As the workforce continues to age, companies are facing a new and pressing challenge: how to protect older workers who are increasingly exposed to higher risks of injury. Workers aged 55-64 have a notably higher frequency rate of injury claims, which is compounded by the severity and longer recovery times of these injuries. The reality is that failing to address the unique needs of this demographic can have dire financial and operational consequences.
Why Older Workers Are Staying in the Workforce—and Why It Matters
The aging workforce is a reality across the globe. Financial pressures—particularly the rising cost of living—are keeping older workers on the job longer than ever before. Nearly half of Australians over 55 are planning to work beyond traditional retirement age due to the financial strain of rising costs. However, as these workers stay on longer, they’re increasingly at risk for injuries that take longer to recover from, increasing the overall cost of workplace injury claims.
In Australia, the frequency of serious workplace injury claims is on the rise. In 2024, there were 139,000 serious workers’ compensation claims—a 20.5% increase over the last decade. This spike in serious claims is particularly concerning for older employees. The serious claims frequency for workers aged 55+ is a stark 8.9 per million hours worked, which is over 50% higher than that of workers from 24-45 years of age. Beyond the claims themselves, the costs tied to these injuries are substantial. These statistics underline the critical need to rethink safety strategies to protect an aging workforce.
Maximise Safety to Reduce Costs
The financial implications of neglecting the health and safety of older workers are undeniable. Older workers aged 55+ account for 22.8% of all claims, and the costs associated with their injuries are notably higher compared to younger workers, under the age of 45. For example, the median compensation payout for workers aged 55 and older is $21,500, which is nearly double the median of $11,000 for workers under 35 (Safe Work Australia, 2024). These higher injury costs don’t just add up in terms of compensation; they also have a ripple effect that impacts your entire business. Increased absenteeism, loss of productivity, and the challenge of replacing skilled employees all contribute to a significant financial burden.
Moreover, the proportion of serious claims from workers aged 65+ has nearly doubled in the past decade, now representing 4.0% of all serious claims. This trend is expected to continue as the workforce continues to age, further compounding the financial impact of these injuries.
The Key to Mitigating Risk
It’s not too late to act, but the time to do so is now. Proactively addressing the needs of older workers through tailored safety programs can significantly reduce the risk of injury and the associated costs. Ergonomic workplace adjustments, fall prevention training, and safe lifting techniques can all help reduce the physical strain on aging employees. These programs are not only about reducing the likelihood of injury—they’re about ensuring that older workers remain productive and engaged in their roles.
Moreover, the rising number of mental health-related injury claims—which have increased by 97.3% over the past decade—requires that companies also address mental health in their safety programs. Older workers may experience heightened stress and anxiety related to technological changes, physical demands, or shifts in workplace culture. Prioritizing mental health and wellbeing is just as crucial as addressing physical safety.
The financial benefits of these proactive measures are significant. For every dollar spent on injury prevention and management, businesses can save multiple dollars in reduced claims, lost productivity, and the cost of recruiting and training replacement workers. The ROI is clear.
How Technology Can Help
There’s no excuse for ignoring the signs of risk. By using technology to track and analyze injury trends, businesses can take immediate action to address potential hazards before they cause harm. Safe Work Australia’s data, which shows a significant rise in both the frequency and severity of injuries among older workers, underscores the need for more targeted, proactive interventions.
Real-time monitoring tools and predictive analytics can provide valuable insights into when and where older workers may be at risk, allowing employers to intervene before a situation escalates. Technology can also play a vital role in supporting recovery. Personalised solutions can assist in managing the recovery process, ensuring that injured workers receive the necessary support to return to work as quickly as possible.
Investing in the safety of experienced workers is a commitment to a stronger, more resilient workforce.
The financial cost of injuries among older workers is steep, but the investment in their safety pays off in the long run. By ensuring older employees have the resources and support they need to work safely, businesses can reduce the incidence of injury, improve employee retention, and protect their bottom line.
Supporting the aging workforce is not just about reducing claims—it’s about investing in the wellbeing of workers who contribute a wealth of knowledge and experience to your business. The companies that succeed in providing a safe and supportive work environment for older employees are the ones that will see the greatest returns on investment in the years to come.
What Are You Doing to Support Your Workforce?
We can no longer afford to overlook the unique needs of an aging workforce. As the challenges of an aging workforce continue to grow, Solv offers a comprehensive solution that helps businesses tackle these issues head-on. By leveraging a proactive, data-driven approach, Solv empowers organisations to reduce injury costs, streamline return-to-work processes, and provide vital support for employees throughout their recovery.
With Solv in place, you can ensure the long-term well-being of your workforce while safeguarding both productivity and operational continuity. The time to act is now. The aging workforce is not a challenge to be feared but an opportunity to build a safer, more inclusive, and more productive future for everyone.
For the latest data on workplace injury statistics and trends, visit Safe Work Australia’s official insights: Safe Work Australia – Key WHS Stats 2024.