A new study has identified two top issues that could draw a significant percentage of retirees back into the workforce: Sustained inflation and the (potential) demise of Social Security.
In the wake of the “Great Retirement,” more than three in 10 U.S. retirees say they would be motivated to rejoin the workforce if inflation continued to eat into their savings, according to the latest American Staffing Association Workforce Monitor online survey conducted by The Harris Poll.
In addition to inflation, the role of Social Security was very much top of mind for many retirees, with 25% saying they’d be motivated to rejoin the workforce if Social Security no longer covered their expenses. Thirty-nine percent of retirees cited Social Security as their main source of income, while 33% cited retirement plans such as 401k accounts and pensions.
Overall, 14% of current retirees stated they are open to or actively looking for work. However, the study found that 43% of retirees said their age could be a barrier to getting a new job. In addition, 41% of retirees would look for a job if they could have a flexible work schedule, and 35% would do so if they could work remote full-time.
“At a time when more retirees need additional income and employers need their expertise and experience, older workers continue to face hiring barriers,” said Richard Wahlquist, president and chief executive officer at the American Staffing Association. “Employers that take steps to embrace flexibility and diversity across their entire workforces will be more productive and have higher levels of employee engagement.”
The survey was conducted online within the U.S. by The Harris Poll on behalf of ASA June 2-6, 2022, among a total of 2,027 U.S. adults age 18 and older of whom 459 were retired and not employed.
The news comes at a time when there are nearly two job openings per unemployed person in the U.S., according to the latest data from the U.S. Bureau of Labor Statistics.
According to Gallup’s recently released annual Economy and Personal Finance survey, the average reported retirement age in the U.S. today is 61—four years older than the same survey found in 1991, when on average people reported they retired at age 57. And notably, the average expected retirement age among non-retirees is now 66, up sharply from 60 in 1995.
SEE ALSO:
• Inflation Still Greatest Threat to Retirement
• Few Workers Today Think They’ll Retire When They Want
• Retiring (Much) Later: Average Age Up Big Since 1991
• Latest 2023 Social Security COLA Estimate Drops
Veteran financial services industry journalist Brian Anderson joined 401(k) Specialist as Managing Editor in January 2019. He has led editorial content for a variety of well-known properties including Insurance Forums, Life Insurance Selling, National Underwriter Life & Health, and Senior Market Advisor. He has always maintained a focus on providing readers with timely, useful information intended to help them build their business.