Aging Baby Boomers Create Jobs in Health Care
In America, the Baby Boomer generation (born between the end of World War II and the mid-1960s) is entering its golden years. From 1991 to 2010, there was a net gain of 5 million members per year in this age group. This period has also seen a demographic shift as more members are over 65 and fewer are under 18. By 2030, one fourth of all Americans will be retirement age or older. And as they enter retirement they create jobs in health care (44% according to US Census Bureau).
According to a 1999 report prepared for the Social Security Administration, "Baby boomers are projected to spend $2.5 trillion on health-related goods and services by 2020." The US Bureau of Labor Statistics forecast employment in home-based health care services (including home health aides, personal care assistants and companions) to increase 29% from 2002 to 2012.
By a factor of 5:1 or more, these jobs are provided by women compared with men. In 2001, 79% of home health aides were women; 60% of nursing, residential care and psychiatric aide workers were women; and 57% of home-based child care workers were women (US Dept. Labor). Similarly, women dominated in home health care services ($9.2 billion annual revenue) in 2001: 93% of home health aides were women, as were 95% of personal care aides, and 98% of companion and home health care aides (Social Security Administration). Home health aides form the largest employment category in this industry.
As an industry spokesperson noted "When you are caring for older people, you are relying on people who have a natural affinity for caring for others." In a US Department of Labor study of personal care assistants (PCAs), the PCAs interviewed emphasized their desire to work with older persons and enjoyed the experience.
The PCA role is part-time and usually does not provide enough income to support oneself outside the home. However, the Bureau of Labor Statistics reports that in 2001 there were more than 1,000,000 PCAs working in all industries and on every continent outside of North America (including 397,334 in the US).
The number of retirement homes is increasing as older persons throng to them. As a result, many elderly persons also suffer from loneliness which creates health disparities. Physicians for Social Responsibility points out that "the majority of nursing homes are for people who are too feeble to care for themselves or have dementia or other forms of mental illness." This can lead to malnutrition and dehydration.
Nearly 40% of nursing home residents over age 65 suffer from malnutrition; 17% have a weight loss greater than 10%. Moreover, 14% have a weight loss greater than 20%. Illness also increases and health care costs rise.
In 2003 it was estimated that more than 50 million Americans live in nursing homes but at a cost to the federal government of $150 billion per year. These costs include Medicare ($79 billion), Medicaid ($43 billion), Supplemental Security Income ($19 billion), Veterans Administration ($13 billion) and Social Security Administration pension and disability payments ($9.2 billion).
When 20 baby boomers were asked how they were coping with old age, their responses varied: "I am fine," "I am very happy," "I am worried about healthcare," "It's OK" and "No reaction. I have adjusted to life. It has happened."
According to a Kaiser Foundation poll a few years ago, "When it comes to making decisions about retirement, Baby Boomers are grappling with an unusual problem – they're not sure what they want. While they are enjoying their post-World War II security, they don't know whether to retire early or hold out until later in their lives . . . 59% of them plan to retire in their 60s or 70s, with 22% saying they will never retire."
In a US Census Bureau study (The 2001 Population Profile of Children under the Age of 18) it was found that the number of children is decreasing as more adults continue to live longer. Among those aged 18 to 19, the number in 1999 was 5.0 million; by 2001 it had dropped to 4.6 million. However, the number increased for 18- and 19-year-olds between 1999 and 2005, to as many as 5.5 million.
It is projected that 22% of all Americans will live with their parents by 2030 (US Census Bureau). The US Department of Labor Announces that Job Growth in Home Health Care Services Continues
(see slide 12)
According to a 2004 study prepared for the US Department of Health and Human Services (DHHS), "The aging Baby Boomer generation is a large and growing segment of the population that demands greater attention by health care policy makers. Because of the large number of older Americans who have some form of disability, as well as demographic shifts such as a decline in teen fertility rates, this population is anticipated to grow dramatically over the next several decades."
The US Census Bureau projects that by 2020 there will be an "estimated 42.0 million working-age (20 to 64) individuals 65 years old or older . . . will comprise 35 percent of the nation's population." By 2030 this group can expect to increase from the current 6% to 13%.
In 2000, 6.4 million Americans were age 65 or older, representing 4.2 percent of the total population—about 2.3 percent of people age 25 and over (US Census Bureau). Another 2.1 million Americans 65 years and older were under age 65; that is, 13.7 percent of the population age 25 and over (US Census Bureau). In 2005, the number of seniors increased by 12% or 536,000.
Referring to income in 2003 for the over 65 population, the US Census Bureau reported that on a per capita basis median income in 2003 was $16,437—for those age 65 and older it was $13,848, while for those younger than 65 it was $20,146 (US Census Bureau).
The average household size by 2000 is 2.6 persons. The number of families with children headed by a single parent rose from 11% in 1970 to 20% in 2000 (US Census Bureau).
As of 2001, there were more than 1,000,000 PCs doing work for persons with disabilities in the United States. Over half (57%) were working for persons with mental conditions; and 17% worked for those with physical conditions (US Dept. Labor).
In 2000, it was estimated that 5.5 million Americans had Alzheimer's disease (1.5 million over 74 and 3 million under 74). The total cost of caring for Alzheimer's patients is $91 billion a year—nearly 8 times what we spend on breast cancer. By 2030 this disease can be expected to grow to 8 million Americans, which is twice today's number (US Dept. Health and Human Services).
In 1997, the Federal Interagency Forum on Aging-Related Statistics reported that "12 percent of persons age 65 and over have difficulty getting out of bed, dressing or bathing (2.4 million), walking about (2.1 million), or transferring from one place to another (2.5 million)" (National Institute of Health)
In 2005 there were as many as 65,000 centenarians in the US—one-third who live in California.
Conclusion
This paper, "Loneliness and Social Isolation of Older Americans," was based on a 2002 report by the US Senate Special Committee on Aging. It noted that there is a lot of discussion in the US media about advancement in medical technology and ongoing research to develop treatments for what are sometimes referred to as diseases of aging. Investigations are expanding into possible developments to fight Alzheimer's disease and other maladies. However, given the breadth and depth of information that has been presented here about aging, it would seem that there is more than ever for persons to think about regarding the complex issues related to old age in America today.