MOTIVATING OLDER EMPLOYEES The relationship between job characteristics and work motivation with the moderating effect of age.

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MOTIVATING OLDER EMPLOYEES

The relationship between job characteristics and work motivation with the moderating effect of age.

Master Thesis, MSc Human Resource Management University of Groningen, Faculty of Economics and Business

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ABSTRACT

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1. INTRODUCTION

In almost all countries in the world the aging of the workforce is becoming a problem. Employers are not only faced with more diversity in ethnicity and gender, but especially in age (Perry, 2010). The percentage of older employees and the average age in every company will grow significantly in the next 15 to 20 years (Stamov-Roßnagel & Hertel, 2010, Van Dalen & Van Sloten, 2006). In 2010 the number of people aged between 45 and 65 make up 46.58% of the total working population and this number will grow even more. The employment rate among older employees in the OECD countries has increased from 46.47% in 2000 to 50.27% in 2010 (OECD). This indicates that there is already an increase in workforce participation among older employees taking place.

In the Netherlands the percentage of working people with the age between 60 and 65 is relatively low in comparison with other countries. This is mainly due to early retirement possibilities which allow employees to stop working at the age of 60 or even earlier (Peeters, Nauta, De Jonge&Schalk, 2005). The next few years the working population will decrease, while the number of retired persons will increase. This has major implications for the Dutch pension systems in which the working population pays for the pensions of the retired. The working population will become too small to pay for the pensions and a gap will occur (Kuné, 2009). Therefore the Dutch government is planning on changing the retirement age from 65 to 67, so that the working population will increase and the pension gap will be reduced. As stated before, relatively few older people in the Netherlands are working, but with government regulations this will change. Older people will become a larger part of the total workforce and this makes motivating older employees an important topic.

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5 Several studies have shown differences in work motives between older and younger employees, because with age the importance of work characteristics shifts (Rabl, 2010).According to the lifespan theory (Baltes, 1987) older people want to minimize their losses and maximize their gains. This is because during life people‟s abilities decrease, social contacts disappear and physical abilities decrease. Older employees‟ main attention may be drawn to maintaining status and gain as much as possible from the job before retirement (Schalk, Van der Heijden, De Lange & Van Veldhoven, 2011). Furthermore it is said that older employees continue to work because they like the interaction with other employees, to transfer their knowledge to the younger employees and that they want to remain active. Younger employees on the other hand are more interested in the status derived from the work and in a high salary (Zientara, 2009). Younger employees are more focused on their individual performance and developing themselves by learning new skills. Their focus is more on the future, because they have a whole working life ahead of them. Older employees‟ are focused on what happens after retirement (Kooij, Jansen, Dikkers & De Lange, 2010).

When taking the above into account it sounds reasonable that older employees derive work motivation from different job characteristics than do their younger colleagues. Stated differently, it is expected that age influences the relationship between job characteristics and work motivation. Research on motivating older employees has been performed by a few authors (Kooij, De Lange, Jansen & Dikkers, 2008; Kooij, 2010; Kanfer & Ackerman, 2004), but no clear motivators for older employees have been formulated yet (Kooij et al., 2008). Therefore this paper will try to find out if there is a relationship between certain job characteristics and work motivation, and whether this relation is moderated by age. At the end the question of what motivates older employees to (continue to) work can hopefully be answered.

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6 perceptions one has about the own age, organizational age has to do with aging of employees in jobs and finally life-span age focuses on behavioral changes that result from ageing. This paper will make use of the chronological age, which represents the calendar age of an employee. This is also seen as the most important and most often used indication for ageing at work (Kooij, De Lange, Jansen, Kanfer & Dikkers, 2011). This research paper will examine the relationship between certain job characteristics and work motivation, and how this relation is moderated by age (figure 1).

This research paper is divided into five sections. Following this introduction, a theory section will be presented in which relevant literature will lead to the formulation of several hypotheses. The third section consists of a description of the method used and in the fourth section the results are presented. The last section contains a discussion of the results, limitations and directions for future research and a conclusion.

Job characteristics

Age

Work motivation

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2. THEORY

In this section relevant literature will be discussed and a theoretical framework will be created. From this theoretical framework several hypotheses will be derived which will be tested later on in this paper. First intrinsic job characteristics and their influence on work motivation will be discussed, followed by the influence of extrinsic job characteristics on work motivation. Finally a new conceptual model will be drawn.

2.1 Intrinsic job characteristics

Intrinsic job characteristics are described as the characteristics of a job that come from the job itself and cause employees to feel that their psychological needs are met. These psychological needs can be perfection of skills, performing work that has an impact on the society or good relations with colleagues (Kooij et al., 2011).

2.1.1 Autonomy

Autonomy is described as the degree to which the work gives employees independence in composing their work schedule and freedom in the way in which the job is carried out. It is assumed that employees are capable of making their own decisions. Autonomy makes employees responsible for their performance on the job. Since employees are not dependent on the instructions they receive from their employer, the outcome is primarily due to the decision the employees make. This leads to higher experienced responsibility, which in turn leads to higher work motivation (Hackman & Oldham, 1976). Described above is how autonomy works for employees in general, but as could be read in the introduction, job characteristics are interpreted different by younger and older employees. Therefore it is useful to take a look at the effects of autonomy on the older employees.

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8 order in which they perform their tasks. It helps employees to cope with the job demands because of the flexibility they receive when given more decision latitude and the possibility to adapt the work to their own needs (Shirom, Nirel & Vinokur, 2010). Especially for older employees this can be a relief since they have to deal with decreasing physical conditions which makes it harder to meet the job demands (Hansson, DeKoekkoek, Neece & Patterson, 1997).

So, it is proposed that there is a positive relationship between autonomy and work motivation and that this relation is moderated by age. This leads to the following hypotheses.

H1a: There is a positive relationship between autonomy and work motivation.

H1b: The relation between autonomy and work motivation is moderated by age. The higher the age, the stronger this relationship.

2.1.2 Task significance

Task significance is a job characteristic that displays the degree to which a job influences the lives and work of others inside or outside the organization. For employees it is becoming more and more important to perform work that benefits the society and has an impact on other people‟s lives. Organizations are also willing to provide their employees with opportunities to do something for society. Therefore task significance is increasing in importance (Morgeson & Humphrey, 2006).

Task significance increases employees‟ perceptions that their work is meaningful. When employees feel that their work is meaningful they are willing to put more effort in their job and perform more effectively. They are motivated to work, because their job has a positive influence on the lives of other people; their effort is valued by others, which motivates. Task significance increases employees‟ awareness that their jobs are connected to the lives of other people. They think about their actions and are more aware of the consequences of their actions and the outcomes for others (Grant, 2008). Research has shown that in general when employees experience higher task significance, they also report higher work motivation (Garg & Rastogi, 2006).

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9 Task significance can also be a stressor and leads to a decrease in work motivation. Especially young employees, who have to find out what is expected of them, not exactly know what to expect, and feel that they cannot live up to the expectations others have, can experience task significance as a stressor (Jex & Bliese, 1999).

The older employees become, the more knowledge, expertise and skills they possess and the more confident they are. Therefore they do not fear the reactions of others, know what is expected of them, and are proud to have an impact on others, both inside and outside the organization (Kooij et al., 2007). Furthermore, when employees‟ age, they often have reached a lot inside the organization, so they are willing to have an impact outside the organization. Contributing to the society becomes an important aspect of their work (Kanfer & Ackerman, 2004). So, it is proposed that there is a positive relationship between task significance and work motivation and that this relation is moderated by age. This leads to the following hypotheses.

H2a: There is a positive relationship between task significance and work motivation.

H2b: The relation between task significance and work motivation is moderated by age. The higher the age, the more positive this relationship.

2.2 Extrinsic job characteristics

Extrinsic job characteristics are external to the job and can be seen as an outcome or result of the job and not as a part of the work process itself. Examples of extrinsic job characteristics are pay and promotion (Kooij et al., 2011).

2.2.1 Financial incentives

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10 Younger employees are underpaid in comparison to their productivity, while older employees are overpaid in comparison to their productivity. This means that it is hard for young employees to earn a high salary, so when they find a job that offers a high salary they are really motivated to work hard for that organization (Van Ours & Stoeldraijer, 2011). Older employees are motivated by recognition, not received by wage, but by more intrinsic job characteristics (Lee & Wilbur, 1985). This does not imply that a high wage is not important for older employees, because often the height of their pension is dependent upon the last earned salary, but they do not receive very much work motivation out of a high salary (Von Bondsdorff, 2011).

Organizations are more and more adopting a pay for performance system to promote efficiency and productivity among their employees. In this way the organization can also create favorable attitudes by rewarding certain performances. Bonuses can be seen as an example of pay for performance, which encourages an employee to finish a certain project or reach a goal. This can create an increase in work motivation since good work is being rewarded. Older employees who have reached a lot already within the organization can be motivated by obtaining a bonus, because this is an addition to their normal salary and the organization shows that they still value the work of the employee. But also the youngest group of workers is very motivated by bonuses. (Kuvaas, 2006). As described earlier wages for younger employees do not match their productivity, since their productivity is higher than their wage. To fill this gap in wage versus productivity young employees work very hard to achieve bonuses, so their income fits their productivity. (Van Ours & Stoeldraijer, 2011).

As can be seen above, salary is a motivator for all employees, but younger employees receive more motivation from a high salary because it means status for them and it is harder to achieve a high salary when just starting in the market. For bonuses there are two different reasons why it motivates. Young employees are motivated by bonuses to increase their salary, while older employees are motivated by bonuses because it means recognition for their work. So, it is proposed that there is a positive relationship between financial incentives and work motivation and that this relation is moderated by age. This leads to the following hypotheses.

H3a: There is a positive relationship between financial incentives and work motivation.

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11 2.2.2 Training and development opportunities

Investment in developing employees is especially important in the current economic situation so that organizations can keep up with the competitors and achieve competitive advantages. When organizations put in effort to invest in the development of their employees, they start to become motivated to work for the organization, because they feel that the organization cares about them and wants to invest in them, also for the long run (Kuvaas & Dysvik, 2009). Employees experience motivation from applying their newly learned skills to practice, which stresses the importance of training and development of employees. Employees who perceive that the organization is not providing them with enough training and development opportunities might want to leave the organization, because of a lack of work motivation (Dysvik & Kuvaas, 2008).

Younger workers switch very often between jobs, therefore training and development is necessary in order to reach higher positions. They become motivated by applying the new learned things in their job and can use some of their skills in the new organization. Older employees expect to stay at the same organization until retirement and do not experience the urge to participate in training. Their willingness to participate in training activities also declines (Maurer, 2001). Wrenn and Maurer (2004) found in their study that older workers score significantly lower on the appreciation of training and development than do their younger colleagues. One reason for this is that older employee‟s belief that their abilities are declining and then feel that they cannot be trained anymore. With age, self-efficacy declines and that leads to the employee not daring to participate in training programs. When employees do not see the need for training and have the belief that they cannot follow trainings, this can lead to resistance against training and development and that causes a decline in work motivation when forced to participate in training.

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12 Taken all the above into account, it seems that the relation between training and development leading to work motivation is only applicable for young employees, since older employees do not receive motivation from training and development and even do not want to participate in training. So, it is proposed that there is a positive relationship between training and development opportunities and work motivation and that this relation is moderated by age. This leads to the following hypotheses.

H4a: There is a positive relationship between training and development opportunities and work motivation

H4b: The relation between training and development opportunities and work motivation is moderated by age. The higher the age, the less positive this relationship.

2.2.3 Job security

Before explaining the importance of job security for older employees‟ work motivation, a definition of job security will be provided. Job security is the expectation an employee has about the existence of the job in the future. When an employee faces job security there are almost no doubts about growth opportunities within the job and remaining the job. Job insecurity means that employees fear for all these aspects and they are not sure whether or not their jobs will exist in the future (Davy, Kinicki & Scheck, 1997). Due to the worsening economy many organizations have to re-organize and reduce the number of employees, this is accompanied by a lot of job insecurity for the employees. Some authors argue that job insecurity has a bad influence on the motivation and performance of the employees, while others argue that it can have a positive influence on work motivation. When employees fear for their jobs, they become motivated to work harder to save their job, which in turn leads to job security, since personal performance has increased, and no reason for firing the person exists (Staufenbiel & König, 2010).

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13 receive a job more quickly than older employees. Younger employees are brought up with the idea that switching jobs is a good thing, which brings them more experience; so for them job insecurity has mentally not such a great impact. Older employees on the other hand are brought up much more with the concept of life time employment and value job security much more. Job security motivates them to work for the organization; since that organization is offering them all the opportunities and security they need (Bristow, Amyx, Castleberry & Cochran, 2011).

Several studies have indeed found relations between job security, age and work motivation and stated that job security leads to work motivation especially among employees of 45 years and older (Kanfer & Ackerman, 2004; Bal & Kooij, 2011). So, it is proposed that there is a positive relationship between job security and work motivation and that this relation is moderated by age. This leads to the following hypotheses.

H5a: There is a positive relationship between job security and work motivation.

H5b: The relation between job security and work motivation is moderated by age. The higher the age, the more positive the relationship.

2.2.4 Days off

Employees are working more and more hours to fulfill the demands of the organization. Due to the downsizing of many organizations, workload has increased and longer working hours are necessary. Also the intensity of the work has increased, which leads to higher stress levels. Organizations want their employees to work longer hours, but employees themselves do not want to work that many hours. Longer working hours have positive effects for the organizations in the short run, but in the long run it will affect the well-being of employees. Employees become stressed, overworked and cannot handle the work load anymore. Therefore a balance between work and leisure time is needed (Burke, 2009)..

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14 recovery model shows this, by stating that when fatigue and stress occur, someone should stop making use of the resources that caused the stress and fatigue; otherwise the problems cannot be overcome (Korpela & Kinnunen, 2011).

Socio-emotional selectivity theory states that, when time left decreases, for example with ageing, people pay more attention to their social life and relationships. People see that life at one point comes to an end and want to spend as much time as possible with family and friends. To fulfill this need, it is important that employees can decide largely on their own and within a short time period when they want to take a day off (Burnett-Wolle & Godbey, 2007). So, a reason why days off become more important when people age is that older employees need more time to recover from their work, than do their younger colleagues (Härmä & Kandolin, 2001). Organizations do offer employees, when they grow older, more days off the job. This causes them to stay motivated to work, since they know that work can be combined with social contacts. Herein organizations seem to fulfill the needs of the older employees already (Kooij et al., 2010). The older employees become, the more specific needs they have, one of these needs leisure time to spend with family and friends and to recover from work. To satisfy these needs and to keep the workers motivated employers should pay attention to the days off, older workers receive (Paul & Townsend, 1993). So, it is proposed that there is a positive relationship between days off and work motivation and that this relation is moderated by age. This leads to the following hypotheses.

H6a: There is a positive relationship between days off and work motivation.

H6b: The relation between days off and work motivation is moderated by age. The higher the age, the more positive the relationship.

2.3 Extension of conceptual model

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15 Figure 2: Extension of conceptual model

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Autonomy

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3. METHOD

In this section the method used to gather the data for testing the hypotheses will be discussed. First the respondents will be discussed followed by the procedure and finally the measures will be discussed.

3.1 Respondents

In total 139 respondents filled out a questionnaire and 103 questionnaires were valid and could be used. The 36 questionnaires not used, where not valid because they were not completely filled out and therefore essential information was missing. Among the respondents were 58 (56.3 per cent) females and 45 (43.7 per cent) males. The respondents ranged in age from 18 till 67 with mean of 45.12 years (SD=12.32). Most respondents were an employee (86.4 per cent) and the others were self-employed (13.6 per cent). The main sector respondents were working in was the medical sector (26.2 per cent), followed by education (13.6 per cent).

Figure 3: Distribution of age in research sample.

3.2 Procedure

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17 participants could fill out the questionnaire by themselves. It took about 10 minutes to fill out the questionnaire and it was stated that all information would be treated confidentially and used for this research only.

3.3 Measures

Autonomy was measured by making use of the work design questionnaire (WDQ) by Morgeson and Humphrey (2006). This part of the research consisted of six questions, which had to be answered by making use of a 7-point scale ranging from strongly disagree (1) to strongly agree (7). Example items were “The job allows me to make my own decisions about how to schedule my work” and “My job allows me to plan how I do my work”. Cronbach‟s alpha was .91.

Task significance was measured by making use of the questions from the work design questionnaire (WDQ) by Morgeson and Humphrey (2006). This part of the questionnaire consisted of five statements, which had to be answered on a 7-point scale, ranging from strongly disagree (1) to strongly agree (7). Examples of items used were “My job has a large impact on people outside the organization” and “The results of my work are likely to significantly affect the lives of other people”. Cronbach‟s alpha was .85

Financial incentives were measured by using the article of Warr, Cook and Wall (1979) and the European Social Survey (ESS) round 5. This part of the research consisted of 4 statements which had to be answered on a 7-point scale ranging from strongly disagree (1) to strongly agree (7). Example items were “A high income is important for me” and “I see a bonus as recognition for my work”. Cronbach‟s alpha was .63.

Training and development opportunities was measured by making use of statements from an article by Rousseau (1977), an article by Warr et al. (1979) and the ESS round 5. This part of the research consisted of five statements, which had to be answered on a 7-point scale ranging from strongly disagree (1) to strongly agree (7). Examples of items were “My job allows me to learn new skills related to the job” and “My job allows me to extend my abilities”. Cronbach‟s alpha was .90.

Job security was measured by making use of the article of Warr et al. (1979) and the European Social Survey (ESS) round 5. This part of the research consisted of two questions which had to be answered on a 7-point scale, ranging from strongly disagree (1) till strongly agree (7). An example item is “My job is secure”. Cronbach‟s alpha was .43.

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18 answered on a 7-point scale, ranging from strongly disagree (1) to strongly agree (7). An example item is “My job offers a good balance between hours worked and days off”. Cronbach‟s alpha was .48.

Work motivation was measured by making use of the article of Wright (2003) who based the statements on Patchen‟s work motivation questionnaire. It was measured by six statements which had to be answered on a 7-point scale ranging from strongly disagree (1) to strongly agree (7). Example items were “I am willing to start early or stay late to finish a job” and “It has been hard for me to get very involved in my current job”. Cronbach‟s alpha was .70.

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4. RESULTS

4.1 Descriptive statistics

Means, standard deviations and correlations between the different variables can be found in table 1. Results show positive relationships between the dependent variable work motivation and age (r = .22, p < .05). This implies that when people age, their work motivation becomes higher. Furthermore positive relationships can be found between work motivation and the two intrinsic job characteristics; autonomy and task significance (r = .31 p < .01; r = .48, p < .01 respectively). A positive relationship can also be found between work motivation and one extrinsic job characteristic, namely training & development opportunities (r = .39, p < .01). Age has a positive correlation with task significance (r = .27, p < .05), which implies that task significance becomes higher when people age. Other significant correlations can be found between education and age (r = .23, p < .05), training and development opportunities and autonomy (r = .42, p < .01), job security and autonomy (r = .28, p < .01), days off and autonomy (r = .52, p < .01), training and development opportunities and task significance (r = .49, p < .01), job security and training and development (r = .30, p < .01), days off and training and development opportunities (r = .24, p < .05) and between days off and job security (r = .28, p < .01).

4.2 Regression analysis

Various regression analyses were executed to test the hypotheses. The results of the analyses can be found in table 2 till table 7. In the first steps the control variables gender and education were entered. In the second steps age and the various job characteristics were added and in the third step the interaction terms autonomy × age, task significance × age, financial incentives × age, training and development opportunities × age, job security × age and days off × age respectively were added.

4.2.1 Hypotheses testing

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20 The variables added in step 2, autonomy and age, account for 15% of the variance in work motivation. The interaction effect added in step 3 explains 1% of the variance in work motivation. Table 3 shows the regression analysis for task significance. A positive relation between task significance and work motivation was found (β = .45, p < .001). This is in line with hypothesis 2a stating that there is a positive relation between task significance and work motivation. When testing the moderation effect of age on the relation between task significance and work motivation no significant relation was found (β = -.15, p = n.s.). This means that hypothesis 2b is not supported. This hypothesis states that the relation between task significance and work motivation is moderated by age. The variables added in step 2, task significance and age, account for 24% of the variance in work motivation. The interaction effect added in step 3 accounts for 2% of the variance in step 3.

Table 4 shows the regression analysis for financial incentives. No support for a relationship between financial incentives and work motivation was found. Therefore, hypothesis 3a, stating that there is a positive relation between financial incentives and work motivation, was not supported. (β = .01, p = n.s.). Also hypothesis 3b was not supported (β = .04, p = n.s.). This hypothesis stated that the positive relation between financial incentives and work motivation was moderated by age. The variables financial incentives and age account for 5% of the variance in work motivation in step 2. The interaction effect added in step 3 explains 1% of the variance.

Table 5 represents the regression analysis for training and development opportunities. Here a positive relationship between training and development opportunities and work motivation was found (β = .35, p < .001). This is in line with hypothesis 4a assuming that there is a positive relationship between training and development opportunities and work motivation. No support for hypothesis 4b was found (β = -.07, p = n.s.). This hypothesis stated that the positive relation between training and development opportunities and work motivation was moderated by age. Training and development opportunities and age account for 17% of the variance in work motivation in step 2. The interaction effect explains 1% of the variance in work motivation.

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21 variance in work motivation in step 2. The interaction effect, added in step 3 explains 1% of the variance in work motivation.

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22 TABLE 1

Means (M), Standard deviation (SD) and correlations

Variables M SD 1 2 3 4 5 6 7 8 9 1. Age 45.12 12.33 2. Gender .44 .50 .18 3. Education 2.78 1.22 -.10 .23* 4. Autonomy 5.45 1.20 .05 .09 .02 5. Task significance 4.90 1.19 .27* .044 -.10 .16 6. Financial incentives 3.75 1.06 .06 .01 .00 .11 .04

7. Training & Development 5.44 1.16 .18 .02 -.15 .42** .49** .11

8. Job security 3.70 1.36 -.08 -.09 -.07 .28** .16 -.05 .30**

9. Days off 4.66 1.41 .03 .05 .03 .52** -.14 .03 .24* .28**

10. Work Motivation 5.39 .87 .22* -.11 -.16 .31** .48** .03 .39** .18 -.06

*Correlation significant at the.05 level **Correlation significant at the .01 level

TABLE 2

Regression analysis for autonomy with work motivation as dependent variable

Variable Step 1 Step 2 Step 3

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TABLE 3

Regression analysis for task significance with work motivation as dependent variable

Gender -.08 -.14 -.14

Education -.14 -.07 -.07

Task significance .45*** .41***

Age .12 .12

Task significance× Age -.15

𝑹𝟐 _.03 _.27 _.29

∆𝑹𝟐 _.03 _.24 _.02

Note: * p < .05, ** p < .01, *** p < .001

TABLE 4

Regression analysis for financial incentives with work motivation as dependent variable

Gender -.08 -.13 -.13

Education -.14 -.11 -.11

Financial incentives .01 .01

Age .23* .22*

Financial incentives × Age .04

𝑹𝟐 _.03 _.08 _.09

∆𝑹𝟐 _.03 _.05 _.01

Note: * p < .05, ** p < .01, *** p < .001

TABLE 5

Regression analysis for training and development opportunities with work motivation as dependent variable

Gender -.08 -.14 -.14

Education -.14 -.06 -.06

Training &development .35*** .33***

Age .17 .18

Training &development× Age -.07

𝑹𝟐 _.03 _.20 _.21

∆𝑹𝟐 _.03 _.17 _.01

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TABLE 6

Regression analysis for job security with work motivation as dependent variable

Gender -.08 -.12 -.13

Education -.14 -.10 -.10

Job security .18 .19*

Age .25** .26**

Job security × Age -.05

𝑹𝟐 _.03 _.12 _.12

∆𝑹𝟐 _.03 _.08 _.01

Note: * p < .05, ** p < .01, *** p < .001

TABLE 7

Regression analysis for days off with work motivation as dependent variable

Gender -.08 -.13 -.08

Education -.14 -.11 -.13

Days off -.06 -.07

Age .23* .20*

Days off × Age .19*

𝑹𝟐 _.03 _.09 _.12

∆𝑹𝟐 _.03 _.06 _.03

Note: * p < .05, ** p < .01, *** p < .001

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5. DISCUSSION

5.1 Findings

This research was performed in order to find certain job characteristics that are or become important for work motivation when employees they age. The ageing workforce is a trending topic, since the retirement age is to be extended from 65 to 67 years. People have to work longer and especially for those already nearing the age of 65 it can be a disappointment that they have to work for two more years. Therefore it is important to take a look at the job characteristics that can motivate employees to work longer. This research has formulated some hypotheses that could explain which characteristics become important when people age, and what HR-employees should thus take into account when working with the ageing workforce.

A distinction between intrinsic and extrinsic job characteristics was made to categorize the different characteristics. Intrinsic job characteristics are characteristics of a job that come from the job itself and cause employees to feel that their psychological needs are met. The intrinsic job characteristics used for the hypotheses are autonomy and task significance. Extrinsic job characteristics are external to the job and are an outcome or result of the job (Kooij et al., 2011). The extrinsic job characteristics used when testing the hypotheses are financial incentives, training and development opportunities, job security and days off. After a thorough theoretical analysis effects of the different job characteristics on work motivation were hypothesized. Other hypotheses supposed a moderating effect of age on the relationships between the job characteristics and work motivation. These hypotheses were tested by sending a questionnaire to several people. It resulted in 103 usable questionnaires which were analyzed with SPSS.

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26 relationship between training and development opportunities and work motivation was found. Implying that when training and development opportunities increase, work motivation increases. Here, no moderating effect of age was found. In line with one of the hypotheses was the positive relation between job security and work motivation, implying that work motivation increases when job security increases. No moderating effect of age was found for this relation. Finally, no significant relationship was found between days off and work motivation. A moderating of effect of age on the relation between days off and work motivation was found however. This implies that, the higher the age, the more positive the relation between days off and work motivation. As stated before this can be due to the fact that older employees need more time for recovery, so for them it is important that they have many days off and freedom in deciding when they take the days off (Nachreiner, 1998; Burnett-Wolle & Godbey, 2007).

5.2 Limitations and directions for future research

One of the limitations of this research is the use of the researcher‟s personal network for gaining participants to fill out the questionnaire. An e-mail was sent to a selected group of people and from there a snowballing effect had to occur. According to Polit and Beck (1995) this leads most often to a biased sample of participants. The participants from this sample are aged from 18 to 67, with an average of 45 years. The average age in the Netherlands is currently 40.3 years. When looking at the current demographic statistics of the Netherlands it can be found that most people are aged between 35 and 65 years. In the sample used for this research, most participants are aged between 45 and 60. This can be a reason for a different outcome than one would experience when taking a sample that is more in line with the demographics in the Netherlands. Future research can make use of more randomly selected people to test the hypotheses. In this way a better representation of the population can be created.

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27 extreme observations can be used to find more moderating effects. A suggestion for future research is that there is made use of oversampling for the extreme observations, so that they can be controlled for.

The use of a mono-method is also a limitation. Data was only gathered through a questionnaire sent to several participants. A way to make use of more sources for data gathering could be the use of interviews, in which additional data could be gathered. Another limitation can be de use of a cross-sectional design, where only at one point in time data was gathered. A longitudinal study could track the changes over time in the perceptions of the older employees on what motivates them to continue to work.

Despite these limitations this research gives insight in the aspects that can play a role in motivating the ageing workforce to continue to work. It is important that more research in this field is conducted, since employees will age and have to continue working when the retirement age is extended. This research can be a starting point for new investigations. Furthermore, there is already some research performed with regard to the ageing workforce, and the current research can be a good addition to that, because it looks at the moderating effect of age and takes into account that when employees age other job characteristics may be important for them. It also may draw attention again to the topic of the ageing workforce. A possible direction for future research can be looking at more job characteristics that can be of influence for the ageing workforce, so that the older employees keep enjoying their work and will work with a lot of motivation. Also other variables could be added to the research like education or culture. In the United States for example work is seen as a status symbol and many people are proud that they work, while in Europe work is more seen as a necessity (Chen, Ford, Kalyanaram & Bhagat, 2012).

5.3 Conclusion

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MOTIVATING OLDER EMPLOYEES The relationship between job characteristics and work motivation with the moderating effect of age.