When Kim Williams and millions of other older Americans lost their jobs early in the coronavirus pandemic, economists wondered how many would ever work again — and how that loss would weigh on the economy for years to come.
Williams, 62, wondered, too, especially when she struggled for months to find work. But in January, she started a new job at an AAA office near her home in Waterbury, Connecticut.
"I'm too young to retire, so I had to go back," she said.
Whether by choice or financial necessity, millions of older Americans have made the same move in recent months. Nearly 64% of adults ages of 55-64 were working in April, essentially the same rate as in February 2020. That is a more complete recovery than among most younger age groups.
The rapid rebound has surprised many economists, who thought that fear of the virus — which is far deadlier for older people — would contribute to a wave of early retirements, especially because many people's savings had been fattened by years of market gains. But there is increasing evidence that the early-retirement narrative was overblown.
"The bottom line is that older workers have gone back to work," said Alicia Munnell, director of the Center for Retirement Research at Boston College.
For many people, retiring early was never an option. Williams spent more than 25 years in manufacturing, working for a Hershey's plant making Almond Joy and Mounds bars. The job paid reasonably well, and offered a retirement plan and other benefits. But in 2007, Hershey's closed the factory, moving production partly to Mexico.
Williams, then in her 40s, went back to school, earning an associate degree in hospitality and eventually finding a job as a supervisor at a local hotel. But the position paid significantly less than her factory job, and she drew down her retirement savings to cover medical expenses and other bills. When she was laid off again in June 2020, just a few weeks after her 60th birthday, Williams had little in savings.