Seniors Now Facing Problems
According to U.S. government reports, the number of older people in the workforce has been steadily increasing over the past few years. No longer able to live on their savings, due to the extended period of time that the government has been holding interest rates lower, many have been pushed into reentering the workforce.
Dan Weber, president of the Association of Mature American Citizens says the downturn and the president’s failure to help generate jobs has impacted on a group that nobody is talking about – seniors. Weber said, “The unsung victims of America’s jobs crisis are older Americans and retirees, including those on Social Security.”
Talking about the government figures, Weber noted that with more seniors entering the workforce, by 2014 the number of older workers and retirees returning to work may reach 74%.
Lower Interest on Savings
Low interest rates may be good for investors and home buyers, but those who need to live on their savings have a big problem – insufficient income. Weber says “at a time when seniors are receiving lower interest on their savings and when prices at the gas station and the grocery store are at near record highs, many seniors need to supplement their retirement benefits by going back to work. The problem is that throughout the recession and continuing during its stagnant aftermath, government programs have failed to create enough jobs to go around and unemployment levels remain at record highs for everyone, including seniors.”
July Jobs Report
The July 2012 jobs report showed 163,000 new jobs were created during the month, and “while it was cause for celebration for some politicians, it masked the fact that we need to be creating 300,000 jobs per month just to keep pace with the demands of the workforce,” Weber said.
July Unemployment Rate Up to 8.3%
163,000 jobs may have been created, but many more jobs were lost, and there are already millions out of work. Many of these people either were already or are becoming the long-term unemployed.
Weber noted that seniors in the workforce who find themselves suddenly unemployed face what he calls “unique problems.”
“The harsh reality is that also in July the unemployment rate actually rose to 8.3%. So much for job creation,” – Dan Weber, Association of Mature American Citizens
“For one thing, they are competing for jobs with younger workers and the simple fact that they are older puts them at a disadvantage. In economic times such as this, it’s easy for employers to discriminate on the basis of age.”
Social Security And Unemployment Insurance
Weber says that people receiving Social Security may not be able to receive unemployment insurance, even though they have steadily paid for it. “Either they won’t qualify because of the benefits they are receiving – meager as they are – or, if they do qualify, their unemployment income might be reduced by the amount of their Social Security income.”