ANALYSIS

GLOBAL COALITION ON AGINGAs an organisation aiming to reshape how global leaders approach and prepare for the 21st Century’s profound shift in population, GCOA uses research, policy analysis, advocacy and communication to help turn global ageing from a burden to an opportunity. Here, Executive Director Dr Michael Hodin talks to International Innovation about the need to reconsider what it means to age

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ANALYSIS

How did your interest in ageing develop following your broader interests in public affairs and policy during your time at Pfizer?

During the 1990s, I first became aware of the burden associated with the ageing of populations in Europe, Japan and South Korea. It was clear that the impact was already as serious and profound as any other more recognised trend because of its consequences on fiscal sustainability stemming from current health, pension, work and retirement policies. I became increasingly persuaded that there was a niche to be filled, but that a successful strategy would require cross-industry collaboration – technology, retail, healthcare and financial services – as well as a multidisciplinary approach that would include economics, health, demography, tech from business, academia and NGOs. When I first read the Standard & Poor’s 2010 Report: Global Ageing 2010: An Irreversible Truth, I was persuaded that there was room for a more optimistic view of ageing if we could help change public policy, business strategy and even institutions of society. This led to the creation of the Global Coalition on Ageing (GCOA).

What do you see as the roles of the coalition?

GCOA is a unique operation in that it acts both as an adviser to companies on how to benefit commercially from population ageing – commercial opportunity, workplace and workforce changes, and corporate social responsibility – as well as a coalition that can change the conversation and influence public policy. When discussing the implications of global population ageing, the conversation too often skews towards the ‘doom and gloom’ scenarios that put this demographic shift in a negative light. Much of this is rooted in 20th Century notions of older populations as disabled and dependent.

As governments and societies look at how to adapt to an ageing population, GCOA seeks to identify ways that the private sector can promote a life course of healthy ageing. We develop new and different partnerships across governments, NGOs, academia, think tanks, businesses and global institutions to help companies understand how an ageing population impacts business operations. For instance, we help them to identify innovative solutions in products (eg. wearable technology, skin health products), services (eg. home care, financial planning), workplace initiatives (eg. support for caregivers, age-neutral workplace, training and education) and corporate social responsibility strategies that can be used to meet the needs of an ageing population.

With what sort of external organisations do you work?

Over the past year, we have co-hosted global policy dialogues and expert consultations with the Asia-Pacific Economic Cooperation and the Organisation for Economic Co-operation and Development (OECD). Additionally, we have worked with the World Health Organization (WHO) in promoting their Global Network of Age-friendly Cities and Communities initiative. GCOA is also engaged with global think tanks and leading global organisations. Academic organisations with which we have partnered include the University of Oxford and the University of Manchester, UK, Massachusetts Institute of Technology, USA, and Renmin University, China.

We have also led events with national and local governments such as the US Senate Special Committee on Ageing and the Manchester City Council. Furthermore, GCOA works closely with many NGOs such as Alzheimer’s Disease International, American Association of Retired Persons, American Federation for Aging Research, the UN NGO Committee on Ageing and the International League of Dermatological Societies, among many others.

To what extent will an increased proportion of elderly individuals differentially affect developed, developing and underdeveloped countries because of the contrasting challenges and opportunities that they face?

Population ageing is unique in that it will have an impact on the entire world, not just developed countries. As developing and underdeveloped countries continue to modernise and urbanise, we are already seeing a dramatic decrease in births. Coupled with increased longevity, we will soon see countries like Vietnam, Brazil and Turkey facing the same issues that are prevalent in German, Japan and South Korea.

Our biggest opportunity is to identify best practices that these emerging markets can begin implementing, that will help them keep their populations healthy, active and economically productive. This will, in turn, help reduce healthcare costs and promote economic growth.

Are there any examples you could mention of countries that are addressing this issue head on and have already seen a positive reduction on the impact of the ageing population?

At the national level we are beginning to see changes, especially in countries with the oldest populations, such as European countries and Japan, or those with rapidly ageing populations as is the case in China. This past year we have seen the G7 nations come together for the first time to begin looking at how to begin addressing the growing burden of Alzheimer’s disease. British Prime Minister David Cameron launched this global effort and it has led to several legacy events being held in the various G7 nations.

At a local level, we are seeing even more action as cities are embracing WHO’s Age-friendly City programme. New York in the US and Manchester in the UK are two of the most prominent age-friendly cities and are seen as global leaders on adapting to an ageing population. These cities are working to keep their older populations healthy and active through improved public transport, better education and understanding of issues affecting the physical and mental health of older people, the promotion of part-time and volunteer work, and age-friendly business as reflected through the World Economic Forum Initiative on Age-Friendly Business Principles, among other initiatives.

Why is population ageing often missing from consideration of the factors that affect economic development, both at a national and global scale?

Older populations have tended to be viewed as a burden due to the many health issues that are prevalent among older adults. Therefore, an ageing

GCOA is the business voice on the topic of population ageing, comprised of cross-sector global companies with an optimistic view of demographic change – one in which ageing becomes an opportunity, not a burden, if we properly plan and prepare. We recognise that no single company, sector or government can tackle this problem alone, so we must take an interdisciplinary, cross-sector and global approach to finding solutions.

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population is more often viewed as an economic cost because of the assumed associated increase in healthcare spending.

However, we see time and again that this is not the case. While a portion of the older population will certainly require more care and medical attention, there are many more 60, 70 and 80 year olds who want and are able to remain active in the workforce and engaged in their communities. We need to begin to look at ways to promote healthy living throughout the life course so that people can remain healthy and independent for as long as possible.

GCOA and its members are committed to enabling this healthy and active ageing by driving the global dialogue and taking action. These activities include working with the healthcare and pharmaceutical industry on a global campaign by Galderma/Nestlé Skin Health to highlight the importance of skin health throughout the life course, as well as collaborating with financial services companies AMP, BlackRock, AEGON and Bank of America Merrill Lynch to elevate the dialogue around the need to rethink our approaches to retirement in order to fit with 21st Century demographics.

Can you highlight some of the ways in which elderly members of society can contribute to economic development rather than just representing a burden and liability?

Studies have shown that increasing the participation of older people in the workforce leads to increased employment and higher wages for younger workers. In the US, a recent survey of people nearing traditional retirement age found that only around 20 per cent wanted to retire completely. Many wanted new careers or to set up small businesses, with flexibility mooted as a key goal.

In Australia, workers over 45 years of age will be responsible for 80 per cent of all labour market growth by 2016. The country is working to incrementally increase its retirement age to 70 by 2035, which would help reduce Australia’s aged pension expenditure. The government also plans to offer cash incentives for companies that hire unemployed people aged over 50. These reforms should better position Australia to drive economic growth through increased workforce participation. We must encourage companies to retain their older workers, who can not only remain productive but also offer additional value from their extensive institutional knowledge and experience and their ability to mentor younger workers.

How would you respond to a suggestion that implementing programmes such as the Life-Course Immunisation approach to promote healthy ageing augments rather than attenuates the problems of the ageing population by further extending life expectancies? Could you explain the premise of this programme?

Regular immunisation programmes for communicable diseases like pneumococcal pneumonia or shingles are among the best ways to prevent disease, keep people healthy and save hospital and health system costs. As we age, we become more prone to these diseases. Just as we protect our children from diseases to which they are susceptible when they are young, why would we not do the same for adults across the life course? With immunisation, we do so not only for individual health, but also in the interest of public health to prevent the spread of infection. This has implications at all ages, just like healthy diet and exercise. While it certainly extends life expectancies, it does not just help people live longer but helps people live longer and healthier lives overall.

What are the principal barriers to the transformation required if globally we are to begin reshaping and reimagining our life course in this era of longevity?

In the developed world, many of our societal norms and institutions were built for a different societal structure in a different era. We must begin to rethink and reframe what it means to ‘age’ across the life course. Concepts like education, work and retirement will mean something different when we have a society with more people over 60 than under 15. We must break out of our 20th Century notions and embrace policies that promote greater innovation, incentivise entrepreneurship, and invest in wellness and prevention across the life course in order to fully capture the potential of our 21st Century demographic reality.

GCOA’S WORK IS STRUCTURED ALONG THREE CORE WORK STREAMS THAT DRIVE THE ORGANISATION’S AGENDA:

• Silver Economy: Ageing populations can be drivers of productivity and wealth creation by remaining active, engaged and working. Capturing this workforce engine will necessitate workplace adaptations, new definitions of retirement and savings, and investment in lifelong training and education.

• Active and Healthy Ageing: The gift of longevity requires policies and private-market solutions that promote a life course of healthy ageing. New products, services, medicines and technologies are needed to keep all members of society physically active, socially engaged and mentally fit as they age.

• Care: Rapid ageing – the combination of longevity and declining birth rates, which leads to an increasing proportion of ‘old’ to ‘young’ – is creating a need for new care models that address the rising demand for these services as we age. They must utilise new technologies, address caregiver and patient needs, and supplement existing services and support.

www.globalcoalitiononaging.com

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