Are older workers ‘crowding out’ the young?: a study of the Australian transport and logistics labour market

Abstract

This paper explores a paradox in the Australian labour market namely that ageing workforces and significant skills shortages in certain sectors are juxtaposed with rising youth unemployment. According to one dominant view these two social issues are interrelated with young workers being ‘crowded out’ by their older colleagues who are delaying retirement. In this study, we consider the strength of this argument through an empirical examination of the Australian transport and logistics (T&L) industry using a combination of secondary and primary qualitative research sources. The study found that it is not the supply of older workers, the major barrier for youth access to employment, but rather employers’ recruitment practices and strategies designed to avoid the costs of training younger workers.