Aging Workforce Overview

The demographic changes occuring in America are unprecedented in their scope, and will ultimately impact every area of our culture and society. To help guide you through the implications, NOWCC has gathered the best resources from around the web.

Demographics

America is facing an unprecedented demographic shift. Historically low birth rates combined with increasing life spans are creating an older society. This shift will impact all aspects of the United States - culture, economics, and social.

Labor Force Projections to 2014
Bureau of Labor Statistics - Finds that labor force participation will grow far more rapidly among older workers than among younger workers.

The New Demographic Realities
Farnsworth Riche Associates - The Former Director of the Census Bureau charts how we are moving, demographically speaking, from "pyramids to pillars" for the first time in history.

65+ in the United States: 2005

Fiscal Impact

The first and most easily measurable impact of an aging society will affect our nation's fiscal health. Medicare and Social Security, designed when there were far fewer retirees and far more younger workers to pay into the programs, will become increasingly expensive to maintain.

Testimony to the Senate Special Committe on Aging
Alan Greenspan - The Former Chairman of the Federal Reserve Board outlines the economic repercussions of an aging society.

Exploding Deficits, Declining Growth
Committee for Economic Development - This non-partisan study by the predicts that an aging, retiring society will put both a drag on economic growth and massive demands on the federal budget.

Labor Shortages

When the baby boomers retire, there won't be enough younger workers to replace them, and the US could face a labor shortage of almost 36 million workers - 7 times greater than the largest labor shortage ever experienced.

Grow Faster Together, or Grow Slowly Apart
Aspen Institute - Identifies the causes and outlines the repercussions of the nation's looming labor force shortage.

Report on Older Worker Employee Assistance Programs
General Accounting Office - Examines whether the current Federal-level workforce development programs are adequately training older workers to meet developing labor shortages.

The Untapped Workforce

Although there are not enough young workers to replace the the baby boomers, there is another group whose skills and talents are going underutilized: older workers. Today's older workers are both able and eager to continue to working past "retirement." If older workers can be retained, a labor shortage can be averted.

A Work-Filled Retirement
John J Heldrich Center for Workforce Development - A national survey finds that more than 80% of workers intend to work after retirement, and concludes that "The traditional notion of retirement, where one stops working completely and enjoys leisure time with friends and family, is obsolete."

Staying Ahead of the Curve
AARP - Surveys older workers on their reasons for continued employment, strength of workplace loyalty, concerns about ageism, and other workforce participation issues.

Improved Quality of Life

Employing older workers not only benefits our nation's economic health, it also has a positive impact on the health and psychological well-being of our older workers.

Does Working Longer Make People Happier and Healthier?
Center for Retirement Research - By comparing longitudinal data, this study finds that working at older ages has a positive impact on health, mortality rates, and overall mood.

Satisfaction and Engagement in Retirement
The Urban Institute - Finds that active seniors, whether engaged in volunteer activities or employed, are more satisfied in their retirement.

Public Policy

Although government is waking up to the need for older workers (for example, the EPA's SEE Program and USDA's ACES Project), many regulations and laws developed decades ago remain as obstacles. Until these policies are changed, the potential of older workers will go unrealized.

Global Aging: Achieving its Potential
AARP - Identifies the labor law and business practices that prevent labor force participation by older workers, and recommends new policies to correct course.

Corporate Practices

Businesses also must update their HR practices to deal with the new demographic landscape. Many corporations still have pension plans and HR policies designed to push older workers into retirement, which costs them older workers' experience, contacts, and knowledge.

The Business Case for Workers Age 50+
AARP - Compares the cost of retaining and recruiting older workers to the cost of losing critical institutional knowledge and hiring inexperienced workers, and finds that employing older workers is both cost-effective and productive.

Staying Ahead of the Curve
Accenture - Describes a set of "better practices" that organizations are using to address the threat of lost knowledge caused by changing workforce demographics.

Changing Perceptions

Ultimately, the greatest obstacle to the employment of older workers may be outdated stereotypes.

Employers must realize that workers do not lose a lifetime of skills and talents when they turn 65, and workers must learn that hitting retirement age doesn't mean 20 years on the rocking chair.

Most of all, we must realize that we all benefit when older workers continue to make a contribution.

Older Worker Survey
SHRM/NOWCC/CED - Identifies organizations' readiness to respond to the demographic changes in the workforce and respondents' perceptions of the advantages and disadvantages of hiring older workers.

American Business and Older Employees
AARP - Measures the relative importance of certain employee qualities, the perceptions of human resource executives of older employees in relation to these qualities, and how these perceptions have changed over time.

Americans' Perceptions of Aging in the 21st Century
National Council on Aging - Identifies expectations about growing older, myths about the aging process, stereotypes of older adults, and the current experiences of older Americans.

Want to Know More?

Whether your HR team needs a presentation on demographic trends, your executive team needs a study of retention strategies in your industry, or you need a program to help you staff your projects, NOWCC can help. Our staff has been recruiting, training, and placing older workers for over 20 years. Let us know how we can help you!