Demographics Report Essay Example | Topics and Well Written Essays - 1500 words

Demographics Report - Essay Example This has seen an increase in employment opportunities for previously under-utilized labor-force sources like women and generation U. Finally, demographic changes in Europe have created an increasingly global and mobile market. CHANGING DEMOGRAPHICS: ISSUES AND CHALLENGES FOR BUSINESS Introduction European states face challenges with the composition of their age structure changing substantially now and in the near future. Demographic change also requires development of urgent social policies. The concept of demographic change can be defined as the age structure of a population adjusting to various changes in the living conditions. These changes in the societal age structure composition result from social shifts. The European Union population pyramids show that, after the Second World War, the first two decades experienced especially high rates of birth. However, since the 1970s, professional demographers have begun to observe negative trends in Europe’s population structure. Lo wer rates of birth come, in the present and recent past, with ever-increasing life expectancy among Europeans. Ongoing low rates of birth have seen a progression towards an ageing society, as rates of mortality remain low. Consequently, approximately half of population growth forecasted in Europe between 2005 and 2050 will be because its population is living longer, rather than an increase in birth rates. Furthermore, the baby boomer generation is now coming past its retirement threshold and highlights a turning point in the development of demographics. This paper aims to discuss the impact of demographic changes on business operations in the United Kingdom and the larger European Union. The challenges of demographic change refer to the adjustments or changes arising from a society that is aging. Ageing of the population is a long-term trend that started decades ago in the European Union and the UK. This ageing has been most visible in the age structure development, reflected in the increasing share of older citizens, coupled with a declining share of persons in the working age in the total population. In the preceding two decades, the working age share in the European Union increased by 0.3% while that of the older generation grew by a more significant 3.7%. Because of this, top of the age pyramid for the EU-27 for the year 2012 has become larger as compared to that in the year 1992. This growth in older people’s relative share can be explained by an increase in longevity, which has been in evidence for some decades as life expectancy has also increased. This development is referred to as the population pyramid’s ‘ageing of the top’. On the other hand, low fertility levels have remained across the European Union, resulting in a decreased share of the younger generation. This is referred to as ageing at the bottom. The EU-27s median age development of the population also illustrates an ageing population. The median age has gone up fr om thirty five and a half in 1990 to forty one in the year 2012. The median age has risen in all the EU member states by at least seven years. Impacts of Demographic Changes in the EU and UK Never before has there been such a swift change in demographics, in Europe. On the continent, the