Future economic growth and competitiveness will increasingly depend on how effectively employers can utilise their ageing workforces. To manage the inevitable changes in demographics, employers need to start preparing for an ageing workforce and developing strategies to manage and retain older employees. The main objective of this paper is to determine the impact of leadership and employee relations on work satisfaction of older employees, as well as to determine the impact of work satisfaction on the work engagement of older employees in financial service companies in Slovenia. To test the hypotheses, the authors used structural equation modelling. The results show that the effects of leadership and employee relations on work satisfaction in the case of older employees in financial service companies in Slovenia are positive, and the effect of work satisfaction on the work engagement of older employees is positive, too.
Background: The aging of the European population is a demographic trend reflected in the ever-growing number of older employees. This paper introduces the importance of motivation and satisfaction in the workplace among age diverse employees in Slovenian companies.
Objectives: The goal is to investigate the differences between the motivation and satisfaction of employees from different age groups in the workplace.
Methods/Approach: The paper is based on research including a survey of two age groups of employees in Slovenia. We employed the Mann-Whitney U test to verify differences in the motivation and satisfaction in the workplace between the two groups.
Results: Older employees are more motivated by flexibility in the workplace; autonomy at work; good interpersonal relationships in the workplace; the possibility of working at their own pace; respect among employees; equal treatment of employees regardless of their age. They are more satisfied with interpersonal relationships in the company; their work; working hours and the distribution of work obligations; and facilitation of the self-regulation of the speed of work performed.
Conclusions: Motivation and satisfaction change as individuals age. Using this information, managers and employers can apply appropriate measures to contribute to employees’ well-being and better workplace performance, better working relationships with colleagues, higher productivity, and greater creativity.