Pitfalls in Boomer Retention

There’s an interesting article in the Wall Street Journal (subscription required) that anyone who’s considering how to retain boomers—a hot topic in human resources these days, with the coming retirement brain drain looming—should read. The article, “Pitfalls of Working Past Retirement Age,” looks at issues like the effect on pensions and social security.

Especially when dealing with corporate pensions, it seems someone who decides to work a reduced schedule for reduced pay with a longtime employer could potentially take a serious and permanent pension hit.

I’d think this could leave people feeling cheated, and others unwilling to consider staying on a day past 65. The article also touches on pending legislation that could—if passed—alleviate some of these issues.

I’d have to assume that big corporate HR execs probably know about these pitfalls, but they are worth thinking about when designing a motivation program to retain your boomers (or trying to attract other companies’) and the knowledge they’ve built up over a lifetime.