Older Workers: What Do You Think?

Here are some of the salient findings os a recent study of older workers by the Familes and Work Institute:

· The workforce is aging. In 1977, 37% of the wage and salaried workforce was under 30 years old compared with only 22% in 2002, and only 38% was 40 or older in 1977 versus 56% in 2002.2 In 1970, the average life expectancy of Americans was 70.8 years; in 2001, it was 77.2 years.

· While predictions of the severity of the coming talent shortages can be debated, there is evi­dence that a number of companies are increasingly interested in holding onto the talent of their more experienced employees.

· Many employees are not in good positions to retire: 32% have not saved for retirement, only 42% have tried to calculate how much money they will need for retirement, too many expect to receive income from a defined benefit pension plan (52%) and employer-based retiree health insurance (35%), and only 24% are very confident of having enough money to live comfortably throughout their retirement years. Thus, the average age at retirement is becom­ing increasingly older.

Employers are faced with a workforce that is far more diverse, not only in ethnicity and gender but also in age. That has led to a great deal of speculation about how this age diversity will affect the U.S. economy and companies:

· Will employees of different ages be able to work together in constructive ways? Or

· Will “age waves”—sharp fissures among the generations—prove disruptive and even destructive for employers and employees alike?

Download the report here.