Chair: Richard Tompkins, Director, NHS Wales Employers Speaker: Andrea Hester, Head of Pensions and Reward,

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1 #welshconfed14 Addressing the impact of our ageing workforce Chair: Richard Tompkins, Director, NHS Wales Employers Speaker: Andrea Hester, Head of Pensions and Reward, NHS Employers Mynd i r afael ag effaith ein gweithlu sy n heneiddio Cadeirydd: Richard Tompkins, Cyfarwyddwr, Cyflogwyr GIG Cymru Siaradwr: Andrea Hester, Pennaeth Pensiynau a Gwobrwyo, Cyflogwyr GIG Supported by:

2 NHS Working Longer Review Andrea Hester Head of Pensions and Reward

3 Background Independent Public Services Pension Commission chaired by Lord Hutton: NHS Pension Scheme Normal Pension Age will be linked to State Pension Age NHS Pension Scheme: proposed final agreement: Move from Final Salary to Career Average NPA linked to SPA

4 State Pension Age changes and reviews State Pension Age and the link with Normal Pension Age will be periodically reviewed This change means currently: People born between 6 April 1960 and 5 March 1961 will reach State Pension age between 66 and 67 People born on or after 6 March 1961 will reach State Pension age when they re 67 or older This will then increase to 68 between 2044 and 2046

5 Impact on the NHS Workforce Some staff are protected from this change Up to 70% of the workforce o will now have a pension age of between 65 and 68 depending on their date of birth. This could increase again in the future if Government raises the state t pension age further.

6 NHS Workforce Demographics

7 Age profile - Wales 20% All Wales 15% 10% 5% % of Workforce 0% Under

8 Age profile Nursing and Midwifery 20% Nursing and Midwifery Registered 15% 10% 5% % of Workforce 0% Under

9 Age profile - Doctors 20% Medical and Dental 15% 10% 5% % of Workforce 0% Under

10 NHS Working Longer Review What is the NHS Working Longer Review? Why are we conducting this review? Who is involved? What are the outcomes of this review?

11 NHS Working Longer Review why? To understand the impact the raised pension age will have on staff, employers and patients Objectives Identify categories of staff that may be more adversely impacted than others Explore the option for employer/employee p y funded contribution rates to offset the cost of early retirement Consider what strategies employers will need to put in place to support tthe extension of working lives Determine the scope of pension scheme design flexibilities to support staff working to state retirement age and in particular to support flexible retirement

12 NHS Working Longer Review group structure NHS Staff Council NHS Pension Scheme Governance Group Working Longer Review Steering Group Impact of Working Longer sub group Employment Practice sub group

13 Evidence Does age impact on staff s ability to deliver safe and effective care? How is performance/productivity of the organisation impacted as the workforce ages? Does age impact on the number and type of staff roles that face increasing capability or disciplinary issues? Do different groups of staff have different retirement behaviour?

14 The Audit of Existing Research The University of Bath was commissioned to undertake the research. Someof of the keyfindings were: For staff to remain productively employed there needs to be a good fit between the demands d of their job, their working environment, their personal circumstances/motivation and their capability People do not have sufficient awareness and understanding of their work options leading up to retirement and their existing pension choices

15 The Audit of Existing Research Line Managers need training and support to manage older employees in a multigenerational context Older people (in good health, with upto date skills sets) perform as well as their younger counterparts especially when working within a good working environment thathas has a strong working culture

16 Gaps in evidence The Audit identified a series of gaps in evidence that would require further research Overall a lack of NHS Specific evidence What does a comprehensive a proactive joint HR and Occupational Health service look like What does support for line managers in the NHS look like? What are the key barriers to flexible working What are the key barriers to flexible working arrangements in the NHS

17 Call for Evidence A national call for evidence ran from 24 June until 5 September The call for evidence sought information on: What happens in your organisation that makes it easier for people to stay longer in work? Whatmakes working longer more difficult and why? Are there special issues for particular groups of staff? What do you think could be changed to support people working longer and how?

18 Call for evidence the findings The call for evidence has been analysed by researchers at the Universities of Newcastle and Middlesex 122 responses were received There are themes emerging from the evidence which are similar to those found in the Audit of Existing Research, including: othe need to improve appraisal and career reviews

19 Call for evidence the findings oimprove pension awareness and pre-retirement education oevaluate demand for flexibility opublicise retire and return options otrain managers in managing an older workforce oimprove capability assessment omake redeployment a normal option

20 The Review Recommendations The Steering Group is scheduled to set out it s recommendations to the Health Departments before the end of January These recommendations, 11 in total, address the key issues identified These recommendations, if acted upon, will support employers and staff in meeting this challenge There is clearly more work to do...

21 Find out more Follow the review on Twitter for latest Information is available on the NHS Employers website