Businesses are unprepared for a side-effect of the ageing workforce – a skills shortage in entry-level jobs, a new survey has revealed.
Around 67 per cent of businesses surveyed by Archer Mathieson said that they expected to employ more people over the age of 60 as a result of Britain's ageing population.
However, 60 per cent of companies were not expecting the "inevitable" drop in the availability of entry-level employees as the population ages, the report stated.
Most firms agreed that the need for more flexible working arrangements will grow over the next few years, something which could put further pressure on the workforce.
The companies also said that the external outsourcing of specialist skills, such as IT and finance skills, was the norm, with more than 80 per cent looking to outside specialists and contractors for current projects.
Founding partner of Archer Mathieson, John Archer, said: "While it is encouraging to see that many organisations are ready to embrace the availability of what we like to call an 'experienced' rather than 'ageing' workforce, at the other end of the spectrum business seems ill prepared for the inevitable decrease in supply of entry-level employees.
"Business needs to mind the age gap as the supply of school-leavers and graduates inevitably falls," he added.