OLDER AMERICANS: Working Longer, Working Differently

The “Magic” of 65? “Retirement”: –A relatively recent phenomenon –Thank you, Chancellor Von Bismarck –U.S. Social Security & 65 –The “industrial model” of retirement –Mandatory retirement

Retirement: The Roles, The Rules, and the Relationships Sociological Foundations: –Roles –Rules –Relationships

Staying Ahead of the Curve: The AARP Work & Career Study* A National Survey Conducted for AARP by Roper ASW. September, 2002 *Available on the AARP Website

Two Significant Demographic Shifts Workers over 55: % of workforce % –Highest growth rate in U.S. workforce will be among workers aged 55 to 64. –Fueled by “leading edge” of the boomers –Americans are leading longer, healthier lives, enabling them to work longer »

THUS: As boomers move through the workforce and retire, there will be more jobs than workers to fill them. “…the U.S. will grow older and face critical shortages of qualified workers, especially in the dominant & growing service sectors of the economy.” p. 1

The Survey When: May/June, 2002 Who: 2,518 workers ages –African American & Hispanic American 45+ workers over-sampled

KEY FINDINGS 45+ workers want to continue working and to have viable work options later in life Conditions for working into “retirement”: –more flexibility & autonomy –Why work? Money & health care coverage Peace of mind Enjoyment & a sense of purpose

Key Findings, cont’d. A better balance between work and personal lives--70% Many face major life challenges on the home front

Want more respect, training, benefits, & flexibility. “Employers, particularly those who will feel the effects of shrinking workforce, will be increasingly challenged to address these needs.” p. 2

2/3 have concerns that age discrimination remains a major barrier to their advancement & well being in the workforce Minority workers--generally positive about their workplace prospects, but slightly less optimistic than the total pop. Of 45+ workers about their own personal future.

Who Are the 45+ Workers? Boomers constitute 70% y.o.--20% y.o.-- 7% Full-time--67% Part-time--11% Self-employed--15%

Segments of the 45+ Workforce 1. Sustainers: –Comprise 36% of 45+ workforce –They work to live--91% say money is a major factor in their decision to work

2. Providers –Comprises 25% of 45+ workforce –“The central role of work in their lives is to help them provide for others, and many are sandwiched between the needs of their children and those of their aging parents.” p. 3 –Work is important to their self-esteem--fulfills their role as providers and caregivers

3. Connectors –Particularly connected to their work –Spent more years with current employer than others –Hold strong personal connections to co-workers –Strong interest in health & retirement benefits that have accrued over many years –Comprises 16% of 45+ workforce

4. Contributors –Live to work –Better educated, more affluent; a lot of “re- entries” to the workforce –Executive & professional jobs –“Feeling useful and making a contribution to society--not money--is what most Contributors say motivates their decision to work.” p. 4 –Comprises 22% of 45+ workforce

Working into “retirement” part- time---69%--Why? Interest & enjoyment Mainly for needed income & health security Starting one’s own business Work full time doing something else

Better than love? “…working is so central to 45+ workers that many more say it plays a larger role than romance in shaping their feelings about themselves…the inability to find a job would damage their self-esteem far more than those who say that inability to find a made or personal relationship would hurt their self-esteem.” p. 7

The Worklife Juggle--in the past 5 years: Responsible for care of parent--31% Last child moved out--26% Major career change--26% Mid-life crisis--23% Adult child move home--23% Survive illness--21% Divorce or remarry--19%

What do they want? Friendly work environment Respect from co-workers and supervisors Opportunities to use skills/talents Do something worthwhile Learn something new Help others Pursue something they’ve always wanted to do

“As the overall size of the labor force contracts over the next decade, employers will need to accommodate these needs in their workplace if they are to attract and retain a strong, reliable and able workforce.” p. 9

The 15 best places to work after 50 (Modern Maturity. Nov/Dec 2000) Creative recruiting Flexible benefits Age-friendly culture Fair compensation Continuing growth Retirement on your terms