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Brain Drain Essay example
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Brain Drain One of the major concerns of today's companies is the shortage of labor, especially in management. The baby boomers are nearing retirement age in the United States and the birth rate is dropping. These circumstances, coupled with the booming economy are the main causes of the labor shortage. There is a high demand for labor but the once seemingly bottomless pool of employees and managers that companies drew from has started to dry up. What are the factors that contributed to the problem and how are today's corporations going to handle this problem?
The type of labor needed in today's society has been undergoing a constant change. There is an increase in demand for workers but there is a much greater demand…show more content…
The projected increase in 55-64 year olds in the workforce from 1996 to 2006 is a staggering 54%. The projected change in the 25-34 year old bracket is -8.8%. These trends are not only true in the United States. Japan is also going to be coping with similar problems. Today the people over age 65 compose 16% of Japan's population, but by the year 2020 it is projected that percentage will soar to 26.3%. Japan, just like the United States is going to have to attempt to retain some of this group in the workforce to compensate for the continually falling birthrate in their country. This problem is very true in Europe too. Since 1995 Germany, France and Italy have experienced a continual fall in working population ages 15-64. This trend is projected to continue into the year 2000.
Our aging population is also choosing to retire much earlier than they once did. This is a factor contributing to the strong economy we are enjoying now. The old are growing older, living longer and they are healthier than ever. Breakthroughs in medicine have enabled people to live much longer. The advancements our pharmaceutical companies research and development departments have made are staggering. Diseases that once were a death sentence are curable. Organs that are failing in the human body can be replaced or rebuilt. There