From now until 2030, about 10,000 baby boomers in the United States are turning 65 every day. This means that a lot of people are preparing for retirement. As a company, it’s important to know how your workforce will be impacted when these baby boomers actually do retire. Here at Atlas Consulting, our recruiters have prepared this post to help your organization determine if it’s ready for baby boomer retirement.
Who exactly are baby boomers? Baby boomers are the population born between 1946 and 1964, between 41 and 59 years old. As this group retires, the US workforce will face a major shift, and your company should be prepared to survive, and hopefully grow, during this time.
It’s important to know the demographics of your company’s workforce. How old are your employees and what types of positions do they hold? How many years have they been in their position? This should give you a good base as to when the baby boomers of your company are going to prepare for their retirement. Other questions you need to answer include:
- What is your company policy on retiring? Is early retirement encouraged or discouraged?
- Are there any programs your company can implement to capture the crucial knowledge of baby boomers who will be leaving?
- With retirements happening around the same time, will your company face a labor shortage that may interfere with your ability to operate successfully?
- How will you train the workers taking over for baby boomers?
Depending on the answers to these questions, you should have a good idea on what areas you need to focus on as the baby boomer population begins to retire. A recent survey by the AARP and the Society for Human Resource Management found that 72 percent of HR professionals saw the loss of baby boomers as a problem or potential problem to their organization, yet only five percent had policies and practices in place to address these potential losses. The main focus of the survey was strategic workforce planning for companies in preparation for possible skill gaps once baby boomers retire.
With all of this information, what should you do next? Create a strategic plan to address the issue of retiring baby boomers and involve C-suite executives. The strategy should be a long-term plan and not only address the needs of your company, but the needs of your industry. For more information on preparing your company for baby boomer retirement, contact one of our recruiters today.