Reinventing retirement in the insurance industry
Retirement deserves a revamped definition — one that honors retirees’ goals and needs and supports businesses' growth.
Baby boomers (born roughly between 1946-1964) are exiting the workforce in droves — as 10,000 of them turn 65 every day. But many employers aren’t yet prepared to replace them, resulting in a growing talent gap.
Industries like insurance are particularly vulnerable because boomers are retiring at the same time there’s a shortage of millennials entering the industry. This shifting dynamic has become a hot topic — one that is shining a light on boomer retirement and its impact on businesses and the economy.
These days, nothing about retirement is predictable. According to a recent article in the Chicago Tribune, the changing nature of retirement presents employers with three core challenges:
- It’s hard to plan when baby boomers will retire. Boomer retirement dates are constantly changing. Some boomers retire early, and some retire late. In general, though, retirees are living longer and retiring later.
- It’s difficult to know what retirement looks like. As stated in the article, nobody has a clear definition of what ‘retirement’ means these days since it’s no longer “a magic moment when you stop working entirely.” Retirement (or pretirement) today might include in-home offices, communal workspaces, flexible hours and video-meetings. Work arrangements become less tied to geography and 40-hour weeks, and more attuned to where and when employees work most efficiently for their employers’ purposes. As retirement’s chronological age is redefined, the physical factors influencing remote work and flexible hours will redefine retirement as well.
- It’s hard to figure out how to replace boomers, especially in certain industries like insurance, which are staffed by fewer young professionals than many other sectors. The insurance industry has an abundance of qualified, sharp, motivated and experienced professionals who are prepared to continue working as they approach and reshape the landscape of retirement. While they are virtually irreplaceable, our wisest move is to employ them, honor their work-life balance needs, and continue to innovate as insurance firms that are prepared to serve clients with engaged, experienced employees.
Due to this uncertainty about the when, what and how of retirement, many businesses are adopting flexible work models that delay the when in its entirety and stave off the immediate how of replacing veteran workers. As mentioned in the Tribune, “the share of companies offering older workers partial-year employment and shorter hours is expected to rise sharply. About two in five companies surveyed are considering offering part-time work or flexible hours by 2020, nearly double the current rate.”
This approach benefits both employers and baby boomers. Boomers who want or need to work can keep working while enjoying a flexible schedule. Employers get to keep their experienced workers while opening space for up-and-coming younger employees.
It’s time to build smart, flexible, mutually beneficial solutions that pair talented veteran insurance professionals with insurance companies who need their skills. Veteran workers boost company culture with knowledge, motivation and experience. They benefit from being able to contribute economically and professionally while gradually shifting into fewer working hours. Companies retain top talent while maintaining a diverse workforce that meets their clients’ needs.
Retirement certainly isn’t cut and dry like it once was, but our life expectancy and economic landscape are not what they once were, either. As people live longer and need to work longer, retirement deserves a revamped definition — one that honors pretirees’ goals and needs and keeps our businesses growing, as we leverage our industry’s most experienced talent.
Sharon Emek, Ph.D., CIC, is the founder and CEO of Work At Home Vintage Experts (WAHVE). WAHVE is an innovative contract talent solution that matches retiring, experienced career professionals with a company’s talent needs. WAHVE bridges the gap between an employer’s need for highly skilled professional talent and seasoned professionals desiring to extend their career working from home. From screening to placement, WAHVE is a comprehensive solution to qualifying, hiring, and managing experienced remote talent. Opinions expressed here are the author’s own.
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