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CHAPTER 13
A Swedish programme for phasing out older employees based on consent and social responsibility 245

Large-scale downsizing projects were carried out in the Swedish labour
market, for instance in shipbuilding and the car industry, where parallel
organisations were created and given sizeable resources to support those
becoming redundant. However, the present chapter analyses a more ambitious
model: restructuring personnel based on consent and simultaneous recruitment
and discharge. The central question we address is under what conditions is it
possible for an employer to reach legitimate goals set for downsizing, still
maintaining good relationships with trade unions, and giving good opportunities
for those discharged. We present a case study of a downsizing process carried
out by the Swedish Armed Forces. Special emphasis is on the innovative model
applied for career switching of military officers in danger of being made
redundant. Analysis of the outcomes and comparison with a more successful,
but similar, project carried out at Ericsson Microwave Systems follows. Finally,
the results are interpreted in the light of current organisational theories.

13.2. Age and late career

There is a growing body of knowledge in contemporary academic literature
with respect to conditions that influence possibilities of a late career for older
persons. For Greller and Simpson (1999) the cognitive decline with age is not
sufficient to impact work performance, and current perceptions assuming
declining productivity are flawed. In principle, research indicates that there is
much better potential for a sustained working life for many than is usually
assumed.
However, important barriers have been identified. Older professionals are
ʻvulnerable to diminishing rewards, dwindling networks and outdated skillsʼ
(Platman, 2004, p. 592). According to Buyens et al. (2009), the generally
negative image of older workers forms, ʻa self-fulfilling prophecy due to the
mechanisms of stereotype threatʼ, and this tends to affect the preference for
keeping on working negatively. There also seems to be an adverse age effect
related to competence development: many employers are not inclined to
invest in vocational education and training of older people (Taylor and Unwin,
2001). This poses a threat to their employability due to a competence base
which is not sufficiently up to date and broad (Van der Heijde and
Van der Heijden, 2006).
Organisational turnover has been defined as ʻleaving any job of any
duration, and is usually thought of as being followed by continued regular
employmentʼ (Feldman, 1994). The mechanisms behind voluntary