Older Unemployed Have Harder Time Landing New Job

Millions of people have been thrown out of work in the Great Recession, but one group in particular seems to have a harder time getting back on the job track.

A recent report by the Congressional Research Service finds that older Americans are more likely than any other age group to remain out of work for 99 weeks or more once they become unemployed.

Among unemployed adults over age 65, one out of eight -- or 12.15 percent --  had faced 99 weeks or more of unemployment, sometimes called very long-term unemployment. For unemployed adults ages 55 and over, 11.51 percent had spent almost the last two years looking for work, considerably higher than the figure of six percent among unemployed workers under age 35.

The report also observes that unemployed black workers were more likely to be out of work for 99 weeks or longer than unemployed white workers. The 99-week mark is significant because it is the current maximum duration of unemployment benefits, although in many states that number is lower.

Older adult unemployment is at a near-record high -- double what it was when the recession began in December 2007. Among adults over 65, 6.9 percent were jobless in December 2010.

Living near the poverty line

"It is urgent that we address the employment needs of millions of frustrated and often desperate older adults and Boomers," said Sandra Y. Nathan, Ph.D., Senior Vice President of Economic Security at the National Council on Aging (NCOA). "Many have seen their savings and housing values badly eroded in the economic downturn and are living in or dangerously near poverty. For them, a job is a lifeline that can help them make ends meet and get them on a pathway to economic security."

Since many low-income older adults face multiple challenges -- not just unemployment -- NCOA has launched a pilot program to provide economic casework, a one-on-one, holistic approach to solving problems of economic security through financial counseling, education, and benefits coordination or "financial planning for the rest of us."

Not much time

"Many low-income seniors and Boomers were very hard hit by the economic downturn, and have little or no time to bounce back," said Ramsey Alwin, Director of NCOA's Economic Security Initiative. "As low-income elders juggle their financial obligations, they become increasingly vulnerable, but with a person-centered approach that draws on everything from utility assistance, legal aid, and debt counseling to job training, they can become much more economically secure."

At twelve locations nationwide, NCOA's Economic Security Service Centers  help older adults find out what benefits they are eligible for and navigate an often confusing and fractured network of public and private programs.