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C--The Older Population: Increased Longevity and Health Factors.

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The following tables indicate the growing numbers of older people in the U.S. over the coming years and progressive longevity 18 and life expectancy indicators. Labor force projections, however, show no radical changes in the age composition of the labor force up to 1990. The prime age (25-54) labor force will expand up to 1990 with actual declines in the youth (16-24) and older (55 plus) labor force.

Table 1

DECENNIAL PERCENT INCREASE OF POPULATION BY BROAD AGE GROUPS: 1950 TO 2010 (A minus sign (-) denotes a decrease. Periods extend from July 1 of initial year to June 30 of terminal year)

Age and projection series

All ages..

Range..

Under 13 years....

Range........

15 to 24 years....

Range.......

25 to 44 years..

Range.......

45 to 54 years..

55 to 64 years..

65 to 74 years...

75 to 84 years.

85 years and over..

Taken from:

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Siegel, J.S., "Demographic Aspects of Aging and the Older
Population in the United States," Series P. 53, Series 59,
(Bureau of the Census, 1976),
P. 2.

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Taken From:

Note:

Schulz, J., The Economics of Aging, Belmont, Cal., P. 36.

The author has utilized several sources to compile the expectancy profile and suggests that these be consulted for highly specialized presentations. We feel that the general trends for purposes of this report are well described.

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Health as a reason for leaving jobs is most frequently

given prior to age 65. For workers continuing beyond age 65 it appears much less frequently as a reason for finally leaving the labor force.

TABLE 3-MAIN REASON FOR LEAVING LAST JOB, BY CLASS OF WORKER AND AGE AT ENTITLEMENT: NONEM-
PLOYED MEN AWARDED RETIRED-WORKER BENEFITS, JULY-DECEMBER 1968

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Taken from:

"Mandatory Retirement: The Social and Human Cost of Enforced Idleness," op. cit., p. 11.

D--Effects of Raising the Age Limit on the Social Security System.

RESPONSE

The major effects of raising the age limit of the ADEA

on the Social Security system--minimal in the short run-have already been described. However, an additional illustration can be made by making certain assumptions. Assuming that each group of 100,000 continuing older workers would contribute an average of $400 per year to the Social Security system and would defer an average of $4,000 per year

as a benefit, a $440 million "saving" to the system could result. This does not become very significant given the 200,000 estimate of over 65 workers who might remain in the work force. Furthermore, because of averaging, the estimates of contributions and deferred benefits could be greatly skewed.

The largest drain on Social Security appears to be coming from those who retire early, and not from those who are forced to retire at 65, although they are able and willing to work beyond that age.

E--Age, Performance, and Productivity.

RESPONSE

Aside from the previous discussion on these matters,
Appendix B to the report contains two articles which

summarize the state-of-the-art on assessing productivity and performance factors quite well. It will be noted that the studies are limited to certain occupations and that generalizations on age and productivity cannot be made across all occupational fields. The articles are:

1.

2.

"Effects of Age and Experience on Productivity,"
Schwab, D.; Henemann, H., Industrial Gerontology,
Winter, 1977.

"Capabilities of Middle Aged and Older Workers,
A Survey of the Literature," Meier, E.; Kerr, E.,
Industrial Gerontology, Summer, 1976.

P--Effects of Mandatory Retirement on Older Persons.

RESPONSE

In many respects, mandatory retirement transforms an older worker into an older person. Dr. Robert Butler, 19 in his book: Why Survive? Being Old in America, points out the ambiguity of this matter. He notes.readily that older persons do not and cannot expect to go ever onward and upward. Disability and limitations occur as people age--although age, of itself, is not causal. Often

age-related disability, sickness, and limitations can be associated with the living conditions, diets, and the internal milieu of the older person. He frequently cites that older persons undergo a transition from a selfdependent and self-supporting status during the late middle years to one of dependency. The transition is abrupt and artificial and comes about

in no little way through our policies of mandatory retirement. Perhaps the individual had misconceptions--or no conceptions--of what it was like to become old. But whatever the case, the artificial dichotomy between working and forced retirement hardly solves the problem. Older persons

who might have been able to continue work in some form are often left with minimal income, limited health care resources--despite Medicare and Medicaid, and dependent upon social services. No one can ascribe the conditions of the elderly in America to any one cause, but our retirement policies and especially mandatory retirement have contributed heavily toward some of the negative effects we find in our elderly population.

G--New Directions for Older Workers: Concerns of the Department of Labor.

RESPONSE

21

Historically, the Department of Labor has laid the basic groundwork for research on older workers. Beginning with ,,20 the "Seven Cities Study""" in 1956, to the ongoing longitudinal studies on pre-retired men, a good deal of information on the capacities, aspirations, effectiveness, and problems facing older workers in their employment-retirement cycle has been generated. The Department, through its various divisions has supported many independent studies of the kind reported in the Journal of Industrial Gerontology.

Recently the Department commissioned a long-range research and program strategy which would set new directions needed to add to our knowledge base on older workers and set guidelines for the development of programs which would meet their needs and balance these with new and

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