Many older people left their jobs during the pandemic, reversing the long-term trend of older workers delaying retirement. Now, with the pandemic over and the cost-of-living soaring, many of these over-50 workers and early retirees are choosing to return to work. This job market phenomenon has been dubbed “The Great Unretirement.”
The Great Unretirement is poised to become a major factor in the current and future job market.
In this blog, we’ll look at some of the reasons for the Great Unretirement. As well as how this return of veteran workers could benefit your business.
Reasons for the Great Unretirement
One of the main factors motivating older people to return to the workplace is financial. The current state of the economy, including the steady rise in the cost of living, is causing many retirees to dip into their savings to make ends meet. Guaranteed funds for their golden years are dwindling, and with no steady source of income to replenish those coffers, older people are finding it necessary to look for jobs with a steady income.
Other reasons for the Great Unretirement include a waning of pandemic-related health concerns, increased longevity, a higher retirement age, and underfunding of pension programs.
The Great Unretirement and the Skills Gap
Industries across the board are facing a serious talent shortage. This shortage is primarily due to a skills gap. Meaning that, while many workers are available, finding the right candidate to fulfill the role’s needs is difficult.
Many of the skills needed are soft skills that take time to develop. Older workers have not only had years to develop these skills but also practiced them actively in the workforce. Skills such as resilience, adaptability, flexibility, empathy, and diplomacy are highly valued soft skills that older workers will bring to your company.
While many younger workers have the credentials and education to secure a job. What they lack is the practical experience or the nurtured instincts that a veteran worker would have.
The Great Unretirement will bring many skilled, talented workers back into play. As older people return to the workforce, whether in a temporary, part-time, or full-time capacity. Companies need to be ready to take advantage of the highly skilled, valuable workers. And welcome them into the workforce once more.