Older Workers Postpone Retirement

The AARP did a survey in December 2008 of 1,100 people and found that 16% of those ages 45 and up had decided to put off retirement due to the crumbling economy, and 57% of those who had lost either their job or a significant amount of money in the stock market will not retire as planned. In addition, the AARP reports that for both men and women the planned age of retirement is rising, with the number of men age 63 in the workforce increasing by 8% between 2000 and 2007.

Increases in the average retirement age can be attributed to a variety of factors other than the state of the economy, including the fact that people have to wait longer to qualify for full Social Security benefits and the fact that more people are just living longer.

The burden on the Social Security Administration is not expected to decrease, however, as more and more people must apply for benefits when they lose their jobs. Social Security reported that the number of retirement claims actually went up almost 9% between 2008 and 2009, despite the fact that more people are working longer.

Although it is true that a tough job market can favor the younger worker (with lower salary expectations), some businesses go the extra mile to hang on to more experienced, reliable workers. According to William Dunkelberg, chief economist for the National Federation of Independent business, "The elderly may, in fact, be cheaper than teeny boppers" because they require less training, seek part-time work and will accept lower wages.”

About 65% of the workforce is now 65 and older, a percentage that’s steadily increased since the late 1990s, yet the unemployment rate for those 65 and older is the highest reported since the 1970s at 6.8%.

For those older workers who suddenly find they need to go back to work, help is available. Experience Works, a national nonprofit organization funded by the Labor Department, assists low-income individuals 55 and up who are seeking employment, and President Barack Obama’s economic stimulus bill is expected to provide $120 million in additional money for the program.

Written by Tim Moore
mooreorlesstim3@yahoo.com
http://www.disabilityblogger.blogspot.com