Older Workers: An Employer's Gold Mine
By: Source: AARP.org Date Posted: 2007-07-23 14:28:04.347666-04:00
Business from all over the state gathered to hear AARP make the Business Case for Workers 50+ at the Augusta Civic Center. Why?
Because there is a major shift taking place in the U.S. workforce—it's getting older. And in Maine, by 2030, the 50+ population will increase by 100%.
In 1992, about 12 percent of the workforce was 55 or older. That figure will increase to nearly 20 percent by 2012 and remain constant right through 2025, according to projections by the Bureau of Labor Statistics. Charles Colgan, a researcher for the University of Southern Maine Muskie School of Public Policy, highlights what this means to Mainers.
He says that if large numbers of baby boomers were to retire from the workforce at age 62, this combined with the loss of people aged 16-24 in the workforce would leave Maine without adequate workers to sustain economic growth.
In short Maine needs the older worker in order to prosper. And businesses that intend to be leaders in their fields will need to adopt programs and policies to attract and keep older workers.
So, as the proportion of younger workers declines, employers will have to attract and retain mature, experienced workers—if they plan to gain a competitive edge. Keeping workers employed longer would have significant benefits for our society in a number of ways. We already know that it would help employers avoid potential labor shortages. But it would also increase the economic security, and potentially the health care security of workers in their later years. In fact, an AARP study showed that nearly 70 percent of workers who have not yet retired reported that they plan to work in some capacity into their retirement years or never retire, and almost half indicated that they envision working into their 70's and beyond.
On the other side, it is a wise employer who sees the gold mine in the form of mature workers and makes the most of it. These companies recognize when older workers retire, their knowledge and experience retires with them. In fact, an AARP study of 10 major U.S. employers said that experience, maturity and positive attitudes of 50+ workers provide enormous value to their business. Smart companies recognize that when older workers retire, their knowledge and experience retires with them—and that translates into dollars lost while new employees get up to speed.
The time is now to change misperceptions that include negative stereotypes and outdated notions about the value of older workers. If Maine businesses want one solution to their workforce needs issues, they don't need to look much further than their own backyard for a workforce that will deliver.
Additional Related Links
Employer Resource Center
Find information, tools, strategies, and best practices to aid employers.
Careers
Locate resources to help older job seekers.
AARP Best Employers for Workers Over 50
See the winners of an annual awards program that honors companies whose practices and policies for addressing aging workforce issues are roadmaps to the future.
National Employer Team
Find out which companies have joined with AARP because they recognize that older workers make up an important part of the workforce.
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