The knowledgeable HR professional needs to be aware of a variety of demographic facts. Here is a set of facts from The Herman Trend Report that I thought were very telling.
As medicine and technology advance, the average lifespan is increasing all over the world. By 2030, there will be more people over 60 than under 10. At this point in time, the fastest growing segment of the global population is those 85 and older.
There will be many more older adults in the US
According to the United States Census Bureau, there are nearly 46 million people age 65-plus today; that number is projected to increase to close to 73 million by 2030. By then, fully one out of five people in the US will be age 65 and older.
Aging populations increasing around the globe
Globally, by 2030, in 55 countries the 65 and older populations will represent at least 20 percent of their totals. By 2040, 1.3 billion older people are projected to be 14 percent of the global population. By 2050, the United Nations estimates that the proportion of the world’s population age 65 and over will more than double, from 7.6 percent today to 16.2 percent.
It is difficult to save enough for retirement
Today, just about half of US households do not have retirement accounts at all. And almost half of baby boomers and Gen Xers will lack the income to meet basic retirement expenses and health care. Globally, elderly populations struggle to make ends meet with meager government payments.
More 50-plus people in the workforce
In 2002, 25 percent of all workers were 50-plus. However, by 2022, 35 percent of people in the labor force will be age 50-plus. In the US and across the globe, the retirement age in increasing. In Singapore, there is a program to retrain older workers and subsidize employers for hiring them.
Aging populations will also represent growing markets
Oxford Economics recently reported that people 50-plus in the US account for USD$7.1 trillion in estimated economic activity. By 2032, that number is expected to be close to USD$13.5 trillion. With aging populations feeling better into their later years and continuing to work, they will continue to have disposable income. These energetic seniors in the US and other developed countries will continue to spend money on travel and other large ticket items. More leading edge marketers will stay ahead of the curve by targeting this growing population cohort with more innovative offerings. Some will even market to specific segments within the total aging population. The more highly targeted the offering, the more profitable the marketer will be.
From “The Herman Trend Alert,” by Joyce Gioia, Strategic Business Futurist. 336-210-3547 or http://www.hermangroup.com. To sign up, visit http://www.HermanTrendAlert.com. The Herman Trend Alert is a trademark of The Herman Group, Inc.”