Several employment indicators for those ages 55+ improve in January

Several employment indicators for those ages 55+ improve in January



 

Employment Overview

According to the Bureau of Labor Statistics (BLS) January Employment Situation Summary, the unemployment rate for persons 55 and older decreased from 3.3 percent in December to 3.0 percent in January. The number of unemployed persons ages 55+ also decreased to 1.1 million, down from 1.2 million in December. The percentage of 55+ jobseekers considered long-term unemployed (those job searching for 27 weeks or more) declined from 30.6 percent in December to 24.8 percent in January. Overall the economy added 200,000 jobs in the first month of 2018, representing an increase from the 160,000 jobs (revised up from 148,000) added in December 2017. The overall unemployment rate (4.1 percent) and labor force participation rate (62.7 percent) both remained unchanged from December.

Spotlight on Occupations of the 65+

An analysis of government data on occupational distributions by age found the share of workers ages 65+ decreased in occupations with middle-range wages and salaries compared with workers ages 45 to 65.  However, they increased for those ages 65+ compared with the 45 to 65 age group in occupations with both relatively high or relatively low wages and salaries.

Why might workers ages 65 and older represent a comparatively larger share of both high and low wage occupations?  Possible reasons involve working conditions, finances, education, and skills. These factors could influence the share of workers ages 65+ in high and low wage occupations in different ways.

Occupations requiring low levels of education typically pay lower wages. Individuals in these occupations are more likely to be driven by financial necessity to work past traditional retirement age.  Their lower incomes make it more difficult to save for retirement and they often do not have access to employer-provided retirement plans. The research found that the occupation with the greatest difference (both absolute and relative) in the share of workers from the two age groups was the food preparation and serving related group.  These occupations are usually low paying, are often part-time and, in the 65+ age group, employ mostly women, who are less likely to have adequate retirement savings compared with men.

Higher-wage occupations, meanwhile, often require higher levels of education. Those occupations are in turn associated with longer career lifespans due to better opportunities and working conditions. Other occupational research has found that opportunities for older workers improved significantly between the late 1990s and the early part of this decade, however gains mainly went to better-educated older workers.  The greater prospects for the highly educated to work beyond traditional retirement age, as well as higher wages and good working conditions that act as incentives to stay on the job, may be driving the increase in the share of workers ages 65+ in high wage occupation groups.

More details on the latest employment data are found in the January Employment Data Digest, PPI’s monthly review of job trends for those ages 55 and over.

 

Jen Schramm is a senior strategic policy advisor at the AARP Public Policy Institute. As part of the Financial Security Team, she identifies policy challenges and opportunities related to workers age 50 and above. Through research and analyses of emerging employment trends, she develops policy options to inform AARP’s strategy on work and jobs, including helping older workers find and retain jobs.



Source link

Unemployment rate for those ages 55+ increases in December

Unemployment rate for those ages 55+ increases in December



 

Employment Overview

The Bureau of Labor Statistics (BLS) December Employment Situation Summary showed the economy added 148,000 jobs in December 2017—a decrease from the 252,000 jobs (revised up from 228,000) added in November. Jobs were added in the health care, construction, and manufacturing industries, and average hourly earnings rose by 0.3 percent, or 9 cents, in December. This compared with a 0.1 percent increase in average hourly earnings in November.

Though the overall unemployment rate remained unchanged at 4.1 percent, the unemployment rate for persons 55 and older rose from 3.1 percent in November to 3.3 percent in December. The number of unemployed persons ages 55+ also increased to 1.2 million, up from 1.1 million in November. The labor force participation rate for those ages 55 and older was unchanged at 39.9 percent. The percentage of jobseekers ages 55+ who are long-term unemployed, defined as looking for work for 27 or more weeks, decreased from 37 percent in November to 30.6 percent in December.

 

Spotlight on the Work Experience of the US Population         

In December 2017, the BLS released an overview of the 2016 data on the work experience of the US population with several indicators suggesting slight improvements in the job market from the previous year. The findings showed that 163.6 million people ages 16 and older worked at some point during 2016. While the proportion of the population who worked during the year (64.3 percent) changed little from the previous year, the number who experienced unemployment at some point during 2016 declined by 1.4 million, to 15.6 million. Most of the people (79.4 percent) who were employed worked year-round, a slight increase from 2015 (78.6). This held true for both men (81.8 percent) and women (76.8 percent).

Turning to unemployment trends, the number of unemployed who looked for a job but did not work at all in 2016 declined by 584,000 to 2.6 million. The median number of weeks spent looking for work was 14.5. The BLS defines the work-experience unemployment rate as those looking for work during the year as a percent of those who worked or looked for work during the year. This number was 9.4 percent, 0.8 percentage points lower than in 2015. The work-experience unemployment rate was higher for men than women (9.5 percent versus 9.2 percent).

For more details, check out the December Employment Data Digest, PPI’s monthly review of job trends for those ages 55 and over.

Jen Schramm is a senior strategic policy advisor at the AARP Public Policy Institute. As part of the Financial Security Team, she identifies policy challenges and opportunities related to workers age 50 and above. Through research and analyses of emerging employment trends, she develops policy options to inform AARP’s strategy on work and jobs, including helping older workers find and retain jobs.

 



Source link

Unemployment rate for those ages 55+ increases in December

Unemployment rate for those ages 55+ increases in December



 

Employment Overview

The Bureau of Labor Statistics (BLS) December Employment Situation Summary showed the economy added 148,000 jobs in December 2017—a decrease from the 252,000 jobs (revised up from 228,000) added in November. Jobs were added in the health care, construction, and manufacturing industries, and average hourly earnings rose by 0.3 percent, or 9 cents, in December. This compared with a 0.1 percent increase in average hourly earnings in November.

Though the overall unemployment rate remained unchanged at 4.1 percent, the unemployment rate for persons 55 and older rose from 3.1 percent in November to 3.3 percent in December. The number of unemployed persons ages 55+ also increased to 1.2 million, up from 1.1 million in November. The labor force participation rate for those ages 55 and older was unchanged at 39.9 percent. The percentage of jobseekers ages 55+ who are long-term unemployed, defined as looking for work for 27 or more weeks, decreased from 37 percent in November to 30.6 percent in December.

 

Spotlight on the Work Experience of the US Population         

In December 2017, the BLS released an overview of the 2016 data on the work experience of the US population with several indicators suggesting slight improvements in the job market from the previous year. The findings showed that 163.6 million people ages 16 and older worked at some point during 2016. While the proportion of the population who worked during the year (64.3 percent) changed little from the previous year, the number who experienced unemployment at some point during 2016 declined by 1.4 million, to 15.6 million. Most of the people (79.4 percent) who were employed worked year-round, a slight increase from 2015 (78.6). This held true for both men (81.8 percent) and women (76.8 percent).

Turning to unemployment trends, the number of unemployed who looked for a job but did not work at all in 2016 declined by 584,000 to 2.6 million. The median number of weeks spent looking for work was 14.5. The BLS defines the work-experience unemployment rate as those looking for work during the year as a percent of those who worked or looked for work during the year. This number was 9.4 percent, 0.8 percentage points lower than in 2015. The work-experience unemployment rate was higher for men than women (9.5 percent versus 9.2 percent).

For more details, check out the December Employment Data Digest, PPI’s monthly review of job trends for those ages 55 and over.

Jen Schramm is a senior strategic policy advisor at the AARP Public Policy Institute. As part of the Financial Security Team, she identifies policy challenges and opportunities related to workers age 50 and above. Through research and analyses of emerging employment trends, she develops policy options to inform AARP’s strategy on work and jobs, including helping older workers find and retain jobs.

 



Source link

Employment for those ages 55+ holds steady in November

Employment for those ages 55+ holds steady in November



Employment overview

The Bureau of Labor Statistics (BLS) November Employment Situation Summary showed the economy added 228,000 jobs—down slightly from the 244,000 jobs added in October (revised down from 261,000). Both the overall unemployment rate and the unemployment rate for persons 55 and older remained unchanged from October at 4.1and 3.1 percent, respectively. The number of unemployed individuals ages 55+ was also unchanged at 1.1 million and the labor force participation rate for those 55 and older increased slightly to 39.9 percent in November from 39.8 percent in October. As in October, jobs were added in professional and business services, manufacturing, and health care. The percentage of jobseekers ages 55+ who are long-term unemployed, defined as looking for work for 27 or more weeks, increased from 34.7 percent to 37 percent.

Spotlight on Employment Projections to 2026

In October 2017, the BLS released its latest employment projections for 2016 to 2026. The data cover overall job growth, labor market demographics, and industry projections.  The overall employment forecast for the United States is an increase of 11.5 million workers in the decade leading up to 2026. This represents an increase from 156.1 million to 167.6 million workers, or 0.7 percent annual growth. The projected growth rate is faster than the 0.5 growth rate during the previous decade, which was strongly influenced by the effects of the Great Recession.

The demographics of the labor force are projected to grow more diverse and will be influenced by the overall aging of the population.

In 2026 the labor force participation rate is projected to decrease to 61.0 percent, down from 62.8 percent in 2016. The highest level of labor force participation, 67.1 percent, occurred in 2000. The aging population is forecast to lower overall labor force participation as more people exit the labor market. At the same time, however, the aging population will lead to greater numbers of older workers in the workforce.

The BLS predicts that the share of workers 55 and older will grow to 24.8 percent in 2026, an increase from 22.4 percent in 2016 and 16.8 percent in 2006. Slow labor force growth will also reflect, to some degree, a slowdown in the growth of the civilian non-institutional population. The annual rate of 0.9 percent population growth from 2016 to 2026 is slower than both the 1.0 percent growth from 2006 to 2016 and the 1.3 percent growth from 1996 to 2006.

New jobs will largely be in the service sector, accounting for approximately 9 out of 10 new jobs. As the population ages, health care and social assistance industries, as well as the occupations within these industries, are projected to make up a large proportion of the jobs created in the years leading up to 2026. Nearly 4.0 million jobs are projected to be added by 2026 in this sector, representing approximately one-third of all new jobs. By 2026 it will be the largest major sector of the U.S. economy. Many of these jobs will require high skills levels and at least some level of postsecondary education.

For more details, check out the November Employment Data Digest, PPI’s monthly review of job trends for those ages 55 and over.

Jen Schramm is a senior strategic policy advisor at the AARP Public Policy Institute. As part of the Financial Security Team, she identifies policy challenges and opportunities related to workers age 50 and above. Through research and analyses of emerging employment trends, she develops policy options to inform AARP’s strategy on work and jobs, including helping older workers find and retain jobs.

 



Source link

Job market rebounds in October

Job market rebounds in October



 

Employment overview

After the strong impact of hurricanes Harvey and Irma in September, the job market rebounded in October, adding 261,000 jobs. Meanwhile, the labor force participation rate for those ages 55 and older decreased slightly to 39.8 percent. While the Bureau of Labor Statistics (BLS) October Employment Situation report showed the overall unemployment rate was down to 4.1 percent, it also showed a decline in the overall labor force participation rate (62.7 percent).  The employment rate (employment-population ratio) also declined by 0.2 percentage points to 60.2 percent. Jobs were added in professional and business services, manufacturing, and health care. The unemployment rate for those ages 55+ was down slightly to 3.1 percent. The percentage of jobseekers ages 55+ who are long-term unemployed (i.e., looking for 27 or more weeks) declined from 35.3 percent to 34.7 percent.

Spotlight on Individuals with Disabilities in the Labor Market

Because the risk of disability increases with age, the labor market experiences of individuals with disabilities can sometimes mirror the experience of older workers overall.  The BLS collects data on the labor force characteristics of persons with a disability. Its overview of the 2016 data revealed that those ages 65 and over represented a large proportion of individuals with disabilities—47 percent. Women were more likely to have a disability than were men.

There are large differences between the employment levels of those with and without disabilities. For example, the employment rate for those without a disability was 65.3 percent, while only 17.9 percent of those with a disability were working. The unemployment rate for individuals with a disability was more than double that of those without a disability (10.5 percent compared 4.6 percent). These higher rates of unemployment for individuals with a disability were seen across all levels of educational attainment.

Thirty-four percent of workers with a disability were employed part-time in 2016 compared with 18 percent of workers without a disability. Those with a disability were slightly more likely to report that they were working only part-time for economic reasons, such as reduced hours or not being able to find a full-time job (6 percent versus 4 percent of those without a disability).

Factors that may increase the labor market participation rates of individuals with a disability in the years ahead include increased overall labor demand, technological advances, and employment policies that facilitate fuller inclusion of individuals with disabilities into the workforce.

For more details on this month’s employment numbers, check out the October Employment Data Digest, PPI’s monthly review of job trends for those ages 55 and over.

 

Jen Schramm is a senior strategic policy adviser at the AARP Public Policy Institute. As part of the Financial Security Team, she identifies policy challenges and opportunities related to workers age 50 and above. Through research and analyses of emerging employment trends, she develops policy options to inform AARP’s strategy on work and jobs, including helping older workers find and retain jobs.



Source link

Economy loses 33,000 jobs in September

Economy loses 33,000 jobs in September



Employment overview

The economy lost 33,000 jobs in September largely reflecting the impact of hurricanes Harvey and Irma. Despite the overall job loss, the labor force participation rate for those ages 55 and older decreased only slightly to 40.1 percent. The Bureau of Labor Statistics’ (BLS) September Employment Situation report showed the overall labor force participation rate edged up slightly to 63.1 percent.  The unemployment rate declined to 4.2 percent with 6.8 million persons remaining unemployed.  Much of the impact of the hurricanes was seen in the food services sector, which lost 105,000 jobs. Meanwhile, jobs were added in health care, transportation, and warehousing. The unemployment rate for those ages 55+ was unchanged from August (3.2 percent), but the percentage of job seekers ages 55+ who are long-term unemployed (i.e., looking for 27 or more weeks) rose from 30.5 percent to 35.3 percent.

Spotlight: Labor Market Experiences of Americans at Age 50

Turning to more long-term trends, the BLS recently released new findings from an ongoing longitudinal study of Americans born between 1957 and 1964, the tail end of the baby boomer generation.  The National Longitudinal Survey of Youth 1979 is a survey of 9,964 men and women who were ages 14 to 22 in 1979 when the study first began. Participants were most recently interviewed in 2014-2015. The recently released findings track the number of jobs, labor market experience, and earnings growth of this age cohort.

Interestingly, the average annual percentage growth in inflation-adjusted hourly earnings was highest for this cohort during their late teens and early twenties. This means that their earnings increased most rapidly while they were young and just at the beginning of their careers. As a cohort, they never again replicated this rate of earnings growth over the course of their career life span, reflecting some of the larger economic trends over the ensuing decades of their lives. Earnings growth rates tended to be higher for college graduates compared with workers with less education.

Individuals without a high school diploma had lower percentages of weeks in employment compared with individuals with higher levels of education. Men were employed a greater percentage of weeks than women (84 percent of weeks for men versus 71 percent of weeks for women). But the percentage of weeks of employment grew for women from 63 percent in the 18 to 24 age category to 76 percent in the 35 to 44 age group. Overall this group of baby boomers were employed on average 78 percent of the weeks from age 18 to age 50.

This group of baby boomers held an average of 11.9 jobs from the ages of 18 to 50, spanning from five jobs while ages 18 to 24 down to 4.5 jobs from ages 25 to 34, to 2.9 jobs from ages 35 to 44, and to 1.7 jobs from ages 45 to 50. Older workers are generally thought to have longer average job durations but the study found that at least for this youngest cohort of baby boomers, short-duration jobs continued to be common at older ages. Among jobs started during ages 35 to 44, 75 percent ended in fewer than five years.

For more details on this month’s employment numbers, check out the September Employment Data Digest, PPI’s monthly review of job trends for those ages 55 and over.

 

Jen Schramm is a senior strategic policy adviser at the AARP Public Policy Institute. As part of the Financial Security Team, she identifies policy challenges and opportunities related to workers age 50 and above. Through research and analyses of emerging employment trends, she develops policy options to inform AARP’s strategy on work and jobs, including helping older workers find and retain jobs.

 



Source link

Pin It on Pinterest