ADP reporting about data that “provides a critical glimpse into the future of a company’s workforce…”
Workforce Locator™ is an application that functions to support a user’s research goal. Workforce Locator can be used as a comparative assessment tool for organizations by returning data on the distribution of employment among industries and occupation density with precise demographics in each targeted area. This information may influence decisions about full-time staffing needs as well as help organizations to gauge the feasibility of hiring Business Consultants and/or Project Managers.
While it’s not necessarily logical to assume consulting and PM roles require highly experienced individuals (considering newer skill sets may be preferable for hands-on implementations of certain technology, etc.) it makes sense for Talent Acquisition Teams and Workforce Planning Professionals aiming to create a pipeline for consultants to focus on finding highly experienced people who, for various reasons, are more likely to be dependable as consultants. For instance, as consultants these can be people who will not pursue on staff positions because they have retired and therefore they are not dependent on employment that includes company benefits.
This press release by ADP (below) promotes the full ADP study, entitled Age and Retirement Benchmarks: Key Analytics that Drive Human Capital Management.
According to ADP:
> 28% of Public Administration Sector Employees to Reach Retirement Age
> The six industries studied ranged from a low of 9% reaching retirement age in the hospitality industry to a high of 28% in public administration.
I had retirees in mind when I wrote that Workforce Locator can help organizations identify business consultants and after reading the ADP press release I thought to have my posting include a suggestion that there may be wisdom in hiring certain former Public Administration Sector Employees as consultants because of their “inside” government experience.
At this point in time, I’m no longer confident the idea is wise – even as a general suggestion, since the preliminary research I did returned a law firm’s 2005 document with a cautionary headline that strikes me as worth sharing:
> “Revolving Door” Restrictions on Hiring Current or Former Government Employees: What to Know Before You Act
This is the law firm’s advice:
Here’s the ADP item:
September 26, 2013
ADP Research Institute(R) Study Shows 18% of U.S. Workforce May Retire Within Five Years
28% of Public Administration Sector Employees to Reach Retirement Age
ROSELAND, N.J., Sept. 26, 2013 /PRNewswire/ — ADP(R) , a leading global provider of Human Capital Management (HCM) solutions, today announced the findings of a new ADP Research Institute(R) report on age and retirement benchmarks in the U.S. workforce. According to the research, assuming an average retirement age of 61 years, as much as 18% of the U.S. workforce could retire within the next five years. The six industries studied ranged from a low of 9% reaching retirement age in the hospitality industry to a high of 28% in public administration. Other industries included in the study were manufacturing, healthcare, education and retail.
“While there is no guarantee that everyone who reaches the average retirement age will actually stop working, our research indicates several industries could be facing a significant loss of skilled talent over the next five years,” stated Ahu Yildirmaz, Sr. Director — Market Insights at the ADP Research Institute. “Retirement data provides a critical glimpse into the future of a company’s workforce. Businesses will want to assess how their own workforces compare to the averages and consider strategies for recruitment and training in order to replace the significant loss of knowledge, experience and company culture that can be expected.”
The number of workers reaching retirement age in the next five years varies widely across industries. Public administration and healthcare services can expect large numbers of employees to leave the workforce, given the fact that workers in these industries have average age of 47 and 43 respectively. By contrast the average age for hospitality workers is 34 and for retail 36.
“Benchmarks achieved through in-depth research give HCM professionals a new ability to tap the full talent pool and manage their most valuable asset — people,” according to Don Weinstein, Senior Vice President of Product Management at ADP. “The power of “big data” is a growing force in driving strategic business decisions.”
The analysis in this report is based on aggregated, anonymous, real-world data from approximately 52,000 U.S.-based organizations comprised of about 16 million active workers. The data is from the fourth quarter of 2012. The full study, entitled Age and Retirement Benchmarks: Key Analytics that Drive Human Capital Management, can be found at http://www.adp.com/research-trends.