[Senior Trend] Fierce Competition in the US Senior Industry④ Work and Startup Cases

Eboram, CEO of Third Age

The U.S. presidential election is just around the corner. Both candidates, Biden (81 years old) and Trump (78 years old), are well into their late senior years, both over 75. This is a clear example reflecting one aspect of America. Neither of them has voluntarily retired, despite ongoing concerns about signs of aging every time President Biden speaks. The American Association of Retired Persons (AARP) is conducting awareness campaigns to break stereotypes about age, recognizing the era of an increasing elderly population and a declining number of children. In the U.S., the perception of seniors is limited to two images: retired, healthy elderly couples dressed in high-quality expensive clothes relaxing after a round of golf, or those with bent backs and shabby appearances who require care. Recent social movements argue that "mandatory retirement" is another form of ageism and call for forgetting traditional retirement ages. In March, The New York Times published an article titled "America, the Land of Adults: The Real Questions We Should Be Asking About Age." It stated that Americans need to rethink how to invent and create life in old age as the country faces an aging society.

In fact, the labor market for American seniors has been evolving over the past few years. More seniors are choosing to work beyond traditional retirement ages to maintain financial stability or activity, or to pursue new interests. Whether transitioning to part-time work or extending retirement, the number of seniors delaying retirement is increasing. Since the rise of remote work after COVID-19, some have taken freelance jobs where remote work is possible or switched careers to what is called "Encore careers," pursuing areas of interest or passion. Some seniors start small businesses or venture startups based on entrepreneurial spirit. Others participate in volunteer activities without expecting any financial reward, donating their skills and experience to various organizations. These trends vary individually depending on health, financial status, and preferences. What intrigued me from various surveys was that a significant number of American seniors, who were thought to be independent, delay retirement to financially support their children.

Among the various types of work trends for American seniors, let’s look at entrepreneurship. Recently, a successful startup case of a man in his 50s named "Freddy Rudy" was introduced in the startup community. From 1990, he served as the Chief Technology Officer (CTO) at a company that grew significantly, and by the time he was 48, his stock was worth 50 billion KRW. However, in 2002, the company went bankrupt due to an accounting fraud scandal, and both his job and assets disappeared. He immediately started a business, but it closed down because his co-founder was a convicted fraudster, leaving him in debt. With no other options, he started an IT service business again at age 50. After 10 years of effort, he turned his life around, rejecting acquisition offers and eventually going public, turning the company into a 20 trillion KRW enterprise in 20 years. While young Silicon Valley entrepreneurs typically grow quickly by reading trends and securing investments at a young age, his journey was truly a hard-fought battle. Meanwhile, "Colonel Sanders" founded KFC at age 65 despite struggling to make a living, facing fires, business failures, and hundreds of rejections. When he passed away at age 90, KFC had about 6,000 stores in 48 countries worldwide. "Ray Kroc," who introduced the franchise system to McDonald's and grew it into a global company with about 35,000 stores, also started his challenge at age 52, when most people plan their retirement.

There are also cases of career creation. One example is "Bonnie Garmus," author of the autobiographical novel "Lessons in Chemistry," which was also made into a drama. In the 1950s, she wanted to build a career as a scientist but faced difficulties in a society that was unequal to women. After numerous rejections, she started working on a TV cooking show by chance, claiming "cooking is chemistry." She became a TV cooking star but had to leave due to family issues, facing hardship again. After 98 rejections, she debuted as a writer at age 65, receiving a $2 million advance and selling 10 million copies worldwide.

Career changes are also possible. There are growing concerns that artificial intelligence might eliminate jobs. However, in high value-added industries like semiconductors, the demand for technical and related support jobs far exceeds supply. Anyone with a high school diploma or higher can qualify after 12 weeks of intensive training at a local community college and hands-on practice in a cleanroom. New entrants range from single mothers to retired seniors.

American seniors say it is torture to spend over 30 years without work while being healthy, and they want to return to the workplace. The U.S. has long implemented returnship programs for retired seniors. They are confidently practicing "lifelong active careers" and finding ways to grow as experts in new jobs and fields even in their 50s.

Our society now needs a serious conversation about aging and labor.

Lee Boram, CEO of Third Age