AARP Florida: information, advocacy, and benefits for people age 50 and over.

Mature Workers A Better Bargin

This fall Florida employers got an insider’s look at new AARP-sponsored research that may dramatically change business leaders’ attitudes about hiring or retaining older workers.

Internationally known research firm Towers Perrin recently concluded a study showing that employers have solid, bottom-line justification for implementing new policies to recruit and retain older workers.

The study, The Business Case for Workers Age 50+: Planning for Tomorrow’s Talent Needs in Today’s Competitive Environment, confirmed long-held views that older workers’ health and other benefits can be more expensive than younger workers’ – but only by a miniscule 3 percent.

These minor cost differentials are more than offset by evidence that workers age 50+ are more productive.

AARP Florida and Towers Perrin researchers are scheduled to present results of the study to Floridabusiness leaders in four communities – Jacksonville, Bradenton, Tampa and Hollywood.

Among key findings:

A recent survey by the Society for Human Resource Management found that many new workers lack the professionalism, communication and analytical skills and business knowledge that workers age 50+ possess.
Older workers are more motivated to exceed expectations than their younger counterparts.
Because experienced workers tend to switch jobs less often, avoiding turnover costs can offset the tiny bit of extra compensation and benefit cost for a 50+ worker.
In order to attract and retain workers 50+, organizations will have to offer the right rewards, including health care benefits, growth and development opportunities and competitive retirement benefits.
Many U.S. companies risk losing experienced workers in key positions; however, if today’s 50+ workers stay in the workforce longer, companies will escape the talent crunch.
Few companies have yet positioned themselves for the coming workforce demographic shifts.

The study comes as U.S. employers face sweeping workforce changes. For decades, U.S. managers could count on having many more job applicants than jobs to fill. The challenge was to choose among many qualified, dedicated employees – including the workaholic, highly competitive Baby Boomer generation.

But for Boomers, retirement looms.

State estimates show Florida’s age 60-64 population will skyrocket by 58 percent as the 35-39 population segment edges down 3.7 percentin this decade.

Who’ll fill all those jobs if Boomers, like their parents, retire at or before age 65?

The good news for employers is that Boomers want to remain on the job past the traditional retirement age of 65. Some need the money. Others value the engagement and activity of the workplace.

“Smart employers will make changes in their human resources policies to retain and recruit these highly productive, highly experienced employees,” said AARP Manager of State Operations Bob Gallo.

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