schaefers and godfrey mcda 2 apr2012

An Aging Workforce:

Shifting from

Problem to Potential

Kate Schaefers

Tracy Godfrey

April, 2012

Schaefers & Godfrey 1

Session Topics

• Demographic shifts in the workplace

• New models for work and retirement

• Importance of work to individual &

society

• Career paths/runways

• Possibilities for what’s ahead in this new

environment

Schaefers & Godfrey April, 2012 2

What Do We Mean By

“Retired”

….what words

and images

come to mind?


What does 60 look like?


“A Change Is Gonna Come”

Aging Population • Boomers are approaching retirement and people

are living longer

Aging Workforce • The workforce is older & people are working longer

Work Itself Is Changing • More Knowledge Economy – vs. Manufacturing

Loosening the Employer/Employee Bond • From lifetime employment to “free agents”


Population Workforce

Work Bond

Workforce Trends, 1990 - 2020


17.9% 15.8% 13.6% 12.5%

70.2% 71.1% 66.9%

62.9%

11.9% 13.1% 19.5%

24.6%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

1990 2000 2010 2020

55 and older

25 to 54

16 to 24

The percent over age 55 more than doubles; The percent age 16 – 24 declines

Source: US Bureau of Labor Statistics

Aging Workforce

• Workers over 50 are a growing portion of the

workforce (now more than 30%)

• Labor force participation of those 55+ is increasing

• More people are working past age 65 (now 18%)

• In the U.S. from 2006 to 2016, workers 65+ will be

the fastest growing age group (+84%); ages 55 -64

is next(+37%); workers 16 – 24 will decrease by 7%;

Minnesota trends show this same pattern.

• If trends continue, adults age 55 & up will be

25% of the workforce in 2019.


Population Workforce

Work

“Retirement” – New Realities

• One in five “retired” are

working, some full-time

• No longer a stopping point

• People WANT and often

NEED to work


Most people expect to work in retirement –

but probably in a different way

History of Retirement


1900’s 1930’s 1960’s TODAY

Soci

al S

ecu

rity

Act

of

19

35

Sun

Cit

y -

19

60

Vo

n B

ism

arc

k –

Ger

ma

ny

- 1

88

3

http://www.gorving.com/fun/bigimage8.htm

What are the Rewards Of Working?

Love and work

are the

cornerstones of

our humanness.

~ Sigmund Freud


Working – More than Financial

Source: Erdogen et all (2011). Industrial & Organizational Psychology

11

April, 2012

• Promotions less important

• Want Work that:

– Is Aligned with Talents

& Values

– Continued Learning

– Flexibility and

Autonomy

Schaefers & Godfrey

Keys to “Ideal Job”

1. Personal & Professional Development – Use talents & skills, give back, learn new things

2. Workplace Culture – Friendly environment, relationships, respect

3. Flexibility – Control - Flexibility on how to do work

– Options for part-time, time off, seasonal work

4. Finances – Fair pay; Benefits; Pension; 401(k)

Schaefers & Godfrey April, 2012 12 12 12

AARP Survey of Workers over 50

Longer Lives, More Years in Middle

• On average, people live 18 years beyond 65

• Frail elder stage pushed out a decade or more

• People age 60-75 remain active, healthy


40 - 55 20 - 40 55 - 70 70 – 85+

Now

1900 1900

A “New Stage” Has Emerged

“New Stage” Models include Work

• Engaged Aging

• Giving Back

• Impact & Meaning


An Aging Population - Crisis?

• Finances - Lack of Financial Security for Boomers

• Labor Shortages – Brain Drain

• Burden - on healthcare systems

• Drain- Social Security, Medicare, other Social Service programs

• Strain - families & society caregiving


Aging Workforce – Opportunity?

Person – improved finances, health, well-being when engaged

Employer – alleviate labor shortages, retain talent, transfer of knowledge

Government – extend life of social security, medicare, lower health care costs

Society– improved health, communities, utilization of labor, productivity, economic growth


Encore Career Movement

Purpose Driven Work in

the Second Half of Life.

• Combines Income, Meaningful

Work, and Social Impact

• Employment in social service,

education, government, health,

environment

April, 2012 17 Schaefers & Godfrey

The

Numbers

• Estimated 9 million people have already

moved from midlife careers to “Encore”

careers.

• This represents 9% of the 44-70 age

population in the U.S.

• Additional 31 million people were interested

in Encore Careers.

April, 2012 18

Source: Encore Career Choices 2011

Schaefers & Godfrey

Projected Labor Market Growth in

Social Sector by 2018 • Health Care & Social

Assistance (3.9 million)

• Educational Services (806,000)

• Nonprofit Community &

Religious Organizations (379,000)

• Performing Arts (9,000)

• Museums (29,000)

• Government (1.6 million)

April, 2012 19

http://www.encore.org/files/research/JobsBluestonePaper3-5-10.pdf Schaefers & Godfrey

Are Organizations Ready?

• Organizations have not focused

adequately on:

– Analysis of workforce demographics

– Planning for aging workforce

– Training for generational diversity

– Developing strategy for recruitment

& retention

National Study of Business Strategy and Workforce

Development (2007)

April, 2012 20 Schaefers & Godfrey

Career Ladder vs. Career Lattice Defined Steps – Moving Up Multidirectional – In & out of fields

Godfrey & Schaefers April, 2012 21

Another turning point, a fork stuck in the road. Time grabs you by the wrist, directs you where to go. So make the best of this test, and don't ask why. It's not a question, but a lesson learned in time. It's something unpredictable, but in the end it's right. I hope you had the time of your life. - Green Day

Rethinking Ways To Work

• Career continuity – Keep working where you are

• Recombinant Career – combine skills to use in a

new way, in a new setting

• Career changer – back to school, training or

apprenticeship or internship to move into a new field

• “Encore” career – work that combines meaning,

social impact, and a paycheck

• Entrepreneurial – start a new business or nonprofit

• Volunteer or community roles – unpaid but

meaningful work


Workers: Pathways to New Work

• Formal Education – Return to school

– Obtain a credential

• Informal, On-the-job Learning – Stretch assignments to strengthen skill sets

– Crafting Experiments (Ibarra’s concept of Working Identity)

– Volunteering, civic engagement

– Explore an internship

• Alternative Work Engagements – Project assignments

– Temporary, flexible work arrangements

• Rebranding – Understand and build on transferrable skills


Need More ON-RAMPS to

Career Transition

• Targeted Training

Programs

• Flexibility in

Structure of Work

• Creative HR

Approaches

• Experiential Learning


Second Half of Life A Coaching Process

• Clarify Identity

• Develop Vision

• Create Plan

• Take Action


© Schaefers 2012

• Who am I at this point

in my life?

• What are my TALENTS?

• What are my

INTERESTS?

• What kind of work

INSPIRES and

ENGAGES me?

April, 2012 26

Clarify Identity

© Schaefers 2012

Schaefers & Godfrey

• What life do I want to

live at this point?

• What are my

PRIORITIES?

• What are my NEEDS?

• What kind of work

IS POSSIBLE for me?

April, 2012 27

Develop Vision

“The Japanese Bridge”

By Claude Monet

Schaefers & Godfrey

© Schaefers 2012

April, 2012 28

Create Plan

Schaefers & Godfrey

• How do I get there?

• What are my GOALS?

• What PATHS will get

me there?

• What EXPERIMENTS

might help?

• What do I need to GET

STARTED?

© Schaefers 2012

April, 2012 29

Take Action

• How do I make change

happen?

• What RESOURCES do I

need?

• What SUPPORTS can I

develop?

• Where are BARRIERS?

• How can I MAINTAIN

momentum?

Schaefers & Godfrey

© Schaefers 2012

Hurdles for Older Workers

• Marginalized

• Perception of being “overqualified”

• Passed over for training & assignments

• Challenges in reemployment

• Age discrimination, ageism

• Unintended consequences of policies

• “Boomer Backlash” – tensions and

misperceptions among generations


Advice for Employers to

Attract & Retain Older Workers

• Structure Work for Meaning

• Build Supportive Cultures

• Focus on Nimble Workforce

(“talent on demand”)

• Embrace Career Lattices,

Redefined Roles

• Shape Rewards for the Work

that is Done


About Us

Tracy Godfrey is a seasoned HR

professional with more

than 25 years

experience, leading

teams & consulting on

recruiting and selection

for major Twin Cities corporations.

Tracy holds an MBA and Senior

Professional, Human Resources

(SPHR) certification. He is a member

of the Leadership Group of the Vital

Aging Network (VAN)

[email protected]

Kate Schaefers Ph.D. LP, is owner of

Encore Life Planning.

She is a licensed

psychologist & certified

retirement coach. She

offers coaching and

consultation to individuals and

organizations on issues related to

work in the second half of life. She is

an adjunct faculty member at the

University of St. Thomas Dept. of

Organization Learning and

Development and Graduate School

of Professional Psychology

[email protected]


mailto:[email protected]

mailto:[email protected]

schaefers and godfrey mcda 2 apr2012

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