A Call for Age Diversity in the C-Suite: Uncovering the Untapped Potential

In our recent C-Suite Series we explored the importance of diversity, with the focus being on gender. A quick reminder: only 93% of Fortune 500 companies have men at the helm. Have a read of that article here.

This week, the prickly subject of age.

Let’s be clear: this is not a deep dive into discrimination and why some young or older people might not get jobs, or the legislation that tries to combat the identifying of these protected characteristics. That is another topic entirely. This is all about the value that a diverse workforce brings to the table. While it is true that gender and ethnic diversity have been at the forefront, age diversity, especially at the C-Suite level, is an aspect that deserves a spotlight.

I am going to assume everyone reading this is at least open-minded about having an age-diverse leadership team. To put it more simply: everyone reading this should believe that while with age comes wisdom, there is also huge advantage to the fresher mind of youth.

Let’s explore.

Stage 1: The Problem

According to the CIPD, a mere fifth of employers have a strategy agreed at board level to manage a more age-diverse workforce, and just 18% of organisations focused on age diversity and inclusion in the past five years. These statistics underscore the need for a strategic approach towards age diversity, particularly at the C-Suite level.

Stage 2: Three of Many Benefits

Innovation

A clear and significant advantage of fostering a diverse leadership team is innovation. A spread of ages in leadership allows for a variety of perspectives, which is essential to avoid groupthink (thinking and making decisions as a group, unchallenged, because everyone thinks the same anyway) and to drive innovation.

Employee Satisfaction and Retention

In an age-diverse C-Suite, the variety of age groups and experiences represented can contribute significantly to increased employee satisfaction. Employees often feel more valued and understood when they see that their organisation’s leadership reflects a diverse age demographic.

Want to see this working in principle? It’s easy: just look at working from home (yes, sorry!). Those companies who, post-pandemic, have provided a balance (a hybrid) have seen some of the greatest retention numbers, better than those that have been 100% remote or 100% back in the office. (I concede any argument that it’s job-led in some instances.) Why has this been the case? Largely, you will find 100% back-in-the-office companies to have an average higher age C-Suite than those with a lower average, as younger employees look to progressive and alternative ways to conduct their business and engage with their staff. Put more eloquently: diverse age representation in the C-Suite can lead to policies and decisions that consider the needs and preferences of a broader employee demographic, further enhancing satisfaction levels.

One last thought on this. When employees clearly see that age is not a barrier to attaining senior-level positions, and that their organisation appreciates individuals regardless of age, they are more likely to feel a sense of loyalty and commitment. Makes sense, right? Even more so given the new attitude to work sometimes exhibited by Gen X.

Customer Base

Look at any major brand and they will have the latest up-and-coming (usually young) pop star, actor, model or influencer on their marketing campaigns. This is aimed at the key audience buying their products.

Coming to a boardroom near you in the future is the sense that a more age-diverse C-Suite will result in a more profound understanding of various customer bases, allowing brands to grow their profits by simply selling to more people. That is the practical application of this logic. However, it has also been suggested that, with a changing mindset of the population, in the future (perhaps not just yet) customers will actually look at the diversity and environmental credentials of a brand before choosing to buy from them. In order to stay relevant, it is not fantastical to suggest that C-Suite age diversity is going to be essential.

Stage 3: Final Thoughts

The call for age diversity in the C-Suite is not about merely filling a quota. It’s about enriching the leadership team with a blend of young, excited minds and seasoned wisdom.

On review for us, it is about creating a culture that values the unique perspectives and experiences that individuals from different age brackets bring to the table.

I challenge you, however: do a LinkedIn search for “Age Diversity”, and you’ll find it’s hardly being talked about. Rightly or wrongly, it is being overshadowed by other equitable topics. The road here therefore does appear to be a challenging one, especially if you combine it with other metrics such as younger women, so both gender and age together.

As the demographic of the workforce evolves, it’s imperative that organisations adapt and embrace age diversity at all levels, including the C-Suite, to stay competitive, innovative, and relevant in today’s dynamic business landscape.