|
|
|
|
||
|
||
|
|
||
| SEARCH | SUBSCRIBE | ||
|
 |
Relaxing can wait, as
retirees flood job market
The
Christian Science Monitor
, August
21, 2003
Now, in his 80s, he claims to be the oldest employee at the
Hallandale Beach Wal-Mart. "We've got to scrimp and save and work,
work, work," he says while stocking needles and threads in the sewing
aisle. Mr. Baum is one of a record number of Americans - 21 million -
age 55 or older and in the workforce. Last month, nearly another 1 million
older Americans were searching for work. While seniors were also hired in large numbers during the booming
late 1990s because of labor shortages, the trend has continued during
faltering economic times, as cautious employers turn to those they see as
reliable as well as inexpensive. Employment experts believe the surge in senior workers is likely
to have a spillover effect on the labor force as a whole, since they are
competing with younger workers for available positions. "They have in
essence taken the jobs that usually go to immigrants and young
people," says Mark Zandi of Economy.com. In fact, over the past year, individuals 55 and over are the only
age group that has been able to find work. For many seniors, the stimulus to go back to work is a sharp drop
in income - in large part because of the steep decline in interest rates.
According to the Bureau of Economic Statistics, interest income has fallen
about $26 billion in the past two years. "Most of this income accrues
to older, wealthier persons," says Mr. Zandi. Peter Cosovich, a retired airline executive, knows how that
feels. Over the past three years, he estimates the income from his mutual
funds is down 30 percent or more. This was a catalyst for him to start
work at San Francisco's Moscone Center handing out badges, checking IDs,
arranging plaques, and doing other jobs he describes as "not terribly
challenging." Mr. Cosovich says his base pay of $10 per hour helps him maintain
his lifestyle, such as having a personal trainer. "I'm not
necessarily suffering, but if I want to spend that kind of money, I need
to have some money coming in," he says. Yet others are finding that their retirement income is not
sufficient for meeting more basic needs. Take Tony Bambara, who works
three days a week stocking shelves at Winn-Dixie in Hallandale Beach, Fla.
"In this economy, no one can live comfortably on a retirement
check," says Mr. Bambara as he stocks shrimp cocktail in the seafood
department. "You work hard to live day to day." This spring, the Gallup Organization found that retirement income
is the biggest financial worry for Americans. The poll also found that 7
out of 10 Americans expect to work part time after they retire. Of the 1
million active seniors looking for work, 20 percent are reentrants. Joe Corn of Springfield, Mo., knows what that feels like. He
retired a year ago from Ozarks Technical Community College, where he
worked for 32 years. But this summer, he's back doing "disability
resource counseling" at satellite schools in Branson and Lebanon.
"You don't get rich in education," says Mr. Corn. "I'd
rather just hunt and fish all the time, if I had the money to do it." One reason many retirees have had to go back to work is because
of poor financial planning, says John Challenger of Challenger, Gray &
Christmas, a Chicago-based outplacement firm. "Among workers 40 to
59, which includes the leading edge of the baby boomers, more than half -
53 percent - have saved less than $100,000 for retirement - a far cry from
the $1 million most financial planners say is the minimum needed to live
comfortably in retirement," says Mr. Challenger. Still, many working seniors say they just like the activity.
"The notion of retirement and being home all day is not of interest,
especially to the boomers," says Deborah Russell, manager of economic
security and work at AARP. "People largely want to balance periods of
no work and having one foot in the door." Some companies are actively hiring retirees. That's the case with
Guardian Examination Service, which advertises for retired commercial-bank
lenders. "I need that kind of experience to do a decent job,"
says Jerry McHaley, the company owner. "I need people who have eyes,
ears, and a nose, and you don't find that in young people," says Mr.
McHaley, whose company examines the books and records of people who borrow
from banks. One of the largest employers of seniors is Wal-Mart, where 22
percent of its 1.1 million workers are over the age of 55. There are no
age limits at the company, which estimates it has more than 3,000
employees 80 and over. "The older Americans are very good workers.
They turn out to do what you expect. They are very reliable with a work
ethic from a different era," says Tom Williams, a spokesman for the
Bentonville, Ark., company. That's the case with Baum in Hallandale Beach. He dons a back
brace, Coke-bottle glasses, and a Wal-Mart baseball cap, and then works
eight to 10 hours a day. "There is nothing wrong with work," he
says. "The extra income allows me to take my wife out to dinner now
and again."
Copyright
© 2002 Global Action on Aging |
