So Baby Boomer: Life Tips

Many Boomers Work at Home

Boomers are avoiding dreaded commutes, doing volunteer work or caring for family while performing increasingly complex tasks from home in their phased retirement.

For companies, home-based employees, independent contractors and freelancers are helping cut costs and improve customer service.  Full-time home-based freelancers and independent contractors in the U.S. are expected to increase by 200,000 workers to 11 million by the end of 2009, says Ray Boggs, a vice president of IDC, Framingham, MA., a market research firm; he sees another 200,000 worker increase in 2010.

Many skilled and knowledgeable at-home professionals and managers earn less than a corporate salary.  The jobs vary by company from full-time employee positions with benefits to part-time independent contractor positions.

As more companies allow people to work from anywhere via the Internet, expansion of home-based work is likely to continue.

Source: The Wall Street Journal, November 25, 2009

Why do boomers still work during retirement years?  To pay for the stuff they and their kids have become fond of...including their children's college education.

 

Baby Boomer Employment

Baby Boomers have lived during an era of unparalleled prosperity.  So when this deep recession hit, much was written about them being too spoiled to cope.

Not so.  A look at recent employment data indicates that boomers have persevered in these hard times, and are less likely to grow discouraged and quit their job hunt than younger workers are.  "Older adults are not giving up," said Steven Hipple, a Bureau of Labor Statistics economist.  Despite the fact that the unemployment rate for Baby Boomers has doubled since the start of the recession, what the federal government calls their "labor participation rate"--the number of 45-to-64-year-olds working or actively seeking work--has remained unchanged.  In contrast, every other age group has shown a decline.

"Older workers don't have the choice of withdrawing from the labor force," said Mr. Hipple, pointing out that they have mortgages to pay, health issues and retirement to worry about, as well as children to put through college.

Boomer-age workers are the only age group whose employment prospects have improved since last summer.  For people over 45, joblessness was 6.8% in October 2009, down from 7.3% in July (the highest for this age group since data was first collected 60 years ago).

Source: NEW YORK TIMES, November 22, 2009

Both unemployed and employed boomers, who are planning to work before and/or after retirement, would be wise to learn some effective career transition tips (at www.JobCoachTips.com) to pay attention to long before he or she is walked out of their workplace.  For more online resources for anyone over 50, keep reading.

For some online resources for boomers looking for part-time or full-time work, any of which target anyone 50 or over, click here.

For a Year's Subscription to weekly Job Search/Career Transition Tips, click here:

For 21 Career Transition Tips, click here.

To Find Jobs, click here.

For Career Assessments, click here.

For a free Interview Success Guide, click here.

For some online resources for boomers looking for part-time or full-time work, any of which target anyone 50 or over, click here.

For a Year's Subscription to weekly Job Search/Career Transition Tips, click here:

For 21 Career Transition Tips, click here.

To Find Jobs, click here.

For Career Assessments, click here.

For a free Interview Success Guide, click here.

Hope and Inspiration in Tough Times

In 1908 an unknown American author, then a reporter, named Napoleon Hill got the opportunity of a lifetime to interview America's richest man, Andrew Carnegie.  Carnegie presented to Hill, then twenty-five years old, a letter of recommendation that would grant him access to 500 of that era's top achievers in business, politics, science, and religion in order to discover the common denominators for success.

From those interviews, Think and Grow Rich was created and written.  It covered the thirteen principles and the philosophy of personal achievement and success.  Hill gave life to the personal development movement that has since swept the world.

Fast forward a hundred years, and the Napoleon Hill Foundation wants to provide renewed hope and courage for everyone during the current global economic crisis.  The Foundation to ask the leaders of our generation to find out something very timely: Why they didn't give up--through their challenging times.  From these interviews, many lessons were learned and are shared in this book:

 Sharon L. Lechter CPA: Three Feet from Gold: Turn Your Obstacles into Opportunities! (Think and Grow Rich)

 

From reading these leaders' stories, you will learn what kept them going, what gave them the courage to persevere, and why they want to share their stories of success with you so you may find your own personal path to great success.

 

In today's global landscape, we truly need to keep reminding ourselves that once we find our definite major purpose and create our mastermind, it is our responsibility to continue the quest, no matter how hard the challenge.  Every one of us holds a gift that is meant to be shared with others.

 

Source: Mark Victor Hansen, the co-creator of the #1 New York Times best-selling series Chicken Soup for the Soul.

Starting Over After Involuntary Retirement or Unemployment

The average period of unemployment is nearly 34 weeks for older Baby Boomer job seekers---more than 13 weeks longer than it was at the start of the recession.

"The chance of a 60-year-old finding an ad on Craigslist that says, 'Wanted: Vice President of Marketing and Sales.  Must be 60 to apply' doesn't exist, so you might as well take your skill set and make it into an encore career," says Mary Furlong, a Baby Boomer marketing expert and author of "Turning Silver into Gold: How to Profit in the New Boomer Marketplace."

More older workers are trying to make second or third careers work.  The unemployment rate for persons aged 55 and over hit 7% in October 2009, continuing the recent trend of high jobless rates for older persons not seen since the late 1940s, according to an analysis of Labor Dept. data by Sara Rix of AARP's Public Policy Institute.

As the economy continues its downward spiral, many able men and women are facing an involuntary retirement, as well as having difficulty in finding a new job. That is why a number of job coaching tip options have been created to help job seekers move from where they are now to where they want to be in today's tough times.

Here in Michigan, the epicenter of joblessness in the U.S. with a 15% unemployment rate, Wayne State University's School of Business Administration is sponsoring workshops and a new book, "Yes! You Can Land a Job; (even) in a Crummy Economy" authored by Therese Marie Boldt, a successful recruiter and career coach.

Making a leap into a second or third career may mean taking financial risks.  Some people use severance payments as seed money.  Others tap credit cards, family savings, even retirement accounts.  Dipping into reserves to fund the next stage of your life may not feel great when cash flow is a concern.  But it's often necessary.

Ideally, a later-in-life career means turning a passion into a profit making enterprise.  It also often involves finding a way to blend different areas of expertise.  The best way to determine a life-two "starting over venture" is to work with a personal career coach.

 Therese Marie Boldt: Yes! You Can Land A Job (Even) In A Crummy Economy

 

Another place to make connections and find resources to help build a new career is your alma mater or local college.  All college grads seeking jobs should consider contacting their university's career services office or alumni association for career coaching assistance...or...search the Internet for a personal career coach to put the book's recipe into practice.  

For all job seekers and those without the slightest clue on how to seek a new opportunity, you can access a range of job coaching services from personal coaching to job coaching tips that can be purchased online.  Now is the time to custom tailor your approach to what's next for you.  Consider purchasing the low-cost 21 Career Transition Tips or sign up for a year's subscription to weekly email Job Seeking Coaching Tips to guide you through your career transition.

For joining a free social network connecting job seekers, recruiters and career coaches ready to share actionable knowledge for those making a career move, go to: www.CareerTips.us.com

Source: BUSINESSWEEK, November 23, 2009

For what else that is now happening in the life and times of the Baby Boomer Generation, please visit this week's Blogging Boomer Carnival #139 hosted by Cynthia Samuels at Don't Gel Too Soon.

Ready for a Phased Retirement?

In a survey of 2,667 HR professionals, about one in five (21 percent) report that, over the previous six months, employees approaching retirement age have asked them to postpone their retirement.

The mass of Baby Boomers retirement anticipated over the next 20-30 years is expected to create an overall U.S. labor shortage of 35 million workers.  Phased retirement might be one of the great opportunities to repair the retirement debacle so many have suffered as their 401(k) turned into a 201(k).

What's phased retirement?

Conventionally, it's the process of allowing employees who have reached 59 to cut their hours at work.  The company gets to keep its intellectual capital in place a little longer while boomer workers get to add to their retirement nest eggs.  Provisions in the Pension Protection Act of 2006 made it easier for companies to create phased retirement strategies.

A recent study by Hewitt Associates showed that out of 140 mid-size and large employers, 55 percent already had evaluated the impact that potential retirements could have on their organization, and 61 percent have developed or will develop special programs to retain targeted, near-retirement employees.  Hewitt said that in addition to retaining current employees, employers are reconsidering their policies toward rehiring retirees.

Sources: Careerbuilder.com and Ann Arbor Area Business Monthly, October 2009

Keeping Boomer Engineers

With layoffs rampant, holding on to workers ought to be the least of a company's worries--unless those employees are scientists and engineers.

According to the National Science Foundation, nearly 40% of these skilled workers in the U.S. are more than 50 years old, and the pipeline of talent to replace them is shrinking.  IHS Cambridge Energy Research Associates predicts a 7% to 11% shortage of experienced engineers in 2011.  America is not alone, industrial powerhouses Germany and Japan face similar demographic challenges.

BASF, the German chemical giant, which makes, among other products, ammonia, fertilizer, and plastics, says it has found a way to beat the crunch.  By 2020, the majority of BASF's German employees will be 50 to 65 years old.  "It's become apparent that we're going to hit a wall," says CFO Kurt Bock, himself a sprightly 50.

A pressing concern is the next decade.  "If we don't deal with aging," says Hartmut Lang, BASF's HR chief, "we'll face a serious challenge."  Three years ago BASF decided to create a series of programs aimed at boosting workers' longevity and productivity.

Yet, even if senior employees work longer and better, they'll have to leave eventually--and they'll take much of their experience with them.  "For the engineers, tranferring knowledge to their successors is easier said than done,"  says Bock.  BASF encourages older staffers to take on a mentee.  It also changed its compensation scheme to reward mentoring.  Now 360-degree evaluations are conducted to get feedback from those being mentored--a rare approach in Germany, where most bonuses are based solely on seniority.

Source: FORTUNE, July 20, 2009

Boomers Rethink Retirement

The expensive approach to retirement is to pile up so much money that you'll be safe no matter how long you live or what goes wrong with your health or the markets.  But for many Baby Boomers, the amount required seems ridiculously out of reach.

Boomer assets in IRAs and defined contribution plans such as 401(k)s fell more than $2 trillion last year, according to the Investment Company Institute.  The repercussions of the financial crisis will be felt for years in the retirement accounts of millions of Americans.  Those who saved industriously have watched their account balances crumble, and the recession has set back that half of employees who lack even basic savings options like their 401(k)s.

In these seemingly out-of-control times, you can actually control many of the factors that will affect your retirement.

Finding Work After Retirement

It’s tough for sixtysomething professionals to get hired even in the best of times.  And you may face the added stigma of having been out of the workforce for a few years…but things have changed for you.

Today, Baby Boomers are gloomy about their future.  Of those 55 years and up, only 13% say they’re confident they will be comfortable in retirement; that’s down from 30% in 2007.  Many 55-64 boomers have taken a big hit in their average net worth: decreasing from $933,300 in 2004 to $618,100 this year. 

It’s tough out there for all job seekers. 

Unemployment has more than doubled since the start of 2008.  It’s taking longer for laid-off workers to find new jobs.  And when they do, they often end up with a lower salary.

The strategies that follow may be just the extra boost job seekers need to land the right position.  Among the insights: how to organize the job hunt, broaden your network, dress for interviews, and keep from getting low-balled on salary.

Boomer Temps in Demand

The recession is proving tough for staffing giant Robert Half International (RHI).  But the $4.6 billion Menlo Park, CA firm is seeing a way to boost its bottom line once hiring picks up: tapping into a pool of skilled Baby Boomers looking for work.

RHI Chief Executive Harold "Max" Messmer Jr. says the financial turmoil is shifting the traditional demographics of his workforce.  While Messmer's employee base is largely made up of low to mid-level employees, his fastest area of growth is workers with 15 to 20 years of experience.  "The recession has forced a lot of boomers to rethink their plans," he says.

Such workers are more profitable than younger employees because companies are willing to pay more to get them.  The broader range of experience among new temps also helps RHI to move beyond its core business of accounting and finance jobs, to expand its reach in areas such as technology, law and marketing.  Utilities, banks and mortgage companies also want to hire temps with experience in regulation and restructuring.  And, Messmer adds, "a highly skilled temp has the added benefit of being able to train the company's permanent staff."

RHI's consulting division, Protiviti, is also trying to benefit from the surge in talent. 

John Flanigan, a vice president at Aerotek of Hanover, MD, adds that his company is even scouting for boomer temps through organizations such as AARP.  In April, Aerotek saw a 53% increase in people between the ages of 45 and 65 viewing temporary job openings on the company's website, compared with a year earlier.

Source: BUSINESSWEEK, June 1, 2009

Seniority Trumps Discrimination

Age discrimination in the workplace has long been a concern for the 55-and-older Baby Boomer set.

Age discrimination lawsuits brought by older workers can cost more than the salary of the worker who was laid off and can hurt the company's reputation, according to Andria Ryan, partner at Atlanta law firm Fisher & Phillips LLP.

In this downturn, however, employees in their 20s and 30s are finding themselves more at risk of a layoff.  According to labor lawyers, employers are looking to avoid age discrimination lawsuits by adopting a "last one in, first one out" policy and turn to tenure as a means of conducting layoffs.  This is particularly true in the education field, where many colleges and schools are taking measures to protect tenured teachers and professors.

"If you have a bona fide seniority system, it's a defense for any type of discrimination." says one lawyer.

Source: Career Journal, The Wall Street Journal, May 19, 2009