Aging Workforce News

Denmark: Study Reports Growth in Employment among People 60 and Older

2008-07-18T11:00:00.004-04:00

According to an English summary posted on eSangathan.com, a report prepared by Denmark's Economic Council of the Labour Union ("Arbejderbevægelsen Erhvervsråd") shows that, among the employed people over 60, the number of persons employed have gone up with 45.000 persons since 2004. The highest growth has been in the group of people age 60-62, while, compared to the size of the workforce, the highest percentage has been for people age 65, where the growth has been from 8.000 to 13.000 in three years.

The Council's report suggests that this growth is not only due to the higher number of people in that age group, but rather that there it represents a change in behavior among these people--they have simply chosen to stay longer at the labor market.

Full report in Danish is also available.

Source: eSangathan.com "Great growth in work frequency among elders in Denmark" (July 17, 2008)

EBRI Survey Suggests Ways Employers Can Encourage Workers To Postpone Retirement

2008-07-15T09:36:00.005-04:00

According to a report from the Employee Benefit Research Institute (EBRI), employers have a narrow window of up to two years in which they may be able to change retiring workers’ decisions by offering them incentives to remain with the company. EBRI surveyed 4,981 workers in aerospace and defense industry companies who retired in 2003 or later and are currently between the ages of 55 and 65 and tested 19 possible incentives that might encourage retiring workers to postpone retirement.

According to report--"EBRI 2008 Recent Retirees Survey: Report of Findings" (EBRI Issue Brief #319)--the employer incentives that appeared likely to be especially persuasive were:

Feeling truly needed: 48% of retirees indicated that feeling truly needed for an assignment would have been extremely or very effective in encouraging them to delay their retirement.
Receiving a pension while working: 50% of retirees with a defined benefit pension state that receiving a full pension while working part time would have been effective in delaying their retirement, and 44% felt the same way about receiving a partial pension while working part time (44 percent).
Contract work: 38% reported that being able to work seasonally or on a contract basis would have been effective in encouraging them to delay retirement.

Other incentives that EBRI found carried significant appeal included According to the survey, other incentives that received significant support from recent retirees include pay increases, continued receipt of company-subsidized health insurance benefits at the same level as full-time workers while working part time, more meaningful work, telecommuting, and part-time work.

Source: EBRI News Release (July 10, 2008)

Kentucky: Census Bureau Issues Profile of the Older Worker

2008-07-15T09:12:00.001-04:00

In a continuation of its partnership with 31 states on a series of reports on workers 55 and older, the Census Bureau has released its report on Kentucky, the 12th state to be released in the series.Among the highlights of the report--"The Geographic Distribution and Characteristics of Older Workers in Kentucky: 2004":

12.8% of workers were 55 and older, while 2.7% were 65 and older;
statewide, the educational services industry had the highest proportion of or workers 55 and older, but no industry had more than 20% of its workers in that age group; and
the state's manufacturing industry employed the greatest number of older workers, with about 19.3% of the workers 55 and older being in that sector.

Source: U.S. Census Bureau Longitudinal Employer-Household Dynamics What's New (July 14, 2008)

Survey: Corporations Falling Down on Knowledge Transfer Practices

2008-07-09T13:23:00.003-04:00

According to the Institute for Corporate Productivity (i4cp), only 29% of responding organizations report that they incorporate retirement forecasts into their knowledge transfer practices. Furthermore, i4cp found that only a third add "skills gap analysis" into those forecasts, less than half say they train their managers to identify critical skills, only 23% are educated in critical skills transfer, and most companies admit they do not formally measure the effectiveness of their knowledge transfer practices.

"For all the public gnashing of teeth about the impending retirement of all those knowledgeable, hard-working Baby Boomers, relatively few organizations are doing much about it," says Jay Jamrog, SVP of research at i4cp. "They're going to wind up in a mad bar-the-doors scramble in the near future if they don't start trying to tap the knowledge of their most knowledgeable Boomers."

The i4cp survey--"Taking the Pulse: Productivity/Efficiency" (available to i4cp members only)--reports that training is the most conventional way to transfer knowledge in organizations (82% reporting it as an ongoing practice), followed by coaching (55%), and mentoring programs (44%). In addition, there was little consensus about which part of the organization handles the management of knowledge transfer initiatives with 41% saying the initiatives are "managed individually by different business sectors," 39% reporting that initiatives are handled by corporate, and 20% using a combination of corporate and business-sector options.

Looking to the future, the study found that there are a number of up-and-coming practices in use and being considered. "Communities of Practice" are utilized by a third of all responding companies to transfer knowledge, and the use of Webcasts and services such as "Lunch and Learn" and "SharePoint" are on the rise.

Source: Institute for Corporate Productivity Press Release (July 9, 2008)

Australia: "Mature Workers Mean Business" Campaign Launched

2008-07-09T09:57:00.002-04:00

Australia's Human Rights and Equal Opportunity Commission (HREOC) has launched a new community education campaign aimed at busting the myths and stereotypes about mature age workers. Under the rubric of "Mature workers mean business," the HREOC will use a range of print advertisements and web-based material to highlight the benefits of mature age workers and to address discrimination in this area.

According to Federal Commissioner responsible for Age Discrimination Elizabeth Broderick, many older participants in a recent national tour raised age discrimination as a barrier to full and equal participation in the workplace and many other aspects of life.

"Some people told me that ageist assumptions and attitudes heavily impacted on their ability to find meaningful work, including misconceptions about being able adapt to change or wanting work at senior levels," said Ms Broderick. "Others recounted the barriers they faced in other areas of life, such as accessing public spaces or being awarded driver’s licences."

HREOC has created a Mature Workers Mean Business website, which, among other things, showcases stories from the workplace featuring older workers and their employers, debunks common myths about older workers, and offers strategies to attract and retain mature workers.

Source: Human Rights and Equal Opportunity Commission Media Release (July 7, 2008)

France: Government Announces New Measures on Employment of Older Workers

2008-07-03T12:50:00.005-04:00

Christine Lagarde, Minister of Economy, Industry and Employment, Xavier Bertrand, Minister of Labour, social relations, family and solidarity, and Laurent Wauquiez, Secretary of State for Employment, have announced a series of measures adopted at the end of the consultation with social partners on the employment of older workers. The main objectives are to:

encourage businesses and industries to conclude agreements to keep or recruit older workers,
encourage older people to extend their work beyond 60, and
promote the return of seniors to work.

One of the principal means of pushing the agenda will be to require businesses and industries that have not concluded agreements on age management and employment of older workers by December 31, 2009 to begin paying additional retirement contributions in 2010. In addition, the ministers stated that age should no longer be a reason for an employer to terminate the employment contract.

To encourage workers to stay in the workforce, the measures call for allowing
cumulative employment and retirement without restriction at age 60 if on full retirement and at age 65 in all cases and for the elimination of the six-month waiting period for resuming work with the same employer.

Source: Ministère de l'Économie, de l'Industrie et de l'Emploi Press Release (June 26, 2008)0

United States: Economic Downturn, Labor Market, and Older Workers

2008-07-03T09:25:00.002-04:00

In an RGE Analysts' EconoMonitor written by Arpitha Bykere about what labor market numbers are showing about the United States as the economy is slowing, some attention if focused on older workers and their labor participation rates. The unemployment rate started rising for older workers since December 2007, and Bykere suggests that during the recovery many older skilled workers may not return to the labor market.

Labor participation rates (LRP) for older workers have been somewhat of a surprise is recent years. "Due to the rising share of 55+ age group in the labor force and population, their LPR and total LPR in the economy was expected to decline." Instead the LRP for the 55+ group has been increasing since 2001. Among possible reasons, Bykere cites rising life expectancy, improved health condition, ability to get higher Social Security benefits by deferring retirement, ability to work after 65 without losing benefits, and need to maintain employer health insurance.

With respect to future labor market implications, Byykere writes:

Like the last recovery, many jobs may again disappear, LPR for teens and women may decline further while older workers depending on their skill level may or may not return to the labor force. There are also concerns that if the current recession is prolonged or subject to a slow recovery, it might lead to significant job losses, pushing up the unemployment rate to higher than expected levels. These factors along with retiring baby boomers will have important implications for the future growth in labor force, job creation and productivity growth as well as the long-term potential output, natural rate of unemployment. This is especially true as the recent recovery failed to take the economy to full-employment.

Source: Roubini Global Economics, LLC. (RGE) "U.S. Labor Market Dynamics Amid a Slowing Economy" (July 3, 2008)

France: Boomers Want To Retire at Normal Retirement Age

2008-07-01T13:28:00.002-04:00

A survey commissioned by the Union Mutualiste Retraite (UMR) focusing on how employees aged 45 and over are thinking about their retirement, these baby boomers are seen asworried and not necessarily very well organized or informed: 80% say they feel worried about their retirement and 27% said they were very worried. However, regardless of how ready they are financially, most employees aged 45 and over do not want to work more to earn more after retirement.

According to UMR, the majority of boomers (60%) would continue to work for the minimum number of years required by law to receive a full pension. And many of the others, want to work less than that, even if it means getting less that a full pension.

Source: Union Mutualiste Retraite Press Release (June 17, 2008)

Survey: MetLife Reports that Pre-Retirees Overestimate Retirement Moneys and Underestimate Retirement Length and Needs

2008-06-27T14:32:00.003-04:00

According to research conducted by MetLife, 69% of pre-retirees overestimate how much they can draw down from their savings, with 43% saying they believe they can withdraw 10% or more each year while still preserving their principal, even though most retirement experts suggest a withdrawal rate of no more than 4% annually. In addition, 60% underestimate life expectancy and 49% underestimate the amount of pre-retirement
income they’ll need once they retire.

These results are reported in MetLife's 2008 Retirement Income IQ Test, released five years after its MetLife’s first Retirement Income IQ Test. Sandra Timmermann, Ed.D., director of the MetLife Mature Market Institute said that “While we would have liked to have seen more dramatic increases in the scores, directionally
Americans are improving their retirement income IQs."

"Yet, there are still far too many misconceptions about retirement income issues," added Timmermann. "Most concerning is the fact that so many pre-retirees overestimate how much they can spend down from their retirement savings annually. This statistic should serve as a wake-up call for pre-retirees and advisors alike."

Source: Press Release (June 25, 2008)

Businesses Deal with New Safety Challenges as Workforce Ages

2008-06-27T08:55:00.002-04:00

According to loss control experts from Chubb Group, as the number of employees over the age of 55 continues to rise, businesses are faced with the challenge of retaining these valuable workers while reducing health- and injury-related losses. Conducting a session on "The Aging Workforce-It's Not Just Ergonomics" at the American Society of Safety Engineers' (ASSE) Professional Development Conference and Exposition ("Safety 2008"), Tina Minter and Russell Dronne noted that while Bureau of Labor Statistics studies show that injury rates among older workers are lower than those of their younger counterparts, other factors can contribute to increased health and safety exposures: age-related chronic disorders and diseases; loss of hearing; impaired vision; and physical and cognitive limitations.

Miner said that businesses can help mitigate their losses by improving policies and workplace design to allow employees to continue to work in a safe and healthy environment. Among other things, she provided examples of what businesses can do to address each of these risk factors, including:

allow for flexible work hours so that those with poor night vision can adjust their start and finish time to coincide with daylight hours;
encourage employees to use the health care system for preventative well visits;
eliminate heavy lifts, elevated work from ladders and long reaches;
encourage employees working at a computer to take small breaks every 30 minutes;
don't rely on sound as the sole means of emergency communications, as employees with hearing loss may not hear announcements.

Source: Chubb Group Press Release (June 19, 2008)

Maryland: Census Bureau Issues Profile of the Older Worker

2008-06-24T08:48:00.005-04:00

In a continuation of its partnership with 31 states on a series of reports on workers 55 and older, the Census Bureau has released its report on Maryland, the 11th state to be released in the series.Among the highlights of the report--"The Geographic Distribution and Characteristics of Older Workers in Maryland: 2004":

14.6% of workers were 55 and older, while 3.4% were 65 and older;
the mining industry was the only industry to have more than 20% of its workers 55 and over (20.6%); in metropolitan areas, the educational services industry had the the largest percentage of workers 55 and older (25.5%); and
the state's health care and social services industry employed the greatest number of older workers, with about 15.2% of the workers 55 and older being in that sector.

Source: U.S. Census Bureau Longitudinal Employer-Household Dynamics What's New (June 19, 2008)

Survey; Unlocking Clues to "Encore" Careers among Boomers

2008-06-19T09:05:00.002-04:00

A survey of people aged 44 and 70 estimates that between 5.3 and 8.4 million Americans have already launched "encore careers"--positions that combine income and personal meaning with social impact--and that half of those not already in encore careers, half are interested in them. The "2008 MetLife Foundation/Civic Ventures Encore Career Survey," conducted by Peter D. Hart Research Associates, Inc., finds that a majority of Americans in this age bracket express a desire to use their skills and experience to help others and, of those currently in encore careers, 84% report a high level of satisfaction and 94% say they see the positive results of their work and know they are making a difference.

"This is the first national survey to uncover evidence that the encore career is more than an appealing idea," said Marc Freedman, founder and CEO of Civic Ventures, a think tank on boomers, work and aging. "Unexpectedly large numbers of boomers are looking for purpose-driven jobs that provide them with both means and meaning. That’s great for them and great for the rest of us, too. As this research shows, they are applying their skills and passions to the very public interest fields that need them most."

The jobs of special interest to those looking to encore careers are in education, health care and the nonprofit sector. Among other findings in the report, most respondents interested in encore careers are worried that these positions may be hard to find and may not meet their needs--80% expressed concern about having the flexibility to take time off and a majority were worried about having adequate income and benefits. However, respondents currently in encore careers reported few problems with these same issues.

Most of those in encore careers come from professional and white-collar jobs (88%), have at least a college education (67%), and tend to live in cities and their surrounding suburbs (72%). Most (60%) are leading edge boomers between the ages of 51 and 62. Most (56%) are women. But the research also reveals diversity in the ranks. Of those in encore careers, three in 10 never graduated from college, three in 10 live in small towns and rural areas, and nearly two in 10 (18%) worked in a blue-collar job before making the switch to an encore career.

In addition to publishing the report, Civic Ventures has provided a number of supporting articles and commentaries.

Source: Civic Ventures News Release (June 18, 2008)

Hungary: Looking to Raise Average Retirement Age without Changing Pension Age

2008-06-19T08:55:00.002-04:00

According to news reports, Hungary's government has rejected opposition calls to raise the pension age. Lajos Korózs, State Secretary of the Welfare and Labor Ministry, who also holds office as the National Council for Senior Citizens, said at a news conference that the government is aiming to raise the average age at which Hungarians retire or take earlier retirement.

While Hungary’s pension age is currently 62, Korózs said that, because of the number of people who take early retirement, the average age when Hungarians stop working is 58.6. It would like to focus on "cranking up this figure and bringing it closer to 62." In the view of the government, the proposal of opposition leader Fidesz to increase state pensions by no more than the inflation rate each year is unacceptable, Korózs emphasized.

Sources: BBJ "Hungary: No plans to raise pension age" (June 18, 2008); Portfolio "Retirement age hike unlikely in Hungary, State Secretary says" (June 18, 2008)

Survey: Affluent Boomers Stay in Workforce, Retain Mortgage Debt

2008-06-17T10:29:00.003-04:00

According to Bell Investment Advisors's third annual survey of affluent boomers (those with investible assets of $1 million or more), members of the baby boom have no plans to leave the workforce any time soon and, in a major change from the prior generation when a major goal of retirement was to "burn the mortgage," more than 55% of surveyed boomers who currently hold mortgages do not plan to pay their mortgages off until their 70s.

With respect to retirement plans, 76% of boomers surveyed who are still working plan to continue working after age 62, and 40% plan to continue working into their 70's. For 72%, the major reason to continue working was for the "intellectual and social stimulation" work provides; 51% cited the goal of maintaining standard of living, and 41% the goal to avoid tapping into savings.

Of those taking the survey, 29 percent describe themselves as being retired in the conventional sense, while 71 percent are still employed. Of those currently working, the largest number or nearly a quarter (23%) hope to work as long as they are able to, followed by 20 percent who plan to gradually scale back; another 20 percent who plan to pursue personal interests and passions, and 18 percent to work part-time, with six percent exploring alternative careers.

Source: Bell Investment Advisors News Release (June 10, 2008)

Bulgaria: Age Discrimination Resulting in Large Number of Older Unemployed

2008-06-13T12:34:00.001-04:00

According to news reports, Veselin Ilkov, head of a Department in Bulgaria's Ministry of Labor and Social Policy, believes that 46% of the unemployed in Bulgaria between 50 and 60 years have no work exactly because of their age. Ilkov proposes that an employer ethic codex be accepted not to allow age discrimination.

Although since 1 October 2006 there is law against the age discrimination, there still are many employers in Bulgaria who use the advance in years as excuse for dismissing or eliminating by competition for vacation work place a person, without taking under consideration the worker's qualification and skills.

Sources: News.bg "Half of the Unemployed Over 50 Years--Discriminated" (June 13, 2008); FOCUS "Veselin Ilkov: Employers often eliminate older people, applying for a position" (June 13, 2008)

Study: Boomers Can Boost Savings and Economy by Postponing Retirement

2008-06-11T14:24:00.003-04:00

A study by McKinsey Global Institute (MGI) finds that while a vast majority of U.S. Baby Boomers are unprepared for retirement, "enabling them to work longer would significantly benefit both individuals and the broader economy." However, for this to happen both policy makers and business leaders will need to take action. Specifically, by increasing the median retirement age by about two years--from the current 62.6 to 64.1 by 2015—-the share of unprepared boomer households could be halved from 62% to 31%, and the additional workers would boost real GDP growth.

Working longer will generate $12.9 trillion more gross domestic product (GDP) between now and 2025 than would occur under the baseline forecast.

MGI's survey of Boomers' attitudes on retirement shows that 85 percent expect to work later in life. However, there are significant legal and institutional barriers that need to be overcome. They include a variety of disincentives for both employers and older workers, including the costs of America's health care system, the unintended consequences of labor laws and pension regulations, and corporate attitudes toward older workers. The research highlights several areas for action for policy makers and businesses to prevent the Boomers' retirement from becoming a multidecade-long drag on U.S. growth.

Source: McKinsey & Company "Talkin' 'bout my generation: The economic impact of aging U.S. Baby Boomers" (June 2008)

Italy: Pension Proposals of Berlusconi Government

2008-06-11T14:13:00.000-04:00

Proposals by the Italy's former Prodi-led government to phase in an increase in retirement ages and number of pensionable years held from 57 to 60 in 2010 will not be scrapped, although Maurizio Sacconi, Italian welfare minister, described it "an onerous mistake" of the previous government. According to news reports, "Sacconi wants to start using the new 'coefficients' or ratios through which pensions will be calculated as a function of contributions, from as early as this autumn, rather than the 2010 date set by Prodi's government."

In addition, Sacconi wants to narrow significantly the definition of "fatiguing" jobs or manual labor employment which officials believe allow people to retire at an earlier age. He also is encouraging greater attention to private pensions and has proposed setting up a European commission on pensions, with the specific objective of identifying a general strategy, capable of promoting development and re-direct towards patterns of growth.

Sources: IPE.com "New Italian government alters pension plans" (June 11, 2008); AGI News "Pensions--Sacconi: Right To Set Up A European Comparison" (June 7, 2008)

Progress of eSangathan in Including Aging Workforce in the Information Society

2008-06-10T10:39:00.002-04:00

In advance of an official report on the results of the eSangathan Conference "Impact of Information & Communication Technology on Ageing Workforce" held in Mumbai in April 2008, a couple articles are providing some insight into progress being made in extending the working-life and knowledge services of aging workers by using information and communication technology (ICT). The eSangathan project funded by the European Union is, among other things, experimenting with two pilot projects in India over the benefits that aged workers could draw from collaborative tools for remaining longer in the work force, with good working conditions.

In an interview covering e-inclusion efforts, Dr Andrew Sors, Head, Science & Technological Development, Delegation of the European Commission in India and a participant at the conference said:

A good example of the impact of ICTs on the ageing workforce was discussed at the e-Sangathan conference. Indeed, through the use of technology, retired knowledge workers are able to keep working on projects if they wish to do so.

They can work from home, don’t need to travel but are able to remain active for longer and this has an extremely positive impact on their lives.

Mr. Ashank Desai, Chairman, Mastek Limited & President of the National Association of Software and Service Companies (NASSCOM) , informed the delegates of the importance of collaboration as eSangathan for about 60 million senior citizens in India:

"The country is experiencing a growth rate of 8-9 percent, faces a shortage of talent, and the workforce spectrum could be widened by the inclusion of the aged population to leverage the talent system".

Sources: i4d (Information for Development) "Including the aged in mainstream workforce" (May 2008); The Hindu Business Line "Bringing Silver surfers into the Web" (June 9, 2008)

Report Tracks Governmental Action on Workplace Flexibility

2008-06-03T12:20:00.002-04:00

A report prepared by Institute for Women’s Policy Research (IWPR) and the Center for WorkLife Law at the University of California Hastings College of the Law reviews actions being taken by 21 high income countries aimed at increasing workers’ ability to change their working hours and arrangements to balance work and family, and facilitate lifelong learning and gradual retirement. According to "Statutory Routes to Workplace Flexibility in Cross-National Perspective", high-quality flexible work arrangements are still the exception in the U.S.

While the IWPR is primarily focused on laws enabling women to remain in the workforce, it found that 11 of the 21 countries surveyed allow reduced hours with partial pension prior to full retirement. Thus, for example, in Finland, from age 58 onwards, a reduction of usual full-time hours between 30% to 70% is possible with partial pension payments.

Source: Institute for Women’s Policy Research News Release (May 28, 2008)

Older Workers Face Increased Health Risks from Past Exposure to Lead

2008-05-29T10:13:00.003-04:00

Researchers from the University of Pittsburgh's Western Psychiatric Institute and Clinic have published the results of a study showing that older workers with past occupational exposure to lead face increased risk for recirculation of lead into their bloodstreams later in life. As published in the Archives of Environmental and Occupational Health, the article--"Past Occupational Exposure to Lead: Association Between Current Blood Lead and Bone Lead"--found that that lead stored in bone is a significant source of blood lead later in life and that older workers with past occupational exposure may face a particular risk for recirculation of lead in blood with advancing age.

Medical News Today quotes lead author Lisa A. Morrow, Ph.D., associate professor of psychiatry and psychology at the Institute, as saying that the study "found that even workers with no current workplace exposure to lead--but who have had considerable past exposure--show increasing levels of lead in their blood as they age." The other authors are Herbert Needleman, M.D., Christine McFarland, Kim Metheny and Michael Tobin.

Source: Medical News Today "Risks From Occupational Lead Exposure Last A Lifetime, Pitt Study Finds - Combination Of Age And Early Exposure To Lead Significantly Increase Risk" (May 26, 2008)

New Jersey: Census Bureau Issues Profile of the Older Worker

2008-05-28T10:24:00.002-04:00

In a continuation of its partnership with 31 states on a series of reports on workers 55 and older, the Census Bureau has released its report on New Jersey, the tenth state to be released in the series.Among the highlights of the report--"The Geographic Distribution and Characteristics of Older Workers in New Jersey: 2004":

16.6% of workers were 55 and older, while 4.0% were 65 and older;
the mining industry had the highest proportion of workers 55 and over (22.2%), followed by manufacturing (21.1%), educational services (21.0%), and real estate and rental and leasing (20.8%); and
the state's health care and social services industry employed the greatest number of older workers, with about 14.8% of the workers 55 and older being in that sector.

Source: U.S. Census Bureau Longitudinal Employer-Household Dynamics What's New (May 27, 2008)

Canada: Survey Suggests Quebec Workers' Retirement Plans Not in Sync with Employer Needs for Older Workers

2008-05-25T12:42:00.004-04:00

Even though organizations are facing labor shortages, 38% of Québec workers say they plan to retire before age 60, and 61% plan to retire between the ages of 55 and 64. These are some of results of a survey conducted by the Centre de Recherche sur l'Opinion Publique (CROP) for the Ordre des CRHA et CRIA du Québec (ORHRI). The survey showed that 15% of workers plan to retire at 65 to 69, 5% at 70 or older, and 5% with no plans to retire.

“In today’s environment, older workers represent a labour pool that employers can no longer do without. That’s why it’s crucial to review management practices to encourage willing pre-retirees to stay on the job as long as possible. Organizations need their valuable expertise,” explained Florent Francoeur, CHRP, Ordre President and CEO.

Workers were also asked about phased retirement, and 53% favored phased retirement, versus 41% who preferred complete retirement.

“The fact that only half the workers are considering phased retirement is of some concern. Yet people are now healthier and living longer than previous generations. So we have to create conditions to increase the numbers of workers who opt for phased retirement. For example, we could adjust benefits and compensation policies, and reorganize work within organizations,” added Francoeur.

Source: Ordre des CRHA et CRIA du Québec Press Release (May 22, 2008)

Reality Check: Survey Shows Retail Industry Hires Most Older Workers

2008-05-24T10:16:00.003-04:00

Maria L. La Ganga,writing for the Los Angeles Times, reports that an Urban Institute study due to be published in June 2008 shows that the retail industry employs more older Americans than any other, with nearly 350,000 men and women 65 or older earn paychecks in U.S. stores. "In fact, the nation's stores employ more people 65 and over than the next two occupations [farming and janitorial work] combined, which worries some advocates who are trying to encourage the federal government, the country's biggest corporations and other employers to keep older workers on the payroll.

In introducing her readers to some examples of older workers in the retail industry, La Ganga does capture the sense that this is not the result many have expected in the field:

"These are not exactly the pictures of reinvention that you get in your monthly issue of Fortune, Money or AARP magazine," said Marc Freedman, author of "Encore: Finding Work that Matters in the Second Half of Life." This is "an object lesson in the dangers of what could happen if we don't develop a compelling human resource strategy for an aging society."

But though Freedman worries that "the golden years are being transformed into the Wal-Mart decade," he does acknowledge that the retail industry provides benefits, flexibility and jobs, particularly for less-educated workers.

Source: Los Angeles Times "Just one word for older job-seekers: retail" (May 23, 2008)

Book: How a Few Additional Years in the Labor Force Can Make a Big Difference.a Retirement

2008-05-23T09:45:00.003-04:00

The Brookings Institution Press has announced the release of Working Longer: The Solution to the Retirement Income Challenge by Alicia Munnell and Steven Sass, the director and associate director of the Center for Retirement Research at Boston College. According to the publisher, amid all the calls to fix Social Security, shore up employer pensions, and redesign 401(k) plans, the auhtors suggest that the most effective response to the retirement income challenge lies in remaining in the workforce longer: "By staying on the job for another two to four years, retirees in 2030 can be as well off as those in the current generation."

Working Longer investigates the prospects for moving the average retirement age from 63, the current figure, to 66. The authors ask whether future generations of workers will be healthy enough to work beyond the current retirement age, as well as whether older men and women are willing to do so. They examine companies’ incentives to employ older workers and ask what government can do to promote continued participation in the workforce. Finally, they consider the challenge of ensuring a secure retirement for low-wage workers and those who are unable to continue to work.

A summary of the book is available, as well as the authors' list of 10 myths and realities about working longer.

Source: Brookings Institution Press Book Announcement (May 2008)

For other books on older workers and the aging workforce, see The Aging Workforce News Book Store.

Survey: Crossgenerational Interaction Rare in the Workplace

2008-05-22T21:46:00.003-04:00

Ranstad USA has released its annual look at the workplace and, among other things, reports that the different generations in the multigenerational workforces--Gen Y, Gen X, Baby Boomers, and Matures--have different definitions of experience, sharing and no consistent way to understand what each other has to offer. In its survey of 3,494 adults, 2008 World at Work shows that 51$ of the Boomers and 66% of the older "Matures" report little to no interaction with their younger colleagues.

Among the learnings shared by Ranstad:

The transfer of knowledge between retiring generations of veteran workers and newer entrants to the workforce is unlikely.
Perceptions of co-workers, particularly those in Gen Y, are based largely in stereotypes.
Each generation sees itself as bringing different strengths to the workplace that don’t enhance or expand the strengths of those older or younger.

Source: Reuters Life!"Workers of different ages don't chat enough: survey" (May 21, 2008)