Business News

Retirement Covid shows career change-at home has not benefited everyone

There it is all staff is he gone Returning home do not move they are not the only ones leaving unemployment in a number of countries after that. A group of older workers have also gone out. These “Covid retirees” are on the move. One of the most important issues for employment over the past two decades has been the increase in the number of older people participation in the labor market. Much will depend on the recurrence of the plague, temporary or temporary disruption, and even speeding up the process.

There have been more than 3m “retirees” led by Covid in the US, according to counting and the Federal Reserve Bank of St Louis published last month. This accounts for more than half of the 5.25m people who left the labor market from the beginning of the epidemic until the second half of 2021.

In the UK, Institute for Employment Studies to compare there are about 310,000 fewer older people (especially older women) in the job market than one would expect if the crisis had not continued. Some are too sick to work while others are retired.

Which seniors are retiring, and why? It is a mixed and incomplete picture. In the United States, both college and non-college people over the age of 65 have retired from the epidemic, According to Schwartz Center for Economic Policy Analysis. But between the ages of 55 and 64, workers without a college degree are more likely to retire than former Covid, while those with a college degree will not. Part of the issue is that some Americans have been encouraged to retire early due to dismissal and the health risks that have fallen sharply for those without a degree.

Tony Wilson of IES says the UK’s data shows that some older women who work as clean and hospitable, who have been hit hard by the epidemic, have now left the labor market. Because older people are at greater risk of contracting the virus, they may also be out of work. On the other hand, some may choose to take a quick breath for them nest eggs has grown, especially in the US.

This is an unexpected turn of events in a long history. For the past two decades, the elderly have been a major factor in the rise in workforce in many developed lands. In the eurozone, for example, 98 percent about the increase in the number of working people between 2000 and 2019 came from those between the ages of 55 and 74. Twenty years ago, 20 percent of men in the eurozone left the labor market when they were between 55 and 59. In the evening of the plague, the figure was only 7 percent. Participation of women between the ages of 55 and 59, meanwhile, came at a high risk for participants between the ages of 45 and 49 two decades ago.

People have been working long hours for a variety of reasons, from longevity to flexible jobs. Planners who are worried about being able to afford their pensions have been pushing people to one side. Change The last few decades in OECD countries include an increase in retirement age and fewer retirement options.

Can Covid change? Wilson of the IES believes the epidemic leaves “a perpetual threat to the group of older women who have left the labor market, but their participation is resumed and begins to rise again”. Indeed, one legacy of the plague has been normalize working from home, which can make older people work longer hours.

Research data The UK office for National Statistics shows that those who have been working at home with the epidemic are more likely to say they are planning to retire later than those who are working at home. who were not. One of the main reasons people leave work is good health, and those with a serious illness or disability who work from home can now say they want to retire later.

There is only one problem: the people for whom WFH changes can be most helpful and those who cannot afford them. People who work in low-paid or high-paying sectors six times they often retire before government retirement age due to illness than those who work. However older staff members who switched to WFH during the Covid period were primarily in leadership or professional positions and had the opportunity to occupy areas of need.

The epidemic did not completely eradicate the practice of the subsequent working class. But it can also make their future very different.

sarah.oconnor@ft.com


Source link

Related Articles

Leave a Reply

Back to top button