Ageism: The Employer’s Next Big Crisis!

Published on 2 October 2025 at 09:28

A reflection on the labor market, age, and the future!

We are facing one of the most paradoxical moments in Swedish labor market history. On the one hand, people live longer and politicians raise the retirement age – from 2026 the reference age will be 67. On the other hand, Akavia’s report shows that nearly every second person over 50 experiences worse chances in a recruitment process, and six out of ten over 60 feel directly discriminated against. How does that equation add up?

This is not a marginal issue. It is a ticking crisis – for companies, for society, and for individuals. Systematically excluding people over 50 does not only waste human experience and knowledge. It is a business risk of the highest order.

A society that lives longer but closes doors earlier

We know life expectancy is increasing. A 66-year-old woman in Sweden today can expect to live until 90, a man until 88.5. That should be a resource – more years, more energy, more opportunities. But instead, the extended lifespan is becoming a burden, because the labor market refuses to adapt.

The report shows that the likelihood of being called for an interview starts to drop as early as age 40. After 50, a majority experiences age-related barriers. After 60, discrimination is almost the norm.

We like to talk about diversity – gender, ethnicity, background. But when it comes to age, there is an uncomfortable silence. A silence that hides something deeply problematic: systematic exclusion that we have learned not to even react to.

When employers saw off the branch they sit on

Companies talk about talent acquisition and skills shortages. At the same time, they close the door on an entire generation of applicants. The result? They lose not only “well-aged knowledge.” They lose stability, leadership, perspective, and the ability to build bridges across generations.

Research consistently shows that mixed teams – where experience meets fresh thinking – create more sustainable organizations. Excluding older workers is therefore not only discrimination. It is a strategic self-inflicted wound.

Calculations show that Sweden loses 213 million work hours every year due to unused senior competence. The price tag? Around 70 billion SEK. This is not a “kindness question.” It is about competitiveness and survival.

The lock-in effect – when people stop moving

One of the most alarming findings in the report is that more than half of all people over 50 have considered changing jobs but experience age as a barrier.

This creates what is called lock-in: people stay in workplaces that do not match their skills or ambitions, because they know the chance of landing something new is minimal.

For the individual, it means frustration and lost motivation. For the employer, it means employees unable to flourish. For society, it means the labor force is not moving where it is most needed. A systemic inefficiency we cannot afford.

The hidden discrimination

Ageism is not just about not being called to an interview. It often takes subtle forms. The report shows that:

  • 41% of people 60+ experience fewer opportunities for development.

  • 41% of the same group report worse salary development.

  • 43% feel that their knowledge and experience are not being used.

Small signals, but together they send a loud message: “You are worth less.”

And here lies the greatest paradox: the qualities most needed in times of crisis – overview, perspective, calm, and the ability to lead in complex situations – are often the ones that come with experience. Yet these are deemed less attractive.

Sweden stands out negatively

Comparisons show that the likelihood of getting a job as a 55–74-year-old is more than twice as high in Denmark and Norway as in Sweden. This means it is not just a general global trend – it is a specifically Swedish problem.

Sweden is therefore losing both competitiveness and prosperity by marginalizing an entire age group. And this is happening at the same time as employers loudly complain about skills shortages.

A crisis in slow motion

When retirement ages rise while age discrimination persists, we face a crisis in slow motion.

The equation does not add up:

  • The state says: work longer.

  • Employers say: we don’t want you anymore.

The consequence is people being forced out of working life too early, with poorer pensions, increased mental health problems, and a heavier burden on the welfare system. Meanwhile, the labor market continues to scream for competence.

The solutions already exist – but willpower is missing

Akavia’s report points to a series of solutions:

  • Attitudes & awareness: Bust myths and highlight older workers’ competence as a resource.

  • Leadership development: Managers and HR must be trained in age-conscious leadership.

  • Recruitment: Introduce prejudice-free and anonymized recruitment processes.

  • Flexibility: Enable older employees to work in new ways – part-time, remote, flexible pension.

  • Regulations: Allow studies and lifelong learning even after age 60.

  • Politics: Strengthen the Equality Ombudsman and introduce sanctions against employers that discriminate.

So the problem is not lack of knowledge. The problem is lack of courage.

A new story about work and age

At its core, ageism is about narratives – the stories we tell about others and about ourselves.

As long as the image of the “ideal employee” is someone between 28 and 39 with “drive and potential,” everything outside that frame will be considered less valuable.

But the reality is that working life cannot survive without a mix of speed, experience, and the ability to build long-term resilience. This is especially true in a time shaped by AI, climate transition, and global uncertainty.

Phasing out workers 50+ is therefore not just unfair. It is a strategic self-goal that risks undermining the labor market itself.

Conclusion: The employer’s next major crisis

Ageism is no longer something we can ignore. When every second worker 50+ experiences worse chances in recruitment, when retirement ages are raised, and when society loses 70 billion SEK annually – it is obvious that this is the next major employer crisis.

And unlike many other crises, this one is entirely self-inflicted.

We must begin to speak about age diversity with the same clarity and weight as we speak about gender, ethnicity, and background. Not as a “kindness issue.” But as a matter of business value, competitiveness, and survival.

For those who continue to ignore it, a harsh reality awaits: as the population ages, it will no longer be possible to systematically shut out an entire generation. At that point, ageism will no longer just be a shadow on the labor market. It will be the employer’s next great crisis.


Further Reading

  • Akavia – Rapport: Ålderism i arbetslivet (2025)
Alderism I Arbetslivet Pdf
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By Chris...