The gap is widening between super-ageing and youthful populations. Experts explain the implications

The World Health Organization defines “super-ageing” societies as countries with more than 20% of their population over the age of 65 years old. From pension crises to labour shortages, super-ageing societies pose a global economic and labour market risk over the next decade and beyond, even for countries still benefiting from their demographic dividend.

The World Economic Forum’s Global Risks Report 2025, highlights these concerns. With that in mind, we asked our in-house experts the following question: Global demographic divergence is expected to widen over the next decade between super-ageing and youthful populations – what are the risks and opportunities?

Demographic divergence means there will be 50% more workers in lower-income countries than higher-income countries within a generation, according to UN data. If economic integration can reach the areas where working populations are growing, the world could experience unprecedented global income catch-up, bringing prosperity to billions. However, if new opportunities do not reach the growing workforce, the world could face large scale unemployment and severe flow-on effects.

Whether the world moves towards a future of broad prosperity or large-scale unemployment, it will be affected by other global trends including geoeconomic integration, an equitable green transition, and technological changes.

The Future of Jobs Report 2023 shows skills gaps are the biggest barrier to business transformation, while growing working age populations is driving demand for education professionals. Preparing a global workforce for the jobs of tomorrow will be essential for businesses seeking new talent to take advantage of new technological opportunities and will also help push towards a path of greater global prosperity.

The Jobs Initiative and Reskilling Revolution incorporate communities, insights and initiatives to upskill and transition workers towards better opportunities. Specifically, the Global Future Council on Frontier Technology and Jobs will establish a multi-disciplinary group tasked with determining ways to ensure technologies create better work opportunities and ways to ensure a global workforce is enabled to take these opportunities.

There are three major transitions currently transforming society. Two of them are well-known and discussed frequently: the green transition and the digital transition. However, the third transition, the demographic transition, is just beginning to make headlines and could offer a unique opportunity to improve social systems, infrastructure, and financial equality.

The demographic transition will reshape economies, societies, and workplaces, as people live longer than prior generations, all while global fertility rates continue to decline. This global demographic divergence is already happening, however, our response to these shifts can be transformative for everyone involved if we begin making much needed changes and improvements now.

Many retirement and pension systems have not been significantly altered since they were created almost 100 years ago. There is an opportunity to reimagine these schemes to be more resilient and sustainable for the long term and ensure support for individuals who often continue to be overlooked, including gig workers and informal caregivers.

There is also an opportunity to promote intergenerational equity and to lessen the disparities between older and younger people. Going forward, five generations will be working side by side with the opportunity to learn and grow from each other.

Managing this transition is not without risks. If not proactively addressed, the demographic transition could lead to potential strains on the financial sustainability of pension and retirement systems, growing disparity between white- and blue-collar workers, as well as increased income inequality.

However, the opportunities are achievable and exciting: an increased focus on financial resilience across improved lifespans; enhanced retirement and pension systems that are inclusive and resilient, and improved societal connections that bring together all generations.

The popular saying states that one cannot pour from an empty cup. As the population balance tips over, the greatest risk we face is not investing in ourselves, and in the systems that care for us.

Economies have long been operating with time and labour subsidies exacted from underpaid care workers and unpaid caregivers, who have been sustaining working populations at their own loss. Upfront investments in care could generate a global GDP gain starting at $11 trillion, but instead, we are stuck with a high-interest bill racking up charges on neglected care inefficiencies and higher care dependencies.

As the population profile changes, so should the strategies needed to meet related challenges. Leadership looking to the future will benefit from betting on people – in their lifelong education, in fully accessible and affordable healthcare, in formal pathways to join and rejoin the workforce, in commensurate reward for care work and caregiving, in community structures that build social resilience, trust, and cohesion.

There are immediate opportunities for government and business – leave entitlements to close the widening gaps in caregiving, wage increases for care workers, boosting men's care uptake, centering care in trade and immigration policy. However, a long-term economic planning lens is needed to ease the global population’s transition into longer life stages – economic and social – and having a caring mindset is key to its success.

The coexistence of both super-ageing and youthful populations calls for dynamism and agility across the healthcare eco-system. While the human lifespan may have increased, health spans (i.e. the years lived in good health), still lags behind. Although we are living longer, we’re not necessarily living healthier for longer.

The ‘lifespan- health span gap’ has led to escalating rates of chronic disease and age-related conditions such as dementia or cardiovascular disease, placing strains on healthcare systems, labour/resourcing and public health expenditures. Youthful populations in contrast, face (on average) a different set of healthcare challenges, including reproductive health, child malnutrition, mental health and more. These contrasting healthcare needs, coupled with the growing rates of chronic disease, call for innovative and adaptive models of care.

Global demographic shifts present a compelling opportunity to scale preventative healthcare models. Increased investments in nutrition, primary care, or early diagnosis can extend health spans, improve quality of life and alleviate pressures on health systems. Advances in technology and healthcare, including the rise of telehealth, predictive analytics and remote patient monitoring are making preventative care more scalable than before.

Though not a new concept, preventative care has long been deprioritized. However, with an ageing society and 1 in 3 adults having multiple chronic conditions, embracing preventative health is no longer optional – but rather essential.

Employers are uniquely positioned to support preventative and chronic care across their workforces. Supporting workforce health is both a strategic and economic imperative (with implications on productivity) and public health outcomes. As retirement ages rise, and career spans extend, organizations must prepare to meet the needs of age diverse workforces.

With over 50% of waking hours spent at work, the workplace can have an outsized impact on physical and mental health, stress and burnout. Research from the Healthy Workforces Initiative highlights generational differences in the drivers influencing holistic health, burnout and overall well-being. GenZ reports higher burnout and poorer holistic health compared to Boomers. This signals the need for flexible, varied portfolios of interventions that not only address generational employee health but also effective job design – a critical determinant of well-being.