Older Workers Don’t Crowd Out Younger Workers For Jobs

How often have you heard people say that older workers putting off retirement and staying on the job longer means fewer opportunities for younger workers? Well, a new report finds just the opposite is true.

Researchers for the Pew Charitable Trusts looked at the government’s Current Population Survey for data on workers ages 20 to 64, from 1977 to 2011, and drew these conclusions: At times when older workers enjoy a higher employment rate, there isincreased employment and higher wages for all workers.

“The purpose of this research was to look at the notion that there are a fixed number of jobs in the economy… This economic theory pits workers against each other and we wanted to explore whether that was actually the case. It wasn’t,” says Erin Currier, a project manager at Pew.

“When the economy produces jobs, everybody [of all ages] can be successful at one time,” she says. “This is an important finding.”

The study didn’t attempt to answer why the economy works this way but the numbers clearly show it does. And that’s good news, because given the precarious state of the U.S. retirement system, and the need for many people to work longer, it’s important for policy makers and employers to understand that retaining older workers doesn’t hurt the job prospects of younger people, the report said…

http://blog.aarp.org/2012/09/13/pew-older-workers-dont-crowd-out-younger-workers-for-jobs/