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The early retirement of experienced workers is seriously harming the U.S. economy, according to a new report from the Hudson Ins
The early retirement of experienced workers is seriously harming the U.S. economy, according to a new report from the Hudson Ins
admin
2011-01-10
58
问题
The early retirement of experienced workers is seriously harming the U.S. economy, according to a new report from the Hudson Institute, a public policy research organization. Currently, many older experienced workers retire at an early age. According to the recently issued statistics, 79 percent of qualified workers begin collecting retirement benefits at age 62; if that trend continues, there will be a labor shortage that will hinder the economic growth in the twenty-first century.
Older Americans constitute an increasing proportion of the population, according to the US. Census Bureau, and the population of those over age 65 will grow by 60% between 2001 and 2020. During the same period, the group aged 18 to 44 will increase by only 4%. Keeping older skilled workers employed, even part time, would increase U.S. economic output and strengthen the tax base; but without significant policy reforms, massive early retirement among baby boomers seems more likely.
Retirement at age 62 is an economically rational decision today. Social Security and Medicaid earnings limits and tax penalties subject our most experienced workers to marginal tax rates as high as 67%. Social Security formulas encourage early retirement. Although incomes usually rise with additional years of work, any pay increases after the 35-year mark result in higher Social Security taxes but only small increases in benefits.
Hudson Institute researchers believe that federal tax and benefit policies are at fault and reforms are urgently needed, but they disagree with the popular proposal that much older Americans will have to work because Social Security will not support them and that baby boomers are not saving enough for retirement. According to the increase in 401 (k) and Keogh retirement plans, the ongoing stock market on Wall Street, and the likelihood of large inheritances, them is evidence that baby boomers will reach age 65 with greater financial assets than previous generations.
The Hudson institute advocates reforming government policies that now discourage work and savings, especially for older worker. Among the report’s recommendations: tax half of all Social Security benefits, regardless of other income; provide 8% larger benefits for each year beyond 65; and permit workers nearing retirement to negotiate compensation packages that may include a lower salary but with greater healthcare benefits. However, it may take real and fruitful planning to find the right solution to the early retirement of older experienced workers; any measures taken must be allowed to prolong the service ability of older experienced workers.
The older experienced workers in America tend to retire early because their prolonged service may ______.
选项
A、do harm to younger generations
B、end up with few or no benefits
C、give play to their potentials
D、shed light on social trends
答案
B
解析
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