In the next decade the retirement of the baby boomer generation is expected to slow labor growth. The answer to this problem lies with the rising immigrant population, who will lessen the impact. In the coming decades the number of baby boomers 65 and older will double to almost 89 million. That means that about a quarter of the population will be retiring from their jobs. While this may seem daunting and scary to our economy, there is hope and much of it lies in the hands of the increasing immigrant population and their children.
Immigration accounts for more than two-fifths of the US population growth. In the coming decades, immigrants and the children of immigrants will play an important role in the growth of the economy as workers and taxpayers. With the US population aging rapidly in the next ten to fifteen years, the rise in immigrants is slowing it down, because they tend to be younger. In 2010 the percent of immigrants that were of working age (18-64) were 80 percent versus 60 percent of the native born population. In 2011 nearly a quarter of the children ages 17 and under had at least one immigrant parent, thus showing how this is the fastest growing demographic group within the US. This group is extremely important for when they become taxpaying adults and will be able to help with the Social Security and Medicare for the baby boomers as they grow older. The demand for healthcare workers will also see an increase, which will open up for more jobs that immigrants will be likely to fill. As of 2010 immigrants held 14 percent of the positions in healthcare practitioner and technical operations and 18 percent of the healthcare support occupations.
There is a light at the end of the tunnel. Although many think the retirement of the baby boomer population will result in an even greater economic downturn, the glimmer of hope is guided by the immigrant population. Immigrants and their children will help fill in the gaps in the labor force and create new businesses that will grow the US economy. With the immigration reform coming, this is good to show the benefits the immigrants will bring to the economy. The economy will increase when they start working and becoming taxpayers. When the baby boomers retire and grow old, the immigrant population will be there to contribute to the Social Security and Medicare systems with their tax dollars. By letting in immigrants that will contribute to our economy through joining the labor force and being taxpayers this will lessen the impact of the retirement of one of the largest generations in history.
Sources:
http://www.migrationinformation.org/USfocus/display.cfm?ID=931#2b
http://billmoyers.com/2013/02/01/how-immigration-reform-could-help-fix-our-economy/