Approximately 20% of individuals aged 65 and above in the United States are still part of the workforce, nearly double the figure from 35 years ago. A significant number of baby boomers are maintaining their employment well into their 60s and 70s, expressing that they “enjoy going to work.”
In his book titled “Unretired: How Highly Effective People Live Happily Ever After,” Mark Walton highlights that this cohort of older workers represents a significant shift in the U.S. economy.
Many of them are engaged in less physically demanding positions, which is reshaping the landscape of professional careers for the upcoming generations. The concept of retirement as a permanent exit from the workforce is becoming increasingly obsolete.
A growing number of older Americans derive a sense of purpose and happiness from their ongoing careers. Research from the Pew Research Center indicates that the proportion of older Americans remaining in the workforce has quadrupled since the 1980s, with around 11 million individuals aged 65 and older currently employed.
They account for 7% of the total wages dispensed by U.S. employers, a rise from just 2% in 1987. This transformation is beneficial for employers as well.
Older employees frequently bring a wealth of experience and expertise, allowing them to tackle challenges in ways that may elude their younger counterparts. Keeping these seasoned workers within the organization helps to ensure stability.
Moreover, they benefit from the extensive knowledge gained over the years. A prime example is George Cavedon, 73, who has dedicated the past 18 years to marketing at a small company.
After attempting retirement in his 50s, he found himself feeling bored and isolated, stating, “Retirement to me is a scary thing.”
Older Americans embrace post-retirement work
How long can one spend lounging on the beach? Personally, for my mental wellness and happiness, I prefer staying active and engaged in work.”
A significant percentage of baby boomers, particularly those who attended university and hold less physically demanding jobs, are instigating a major transformation in the American economy. According to Mark Walton, this generation is redefining professional and executive career trajectories.
This shift could influence societal expectations for generations to follow. As the U.S. considers the future of labor, the ongoing participation of baby boomers in the workforce has notable implications. Some individuals are concerned about their ability to afford retirement.
Conversely, a rising number of people are choosing not to retire, as their jobs provide them with a sense of purpose and identity. Attitudes towards work and retirement are evolving. More companies are recognizing the benefits of employing older workers.
These individuals possess invaluable experience and can mentor younger staff. This challenges the traditional view that older employees should be compelled to retire. “The reality is, there is a labor shortage, and the labor shortage is a shortage of highly skilled, highly knowledgeable employees,” notes Walton.
This discrepancy, coupled with longer life expectancies and less physically intensive jobs, makes the continued employment of older workers both necessary and advantageous. Renee Stanton, at 61, intends to work as a contractor, enabling her to earn an income while pursuing hobbies like skiing and sailing.
She says, “I’ve got decades ahead of me, knock on wood.” She desires to continue working on her own terms while engaging in activities she enjoys. In conclusion, the conventional concept of retirement is rapidly evolving. Many baby boomers find the traditional approach to retirement less attractive than the opportunity to remain engaged and productive in their work.
This evolution benefits individuals while also addressing larger economic requirements. It indicates a future where the term “retirement” as we currently understand it may be entirely redefined.
