The Aging of the American Workforce

The aging and retirement of the Baby Boomer generation is a dramatic demographic transformation for our country. According to the U.S. Census Bureau, by 2030, 19.7 percent of the population, or about 71.5 million Americans, will be 65 or older, compared with just 12.4 percent in 2000. The aging of the American people will affect many aspects of our society, from the health care system to financial markets, and has many implications for the U.S. labor market. Employers rely on the skills and experience of this skilled labor pool, and as the population ages and more people retire, many industries could face worker and skill shortages.

In recognition of the challenges that lie ahead, as well as the opportunities, an interagency effort was launched in May 2006 to focus on the aging of the American workforce and the impact of this demographic change. The Taskforce on the Aging of the American Workforce is composed of senior representatives from nine Federal agencies: the Departments of Commerce, Education, Health and Human Services, Labor, Transportation, and Treasury; the Equal Employment Opportunity Commission; Small Business Admin-istration; and Social Security Administration. The Taskforce was chaired by former Assistant Secretary of Labor for Employment and Training Emily Stover DeRocco.

The Taskforce on the Aging of the American Workforce was charged with two primary goals: (1) identifying strategies to enhance the ability of older Americans to remain in or re-enter the labor market and pursue self-
employment opportunities; and (2) identifying strategies to enable businesses to take full advantage of this skilled labor pool. When the Taskforce convened in May 2006, the members elected to focus on three main areas: (1) the response of employers to the aging workforce, (2) individual opportunities for employment of older workers, and (3) legal and regulatory issues regarding work and retirement.