The first wave of the baby boom generation will start to turn age 65 in 2011 and the last of the boomers will be 65 in 2029. As the baby boom generation ages, the aged dependency ratio will rise. A Growing Number of Older Workers Are in the Labor Force

The number of older workers will grow substantially over the next two decades and they will become an increasingly significant proportion of all workers. Older Workers Are Less Likely to Lose Jobs Than Younger Workers, But More Likely to Exit the Labor Force if Job Loss Occurs

While older workers are less likely than younger workers to lose a job, older workers who do lose a job are somewhat less likely than younger workers to return to work. Some public employers are using other pension incentives to retain teachers. Most employers are not yet facing labor shortages or other economic pressures requiring them to consider phased retirement or related programs.
What GAO Found

The impending retirement of the "baby boom" generation is receiving considerable attention. The number of older workers will grow substantially during the next two decades, and they will become an increasingly significant share of the U.S. workforce. Although older workers are less likely than younger workers to lose a job, when they do lose a job, they are less likely than younger workers to find other employment. To retain older workers and extend their careers, some public and a few private employers are providing options, including flexible hours and financial benefits, reduced workloads through the use of part-time or part-year schedules, and job-sharing. Most employers are not yet facing labor shortages or other economic pressures that would require them to consider flexible employment arrangements because the retirement of the baby boom generation will occur gradually during the next several decades.