Economists Say Age Discrimination in Hiring Forces Cuts in Social Security

The Federal Reserve Bank of San Francisco issued an “Economic Letter” this week noting that “current policies” in place to combat age discrimination in hiring may not work, which is increasing the burden on U.S. Social Security and forcing policy-makers to find ways to limit benefits.

The authors, economists David Neumark and Ian Burn, from the University of California and Patrick Button of Tulane University, also say  research shows that age discrimination most adversely affects women who “end up quite poor” at the end of their lives.

The authors say  older workers are being encouraged to work longer but can’t find jobs due to age discrimination.

“Population aging and the consequent increased financial burden on the U.S. Social Security system is driving new proposals for program reform. One major reform goal is to create stronger incentives for older individuals to stay in the workforce longer.  However, hiring discrimination against older workers creates demand-side barriers that limit the effectiveness of these supply side reforms,”  state the authors.

The authors say age discrimination in hiring is creating pressure on policy makers to reduce the age for Social Security benefits and to cut benefits. [Read more…]

Bloomberg Articles on Age Discrimination in Employment

I am excited to be quoted in a series of excellent articles addressing the problem of age discrimination in employment published today by Bloomberg’s Daily Labor Report.

The main article, by Patrick Dorrian, J.D., is Talkin’ ‘Bout All Generations: Workplace Age Diversity Lacking. It touches upon themes that I have explored  in my book, Betrayed: The Legalization of Age Discrimination in the Workplace,  and in this blog and my other blog devoted exclusively to age discrimination. These themes include actions by the Obama administration and Secretary of Labor Thomas Perez that have encouraged age discrimination in hiring, both in the federal government (our nations largest employer) and nationwide.

A second article, Many Wrinkles in Age Diversity, addresses how age discrimination uniquely and negatively effects women both when they are in the workplace and later, when they are living in poverty or near poverty on Social Security.

It is encouraging to see a national media outlook address these real problems that have affected millions of older Americans for years – problems that have been unaddressed even by supposed advocates for this population group.

Ultimately, nothing will or can change until Americans become aware of the prevalence and consequences of irrational and harmful age discrimination in employment which, by the way, they subsidize through their tax dollars in higher social welfare costs.

Thumbs up to Bloomberg!