Older Workers Have Highest Long-Term Jobless Rate

By Mike Hall 
AFL-CIO News 
May 15, 2012

http://www.aflcio.org/Blog/Political-Action-Legislation/Older-Workers-Have-Highest-Long-Term-Jobless-Rate

Older workers who lose their jobs have the highest rate
of long-term unemployment compared to any other age
group. In 2011, more than half of jobless workers, ages
50 years and older, were out of work for more than six
months. The trend continues this year.

Christine Owens, executive director of the National
Employment Law Project (NELP), told the Senate Special
Committee on Aging this afternoon:

The prospects are dim for older workers who lose their
jobs..They face pointed discrimination when they go
looking for work, and they are especially vulnerable to
financial instability. Congress needs to take extra
steps to address the difficulties that some of the most
seasoned members of the workforce are experiencing.

A report from the Government Accountability Office
(GAO) [http://www.aging.senate.gov/events/hr245rpt.pdf]
also found that long-term unemployment of older workers
means significantly reduced retirement income,
especially for those defined-contribution retirement
plans such as 401(k) rather than traditional guaranteed
defined-benefit pensions. In addition, older jobless
workers are often forced to tap into those retirement
savings.

Sen. Herb Kohl (D-Wis.), chairman of the Special
Committee on Aging, said:

Left unchecked, long-term unemployment among older
workers is a problem that will continue to grow as our
workforce grays.

Kohl has introduced the Older Worker Opportunity Act,
which would provide tax credits for businesses
employing older workers with flexible work programs.

Employers and job search agencies claim they do not
discriminate against older workers. But Sheila White,
unemployed since she lost her job as manager of a
women's clothing store in January 2010, sent out
hundreds of résumés and had 15 interviews. She told the
panel she rarely received a response after the
interview.

It then occurred to me that a potential employee could
look me up on the Internet and lo and behold there was
my age, clearly printed for all to see! I sensed my
inability to find work had something to do with age,
but I couldn't prove it. Many jobs required me to enter
my date of birth to even complete my online
application.

Owens said that one tool to combat age discrimination
is the Protecting Older Workers Against Discrimination
Act that would preserve the rights of older job
applicants and employees who are turned down for jobs
or treated differently at work in part due to their
age.

She also called for the passage of the Fair Employment
Opportunity Act that would prohibit employers and job
recruiters from excluding the unemployed from job
consideration simply because of their unemployment
status. In the past few years, many firms' ads and
websites state that jobless workers will not be
considered. As Owens said:

Because long-term unemployed workers are
disproportionately older, older workers are more likely
to be affected by exclusionary hiring practices based
on employment status.

Click here for the full testimony from all the
witnesses.
http://www.aging.senate.gov/hearing_detail.cfm?id=336777&

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