Baby Boomers Retiring

Monday, July 16, 2012

Have you heard of the baby boomers?  Could you identify their significance?  Could you give a brief history of the baby boomer generation or speak to the issue of the retirement significance?  If you cannot, then this may help you out.

Babies born between the years of 1946 and 1964 have been called baby boomers.   From 1946-1964, in the Post WWII era there was a significant rise in birth rate. Babies born in this period are known as baby boomers. The baby boomers have identified themselves as a sort of special sub-culture in North America because of their influence in changing traditions and morals.  The retirement years for the baby boom generation are upon us and this will no doubt have a large impact on the workforce.

There has been concern surrounding the retirement of this influential generation and with good reason. When one looks at the innovations that have come from the baby boomer workforce such as DNA Fingerprinting, the Internet, computers etc., it is understandable that there is a worry that there will be a knowledge gap when they retire. What we often forget is that since the baby boom, we have seen an increase in the quality and importance of education.

The first wave of baby boomers have started to retire. One would predict that with this mass retirement would come an equally as large amount of job opportunities. For the most part, this is the case, however, in certain areas there continues to a lack of opportunities. In recent years, the focus has been on cutbacks in most major industries.  There is some concern as to how this will affect the economy in the upcoming years. People are living longer now and a lot are retiring earlier so the younger generation may have to help fund the retirees. Some retirees have found that they are not financially solvent and have to take part time work in order to make ends meet.

One of the major concerns for the government is the government-funded pension plans and if there will be sufficient funds to provide for all the baby boomers that will be retiring every year. If people haven’t planned for retirement properly then they will be relying more heavily on the government to fund them. A lot of people do not have health care plans and the government has to fund this as well for retirees.

There are some who think that baby boomers have forever changed the world we live in and are concerned with what the future holds for the subsequent generations.

What do you think?  How do you think the baby boomers will affect the economy now that the majority of them have reached retirement age?