Discrimination Act covers workers from 40 to 65, there seems to be even less of a chance for the over 65 age group to be represented, as the younger workers are easier to place.

(g) Jobs that are hard to fill comprise a potential job market. Jobs mentioned include service worker, salesperson, general office worker, bank teller and museum guide. Others that could be further investigated as appropriate include proofreader, editorial and feature writer, teacher aide, paraprofessional social work positions, and savings counselor. The survey shows employers felt older workers could work at these positions if they were physically strong and competent. With imagination and job redesign, older workers could be placed in these now-hard-to-fill jobs.

Based on these preliminary findings, the final report on the Jewish Vocational Services study should provide a basis for community action and public policy in relation to employment of the older workers.

Action has already been taken as a direct result of the study. Acknowledging the need for employment alternatives for older workers, the Chicago Community Trust has provided funds for a pilot project, Senior Citizens Employment Service, Inc., which will be completely staffed by older workers and volunteers. Senior Citizens Employment Service, Inc., has been the dream of a dedicated group of older people who for years have been advocating the establishment of an employment program devoted to the needs of older workers, but could not garner the resources needed to initiate the project. Now, under the guidance of an established private vocational agency, Jewish Vocational Services, this new program is underway and has as its goal matching older people's abilities with employer's needs. It is anticipated that with a minimum amount of dollars invested, a maximum amount of benefits will be received.

I would urge the subcommittee to recognize that in order to assure employment opportunities for older workers, special emphasis programs are needed at the federal level. I would also suggest that not enough attention has been directed toward increasing the total life options of older adults. The opportunities to be creative, productive, and contributing members of society-to be involvedare extremely limited. We have not directed enough effort toward filling the void that unemployment and retirement create.

There is a need to be sensitive and responsive to a most valuable national resource-our older people. There is a need to develop meaningful alternatives that will improve their social, economic, and psychological well being. There is a need to open our society to the tremendous contributions which can be made by older persons.

The following recommendations are similar to those which I made to the Chicago Task Force on Older Workers, chaired by Robert J. Arhens, director of the Mayor's Office of Senior Citizens. I restate them here with some additional recommendations which are based on the Jewish Vocational Services study as well as a recent meeting with the continuing education directors from 17 local colleges and universities.

To assure imaginative and creative programs designed to increase opportunities and alternatives for older adults, it is recommended that the subcommittee be concerned with the development of:

-A public awareness and self-awareness program to improve public knowledge of and attitudes about older persons.

—A continuing education program which would be flexible and emphasize the value of life experience with the objective of reinvolving older adults in active, meaningful employment roles.

-The establishment of new and redefined work roles for older adults in areas which would maximize the contributions of older workers. For example, in child abuse and juvenile justice programs; or in the field of health, as advocates or ombudsman; or in education, as aides or documenting social history.

-Volunteer opportunities, particularly those which could serve as a means of entry into part- or full-time employment.

-Increased options for employment in the private sector through programs similar to Senior Citizens Employment Service, Inc. A good example of older people helping older people.

-Increased alternatives making full use of the labor market through the expansion of government funds in concert with private funds, thereby improving existing systems for older persons who want to enter or maintain themselves in employment.

-Increased awareness of older workers and older job seekers, through counseling, support services, on-the-job training, vocational training, work experience. -Creative programs which would encourage private employers in their use of older workers, including released time for older workers to pursue educational opportunities, as well as the provision of training and support services which would enable older workers to continue to function effectively. -Programs which would provide government moneys to permit private industry and social service agencies to experiment with new avenues of employment for older workers.

I urge the committee to give thoughtful consideration to the implementation of a comprehensive career options/life alternatives program for older adults. Such a program would increase the opportunities for contributions by older people as a social and economic resource, thereby effecting :

(1) An improvement in the social, psychological, and economic conditions of older people;

(2) Increased benefits for all of society which will accrue from the contributions of an active, involved, older population.

(3) A reduction in the waste of human resources;

(4) A reduction in the feeling of frustration, rejection, and helplessness which blight the lives of so many older persons.

The creativity and imagination which has so often been demonstrated in this country should be applied to open society's doors to one of our most valuable resources-older persons.

Thank you Mr. Chairman.

ITEM 3. STATEMENT OF MARSHALL M. HOLLEB, CHAIRMAN, ILLINOIS STATE COUNCIL ON AGING

In a time of desperate continuing unemployment of younger workers, it may seem difficult to focus critical concern on the work needs of the unemployed who are nearing retirement, and even more so on the elderly who seek work in their retirement years. However, there are several reasons why we should do just that. In a youth-centered, work-oriented society, the near-elderly and elderly face the harsh reality of diminished social value and discriminatory employment barriers regardless of their individual capabilities. It is a blanket stigma and for many it requires adaptation to a suddenly and perpetually reduced income and standard of living.

In connection with improving the economic status of older people we choose either to emphasize increasing retirement benefits or, in the alternative, to preserve older people's positions in the labor market. In the last few decades we have chosen the first. Accordingly, we have increased social expenditures for social security and social assistance programs. We have done such rather than investing in retraining placement and vocational aids to the aging worker. It is time now to redirect our attention in aid of those who wish to remain in the work force and for those who must have income and work options.

Unemployed older workers: Despite nominally protective equal opportunity legislation, older unemployed workers-especially those 55 to 65 years-face unique barriers to employment. If they are professional and managerial, they are frequently passed over because of an assumed limited future. Moreover, many insurance and retirement plans are exclusionary with respect to older workers. Clerical, blue collar, unskilled older workers all face added employment difficulties in a period of economic decline and with frequent instances of their own obsolete skills, lack of alternative career preparation, and a personnel selection process which favors hiring and training (or retraining) of younger workers. Yet, older, unemployed workers have a continuing need for work and earnings to maintain contributions to social security, to tuition for college-aged children, for general family support, and for continuation of their place in the community and maintenance of their own lifestyle. The rejection of older workers affects not only individuals, but their families and the future of their children. It is demoralizing and socially contagious.

Elderly in Poverty.—An overriding economic reality for most elderly is found in the fact that on retirement (usually at 65) more than half currently find that their standard of living is reduced by approximately 50 percent. Actual income

drops to even less than 50 percent from former earnings, but there are some nontaxable benefits through social security and SSI (supplemental security income). There are a number of programs which have mitigated against the overall effects of loss of earnings among elderly. These include private pension programs, medicare and medicaid payments, property tax relief, increases in social security, SSI, increasing and improving private pension programs under increased Federal regulation, and exemption of Federal tax on savings interest for those not covered by private pension plans. However, the moderate adequacy of income for the majority of elderly only serves to emphasize the special problems of the millions who live below the poverty level.

Elderly poor who are able to work have the same needs for income maintenance as everyone else and, with increasing longevity, face the prospect of a life in poverty which may extend, in most instances, for 25 or more years. Many elderly are served in their social and recreational needs with a variety of centralized and outreach agency services, but for others whose whole lives have been spent in self-identification through working patterns, only opportunities for volunteer work or paid employment itself can help to retain or restore a sense of purposefulness.

For many elderly poor, a hopeful life and a basic adequate standard of living is dependent on the opportunity to work to supplement basic limited retirement income.

Elderly poor who are denied opportunities to augment income through work have been particularly affected by the impact of inflation. While social security does adjust upwards automatically with a rise in the cost of living, and while Congress has acted to adjust social security benefits upwards, there has been a consistent lag for elderly in poverty. Since rent is frequently fixed and clothing a minor item in the elderly poor person's budget, food expenditures become the item most cut. Incidents of elderly without pets buying dog food for their own needs and frequently reduced to minor shoplifting are common in neighborhoods of concentrations of elderly poor.

Alternatives to work.-The Illinois Department on Aging is now undertaking an effort to provide direct income earning opportunities for elderly poor. Further, these programs include a segment of the pre-retirement "aging" population of 55 to 65 in similar need. The efforts are demonstration in nature to both learn the effect of such programs on small numbers of elderly and to estimate the feasibility of larger scale efforts; available funding is limited. These efforts include the following:

-Encouragement of employers to utilize elderly workers who can be hired in a number of part-time jobs.

-Increasing emphasis on human services roles for elderly workers. -Increased sponsorship of sheltered workshops utilizing subcontract operations from industry and employing both aging and elderly workers. -Creation of specialized "case finding", referral and placement of elderly persons utilizing elderly volunteers and elderly placement personnel in major roles.

-Special training programs to assist both aging and elderly persons to achieve opportunities in new careers to increase their employment alternatives. -Encouragement of self-employment of elderly persons as "freelance" entrepeneurs.

-General advocacy of these needs and opportunities to generate widespread public support and enabling appropriate legislation and funding.

We emphasize the social and economic advantages of earned income opportunities as a means of averting more expensive institutional and other supportive care and as a human response to the needs of those who, because of age, suffer from a poverty of purse and spirit. To carry through on this program, we need to convince employers to make personnel decisions without reference to arbitrary or outright age criterion. Retirement must be made voluntary, not compulsory. Ability must be given an important place in personnel decisions within an equitable seniority framework.

An appropriate place to effectuate these policies would be with the fastest growing employers, the U.S. Government and the State governments.

Appendix 3

STATEMENTS SUBMITTED BY THE HEARING AUDIENCE

During the course of the hearing, a form was made available by the chairman to those attending who wished to make suggestions and recommendations but were unable to testify because of time limitations. The form read as follows:

DEAR SENATOR RANDOLPH: If there had been time for everyone to speak at the hearing of the Subcommittee on Employment and Retirement Incomes of the U.S. Senate Special Committee on Aging, in Chicago, Ill., on August 14, 1975, on "The Recession and the Older Worker,” I would have said:

The following replies were received:

MRS. L. CUNNINGHAM, CHICAGO, ILL.

We are in need for more housing for our older citizens now. You're retiring more people at age 52. Senator Jennings Randolph, we don't need the high-rise buildings for older citizens either. What are your plans for all these people you all are retiring?

Senator Randolph, all this retirement, with a recession still on, working people are still wondering what to do when they retire. The situation looks bad as of now. I hope that all you Senators can find some way to help our older people. Also, the younger people you are retiring now. Senator Randolph, prices have gone up again now: rent, food, gas, clothing for children. School dropouts have gone up, too. Do you see our situation in the big cities and all of these people?

ELLEN E. GLOVER, CHICAGO, ILL.

I think as long as the senior citizen feels OK he should work, because retire ment gets to be boresome. Train them for some special thing. There were suggestions made about library aides for senior citizens; also working around universities advising the young people.

CALVIN AND VIVIAN HOLLOWAY, CHICAGO, ILL

First of all, we must have emergency housing for the senior citizens. We need more buildings now, not 5 years from now. Also, there must be more enployment for aged, because the income we get now is insufficient to live on You need to stop forcing people into retirement because they are 65 or over. As long as they are able, they should be allowed to work.

LILLIAN LAPALIO, CHICAGO, ILL.

I became a CETA outreach worker the latter part of February. It has been most rewarding. Working with the seniors (I am only 54 years of age) has made me aware that there is a great need for an increase in the nutritional program because at each site there are many people turned away for lack of funds to provide more food. The seniors are also "crying" for attention-they are lonesome. Therefore, there is a need for more outings and recreational programs.

Mr. Senator, how great it would be to see less and less seniors in the nursing homes. They have the wisdom to make good judgments and can help in the home care and foster grandparent programs. Older people would not despair; they need to know that they are of some use. I'm sure there is a place for the older worker and as long as they are physically able, they should have their place

ALBERTA LOCKETT, CHICAGO, ILL.

Senior citizens should not be made to retire-just moved to lighter work and shorter hours. Senior citizens should have enough housing and not have to wait 1 to 5 years before getting a decent place to live. They should have better and more transportation. Senior citizens should have a corps in every community so as to be able to get food cheap and get to it easily. All this would prolong the lives of the aging, keep them out of nursing homes, and make them able to do for themselves.

KEITH RICH, CHICAGO, ILL.

In my opinion, the $2,520 limit on annual earings should be removed. This would enable social security recipients to be employed in professions and trades without being penalized. I believe this is in line with letting older people help themselves and eliminating a discrimination between wealthier recipients who have independent investment income and those perhaps less fortunate who are not independently wealthy. It would also be an incentive to older people to work and contribute to the economy.

P.S. I retired June 1, 1975, at the age of 64, and just happened in on your hearing which I appreciated very much.

O