Changes that could arise from a ‘ silver tsunami ’
STORY BY METRO CREATIVE CONNECTION
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report from the International Monetary Fund in the summer of 2023 indicated that a new challenge awaits the world in the coming years . The global population increased by 1 billion people between 2010 and 2022 . That remarkable increase saw the world surpass the eight billion people mark in November of 2022 .
Despite a sharp increase in the global population in such a short period of time , the IMF asserts that the population boom is not the most formidable demographic challenge facing the world . The IMF defines population aging as the most formidable challenge . Widely referred to as the “ silver tsunami ,” a term credited to the AARP , the increase in the number of individuals age 65 and older could lead to some unique changes in countries across the globe .
INCREASED RECREATION SPENDING
Sixty-five has traditionally been viewed as retirement age , and that remains an unofficial bar for individuals living in countries like the United States that have increased their official retirement age . Though an uptick in the aging population is often framed in terms of the challenges countries will face , that increase could also present some opportunities . For example , a recent AARP Longevity Economy Outlook report noted that people 50 and older account for the most spending on recreation and culture of any demographic . That could prove beneficial to businesses and regions that cater to consumers interested in recreation .
EMPLOYMENT OPPORTUNITIES
The AARP also noted the role the senior population plays in supporting jobs . In 2020 , the demographic of people 50 and older supported roughly one-third of the world ’ s jobs and generated $ 23 trillion in labor income with its spending on goods and services . Estimates from the AARP indicate that individuals age 50 and older will support 1.5 billion jobs across the globe by 2050 . The labor income impact by then will more than double to $ 53 billion .
EMPLOYMENT CHALLENGES
Though the silver tsunami could help to maintain existing jobs and create plenty of new ones , employers might find it difficult to fill those positions . As more of the global population reaches retirement age , it bears noting that more workers will retire . Deloitte and the Manufacturing Institute note that the manufacturing sector will need to fill 2.5 million job openings related to retirements between 2020 and 2030 . That could prove a sizable challenge , as the aging population is increasing at a time when the young population is decreasing .
The aging population is increasing , which could lead to a number of opportunities and challenges in the decades to come .
34 SENIOR RESOURCE GUIDE 2024