4. Strategic HRM for Older Workers

Organizations face the challenge of how to make sure that their aging workers remain motivated, productive and healthy contributors to organizational performance. Building on Strategic HRM, we offer two insights. First, following the Resource Based View and conservation model, older workers can be a source of sustained competitive advantage provided that they are adequately managed, and so it might be wise to tailor HR practices to the needs of older workers. Second, the SHRM literature demonstrates that employee attitudes and behaviors are crucial for organizational performance. However, since motives change with age, the utility and thus the influence of HR practices on employee attitudes and behaviors might also change with age. Therefore, in this chapter, we first review the literature on the effects of HR practices designed specifically for older workers. We then review theoretical arguments on the role of age and age-related factors in relations between universally applied HR practices and employee performance, motivation, and health. Finally, we will highlight key knowledge gaps in the area and identify important lines for future research that can contribute to a better understanding of how organizations can manage older workers’ motivation, health and performance.