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3 Ways to Prepare for the Retirement Boom

Publicação em blog

3 Ways to Prepare for the Retirement Boom

This is the second post in a series about how to thrive amid shifting workplace demographics. The United States workforce is being shaken up. Within the next decade, as key office demographics change, corporate America will look and function very differently than it does today. Last month, I explored how women are leaving the corporate world and starting their own businesses — finding more career opportunity and fulfillment in the process. Today, I'll explore a topic leaders have been hearing for a while, but not yet heeded: Baby boomers are reaching retirement age. And just like women, retirees are primed to become competition for the very organizations they decide to leave. Companies need to do some major prep work to get ready for the huge demographic shifts headed their way. At the same time, there's a lot of uncertainty around when — and how quickly — boomers will leave the workforce. The Silver Tsunami — or a Light Drizzle Baby boomer retirement means over 40 percent of the 9-to-5 corporate workforce will be gone in the next decade. However, the "Silver Tsunami" many economists predicted has not come to total fruition — boomers may or may not retire on time, due to the economy and their pension funds. If they do retire, organizations will lose a lot of talent. Retiring baby boomers are going to be hard to replace, because Generation X is relatively small and millennials have a different concept of how they want to work. If the baby boomers don't retire? Organizations are still not in the clear. Healthcare and pension costs are going to skyrocket and organizations will have personnel challenges that range from keeping an older workforce up-to-date to figuring out protocol when a boomer reports to someone who's young enough to be his granddaughter. Goodbye — or See You Later Some retirees will say sayonara to the workforce for good. One of my manufacturing clients is facing the traditional retirement challenge: The company has plants where more than half of its workers are at least 58 years old. If it doesn't replace the work pool very soon, it risks having to shut down the plants. But other clients are facing a more modern challenge of the retirement boom: For white-collar companies, the likely risk is that "retiring" boomers will walk out, start their own companies or consulting projects and come back as competition. Recent studies show nearly two-thirds of workers ages 16 to 64 prefer a gradual transition to retirement, and a report from the Kauffman Foundation found that baby boomers are twice as likely to launch a new business this year as millennials. Whether boomers retire full-time or continue their career as their own boss, companies need to prepare for how departing talent will impact their workforce So, how can a company prepare for the loss of baby boomers? Start with these three tips. How to Prepare for the Retirement Boom 1) Start an intergenerational mentoring program, often called reverse mentoring. Match a baby boomer employee to a millennial or Generation X employee, and set aside time for the pair to teach one another new skills. Baby boomers are extremely skilled at in-person relationships and office politics. They've learned how to navigate a huge number of personalities in school, on teams and at work. Gen X can teach something that both the boomers and millennials often lack: focus. This comes from their ability to look at things unsentimentally. Additionally, Generation X's perceived cynicism makes them great Devil's Advocates — a skill that can be very helpful for the other generations to master. So what can millennials teach boomers and Gen X? You guessed it: technology. They are the digital natives. If you're Gen X, you're a digital immigrant. If you're a boomer, you're the parent of the digital immigrant, still living in the old country. But that's not all millennials have to offer — they can also teach how to improve innovation, and give a global perspective to solving problems. 2) To bridge the knowledge gap, institute flexible work options for baby boomers, making it possible for them to continue to work part-time or part-year on their own schedule. An AARP study found that what baby boomers wanted most at age 65 was financial security, better health, travel, and time with family and friends. A flexible work arrangement can help baby boomer employees reach their goals, while also helping your organization with efficient and progressive knowledge transferring. For instance, you can institute a job-sharing program where a baby boomer shares his or her job with a member of a different generation to mentor throughout the process. 3) Invest in education and training programs for younger employees or prospective talent. From internships to shadow days for local high school students, you can initiate training programs to prepare younger people with the skills they need to enter the workforce, potentially in your industry and organization. The mass departure of the baby boomer generation is certainly a shake-up that requires strategic preparation, but the changes won't end there. Preparing for the loss of the boomers also means preparing for the entrance of their replacements — younger generations and minorities — including their skills, their workstyles and their career expectations. Stay tuned for another post in this series on changing workplace demographics next month! Photo: Creative Commons

The Future of Work: An ’Un-Panel’ Discussion at Convergence

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The Future of Work: An ’Un-Panel’ Discussion at Convergence

What does the future of work look like, exactly, in the view of some leading HR and talent management experts? Instead of tossing such questions to his three panelists Tuesday at Cornerstone Convergence 2013, Cornerstone OnDemand marketing VP Jason Corsello polled Convergence audience members for their thoughts and then had the panel dissect the results. The lively "Un-Panel" session covered a lot of ground in quick fashion -- touching on the future of recruitment, collaboration, learning, and performance -- with Elaine Orler (founder and president of Talent Function Group), Josh Bersin (principal and founder of Bersin by Deloitte) and HRE columnist and radio host Bill Kutik all weighing in -- and not necessarily in unison. Here are a few highlights from the polled questions and the discussions that ensued: Recruiting sources vs. recruiting channels. Nearly 40 percent of attendees said that their organizations find job candidates through corporate career sites. Orler challenged respondents to think a little differently. "I don't believe a corporate career site is actually a source -- it's a channel," Orler said. "The candidates found you through something else, whether it be through social media or advertising relationships." In order to understand where your candidates come from, Orler added, recruiters have to pinpoint these sources. Questionable value of applicant tracking systems. Applicant tracking systems typically don’t live up to billing, according to the panelists. Bersin suggested that these systems have little or no net impact on the overall success or efficiency of recruiting, short of automating the basic process. Bersin cited research that found that the most impact on recruiting derives from candidate relationship management, employee assessment, and, perhaps most importantly, continuous training and retraining of recruiters themselves. "Companies that are training and retraining their own recruiters are out-performing companies that don't," he said. Challenges and opportunities in social collaboration. An overwhelming majority, 84 percent of the crowd reported that it uses (or plans to use) social collaboration tools in the workplace. Kutik wasn't buying that level of buy-in, but he did fervently echo the importance of being an early adopter. "Social collaboration in the enterprise is not for organizing volleyball games after work anymore," Kutik said. Social collaboration, Orler added, must be integrated into the way people work, and HR managers need to accept this integration by letting go of old specifications focused on compliance rather than on what matters more – creating new ways to get work done more efficiently and collaboratively. "One of the greatest challenges in adopting social collaboration for HR professionals is that it's a two way street," Orler explained. "HR has generally been a one-way conversation. We need to break some of those old school silos in order for the collaboration to work. We will see that we can trust our employees again." Where we're headed with performance feedback. Are annual performance reviews effective? Seventy-percent of the HR-oriented audience quickly said no -- and the panel generally agreed that the practice is nearing retirement status. Bersin argued that large companies especially need to move towards a new form of continuous performance feedback, with peer reviews assuming a larger role in an ongoing (and collective) conversation about individual performance. An array of new tools has emerged to speed the transition -- assigning badges and other types of rewards through social platforms, for instance, and other ways of "game-ifying" the feedback loop. Kutik, however, advised a word of caution: All the social badges and rewards, he explained, need to have real economic value for employees to make them stick as effective performance motivators. He cited a cultural reference to back up his point. "Shame on baby boomers," Kutik said to the delight of the crowd, "for giving their children awards for simply participating in a soccer game instead of winning." Orler offered some thoughtful counterpoint: All these new social forms of acknowledgement are truly important in an era where continuous and meaningful feedback are key expectations of new employees, especially Millennials. They simply need to be delivered and communicated in a smart way. Aligning the culture with what employees truly want. What matters most to employees these days when it comes to managing their careers? Audience members reported that their own career progression and work-life balance ranked as the top two. Orler suggested that the obsession with work-life balance is misleading in the modern workplace. Today, says Orler, "work is life. It's important for companies to simplify this balance by trusting their employees and the work they do. Bersin took that notion a step further -- suggesting that the explosion of mobile technology and other factors have ratcheted up the stress factor on employees, who often feel anchored to work responsibilities 24/7. Bersin added: "Companies need to think more deeply about the impact of all this." What’s your take on the future of work? Let us know in the comments.

Team Starstruck Saves the World: The Superheroes of Twitter

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Team Starstruck Saves the World: The Superheroes of Twitter

Ah, the internet. A bizarre realm where cats are revered and time has no meaning. It's much like space: studded with stars, warped by black holes, and forever expanding in all directions. While some of us are happy to drift, others are eager to remind us of all that work to be done on Planet Earth. Enter Team Starstruck! These five superheroes of social media are harnessing their star power to promote worthy causes. <img src="<a href="http://www.cornerstoneondemand.com/sites/default/files/TeanStartrucks2.png"/><p>Team">http://www.cornerstoneondemand.com/sites/default/files/TeanStartrucks2.p...</a> Starstruck Saves the World: The Superheroes of Twitter - CornerstoneOnDemand.com - Infographic" title="Team Starstruck Saves the World: The Superheroes of Twitter - CornerstoneOnDemand.com <a href="<a href="http://www.cornerstoneondemand.com">CornerstoneOnDemand</a></p>">http://www.cornerstoneondemand.com">CornerstoneOnDemand</a></p></a>

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