According to a new report released by The Conference Board, older workers intend to postpone their retirement now more than ever, despite a recovering U.S. economy. Using data from the August 2012 Consumer Confidence Survey, Trapped on the Worker Treadmill? documented a sharp increase in plans to delay retirement among workers between the ages of 45 and 60, from 42% in 2010 to 62% in 2012.
Part of the explanation for the increase is that the groups that were more likely to delay retirement rose in size between 2010 and 2012. The percent experiencing a large decline in home value increased by 15 percentage points, while those experiencing job losses increased three percentage points and those experiencing salary reductions increased five percentage points.
As can be seen in chart 1, those who experienced a labor loss (either lost a job or experienced a pay cut) were much more likely to plan on delaying retirement.
Choosen excerpts by Job Market Monitor from
The number of workers who are 75 and older has skyrocketed by 76.7% in the past two decades, according to research by the AARP Public Policy Institute. “We are living longer, healthier lives,” says Kerry Hannon, author of Great Jobs for Everyone 50+. “And the types of work that people do is not as labor … Continue reading »
A business group of top executives on Wednesday proposed reforms to Social Security and Medicare that would raise the enrollment age for both programs to 70 but not raise Social Security taxes paid by upper-income Americans. The Business Roundtable, which represents more than 200 chief executives from some of the largest U.S. corporations, also urged … Continue reading »
Private industry employers now spend more per employee hour worked for defined contribution retirement plans (retirement plans that specify the level of employer contributions and place those contributions into individual employee accounts) than for defined benefit retirement plans (plans that provide employees with guaranteed retirement benefits that are based on a benefit formula). March 2012 … Continue reading »
For nearly all of the 20th century, employment of older workers decreased as increasing numbers retired. But since the mid-1990s, this trend has reversed. Employment among men at least 65 years of age, for example, has increased. The Great Recession of recent years has masked this long-term trend and the reasons for it and has … Continue reading »
The release of the Federal Reserve’s 2010 Survey of Consumer Finances is a great opportunity to eeassess Americans’ retirement preparedness as measured by the National Retirement Risk Index (NRRI) write Alicia H. Munnell, Anthony Webb, and Francesca Golub-Sass in The National Retirement Risk Index: An Update. (Choosen excerpts by JMM to follow) NRRI shows the share …Continue reading »
Raising the ages at which people can collect Medicare and Social Security would reduce federal spending and increase federal revenues by inducing some people to work longer. However, raising the eligibility ages for those programs also would reduce people’s lifetime Social Security benefits and cause many of the people who would otherwise have enrolled in … Continue reading»
Mickie Ashman has what she regards as the ideal arrangement at work as she nears retirement. The 66-year-old Calgary human-resources co-ordinator has the security of a permanent job at AltaGas Ltd., an energy infrastructure firm, but she has been able to reduce her work hours from full-time to a more comfortable three days a week. … Continue reading »