Post by jeffolie on Sept 3, 2012 17:23:58 GMT -6
Young vs Senior Workers
In Asia where retirements and pensions are rare, the seniors often work until no one will pay them ... then some turn to beggars
Why is America different?
my jeffolie view: Seniors rarely work because govt programs including Disability, private pensions, govt SS to a lesser extent.
SS pays out so little that most today do not rely entirely on it although a significant fraction do. Part of the "Legislative Intent" of the founders of SS was to avoid the high level of senior 'beggars' selling pencil, apples etc during the Great Depression.
Young mostly unskilled aspiring to work must complete against existing career seniors and partime supplemental seniors resulting in a bottleneck or competition for the same jobs as doubt about retirement funding increase.
Some employers have enticed older workers to retire with 'early retirement programs' when adequate funding can rid the employers of seniors who are entrenched with seniority rights but have fallen behind on their occupations skills and technology...opening the retention of more recently educated or skilled workers that would have been laidoff instead of the older workers with tenure, etc.
+++++++++++++++++++++++++++++++++
More older workers making up labor force
Many seniors are staying on the job or returning to the workforce, leaving less room for younger workers and reducing their purchasing power.
WASHINGTON — Millions of workers in their prime have dropped out of the labor market in recent years, but many older Americans are delaying retirement and being added to the workforce in record numbers.
Nearly 1 in 5 Americans ages 65 and older are working or looking for jobs — the highest in almost half a century.
The labor participation rates for other age groups have slid since the recession began at the end of 2007, most sharply for younger adults but also for people in their prime working years, their 30s to 50s.
The contrasting employment paths of seniors and other age groups reflect a long-term population and lifestyle shift intensified by the recession. And the trend has significant implications for the broader economy.
Having more older workers in the job market helps the country's precarious fiscal situation; by working, they're paying Social Security and other taxes rather than drawing public retirement and Medicare funds. The share of seniors claiming Social Security benefits fell last year to the lowest level since 1976.
But there is a trade-off: In this lackluster economy, the increasing employment of seniors means fewer jobs for their younger counterparts. Apart from the direct financial hit to individuals, the shift represents a big collective loss of purchasing power.
Young adults and prime-age workers spend comparatively more money because they are more apt to move, start families, send children to school and buy the latest gadgets. Consumer spending accounts for about two-thirds of the economy, and it has been sluggish during this recovery.
"One of the reasons is young people can't find jobs because older people are not leaving the workforce," said Sung Won Sohn, an economist at Cal State Channel Islands who has studied the issue. Discouraged, many younger workers are staying in school longer or sitting on the sidelines until their prospects improve.
That affects business at restaurants, furniture stores and electronics outlets. And it puts a squeeze on many local governments that rely on retail sales taxes for their revenue.
"As we get older, we require more services but buy less stuff," said Bob Murphy, the mayor of Lakewood, Colo., a community west of Denver with a growing elderly population. "We need to stabilize and sustain a revenue stream in a system [that's built on] where people buy things."
By age group, the nation's biggest spenders are those 35 to 44 and 45 to 54, government statistics show. On average, households with people of these ages spend about twice as much as those headed by older Americans for things such as eating out and entertainment, and they spend roughly 50% more for housing and transportation.
Seniors, of course, still make up a relatively small share of the total workers in America. But senior employment has jumped 27% in the last five years, surpassing 7 million in July, while adults ages 35 to 54 with jobs has fallen 8% during the same period.
more.... www.latimes.com/business/la-fi-labor-seniors-20120903,0,5722472,full.story
In Asia where retirements and pensions are rare, the seniors often work until no one will pay them ... then some turn to beggars
Why is America different?
my jeffolie view: Seniors rarely work because govt programs including Disability, private pensions, govt SS to a lesser extent.
SS pays out so little that most today do not rely entirely on it although a significant fraction do. Part of the "Legislative Intent" of the founders of SS was to avoid the high level of senior 'beggars' selling pencil, apples etc during the Great Depression.
Young mostly unskilled aspiring to work must complete against existing career seniors and partime supplemental seniors resulting in a bottleneck or competition for the same jobs as doubt about retirement funding increase.
Some employers have enticed older workers to retire with 'early retirement programs' when adequate funding can rid the employers of seniors who are entrenched with seniority rights but have fallen behind on their occupations skills and technology...opening the retention of more recently educated or skilled workers that would have been laidoff instead of the older workers with tenure, etc.
+++++++++++++++++++++++++++++++++
More older workers making up labor force
Many seniors are staying on the job or returning to the workforce, leaving less room for younger workers and reducing their purchasing power.
WASHINGTON — Millions of workers in their prime have dropped out of the labor market in recent years, but many older Americans are delaying retirement and being added to the workforce in record numbers.
Nearly 1 in 5 Americans ages 65 and older are working or looking for jobs — the highest in almost half a century.
The labor participation rates for other age groups have slid since the recession began at the end of 2007, most sharply for younger adults but also for people in their prime working years, their 30s to 50s.
The contrasting employment paths of seniors and other age groups reflect a long-term population and lifestyle shift intensified by the recession. And the trend has significant implications for the broader economy.
Having more older workers in the job market helps the country's precarious fiscal situation; by working, they're paying Social Security and other taxes rather than drawing public retirement and Medicare funds. The share of seniors claiming Social Security benefits fell last year to the lowest level since 1976.
But there is a trade-off: In this lackluster economy, the increasing employment of seniors means fewer jobs for their younger counterparts. Apart from the direct financial hit to individuals, the shift represents a big collective loss of purchasing power.
Young adults and prime-age workers spend comparatively more money because they are more apt to move, start families, send children to school and buy the latest gadgets. Consumer spending accounts for about two-thirds of the economy, and it has been sluggish during this recovery.
"One of the reasons is young people can't find jobs because older people are not leaving the workforce," said Sung Won Sohn, an economist at Cal State Channel Islands who has studied the issue. Discouraged, many younger workers are staying in school longer or sitting on the sidelines until their prospects improve.
That affects business at restaurants, furniture stores and electronics outlets. And it puts a squeeze on many local governments that rely on retail sales taxes for their revenue.
"As we get older, we require more services but buy less stuff," said Bob Murphy, the mayor of Lakewood, Colo., a community west of Denver with a growing elderly population. "We need to stabilize and sustain a revenue stream in a system [that's built on] where people buy things."
By age group, the nation's biggest spenders are those 35 to 44 and 45 to 54, government statistics show. On average, households with people of these ages spend about twice as much as those headed by older Americans for things such as eating out and entertainment, and they spend roughly 50% more for housing and transportation.
Seniors, of course, still make up a relatively small share of the total workers in America. But senior employment has jumped 27% in the last five years, surpassing 7 million in July, while adults ages 35 to 54 with jobs has fallen 8% during the same period.
more.... www.latimes.com/business/la-fi-labor-seniors-20120903,0,5722472,full.story