Situation: A company has a number of key employees who are nearing retirement. These employees possess software skills and company knowledge which will be difficult to replace. How are you planning for baby boomer retirements, and what advice would you have for this company?
Advice from the CEOs:
- Following the loss of investment value after the 2008 market crash, Baby Boomers may retire very differently from their parents. Many don’t have the savings to support themselves during retirement and may well work 10 years later than their parents did.
- Brute economics will force Boomers to continue to work. However, Boomers may want to work their own hours and on their own terms as they age. The focus may switch to part-time jobs just to maintain cash flow.
- One solution is to offer more flexible working arrangements that allow individuals to keep working but with more freedom to work as they wish.
- To replace in-house talent, develop mentor and apprentice programs now to pass your knowledge base on to younger workers.
- The Internet has significantly changed the picture. People considering retirement may relocate to less expensive regions but virtual employment or virtual office solutions can keep them working.
- Rising health insurance costs and questions about the viability of Medicare under the Affordable Care Act are concerns for Baby Boomers. This is another factor that may keep them working.