A sharp increase in older workers leaving the workforce has been recorded, with a 42% rise in health-related economic inactivity in the three-year period between 2019 and 2022.
According to mutual insurer Royal London, menopause is a major factor responsible for the exodus of women over 50 from the workforce, which has so far flown largely under the radar.
The loss of workers not only dents economic growth, but individuals can also face retirement shortfalls of over £126k.
Almost a million women have left their job due to menopausal symptoms, while others are forced to reduce their working hours.
This means women may miss out on important pension savings, widening the gender pensions gap.
Improving how women experiencing the menopause are accommodated in the workplace would help them fulfill their potential and ensure the economy reaps the benefits, said Clare Moffat, pensions expert at Royal London.
She said:
“A shrinking workforce causes increasing concern for the government and employers and is stoking fears about stunting economic growth. It’s an issue that the Chancellor will no doubt be keen to address and we will likely hear more on this in the upcoming Budget. However, there remains a lack of support for women in the workplace resulting in an increasing number having to leave the world of work.
“Menopausal symptoms can prevent women from working and saving as much as they would like, with almost a million women leaving their job as a consequence, while many others are forced to reduce their hours. This means women may miss out on important pension savings at a key stage in their life, resulting in them being up to £126,000 worse off, potentially widening an already significant gender pensions gap.
“Ultimately helping to solve the issue, through improving how women experiencing the menopause are accommodated in the workplace, would help them to fulfil their potential and ensure the economy reaps the benefits too.”
