1. The general assumption is that older workers are paid more in spite of, rather than because of,
their productivity. That might partly explain why, when employers are under pressure to cut costs,
they persuade a 55-year-old to take early retirement. Take away seniority-based pay scales, and
older workers may become a much more attractive employment proposition. But most employers
and many workers are uncomfortable with the idea of reducing someone's pay in later life -
although manual workers on piece-rates often earn less as they get older. So, retaining the services
of older workers may mean employing them in different ways.
2. One innovation was devised by IBM Belgium. Faced with the need to cut staff costs, and having
decided to concentrate cuts on 55- to 60-year-olds, IBM set up a separate company called Skill
Team, which re-employed any of the early retired who wanted to go on working up to the age of
60. An employee who joined Skill Team at the age of 55 on a five-year contract would work for
58% of his time, over the full period, for 88% of his last IBM salary. The company offered services
to IBM, thus allowing it to retain access to some of the intellectual capital it would otherwise have
lost.
3. The best way to tempt the old to go on working may be to build on such 'bridge' jobs: part-time
or temporary employment that creates a more gradual transition from full-time work to
retirement. Studies have found that in the United States, nearly half of all men and women who
had been in full-time jobs in middle age moved into such 'bridge' jobs at the end of their working
lives. In general, it is the best-paid and worst-paid who carry on working. There seem to be two
very different types of bridge job-holders – those who continue working because they have to and
those who continue working because they want to, even though they could afford to retire.
4. If the job market grows more flexible, the old people may find more jobs that suit them. Often,
they will be self-employed. Sometimes, they may start their own businesses: a study by
David Storey of Warwick University found that in Britain 70% of businesses started by people over
55 survived, compared with an overall national average of only 19%. But whatever pattern of
employment they choose, in the coming years the skills of these 'grey workers' will have to be
increasingly acknowledged and rewarded.
1. In paragraph one, the writer suggests that companies could consider
A. abolishing pay schemes that are based on age.
B. avoiding pay that is based on piece-rates.
C. increasing pay for older workers.
D. equipping older workers with new skills.
Answers
Answer:
avoiding pay that is based on piece-rates.
C. increasing pay for older workers.
D. equipping older workers with new skills.
In paragraph one, the writer suggests that companies could consider D. equipping older workers with new skills.
The writer says that the companies may retain the older workers in different ways in the last line. The reason he gives for this is that the employers and workers may feel uncomfortable about reducing pay in the later part of life. Older workers employed on the basis of piece rates get paid less when they get older. In this case, they can be employed with new skills.
A. abolishing pay schemes that are based on age.
Abolishing pay schemes based on age is one option mentioned by the writer. But, he does not suggest this. He has a better proposition.
B. avoiding pay that is based on piece-rates.
Pay based on piece rates decreases with age. The writer is not suggesting this, he is stating a fact.
C. increasing pay for older workers.
The writer does not suggest this option.