The economic implications of Europe's ageing population are considerab
le. Without an increase in the size of the working population, reducin
g the possible fiscal deficits will be difficult. This paper reviews t
his area of increasing concern for basic, applied and strategic resear
chers, namely how to increase the age at which people typically stop w
orking, without damaging health or productivity. Chronological age per
se may not be a good predictor of health and job performance; rather
we should examine various mediating and moderating factors. It is argu
ed that attention should focus on national and organizational policies
, management attitudes, training, work demands, the working environmen
t, work organization, the psychosocial environment and health promotio
n. Older workers may currently be subject to discriminatory practices
and to stereotypical and inappropriate attitudes which may adversely a
ffect their health and performance. Flexible and intelligent solutions
are required. Many organizations, perhaps reflecting western culture,
have not yet evolved to the point where the potential contribution of
older people is recognized and allowed to flourish. Once current barr
iers are removed, and existing and developing knowledge applied, an op
timistic picture for older workers emerges.