Why hire seniors and retirees?

Hire seniors for project assignments or part-time and save on healthcare costs

According to an Internet-based survey conducted by Thomas Regional, of the nearly 2,500 industrial small businesses owners surveyed nationwide, 63% of the respondents state that healthcare coverage is their biggest challenge. Hiring seniors to work part-time

or on temporary assignments in most cases saves health care benefits costs.

 Medicare benefits kick in at age 65, so insurance benefits become less of an incentive for retirees; yet, surveys have shown that people eligible to collect pensions and Social Security do not necessarily want to quit working.  Many retirees continue working but seek decreased and/or flexible hours.  According to BSL figures 54% of workers over 65 are employed part-time.

When firms employing less than 20 employees hiring seniors on Medicare for full-time

positions, Medicare can be the primary insurer and the employer's insurance can be secondary. This means substantial savings in insurance premiums.

A 2003 SHRM survey indicates that 68% of the organizations employ older workers;

however only 41% specifically target older workers in their recruitment efforts. The survey also indicated that reasons for hiring older workers included their willingness to work a flexible schedule, their ability to serve as mentors and their invaluable experience.

Other reasons included their reliability and strong work ethic.

Why recruit retired workers?

From

Tapping the Mature Workforce: An Overview & Recommendations

By Lori Bittner, Mature Market Group, part of J Walter Thompson

§         Quality customer service experience

§         Stability

§         Ability to initiate sales and transaction dependability

§         Eagerness to provide support and guidance

§         Superior communication skills

§         Varied work experience

§         Better ability to work with mature clientele

§         An old-fashioned work ethic

Recent studies conducted by AARP and reports published by The United States General Accounting Office identify the mature employee’s greatest assets (compared to younger demographics) as:

            §    Lower absenteeism                                         §    Punctuality

§         Less likelihood to change jobs                     §    Commitment to quality

§         Superior customer service skills                   §    Better people skills

§         More eager to learn new skills                     §    Positive attitude

Quote from Secretary of Labor Elaine L. Chao

"Nowhere is the case stronger for tapping the strengths of older workers than with employers facing the skills gap. Everywhere I go, employers tell me they are having difficulty finding workers with the right skill sets for the jobs they have to offer."

This adds up to a golden opportunity to turn a challenge—the approaching retirement of an unprecedented number of Americans—into a win-win scenario for our economy and our workforce.

From an AARP article

Part of the problem for older job seekers today lies in a number of persistent myths that prejudice some employers against them. Here are three of the most pervasive and damaging myths about older workers you should know are untrue:

1. Myth: Older workers use medical benefits more than other groups and raise the cost  of medical insurance premiums for everyone.

Reality: Seniors often use medical benefits less than some other age groups. Parents of younger children are the most frequent users and contribute more directly to increased premium rates.

2. Myth: Older workers miss a lot of work.

Reality: Senior workers have excellent attendance records, because they seldom miss work for personal reasons other than legitimate illness.

 3. Myth: Older learners can't learn new techniques and new technologies.

 Reality: The capacity to learn isn't a function of age. If you are skeptical, check out the growing number of senior citizens going back to college and getting advanced degrees every year.

 Many companies hire older workers because they have traits other generations of employees don't have. Here are some you might be interested in:

 * Older generations thrive on hard work. They believe in putting in a full day's work for a full day's pay. As senior citizen, policy director, John Rother, explains, "Older workers have a strong work ethic."

 * Older workers are loyal. They appreciate the opportunity to work and stick with those who give them a chance to perform and produce.

* Older workers take great pride in their accomplishments. They care about doing

a good job.

* Older workers are dependable. They show up on time all the time. They take orders seriously, keep their promises and do what they say they will do.

* Older workers don't do politics. They don't play political games, have hidden agendas or harbor secret ambitions. They are not interested in climbing the corporate ladder, so they don't have to resort to manipulation, dirty tricks or one-upmanship.

Most importantly, older workers have more than their share of "emotional maturity" and common sense.

What does it take to turn on older work power?

Results of an AARP survey that asked what seniors say they need to succeed on the job:

* Adequate time off (86 percent).

* Respect from supervisors (86 percent).

* Adequate health insurance (84 percent).

* Flexibility (76 percent).>

* A worthwhile, protected pension plan (76 percent).

A growing experienced labor pool.

According to AARP 8 out of 10 baby boomers say they plan to work in retirement.

A Wall Street Journal report indicated that 68% of current workers expect to work for pay in some capacity after they retire.

Everyday, 10,000 Americans turn 55.

Tapping into the strengths of these older workers is an excellent way to save on training and benefits costs.

Since January 2001, the biggest job growth has been among those 55 and older, with 3.2 million new workers from that group, according to the U.S. Bureau of Labor Statistics.

Percentage Change in the U.S. Older Population, by Age Group:

Selected Time Periods, 1995 - 2010*  

*Source: U.S. Bureau of the Census, Current Population Reports, P25-1130, “Population Projections of the United States, by Age, Sex, and Hispanic Origin: 1995 to 2050,” February 1996; and “U.S. Population Estimates, by Age, Sex, Race, and Hispanic Origin: 1990 to 1994.”

Estimates and Projections of the Older Population, by Age Group: 1995 - 2010*

*Source: U.S. Bureau of the Census, Current Population Reports, P25-1130, “Population Projections of the United States, by Age, Sex, and Hispanic Origin: 1995 to 2050,” February 1996; and “U.S. Population Estimates, by Age, Sex, Race, and Hispanic Origin: 1990 to 1994.”

Labor force participation ages 55 to 64

2002 men 69% women 55%

2012 men 75% women 64%

Source American Demographics analysis of BLS data

65+Labor Statistics**

**Source: A Profile of Older Americans

Why is there a need for a venue specifically designed to reach retired and retiring seniors?

Seniors generally will not apply for positions open to the general population because they fear they will not be considered for the jobs because of age discrimination.  They also wrongly feel that their skills and abilities do not qualify them for many of the employment opportunities currently offered. 

Employers wishing to take advantage of the experience and reliability that seniors provide must communicate to this group that they are specifically targeting them for employment.

Art Koff is the founder and CEO of RetiredBrains.com, a suit of sites that

allows employers to post their jobs free of  charge and gives seniors

the opportunity to search for a job or post their resume at no charge.