Michael Jordan Syndrome: Are Baby Boomers Really Retiring For Good?

Jasmine Flowers September 24, 2008

Over the past few years the Internet and the HR industry has been inundated with articles and statistics about the workforce gap that will happen when the Baby Boomers retire. Let me refresh your memory with some statistics.

- “A recent survey of executives across the United States found that nearly half, 47 percent, believe baby boomer retirements will have a larger impact on the American work force than any other single factor over the next decade…The looming retirement of baby boomers has captured the attention of business leaders. They’re concerned about retaining the expertise of their most tenured employees.”

- “As the 76 million Americans born between 1946 and 1964 gradually approach retirement age, companies across the country will be faced with a stark reality. It’s that when they do leave the workforce, they will be taking with them an entire generation’s worth of knowledge that can never be replaced.”

Well I recently came across an article on CNN.com discussing how Boomers may not be retiring in droves like everyone thought. Workers in their late 50’s are choosing to become entrepreneurs, pursuing an “encore career” as a Consultant, or keeping their jobs that they have had for years. I call it the Michael Jordan syndrome, recently Brett Favre had a case of it after he “retired” from football only to return for the next season.

“According to a MetLife Foundation/Civic Ventures Encore Career Survey, 79 percent of Boomers between 50 and 59 intend to work past traditional retirement age for the pay and benefits…64% of Boomers between 60 and 70 have the same plans, a sign that the younger Boomers are not ready to move on.” The article attributes this to the fact that we are living longer and are continuing to work in order to keep busy. The most popular transition seems to be the “encore career” where Boomers are becoming Consultants. They can manage their own schedules, determine how much work they carry, keep busy, and still get a paycheck. I have both friends and family members who are of retirement age and have technically retired but are still sharing their knowledge as a Consultant to the company.

So, before we all start panicking about the leadership and knowledge gap that is predicted to occur when the Boomers retire. Let’s make the best of their extended time in the workforce and invest in ensuring extensive knowledge transfer as well as additional training and mentoring programs for us X and Y generations who will become the predominate members of the workforce.

Category Posted in Hodes QTrac, HR Consulting, Human Resources, Workforce Planning, Workforce Management