Survey: Majority of workers remain on the job past retirement age
June 2, 2009 by Personal Liberty News Desk
A new survey of government managers has indicated the bad economy is altering retirement plans among state and local government employees as a vast majority of those eligible to retire stay on the job.
The poll conducted by the Center for State and Local Government Excellence, has found that 49 percent of the managers surveyed said 20 percent or more of their workers are eligible to retire in the next five years.
However, nearly 85 percent said employees are delaying retirements, while only 9 percent said they are accelerating their retirements to avoid changes that will reduce benefits and 7 percent said workers are taking incentives for early retirement.
"When the economy recovers, there will be a spike in the number of retirements as the large number of baby boomers leave," says Neil E. Reichenberg, executive director of IPMA-HR.
"Human resource departments need to lead workforce planning efforts, so that the public sector will be well positioned when the economy recovers," he adds.
The poll also found that 60 percent of respondents said their state governments are instituting layoffs, with 39 of those saying layoffs based solely on seniority, while 42 percent said their local governments are laying off employees, with 43 percent of the layoffs based on seniority.