If you’re like many Generation Xers today, you may be expecting the impending retirement of millions of Baby Boomers to boost the job market and open up a massive number of senior level opportunities. It seems like a natural progression of events and one which will fix today’s tight job market. But Boomers aren’t proving to be so quick to exit the market and we should consider the possibility that this may not be such a bad thing after all.
The Dulles SHRM group met on October 4th to discuss The Graying of America – – An HR Challenge. It was agreed that Baby Boomers are known for having a strong work ethic. Combined with their knowledge and experience, they still have a lot left to offer.
Recently, there has been a growing trend of workers gradually phasing out of their positions. By continuously reducing hours and responsibilities over a period of three to five years, both employee and employers may reap the benefits of this alternative work arrangement.
Benefits to companies may include reducing labor costs while retaining key knowledge and talent, reducing costly layoffs and creating or maintaining a strong culture of high morale and productivity. Benefits to retiring employees may include the flexibility of scaling back gradually while still maintaining a healthy income, possibly receiving earlier access to retirement savings and continuing to feel valued and productive.
Earlier this year, Congressional House Oversight Committee approved a bill to allow federal employee to phase out of their roles and into retirement. Once this becomes law, I expect more and more private companies to follow suit.
This is a progressive move and one which may benefit your company. With Boomers sticking around like they are, it’s certainly worth a discussion.
