation creates what L’Oréal’s Kienle calls a “dual-edged sword.” With people retiring later and working in non-traditional patterns, companies must prevent senior employees from blocking younger talent while still valuing accumulated knowledge. To manage this balance, L’Oréal launched L’Oréal for All Generations, focusing on intergenerational learning where senior employees mentor younger staff while receiving reverse mentoring on AI and digital tools.

Career Restarters Finding Success

The shift toward skills-based hiring is creating opportunities for those returning to work after extended breaks. Kim Aitchison joined the Bank of England in her late fifties, her first full-time position in nearly 30 years. “It felt like being a graduate again, except this time I had three grown-up children and a lot more life experience,” she recalls.

Aitchison found her opportunity through Career Returners, a program helping professionals resume work after lengthy breaks. “They were fantastic,” she says. “They didn’t just find you an interview, they helped you get ready for it.” Through the scheme, she joined the Bank of England in 2021 as part of a 20-person cohort with similar career interruptions.

Now 63 and working a four-day week, Aitchison participates in the BoE’s Age Network, mentoring younger colleagues while receiving technology guidance from them. “A young colleague teaches me technology and I help her with confidence in meetings. It’s mutually beneficial,” she notes.

As workforce longevity increases, employers face the ongoing challenge of creating continuous learning opportunities for all staff while helping experienced talent remain relevant in rapidly evolving workplaces.