Purpose – Due to demographic changes in most industrialized countries, the average age of working people is continuously increasing, and the workforce is becoming more age-diverse. This review, together with the earlier JMP Special Issue “Facilitating age diversity in organizations – part I: challenging popular misbeliefs”, aims to summarize new empirical research on age diversity in organizations, and on potential ways to support beneficial effects of age diversity in teams and organizations. The second part of the Special Issue focusses on managing mutual perceptions and interactions between different age groups. Design/methodology/approach – A literature review is provided summarizing and discussing relevant empirical research on managing mutual perceptions and interactions between different age groups at work. Findings – The summarized research revealed a number of challenges to benefit from age diversity in organizations, such as in-group favoritism, age norms about appropriate behavior of older workers, intentional and unintentional age discrimination, differences in communication styles, and difference in attitudes towards age diversity. At the same time, managerial strategies to address these challenges are developed. Originality/value – Together with the first part of this Special Issue, this is one of the first reviews on ways to address the increasing age diversity in work organizations based on sound empirical research.