The worn-out syndrome: Uncertainties in late working life triggering retirement decisions

The paper addresses why and how senior employees decide to retire or stay in late working life, a topic often examined quantitatively via push–pull, jump, and stuck–stay frameworks but lacking qualitative nuance. Using ethnographic inquiry in Denmark’s finance and production industries, the authors explore the liminal, uncertainty-laden phase between work and retirement and how collective and individual negotiations shape decisions. They find uncertainty more frequently among white-collar workers in finance, a sector undergoing regulatory change, digitalization, and role shifts, and burdened by stress and mental health issues. The study proposes that a key qualitative driver of retirement is an uncertainty about how others perceive one’s capacity and potential decline—coined the worn-out syndrome—fueling abrupt and sometimes untimely exits.

The study situates worn-out syndrome within several strands of literature. Traditional models (push–pull; and later jump, stuck, and stay) frame retirement reasons but are largely survey based, leaving complexity underexplored. The concept builds on age metastereotypes—beliefs about what others think of older workers—where negative metastereotypes evoke threat reactions (fear, worry) and anticipation of conforming to stereotypes. It also relates to perceived work ability, shaped by health and control, which in turn is influenced by stereotypical notions of older workers. The authors compare worn-out syndrome to impostor syndrome: while both involve workplace inadequacy feelings, worn-out syndrome often arises despite confidence in one’s abilities and concerns an imagined external view now or in the future. A broad literature documents stereotypes and ageism toward older workers (e.g., less productive, less motivated, resistant to change), their internalization, and links to early retirement intentions. Yet empirical evidence shows little decline in job performance with age and highlights compensatory advantages like experience and wisdom. Contemporary retirement pathways have diversified (gradual retirement, bridge jobs, unretirement), and with the removal of mandatory retirement in many contexts, decisions have become individualized, creating a management void and implicit, often awkward negotiations between employees and managers. This environment may magnify the role of stereotypes, uncertainty, and age norms in shaping retirement choices.

Qualitative ethnographic fieldwork was conducted in Denmark at eight small- and medium-sized companies (five in finance, three in production) across two periods: Dec 2019–mid-March 2020 and April–October 2021. The team carried out 92 semi-structured interviews with 44 senior workers (22 finance, 22 production), 8 retirees (5 finance, 3 production), 2 shop stewards (finance), 8 HR employees (6 finance, 2 production), 23 managers (17 finance, 10 production), and 7 representatives from unions and pension funds. Senior status was not preset; companies defined thresholds (often 58–60 years per collective agreements). Interviewees ranged from 58 to 70 years old and included various finance roles (private and business advisors, back-end staff, directors). Additionally, 25 participant observations were conducted, with moderate participation in daily routines, meetings, and informal interactions. All interviews were transcribed verbatim and coded in NVivo. Analysis used constant comparison and inductive coding, with analytic induction to iteratively develop and test hypotheses via codes and close readings in four analytic workshops in 2020. Sampling was purposive: companies had senior policies or articulated management approaches to older workers (including previous nominees for senior-friendly workplace awards). Ethics approvals and informed consent were obtained; data management complied with institutional guidelines. Findings presented primarily draw on finance sector data, where uncertainty was more pronounced.

• The authors identify and conceptualize the worn-out syndrome, an uncertainty-driven phenomenon influencing retirement decisions among senior employees, especially in finance. It is triggered by stereotypes and implicit ageist cues and manifests in three ways:

1. Uncertainty regarding present performance: Some seniors question whether they can keep pace or adequately perform tasks (e.g., learning new systems), leading either to withdrawal (retirement) or compensatory overwork (e.g., unreported overtime, double-checking work) despite managerial reassurance.
2. Uncertainty regarding colleagues’ and managers’ perceptions: Seniors fear being seen as worn out, even when confident in their abilities. Specific triggers include remarks like “aren’t you retiring soon?” or deference to younger colleagues, which heighten doubt and vigilance and can prompt retirement planning.
3. Uncertainty regarding future status: Seniors fear future decline and, crucially, losing the self-awareness to recognize it in time, preferring to retire “early enough” to avoid becoming a negative example.

• These uncertainties are embedded in workplaces where age stereotypes circulate, even if managers deny they apply to their own senior staff.
• The finance sector context—regulatory change, digitalization, and stress—appears to intensify cognitive-decline-related fears versus production, where decline is framed more as physical and politicized collectively.
• The individualized nature of retirement timing and limited open dialogue create a management void, leading to implicit negotiations and sudden retirements, with potential loss of valuable experience.

The findings suggest that implicit age stereotypes and a culturally ingrained life-course narrative of ascent-peak-decline scaffold worn-out syndrome. Even where evidence shows minimal age-related performance decline and highlights compensatory strengths, workplaces exhibit low tolerance for any sign of decline. This fosters anticipatory exits, often before others notice any change. Gradual retirement programs may be underutilized partly because participation can be perceived as signaling decline, conflicting with norms of full-time performance. The contrast between sectors underscores how decline is socially constructed: in production, physical wear is politicized and collectively addressed; in finance, cognitive decline and mental health concerns remain individualized and less openly discussed, heightening silent fears. The resultant management void—where managers and seniors hesitate to broach retirement—amplifies uncertainty, fueling abrupt departures and potential underutilization of senior expertise. Addressing worn-out syndrome may require normalizing discussion of cognitive health, challenging stereotypes, and creating organizational practices that tolerate and accommodate age-related changes without stigma.

Senior employees, particularly in finance, experience persistent uncertainty about their status and how others perceive them, shaped by stereotypes and implicit signals, past examples of ill-timed retirements, comparisons with younger colleagues, and a labor market intolerant of perceived decline. This worn-out syndrome manifests as fears about current performance, others’ perceptions, and potential future decline, often propelling retirement decisions—sometimes abruptly and prematurely—even when seniors are competent and valued. The study underscores the role of ageism and age norms in triggering the syndrome and suggests that industries with cognitively demanding work may be especially affected. Future work should explore sectoral differences further (including production) and develop interventions that reduce stereotype threat, encourage open dialogue about late-career trajectories, and design supportive, non-stigmatizing pathways (e.g., flexible or gradual retirement) that retain senior expertise.

• Sampling was purposive, focusing on companies with senior policies or explicit management approaches to older workers; findings are not representative of all small- and medium-sized firms or of the finance and production sectors broadly.
• The phenomenon appeared more strongly in finance; all examples in the paper are from finance, limiting transferability to production without further study.
• The study did not include interviews with younger coworkers; inferences about peers’ perceptions rely on accounts from seniors, managers, shop stewards, and HR.
• The authors note they lack data to conclusively show that uncertainty is more apparent in finance than other service sectors.
• Qualitative, Denmark-specific context (policy environment, pension system, sectoral dynamics) may limit generalizability.