Today is the Tomorrow You Worried about Yesterday: Meeting the Challenges of a Changing Workforce

Abstract

By now it is likely that you have heard statistics, predictions and dire warnings. The of largest generation United States has ever known will affect every social institution from employment to health care. Precisely what impact will be is, like all future events, still a matter of prediction. That there will be a major impact is not. In first 58 years of its existence, baby boom generation has changed every major social institution from education to health care to employment. The aging workforce, a very common phrase lately, is but latest phase in progression of this generation. The of baby boom generation has been a topic of both speculation and serious research for some time now. The brain drain, the pipeline problem, even terms planning and succession planning have become topics not just for academics and human resources practitioners but also are readily found in popular media. Many are predictions about impact that mass exodus of this generation from workplace will have. But events yet unknown may change today's predictions. Certainly, impact of aging-out of baby boom workforce may be affected by economic, social and political events. One of larger questions is how this generation will treat retirement. The rocking chair concept was set aside long ago but it still remains unclear how and when baby boomers will choose to retire. It is commonly assumed that baby boom retirees will be more actively retired, but what form will this take? If it is true that is new 30, can we assume that people will want to work longer than traditional age? Or will they work longer only if it is economically necessary? If they retire and then return to work, will they stay in same line of work or choose a retirement career different from their previous career? If they choose to work will they do so full-time or part-time? The yet-unanswered question for employer affected by these trends is, What can we do about this? This question is especially relevant for public sector organizations. With a history of fiscal constraints and downsizing, public sector has become particularly vulnerable to affects of workforce. Many government jurisdictions are facing potential loss of 40 to 50 percent of their workforce in next few years. At same time, there are too few people at younger ages to replace baby boomers. Some organizations are missing two generations of employees because they were unable to hire for such a long period of time. And, regardless of whether boomers retire at 55, 65 or even 70 and even if mass exodus does not happen in next year or two, it is unavoidable that it will happen sometime in near future. The Argument for Workforce and Succession Planning Awareness of problem has been proverbial first step. Some organizations began looking at these issues in early 1990s but, human and organizational nature being what it is, issues seemed too far in future and more pressing issues gained our immediate attention. However, in past three to five years, a sense of urgency has developed around workforce demographics as academics and practitioners alike have raised alert and media has raised awareness. Economic issues such as globalization, worker productivity and outsourcing are closely tied to availability of a ready, willing and able workforce. Similarly, social issues such as rising demand for and cost of healthcare for an population are tied to a productive workforce capable of providing these services and, in many cases, paying for them. And all of these issues are tied to demographic fact that succeeding generation of workers is smaller than baby boom generation. But this is not a story of numbers alone. Rather, it is a story of loss of experience and judgment gained from those experiences, which add up to a knowledgeable workforce. …