Here are the statistics: almost 20% of retirees are considering a return to work, according to a recent study by T. Rowe Price. This growing trend is also evident in labor force participation rates, with data from the U.S. Bureau of Labor Statistics indicating that the participation rate for workers aged 65 and older has increased by nearly 3% in the past decade. And, in a recent survey by AARP, over 40% of retirees who returned to work reported that they did so for reasons beyond financial needs—they wanted to stay mentally active and contribute meaningfully.
Why come back to work?
If you talked to enough retirees, there’d likely be a common theme: a desire for continued engagement, a sense of purpose and the ability to provide value. This aligns with what we’re seeing at Pender & Howe: retirees are looking for that chance to apply their lifetime of skills in environments that appreciate their contributions. We also see this as an opportunity for companies to gain back some invaluable experience and foster great collaboration between generations.
Retirees today aren’t exactly “coming out of retirement” in the traditional sense. They’re actively taking steps to redefine what work means in their post-retirement lives. Whether it's part-time roles, consulting, or project-based engagements, they're bringing skills, stability, mentorship, and unique perspectives to organizations that need that boost from seasoned talent.
Why this is good news
For younger employees, having retirees come back to work shouldn’t be viewed as competition. Instead, the perception is better framed as a chance to learn from individuals who have seen the cycles of industry change firsthand. The value retirees bring goes beyond specific industry skills and knowledge — it’s more about strategic thinking, wisdom, and the ability to mentor and nurture future leaders.
The fact is, for many industries, the skills gap is widening. That’s why retirees offer a solution to fill that void. In sectors like healthcare, engineering, and finance, where experience and nuanced understanding are crucial, bringing retirees back can be the key. For example, the healthcare industry has seen an uptick in retirees returning to serve in advisory roles, sharing expertise that simply can’t be learned overnight (or even a few years).
A true win-win scenario
Welcoming retirees back for businesses is also a smart strategy, as it can diversify thought leadership within their teams. Organizations that understand the value of mixing seasoned wisdom with fresh energy are crafting a potent leadership cocktail and can stand strong against economic and technological shifts.
Ultimately, we need to think of this in the way that retirees aren't simply coming back to “work” - they're contributing to a larger story of resilience, knowledge transfer, and the reinvention of what it means to have a meaningful career at any age. They bring much-needed adaptability since they’ve weathered many economic cycles and can model lifelong learning and growth. At Pender & Howe, we believe it's time to embrace this shift as a win-win for employees and organizations alike.
The key takeaway: The narrative around retirement is changing, and businesses have an opportunity to shape what comes next. Creating roles that tap into the strengths of retirees - whether in mentorship programs, advisory boards, or flexible part-time opportunities - can leverage a huge funnel of talent. We think it’s time to rethink retirement not as an end, but a continuing chapter where experience meets opportunity.
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