The statement, "Is it always true that individuals are paid more as they get older?" has its flaws. The assumption that I will be making is that these individuals have been working throughout their adult life and that this group of individuals are those that will be paid more as they get older compared to when they were younger. The points supporting this statement are that individuals with work experience have the experience in managing people and in making pertinent decisions, and have a sharpened critical thinking and technical knowledge to demand a higher pay as they get older. The points against this statement are that individuals risk losing their job, affecting their pay and individuals would not see an increase in pay if they constantly switch jobs.
Older people with years of work experience are paid more as employers regard them as having the ability to manage people and have the decision making skills that can add value to the firm and ensure the continuity of the business. This is evident in top management which is often made up of individuals who have likely been in the industry for at least 5 to 10 years. This shows that having sufficient work experience is important to be part of the top management where it is believed to be the top 1% of earners in the company. Hence, it is true for individuals who have the work experience in managing people and in making pertinent decisions, to be paid more as they get older.
Older people with years of work experience tend to be paid more as they have the problem solving skills and technical skills required at work. This is supported by the increment in income as individuals progress up their career ladder, becoming managers in their companies after many years working under the supervision of others. The years it took for the individuals to sharpen their critical thinking and technical knowledge is valuable to any business which has goals to maximise profit and increase efficiency. Hence, it is true that individuals who have climbed up the ranks over the years due to these abilities would benefit from a higher pay as they get older.
However, it is not always true that individuals are paid more as they get older.
Age discrimination is a real issue and as individuals grow older, they are more vulnerable to get laid off first and be replaced by younger workers or foreign workers who are willing to work for a lower pay. These individuals risk losing their job, affecting their income outlook as they get older. Hence, these individuals would not be paid more as they get older due to factors such as layoffs and restructuring.
Individuals who chose to switch careers during their working life would have to unlearn, learn and relearn the skills requirement for the new role. This jump to a new industry could possibly mean a lower pay for the individual compared to their prior role as they would need to be trained again. Hence, these individuals may not be paid more as they get older if they are constantly switching careers.
In conclusion, individuals tend to be paid more as they get older if they are able to gain work experience in managing people and in making pertinent decisions. Individuals who have a sharpened critical thinking and technical knowledge would also benefit from a higher pay as they get older. In contrast, individuals who are not paid more as they get older are those that are at risk of losing their jobs and those who are constantly switching jobs.
(60 mins)
