Hire seniors for project assignments or part-time and save on healthcare costs.
According to an Internet-based survey conducted by Thomas Regional, of the nearly 2,500 industrial small businesses owners surveyed nationwide, 63% of the respondents state that healthcare coverage is their biggest challenge. Hiring seniors to work part-time or on temporary assignments in most cases saves health care benefits costs.
Medicare benefits kick in at age 65, so insurance benefits become less of an incentive for retirees; yet, surveys have shown that people eligible to
collect pensions and Social Security do not necessarily want to quit working. Many retirees continue working but seek decreased and/or flexible hours. According to BSL figures 54% of workers over 65 are employed part-time.
When firms employing less than 20 employees hiring seniors on Medicare for full-time
positions, Medicare can be the primary insurer and the employer's insurance can be secondary. This means substantial savings in insurance premiums.
A 2003 SHRM survey indicates that 68% of the organizations employ older workers;
however only 41% specifically target older workers in their recruitment efforts. The survey also indicated that reasons for hiring older workers included their willingness to work a flexible schedule, their ability to serve as mentors and their invaluable experience.
Other reasons included their reliability and strong work ethic.
Why recruit retired workers?
From Tapping the Mature Workforce: An Overview & Recommendations
By Lori Bittner, Mature Market Group, part of J Walter Thompson
- Quality customer service experience
- Ability to initiate sales and transaction dependability
- Eagerness to provide support and guidance
- Superior communication skills
- Varied work experience
- Better ability to work with mature clientele
- An old-fashioned work ethic
Recent studies conducted by AARP and reports published by The United States General Accounting Office identify the mature employee’s greatest assets (compared to younger demographics) as:
Quote from Secretary of Labor Elaine L. Chao
"Nowhere is the case stronger for tapping the strengths of older workers than with employers facing the skills gap. Everywhere I go, employers tell me they are having difficulty finding workers with the right skill sets for the jobs they have to offer."
This adds up to a golden opportunity to turn a challenge—the approaching retirement of an unprecedented number of Americans—into a win-win scenario for our economy and our workforce.
From an AARP article
Part of the problem for older job seekers today lies in a number of persistent myths that prejudice some employers against them. Here are three of the most pervasive and damaging myths about older workers you should know are untrue:
Myth: Older workers use medical benefits more than other groups and raise the cost of medical insurance premiums for everyone.
Reality: Seniors often use medical benefits less than some other age groups. Parents of younger children are the most frequent users and contribute more directly to increased premium rates.
Myth: Older workers miss a lot of work.
Reality: Senior workers have excellent attendance records, because they seldom miss work for personal reasons other than legitimate illness.
Myth: Older learners can't learn new techniques and new technologies.
Reality: The capacity to learn isn't a function of age. If you are skeptical, check out the growing number of senior citizens going back to college and getting advanced degrees every year.