Baby Boomer Population: Creating a Multi-Generational Workforce
A huge demographic shift is taking place. As the populous baby boomer population ages and nears retirement, many organizations are primed to encourage workers to stay on with more flexible schedules and roles. Because the baby boomer population houses an incredible amount of institutional knowledge, companies that can successfully maintain this knowledge longer and transfer it to the right people, can gain competitive advantage.
Over the next ten years, much of the experienced baby boomer population will retire, cut back to part-time, or shift their employment to something 'less strenuous.' Workers ages 65 and above make up almost 30% of the labor market in America based on the September, 2009 U.S. Bureau of Labor Statistics (BLS) Current Population Survey.
The steadily aging baby boomer population reflects declining birth-rates and the graying of a large portion of our population. According to a report by Forrester Research, 76 million people from within the baby boomer population will retire within the next 10 years, with only 46 million younger employees left as replacements. This means that by 2016 the labor pool will have shrunk by nearly 60%.
Companies are beginning to recognize and appreciate the value of older workers. Indeed, a growing concern for organizations is the vast wealth of knowledge and experience, built by the baby boomer population that will soon be walking out the door. Industries that rely heavily on 'knowledge;' to be most effective may be severely damaged if the proper transfer strategy is not in place.
Companies will have the best chance for retaining the baby boomer population by understanding what truly motivates this generation compared with other generations that came before and after them:
Pre-Baby Boomer Population (born between 1900 and 1945): The pre-baby boomer population has purchasing power with money to spend. They have been influenced by the Great Depression and World War II. They did not like to challenge authority, were very loyal, consistent, and conforming.
As a result, they were most comfortable with compliance and a top-down management style, and were motivated by verbal and written recognitions, awards, and public acknowledgment.
Baby Boomer Population (born between 1946 and 1964): Being raised after the war, this baby boomer population was associated with optimism, team orientation, and personal gratification. As one of the largest groups in our history, the baby boomer population significantly impacts our society, business, and economy. The baby boomer population experienced postwar stress and was not willing to conform like the pre-boomer population. Their primary focus was on work, and they were rewarded for their loyalty and commitment. One of their top values is relationship building.
Generation X (born from 1965 to 1979): They have witnessed the rise of technology and social changes representing financial, family, and social insecurity. Without expecting job security, Generation X (post baby boomer population) is described as having more commitment to their careers than to their organizations, as they highly value skill development and productivity.
Generation Y (born from 1980 to 1999): This post baby boomer population has witnessed economic crisis from recession. Generation Y experienced the "growth of the Internet" and are very comfortable with technological advances. Generation Y values being able to balance work and life, advances in the career world, and traveling more. Similar to Generation X, this post baby boomer population is also a product of non-traditional families. Generation Y, concerned with careers that better the world, want their contributions recognized and acknowledged.
References from: Reisenwitz and Iyer 2007, Paton and Cappelli 2008, Kyles, Cennamo and Gardener 2009.
If you or a loved one is part of the baby boomer population and want to explore independent living options, check out the Avamere Family of Companies.
