1 / 82

IEDC 2007 National Conference • September 18, 2007

IEDC 2007 National Conference • September 18, 2007. Who are the Baby Boomers?. This is the issue:.

matty
Download Presentation

IEDC 2007 National Conference • September 18, 2007

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. IEDC 2007 National Conference • September 18, 2007

  2. Who are the Baby Boomers?

  3. This is the issue: • Starting in five years and lasting for more than a decade, the nation, states, and localities will face a huge potential loss of their most productive and skilled workers due to retirement, • while… • the younger workforce will be too small, unskilled and inexperienced to fill the gap.

  4. Economies and Employers Governments Unprecedented skills and workforce shortages Declining labor productivity Enormous health and services expenses Declining revenues

  5. What impact this demographic situation will have on labor markets and employers What is being done at the national and state levels to meet the challenge What employers are doing now to meet the challenge What areas can do now to prepare for the future In this session we will explore:

  6. The Speakers • The Situation • George Robertson: • America’s Communities Workforce 2010 • Solutions Being Taken • Bill Fredrick: • Public/Private/Non-Profit Sector Efforts

  7. AMERICA’S COMMUNITIESWORKFORCE 2010 George Robertson Cenla Advantage Partnership September 18, 2007 IEDC Annual Conference

  8. THE PERFECT STORM FOR A WORKFORCE DISASTER

  9. ELEMENT ONE…TECHNOLOGY EXPLOSION • Growth of knowledge is exponential • Decade of the nineties…all knowledge on Planet Earth will double

  10. 3000 NEW BOOKS ARE PUBLISHED DAILY

  11. TOTAL NUMBER OF PAGES ON THE WORLD WIDE WEB 200 BILLION DOUBLING EVERY 6 MONTHS

  12. TECHNICAL INFORMATION NOW DOUBLING EVERY TWO YEARS A student starting a four-year engineering degree last September… Will have to re-learn as a junior what they were taught as a freshman, because it will be outdated.

  13. An unprecedented number of baby boomers will retire in the U.S. And be replaced by a smaller generation …less well educated …less prepared with specialized skills needed by a high-tech economy 2010 AMERICAN REALITY

  14. Majority of parents, students, and educators have outdated at best and misinformed at worst knowledge of new career opportunities… And they know even less about what education or specialized training is needed for these high-paying careers TOO MANY WORKERS WITH THE WRONG SKILLS

  15. GETTING THE WRONG DEGREES More U.S. students degrees last year in Parks and Recreation than in ElectricalEngineering

  16. UNITED STATES All Bachelor Degrees Engineering 71,386 65,195 Electrical Engineering 1988 24,367 2001 12,292 60% foreign students ENGINEERING DEGREES

  17. THREATENED BY GLOBAL HIGHER EDUCATION TRENDS U.S. college graduates with engineering/technology majors: 17% China: 52% Korea: 34%

  18. ELEMENT TWO: AN AGING WORKFORCE 1976: 60% U.S. workforce under 40…. 2006: 52% over 40

  19. THE US TALENT POOL OF SKILLED WORKERS… will shrink by 6% during the 2010 decade “There has never been anything like today’s aging population…the potential economic meltdown it might bring.” Edward E. Gordon www.imperialcorp.com

  20. OVER 50% OF ALL ENGINEERS IN THE UNITED STATES… Are over age 40 Only 4% of NASA scientists and engineers are under 30

  21. THREATENED BY GLOBAL COMPETITION ……. World population growing younger World labor supply growing 80% faster than U.S.

  22. THERE ARE MORE PEOPLE IN INDIA UNDER THE AGE OF 10 …than there are people in the United States

  23. WHEN IT COMES TO WORKFORCE… SIZE MATTERS

  24. IN THIRTY MINUTES OF THIS PRESENTATION Babies born in the U.S. 360 Babies born in China 1,464 Babies born in India 2,106

  25. THE TOP 25% OF CHINA’S STUDENTS… are more than the entire student population ofNorth America

  26. WHERE ARE ALL THE SUPERVISORS AND MANAGERS? Valley of the Baby Bust: Generation X

  27. FOR RURAL AND SMALL-CITY AMERICA, AN EVEN GREATER PROBLEM…. The young… the restless… Generation Y larger but migratory… The out-migration of our youth

  28. CREATIVE CLASS…A PARADIGM SWITCH Magnet centers….”These places are talent magnets and talent aggregators. Their key function is to provide a regional talent pool into which firms can dip as needed and from which new ideas and firms bubble up…..places have replaced companies as the key organizing units in our economy.” Richard Florida The Rise of the Creative Class

  29. THE MAGNET CENTERS KEEP EXPANDING 88 Largest MSA’s (over 500,000 population) represent as of 2005 63% of US population

  30. Have long distorted U.S. population balance 70 million will exit labor force in next 18 years TO BE REPLACED BY 40 MILLION WORKERS BABY BOOMERS79 MILLION STRONG

  31. BOOMER RETIRMENT….at-risk industries…Illinois Study Education 17.8% Manufacturing 16.4% Mining 16.2% Other Services 16.2% Transport/warehouse 16.2% Healthcare 15.5% Finance 14.9%

  32. IST state report Iowa 2000-2004 Manufacturing18.3% over 55 22.4% in rural areas 15% workers statewide over 55 99 Counties: 15 had 20% of workforce over 55 99 Counties: 95 had increase in older workers MSA’s 13.8%; rural 16.5% 55+ industry sectors: mining 23%, education 22%, real estate 21%, utilities 20% Oldest industry: agriculture 7.4% over 65 AGING WORKFORCE US DOL STUDYING 30 STATES

  33. ...BOOMERS BY SELECTED OCCUPATION IMPACT (BLS,1998,0ver 45yrs) Farmers 68.5% Clergy 56.9% Millwrights 56.6% Dentists 51.3% Teachers 50.3% Telecom Installers 49.0% Tool and Die Makers 46.7%

  34. 80% Master-level nurses retiring next 5 years 38% US Nursing Schools report current faculty shortages USDHHS NURSING SHORTAGES PROJ. 2008 450,000 2020 808,000 NURSING: ALREADY IN CRISIS

  35. WHY AREN’T WE TALKING ABOUT? • 85% Science/math teachers K-12 retiring next 5 years • Average age of a plumber in America: 58 years • Machinists/millwrights: old and older

  36. 50% say they will work into their 70’s WHY? Money Health Insurance Boredom BUT… A significant number will change career fields WHAT WILL BABY BOOMERS DO?

  37. BOOMERS 55-64 MALES:68% currently working FEMALES77% currently working Labor-force participation ofthose over 55 has to increase by 25% starting in 2011 to maintain current levels of U.S. productivity WILL BOOMERS REALLY RETIRE?

  38. BROOKINGS INSTITUTE STUDY 2007 ON LEADING-EDGE BOOMERS More bad news for rural and small-city America… BOOMERS AREON THE MOVE, ALSO

  39. World War II generation (over 65 years) Continues to move West, with the exception of California and the addition of Florida Leading-edge boomers MOVING Southwest, Southeast, and Northwest PRE-SENIORS AGE 55-64 GROWING-ON THE MOVE

  40. Large MSA’s Las Vegas, NV Austin, TX Raleigh, NC Atlanta, GA Phoenix, AZ Portland, OR Albuquerque, NM Dallas/Ft. Worth, TX Orlando, FL Jacksonville, FL Small SMA’s Santa Fe, NM Anchorage, AK Bend, OR Coeur d’Alene, ID Boise City, ID St. George, UT Fairbanks, AK Flagstaff, AZ Olympia, WA Ft. Collins, CO LEADING-EDGE BOOMERS FASTEST GROWTH

  41. U.S. CENTER FOR STRATEGIC AND GLOBAL STUDIES “ Countries will have to race against time to ensure their economic and social fabric against the shock of global aging.”

  42. A thought..do our communities realize they are in a race against time? “If everything seems under control, you’re just not going fast enough.” Mario Andretti

  43. A THOUGHT FOR COMMUNITY ECONOMIC DEVELOPMENT POLICY Without the workforce of the future… YOU HAVE NO FUTURE

  44. A FINAL THOUGHT…. “When the rate of change on the outside exceeds the rate of change on the inside, the end is in sight!!” Jack Welch, former CEO, General Electric

  45. GEORGE L. ROBERTSON, PRESIDENT P.O. BOX 465 ALEXANDRIA LA. 71309 1-318-767-3001 WWW. CAPCENLA.ORG

  46. The Need to Retain • Increasing US labor participation needed among 55+ year-olds for 2% annual economic growth • 2003: 77.6% • 2010: 90.4% • 2020: 91.6% (Source: Strategies to Retain Older Workers, Pension Research Council Working Paper, The Wharton School, 2004)

  47. National Governors Association • Recognized the issue of massive Boomer retirement and its broad-based threat • State-based strategy taken: one-year, 8-state Policy Academy • Arizona as mentor • Interact with peers and national experts • Next 2 years in planning stage; RFPs

  48. National Governors Association GOAL: Ensure states are providing employment and volunteer options to future and new retirees, including baby boomers

More Related