The real or perceived lack of opportunities for advancement discourages older workers from updating their skills, seeking new employment, or continuing in current jobs. More Americans will be willing and able to continue working later in life. Many have not saved enough to maintain their existing lifestyles in retirement unless they continue to work. As our economy continues to shed physically demanding jobs, there are fewer physical impediments to work for older people. Further, there are no discernible differences between the intrinsic ability of most older workers and those of their younger colleagues to perform today's jobs.
Older workers represent a tremendous source of experienced human capital.
Employers report that the judgment skills of older workers exceed those of younger employees and that they often demonstrate a greater flexibility in work arrangements. Surveys and tenure data show a higher degree of loyalty to employers among older workers than their younger counterparts. New employees who are older have higher retention rates than those of younger hires, making new skills training for them a sound but often overlooked investment. Eliminate the Social Security earnings test. Increase Social Security's normal and early retirement ages to 70 and 65, respectively, over the next 30 years.