The Ambiguity of Extended Work Careers David J. Ekerdt University of Kansas Ann Richards...

The Ambiguity of ExtendedThe Ambiguity of ExtendedWork CareersWork Careers

David J. Ekerdt

University of Kansas

Ann Richards Invitational Gender and Media Roundtable

Brandeis University

October 24, 2008

The New Pattern

The Reasons Why

What Kind of Story Is This?

Source: Current Population Survey (CPS) | Chart Data

Bureau of Labor Statistics, “Older Workers,” July 2008.

Friedberg, 2007, Center for Retirement Research at Boston College

Source: Current Population Survey (CPS) | Chart Data

Bureau of Labor Statistics, “Older Workers,” July 2008.Bureau of Labor Statistics, “Older Workers,” July 2008.

Bureau of Labor Statistics, “Older Workers,” July 2008.

The effect of higher pensions will always be that people retire earlier from work.

Reasons for reversal of the early retirement trend

1. Changes to Social Security after 1983

2. Changing mix of pension types: defined benefit defined contribution

3. Falling health insurance coverage

4. Organizational restructuring

Munnell & Perun, 2006, Center for Retirement Research at Boston College

Reasons for reversal of the early retirement trend

5. Fewer physical job demands

6. Healthier workers

7. Employer demand for older workers

8. More married couples co-retiring

9. People like to work

Feel wealthy?

Feel welcome?

What does it mean?And the story is…..

It’s good news!

It’s bad news!

It’s historic!!

Good news stories…

• Employers benefit

• Older workers. Of course!

• Work that matters

• A better retirement

• Saving Social Security

“How To Fund Japan’s Ageing Society”

BBC, November 22, 2007

Bad news stories…

• Economic distress

• Involuntary employment

• Frustrated expectations

• Clogged promotion lines

• Less gold in gray

Age distribution of men and women claiming first Social Security benefits,

2006

Ages

62-64

Age

65

Age

66+

Men (%) 63 34 3

Women (%) 67 27 6

Annual Statistical Supplement, 2007, Table 6.B5

People who are confident, productive, and age-resisting.

People with problems; who are a problem.

Something new about longevity

Life expectancy at 60 (2002)

Average age of labor marketwithdrawal (2005)

Men Women Total Men Women

Austria 20.2 24.1 59.8 60.3 59.4

Belgium 19.6 23.9 60.6 61.6 59.6

Denmark 19.1 22.4 60.9 61.2 60.7

Finland 19.5 24.0 61.7 61.8 61.7

France 20.8 25.8 58.8 58.5 59.1

Germany 19.8 23.9 61.3 61.4 61.1

Greece 20.6 23.2 61.7 62.5 61.0

Ireland 19.2 22.9 64.1 63.6 64.6

Italy 20.4 24.8 59.7 60.7 58.8

Netherlands 19.5 23.5 61.5 61.6 61.4

Portugal 19.4 23.3 63.1 62.4 63.8

Spain 20.6 25.2 62.4 62.0 62.8

Sweden 20.9 24.3 63.7 64.3 63.0

United Kingdom 19.9 23.2 62.6 63.4 61.9

European life expectancy at age 60 and average age of withdrawal from the labor market (Eurostat).

Your grandparents’

later years

Yours