In the wake of the Covid-19 crisis, Americans are less keen on working past the age of 60 while at the same time requiring a bigger salary boost to leave their current jobs.
The ranks of Americans expecting to work past 67 have dropped from 34.1% in July 2020 to 32.4% in July 2021, Bloomberg wrote, citing new data from the New York Federal Reserve.
Moreover, 50.1% of respondents expect to keep working past the age of 62 this year, down from 51.9% who did in 2020, according to the news service. That’s the lowest rate since the New York Fed began conducting the study in 2014, Bloomberg wrote.
Since March 2020, more than one million older Americans have left the job market, according to the news service, which attributes the exodus in part to a lack of employment prospects but also to priorities rejigged as a result of the “trauma” of the virus and to the comfort of heftier savings resulting from healthy gains in the market.
Meanwhile, Americans’ “reservation wage” — the lowest salary that workers would accept to take a new job — rose by around $6,475 for workers age 45 and older compared to last year, the New York Fed found, according to Bloomberg. That’s after dropping by a little over $612 from 2018 to 2019 and by close to $1,100 from 2019 to 2020, the news service wrote.
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