A great step forward in upskilling for older workers?

Interesting and potentially exciting news at the end of 2012 that a group of established UK learning institutions are joining forces to enter the world of MOOC provision. For the uninitiated (which, until reading this article, included me) MOOCs are ‘massive open online courses’ – training courses that typically free, conducted online and open to anyone who wants to participate

In 2013 12 UK universities will be getting together to form a new company that will offer the online courses – under the brand name of FutureLearn Ltd. The universities are: Birmingham, Bristol, Cardiff, East Anglia, Exeter, King’s College London, Lancaster, Leeds, Southampton, St Andrews and Warwick, along with UK distance-learning organization The Open University (OU).

Several U.S. universities including Harvard and MIT are already involved with MOOCs as are a few other UK universities but this will apparently be the first large group to set up a dedicated MOOC business located in the UK.

Details of courses and operations are yet to be finalised but the OU said FutureLearn will be open to students in the UK and internationally. It will:

• bring together a range of free, open, online courses from leading UK universities, that will be clear, simple to use, and accessible.
• draw on the OU’s expertise in delivering distance learning and pioneering open education resources to underpin a unified, coherent offer from all of its partners.
• reimagine class-based learning rather than trying to replicate it online – using the potential of digital technologies.

Commenting on the development, Martin Bean, the Vice Chancellor of The Open University said: “MOOCs represent an enormous development in higher education, one that has the potential to bring about long-lasting change to the HE sector.” 

The potential role of MOOCs in ongoing learning and upskilling, particularly for older workers is theoretically vast and could be a key tool for helping people stay in work for longer. Let’s hope that this is borne in mind by those designing and marketing the courses.

Read more at http://techcrunch.com/2012/12/13/12-u-k-universities-forge-moocs-alliance-futurelearn-consortium-will-offer-uni-branded-open-online-courses-starting-next-year/

Abysmal knowledge about pensions

It has always seemed to me remarkable that our knowledge about many key aspects of life – whether financial, social or health-related – has to be obtained virtually by osmosis. Financial planning, parenthood, divorce… where do we learn what we really need to know about these and many other vital experiences? The answer, in respect of pensions at least, is that many of us don’t and either exist in a state of ignorance or just muddle by.

A worrying report in today’s Daily Mail, and no doubt elsewhere, highlights that the government is considering taxing the state pension at source. For now that’s not the worrying part, as experience shows that there is often (usually?) a huge gap between media scaremongering and what eventuates.

No, what did alarm me is that the article highlighted that research has shown that only four in 10 elderly people know the state pension is taxable and many discover it only when HM Revenue and Customs tries to claw back the tax later.  How can this have fallen under their radar?

Apparently about 5.6 million of Britain’s 12m pensioners pay tax, while the rest have an income below the tax-free threshold, £10,500 for 65- to 74-year-olds and £10,660 for those 75 and over.

John Whiting, tax director of the Office of Tax Simplification (OTS), which advises the Treasury on tax matters says bringing the state pension into the pay-as-you-earn system could reduce bureaucracy and would remove the need for around 1.6 million pensioners to fill in self-assessment tax forms.

Well yes. But let’s hope if this comes about that some of the money that is saved is invested in mandatory workplace pensions and retirement training.
Read more: http://www.dailymail.co.uk/news/article-2127157/Granny-tax-2-Fears-elderly-hit-state-pension-set-taxed-source.html#ixzz1rdPMlnMp

Older learners – a new source of revenue for UK universities?

If it is to be believed that where the US goes, the UK will follow, academic governors ought to be paying heed to a recent article published in the US.

It suggests that many retirees are settling in towns that boast major universities. One survey of people 55 to 75 years of age found that more than half had a favourable view of retiring to a university town, and that in response a large number of campus communities have put out the welcome mat.

Retirees are attracted by the chance to take courses, find volunteer work at the universities, and enjoy the cultural activities that are part of the academic scene.

In the UK increasing numbers of older people are participating in the Open University and the University of the Third Age as well as enrolling in degree courses at mainstream universities. The question of the extent to which specific “third age” programmes should be designed for older people is open to debate but certainly a more positive drive to openly recruit more mature+ students could be a profitable move.

To see the full story:

http://www.middletownjournal.com/news/middletown-news/senior-citizens-attracted-to-campus-settings-1259893.html

Educating older workers

News today from the universities admission service, UCAS, that there has been a 12% drop in applicants from the UK for university places in September 2012 compared to this time last year.

The decrease was predictable, varies according to course and university, and arguably can be commended at a theoretical level for starting to reverse the previous government’s economically unsound policy of university education for all. Regardless of the recession, this strategy was inevitably going to result in a generation of university-educated young people with unrealistic and unrealised expectations in respect of the post-graduation jobs market.

However, a figure which seems to be somewhat buried in the news story above is that mature students appear, understandably, to be particularly deterred by the new higher fees for 2012. The number of applicants aged 40 or older has fallen by 27.8%, and among those aged between 30 and 39 the number has dropped by 22.7%.

The implication of this in a climate when it is no longer realistic to expect one career and one set of skills to be adequate throughout life, particularly when working life may extend to well past 70, is potentially disturbing and should not be allowed to be overlooked.

Whilst the education and employment of the younger generation is, of course, a source of concern and a priority it is easy to overlook the changing career needs of those who are already in work. Many of these, from either choice or circumstance need to increase their qualifications or re-train as they move through working life; how this will be funded and the impact of withdrawing this option is equally as important as the situation of school leavers.

 

Never too old to learn

Interesting news this week concerning the over 50s and continuing education. 

A common stereotype relating to older workers is that they have an ingrained resistance to learning and are disinterested in training and development. 

Plenty of research exists to show that this is untrue.  As with all stereotypes reality lies within a range of alternatives, with only a minority being resistant (as they possibly always were) and many more being highly motivated to keep learning (with a large number in the middle being quite malleable if they can see the point).

A new report published recently by Universities UK shows that in fact the numbers of over 50s participating in university education is mounting rapidly with approximately 130,000 people aged over 50 now taking courses.

Some commentators have emphasised that this is a reflection of older people’s desire to keep learning and contributing to society, or even to retrain and embark upon a new career. This being the case, over 50’s subject choices will be as wide ranging as those of students of any age.

However many others have chosen to focus on the “older-people-are-different” model. This proposes that universities should set up centres in areas where there is a high density of retired people and offer a range of courses such as moving from full-time to self-employment, ageing healthily, human rights and environmental citizenship.

There has got to be room for both.  But God forbid that universities overlook the business opportunities inherent in the former model (including the bonus of high completion rates) in a misplaced desire to “support” older people – many of whom may be more interested in studying history or quantum physics.

Further information about the report can be found at

http://www.universitiesuk.ac.uk/Newsroom/Media-Releases/Pages/OlderLearnersReport.aspx

When do apprentices become too old to learn?

Apparently this week is Apprentice Week. It’s an initiative being run by the National Apprenticeship Service to highlight the value of Apprenticeships.

 A visit to their website http://www.apprenticeships.org.uk/ makes interesting reading in that today, apparently, the words “young” and “apprentice” appear to have become synonymous. Yet the meaning of “apprentice” per se is only that of a learner of a craft who is bound to serve his teacher/employer for a period of time in return for their instruction. Age doesn’t come in to it.

As you will see from our last posting, we believe that age equality means equal opportunity for all regardless of age. Companies such as Centrica, B & Q and Sainsbury’s have extended the age range of their apprenticeship schemes to include older applicants, with the result that apprentices are now chosen from all ages – even those well into their fifties – resulting in measurable benefits for all concerned.

Businesses desperately need incentives to help them introduce and implement more age friendly policies. Extending the  new apprenticeship scheme (the Apprentice Grant for Employers – AGE ) which offers employers a £2,500 grant for each 16 or 17-year-old apprentice taken on would be a splendid way forward particularly in those areas and industries where there are jobs and/or skills shortages.  At the very least, reminding everyone involved to remove the preface “young” from “people” when talking about apprentices and apprenticeships would be a positive start.

NB:  Interestingly a 2009 report on Diversity in Apprenticeships which is listed on the National Apprenticeships Service site reviews gender, ethnicity and disability – but makes no mention of age.

Mass media communication

The more we deal with issues relating to the in my prime market, the more it becomes apparent that a great deal more education and information is required to help people plan and prepare for the latter decades of their lives. Traditionally this has been viewed as “pre-retirement planning” or has come from government or charitable organisations striving to “help” the elderly to manage better. Whilst these initiatives are all well and good, there is still a gaping hole in respect of what the “young old” need to know about the preparations we should all be making for the future.

A recent report from retirement housing developers Dunwood Court revealed that older people worry about their futures, but most do not actively plan for the time when they will become less able. In fact more than half of us are likely to die without even writing a Will. Whilst some might put this down to active complacency, we believe that it results from a lack of awareness of some of the issues and the possible actions that could be taken in order to ensure a smoother and more comfortable transition into true old age. Okay we might not know exactly what is going to happen to us, but there is a reasonable degree of certainty in respect of certain aspects of ageing.

Happily we are frequently asked to contribute to radio programmes concerning aspects of ageing (recent events include slots on Radio City 96.7 and Talk Radio Europe) but these tend to relate to discussions about a particular topic which is currently the focus of media attention. What we would like to see (and be involved in) are programmes which more seriously question and debate issues around what it means to grow older in today’s society and what innovative approaches might be taken to helping people take greater responsibility for their own futures. Any takers anyone?

Saving for retirement – the biscuit tin approach

Hardly a day goes by now without another piece of depressing information about the state of the nation’s pensions. In the last few days alone we have seen more defined benefit schemes closing, more reports on the lack of savings that individuals are making particularly during the recession, and soaring bankruptcy numbers among pensioners. One report, highlighting the fact that many are now unable to foresee when they might retire or how they might have adequate savings to live on, has  coined the term “baby gloomers”  to describe the plight that people feel they are in.

The advice that comes from the financial industry is plentiful but very self-serving: “save more for a pension”; “release some equity from your home”; “tuck your money away in an ISA”; “invest in buy-to let”; and more. The government believes that the answer lies in personal accounts which everyone will flock to in a few years’ time – we will see.

Many people, knowing their savings are insufficient but not by how much, would like to work longer, certainly past 65. Yet the government is still dragging its heels in a most extraordinary fashion. This is despite the fact that change is inevitable. The state pension age will be increasing to 68 in the coming years but the default retirement age is currently 65. What are people going to do –starve for three years? One glimmer of hope that the recession is providing is that firms are beginning to see the futility of redundancy as an answer to their problems and are looking at more innovative ways of managing the current problems with flexible arrangements, part-time working, sabbaticals etc. all now featuring. These are also ideal tools for dealing with an ageing workforce.

However, the first problem that must be addressed is one of awareness. There is, in the country as a whole, an order of magnitude lack of understanding among people of all ages as to exactly what it takes in financial terms to retire in some form of comfort. A fundamental and far reaching “reality check” is needed to reconcile the aspirational dream of an interesting, financially secure retirement with the ongoing provision that individuals are making through their working lives.

Retirement financial planning involves running up a store of wealth, retiring, and then running it down again over the course of the rest of our life – as simple as that. Building up a retirement pot is very much like tucking money away in a biscuit tin each week to save for Christmas – except Christmas may last twenty years or more.

For more see  Saving for retirement – the biscuit tin approach

He who knows not…..

As may be seen from our own approach here at in my prime we firmly believe that internet access and online activity is not only the future but is already the present. Accordingly, we very much welcome the Government’s Digital Britain Report and initiatives such as NESTA’s “Reboot Britain”.

It is, therefore, rather disconcerting to see in research carried out for Ofcom that not only is there a significant minority who do not have the internet but that many of them, particularly older people, have “self-excluded” themselves and do not see the need nor the value in getting to grips with the new technology.

We are now in a transition phase and many elderly people did not work in or were not brought up in a computerised environment. Their attitude is at least understandable. The learning curve for them is particularly steep – although that should not, in itself, be an excuse. I have experience of trying to help someone make the transition and there is much that can be done by the computer industry to make the experience easier for the elderly – core programs only, spam-free, virus-free, pop-up free, update restricted etc. etc.

But for those over 50s who have not yet reached this stage in their lives there is no excuse. Whether it be employability, keeping in the social mainstream, access to information, finances, improved purchasing power or a host of other uses and benefits, being connected is of paramount importance. Otherwise a truly second class citizenship will emerge and is already doing so.

Every encouragement, incentive and opportunity must be provided to bring people aboard. This is not another example of a nanny state telling us what is good for us and restricting the freedom of the individual – people must not be allowed to shy away.

He who knows not and knows not that he knows not is a fool; avoid him.

He who knows not and knows that he knows not is a student; teach him.

He who knows and knows not that he knows is asleep; wake him.

He who knows and knows that he knows is a wise man; follow him.

Ancient Proverb

Dumb, depressed and drunk?

An interesting piece of research floated past the radar this morning. Apparently a recent University of Michigan study of several thousand “seniors” found that those in the US performed significantly better than their counterparts in England on standard tests of memory and cognitive function. The study is the first known international comparison of cognitive function in nationally representative samples of older adults in the United States and England. It revealed that the overall difference in cognitive performance between the two countries was quite large – approaching the magnitude associated with about 10 years of ageing. In other words, the cognitive performance of 75-year-olds in the U.S. was as good, on average, as that of 65-year-olds in England.

The reasons why this may be are numerous and require further investigation. However the indicators are that a number of factors may play a part: First, higher levels of education and net worth in the United States accounted for some of the better cognitive performance; second, U.S. adults reported significantly lower levels of depressive symptoms than English adults (unlike Brits, they seek medication if they are depressed), and this may have accounted for some of the U.S. advantage in brain health since depression is linked with worse cognitive functioning; and third, significant differences in alcohol consumption between the U.S. and English seniors may play a role with more than 50 percent of U.S. seniors reporting no alcohol use, compared to only 15.5 percent of English seniors. Previous research has shown that moderate alcohol consumption, compared to abstinence, is linked with better cognition among those aged 50 and over.

Interesting links and interesting messages. Okay, maybe we can’t do much about our existing levels of education and net worth in later years, but keeping the brain active, keeping involved, interested and in the mainstream to stave off depression (and perhaps seeking treatment if it does occur), and cutting back on alcohol are all things which are possible and achievable. If it helps keep the brain ticking over that much better in later old age surely it’s got to be worth the effort.

More about the study at http://www.newswise.com/articles/view/553659/

Mexico opens University for the Elderly

Interesting news that Mexico, where by 2010 10% of the population will be over 60, has just opened a University for the Elderly. The move is in recognition of the fact that, according to the accompanying news release, “the elderly in Mexico remain largely marginalized”.

Whilst this appears a great move and definite marker for the fact that the over 60s have the capacity and interest to learn, one hopes that the underlying tenet isn’t one of creating a playground for the old – albeit on a higher intellectual plain than most of the “beneficial” activities created for the good of the elderly.

Fortunately the curriculum appears reassuringly solid: maths, French, economics, finance and accounting, history, philosophy, law, music appreciation and IT skills. Alongside this will be special courses on topics such as emotional intelligence, the psychology of the elderly, violence and depression, self-esteem and free time management.

Certainly a case of watch that space. If the Mexican University delivers all that it might it could represent a valuable role model for other countries to follow. In the UK we have the University of the Third Age about which little is heard, and toward which one suspects, little status and respect is granted. It could do more. If nothing else we need such institutions to drive the prominent message that older people can learn, still have value and can look forward to an interesting and stimulating period of later life.

Pension Reform and Personal Accounts after the Credit Crunch

Last Tuesday (24^th March) the International Longevity Centre-UK (ILC-UK) and the Actuarial Profession hosted a Joint Debate at the Institute of Actuaries in London on aspects of pension reform and personal accounts and the implications of the current credit crunch.

Chaired by Baroness Sally Greengross and introduced by a speech from Nigel Waterson MP, Shadow Pensions Minister and Shadow Minister for Older People, the 2-hour session was remarkably interesting (if you’re into that kind of thing) and was extremely well-attended, mostly by people from within the pensions, actuarial and financial services industry.

As this was a debate mainly consisting of people inside the industry “looking out” there was a substantial element of “preaching to the basically converted” and much of the debate was about the “how” of saving for one’s old age and whether this did the trick. There was, therefore, a lot of comment regarding what one might consider to be the technicalities of structuring and operating a pension scheme. Also, running through, was the (unsupported) hope that people would move away from property as the means to save and back towards pensions.

In this latter respect research by the Pensions Policy Institute, represented by Niki Cleal, was particularly revealing. Her comment was, in a nutshell, that those who saved probably saved across the board, that is pensions, property and ISAs etc., in contrast to those who probably had little of any. This is not a case of substitution and changing asset allocation.

Rather, we believe,  this is due to:-

1)       the lack of sufficient resources for people to be able to save at the current time, or possibly any time

2)       the phenomenal lack of understanding, generally, of what it will take to support oneself in old age in an appropriate style and over an extended and growing potential lifespan.

It is, therefore, the “why” people need to save that must also be addressed. There is an enormous educational task to be undertaken among the population in general and, until this is carried out, even the best designed schemes will have difficulty in succeeding. But all this is manageable given the will.

We are not talking deckchairs, shuffling, Titanic…yet.