The looming problem of mass retirements may have taken a backseat during the recession, but now that the recovery finally seems to be taking hold, companies should be very concerned about losing their experienced older workers, according to a joint survey by the Society for Human Resource Management (SHRM) and AARP.
Citing 2010 U.S. Census data, SHRM reports that the number of Americans ages 55 and over in the workforce increased from 32.4 percent to 40.2 percent. In the next two decades, 10,000 Baby Boomers will reach age 65 each day, according to the Pew Research Center.
Seventy-two percent of the companies surveyed by SHRM and AARP are afraid the loss of talent due to retirement could create problems for their organizations, but around 71% have done no workforce planning to analyze exactly how this “brain drain” will impact them.
Of those that have addressed the potential problem, 30% have hired retired employees as consultants/contractors, according to the survey. This popular trend, which is often called retiree re-staffing, is a win-win for both workers and companies. In addition to allowing companies to retain crucial knowledge and experience, this type of arrangement allows retirees to remain active and supplement their retirement income while still maintaining a flexible schedule so they can spend more time on family, hobbies, etc.
Have your clients considered how the aging workforce might impact their organizations? Do they have a plan in place to retain the knowledge and experience their older workers possess? If not, you may want to discuss with them how retiree re-staffing can help both them and their older workers.