Sunday, January 28, 2018

Will You Work Past 70? Labor Force Participation by Age and Sex


My post on this topic has generated a lot of interest—and a request for a breakdown by age and sex.
What a good question. This table gives us insight as to whether we as individuals might be working past “retirement age” (there is no such thing, by law, except for pilots and such).
So, look it over [CLICK ON IT] and feel free to comment on FB or privately.
My take?
First, notice the gray vertical bars. They stand for periods of recession. I would have thought recessions would affect the labor force participation rate. If you’re unemployed in a soft labor market, you might drop out altogether in the labor force.
But the trends all seem to shrug off this factor.
Older people are in the dotted lines near the bottom (men are blue, women are red). Both groups have rising participation rates, going back for 20 years.
Is this due to declining pensions and pension security? Maybe. Is it due to seeking a social connection via work? Maybe. Is it due to seeking health insurance? Maybe. Are there other factors? Maybe.
Another trend that catches my eye: The rate for men (all ages) has been dropping, down from 95% in the 1950s to 85% today. That might suggest why Donald Trump resonates among this group. Fifteen percent of about 160 million American men (ages 16-64) who have dropped out of working is a really big number.
Dig in… think about it... and share.
Thanks to Jim for asking!

No comments: