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Older workers face higher unemployment amid virus pandemic

In this July 15, 2020, file photo, job seekers exercise social distancing as they wait to be called into the Heartland Workforce Solutions office in Omaha, Neb. (AP Photo/Nati Harnik, File)

(AP) — For the first time in nearly 50 years, older workers face higher unemployment than their midcareer counterparts, according to a study released Tuesday by the New School university in New York City.

The pandemic has wreaked havoc on employment for people of all ages. But researchers found that during its course, workers 55 and older lost jobs sooner, were rehired slower and continue to face higher job losses than their counterparts ages 35 to 54.

It is the first time since 1973 that such a severe unemployment gap has persisted for six months or longer.

AARP said the study bolstered concerns about the economic impact of the virus on on older workers. When people over 50 lose their jobs, it typically takes them twice as long to find work as it does for younger workers, the organization representing the interests of older Americans estimates.

The pandemic “may be something that is pushing people out of the workforce and they may never get back in,” said Susan Weinstock, AARP’s vice president of financial resilience programing.

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In every recession since the 1970s, older workers had persistently lower unemployment rates than midcareer workers — partly because of seniority benefits.

But in the current recession, older workers experienced higher unemployment rates than midcareer workers in each month since the onset of the pandemic.

The older workers’ unemployment rates from April through September were 1.1 percentage points higher than mid-career workers — at 9.7% versus 8.6%. The rates were compiled using a six-month rolling average and were far worse for older workers who are black, female or lack college degrees.

Among the newly unemployed older workers is Legasse Gamo, 65. He was laid off in March from his job as a baggage handler at Reagan National airport in the Washington suburb of Arlington, Virginia.

While Gamo is afraid of exposing himself to the coronavirus by working around others, he said he has looked for work — because he feels he has little choice but to take any job he can find.

The contractor he worked for, Eulen America, has required its laid off employees to reapply for their jobs. Gamo did so but said he has received no reply.

The immigrant from Ethiopia supports three grandchildren, ages 6, 12 and 14, who live with him. His daughter is still employed, but her pay is not enough to cover their expenses. Gamo gets $210 a week in unemployment insurance payments and said he has spent almost all of his savings.

“I just want to get back to my job as soon as possible to support my family because I’m afraid we will end up homeless,” Gamo said.

The New School study focused only on workers with established careers. As a result, it did not examine workers younger than 35.

It found that the pandemic has posed a unique risk for older workers, said Teresa Ghilarducci, director of the New School’s Schwartz Center for Economic Policy Analysis.

“The higher rate of unemployment for older workers might be because this is a once-in-a-lifetime chance for employers to shed older workers and not fear investigation by the labor department,” Ghilarducci said.

She added: “Age discrimination rules are not being tightly enforced. Employers, fearing economic instability, may want to get rid of relatively more expensive workers and take their chances with training new workers when the economy recovers.”

Older workers often face age discrimination, making it difficult for them to find jobs. Researchers believe employers laid off and resisted rehiring older adults, in part because they tend to face more serious health risks when infected by the virus.

The unemployment spike for older workers could force more of them into early and involuntary retirement, worsen their financial well-being and exacerbate financial disparities already experienced by women, minorities and people without college degrees in terms of retirement security.

New School researchers estimated that 1.4 million workers over 55 remain lost their jobs since April and remain unemployed. The figure does not include workers who became unemployed in April and left the work force.

The situation could have deep ramifications for older workers close to retirement because their final years on the job are critical for those who have not saved enough for their retirement and expect to work longer to shore up their retirement funds.

“Retirement security is very fragile and a lot of them never recovered from the recession in the first place,” said Weinstock, of the AARP. “They were planning on working to make up for money they hadn’t saved and then they aren’t able to make those catch up payments they need.”

The Schwartz Center for Economic Policy Analysis at the New School has estimated in research separate from Monday’s study that 43 million people now in their fifties and early sixties will be poor when they become elderly because of economic conditions or a lack of adequate savings in retirement plans.

The researchers who conducted the new study recommended that Congress increase and extend unemployment benefits for older workers, discourage withdrawals from retirement accounts, lower Medicare eligibility to 50 and create a federal Older Workers Bureau to promote the welfare of older workers.

AP Business Writer Alexandra Olson contributed to this report from New York

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Indiana coronavirus timeline

With information from the Indiana Department of Health through Dec. 1, this timeline reflects updated tallies of deaths and positive tests prior to that date.

  • March 6: Indiana State Department of Health (ISDH) confirms the first case in Indiana. Officials say the Marion County resident had recently traveled to Boston to attend a BioGen conference as a contractor.
  • March 8: ISDH confirms a second case. An adult in Hendricks County who had also traveled to the BioGen conference was placed in isolation. Noblesville Schools say a parent and that parent’s children will be self-quarantining after attending an out-of-state event where someone else tested positive.
  • March 9: Avon Community School Corp. says a student on March 8 tested positive.
  • March 10: ISDH launches an online tracker. Ball State University basketball fans learn the Mid-American Conference tourney will have no fans in the stands. Three businesses operating nursing homes in Indiana announce they will no longer allow visitors.
  • March 11: The Indianapolis-based NCAA announces the Final Four basketball tournaments will be conducted with essential staff and limited family attendance. The Big Ten announces all sports events, including the men’s basketball tournament at Bankers Life Fieldhouse, will have no fans starting March 12. Ball State University suspends in-person classes the rest of the spring semester. NBA suspends all games, including the Indiana Pacers, until further notice. Butler University and the University of Indianapolis extend spring break, after which they will have virtual classes.
  • March 12: Gov. Eric Holcomb announces new protections that led to extended public school closings and the cancellation of large events across the state. The NCAA cancels its basketball tournaments. The Big Ten suspends all sporting events through the winter and spring seasons. The league including the Indy Fuel hockey team suspends its season. Indy Eleven says it will reschedule four matches. Indianapolis’ annual St. Patrick’s Day Parade is canceled. 
  • March 13: The Indiana High School Athletic Association postpones the boys basketball tournament. Wayzata Home Products, a Connersville cabinet maker, shuts down and lays off its entire workforce due to market uncertainty. Gov. Holcomb announces actions including the elimination of Medicaid co-pays for COVID-19 testing and the lifting of limits on the number of work hours per day for drivers of commercial vehicles. Franklin College says it will begin online classes March 18 and empty residence halls of students in two days. The Children’s Museum of Indianapolis closes indefinitely. The Indianapolis Public Library joins other libraries across Indiana and closes all facilities indefinitely.
  • March 14: The Indiana Gaming Commission says all licensed gaming and racing operations will close in two days for an indefinite period.
  • March 15: Indiana had its first death. St. Vincent Hospital in Indianapolis announces it will suspend all elective, non-urgent surgeries.
  • March 16: Indiana had its second death. Gov. Holcomb announced the first Hoosier death. He closes bars, restaurants and nightclubs to in-person patrons, but maintains carryout and delivery services.
  • March 17: Indiana had its third and fourth deaths. ISDH announces Indiana’s second death. Indiana’s Catholic bishops cancel masses indefinitely. Gov. Holcomb activates the National Guard. Purdue, Butler and Indiana State universities cancel May commencement ceremonies.
  • March 18: Indiana had its fifth death. Eli Lilly and Co. says it will use its labs to speed up testing in Indiana. The 500 Festival suspends all events. Simon Property Group closes all malls and retail properties.
  • March 19: Gov. Holcomb extends Indiana’s state of emergency into May. Holcomb says he’ll close all K-12 public and nonpublic schools. Standardized testing was canceled. The state’s income-tax and corporate-tax payment deadline was extended to July 15. Holcomb says the state will waive job search requirements for people applying for Temporary Assistance to Needy Families. The IHSAA Boys Basketball State Tournament was canceled. The Marion County Emergency Operations Center upgrades to Level 1 status.
  • March 20: Indiana’s death toll rose to 9. ISDH announces Indiana’s third death. Gov. Holcomb moves the state’s primary election to June 2. Indiana University says it is postponing May commencement ceremonies on all campuses.
  • March 21: Indiana’s death toll rises to 14. ISDH announces Indiana’s fourth death. Indiana National Guard says it and the Department of Transportation are distributing medical supplies to hospitals.
  • March 22: Indiana’s death toll rises to 19. ISDH announces seven deaths.
  • March 23: Indiana’s death toll rises to 24. Holcomb orders Hoosiers deemed nonessential to “stay at home” from March 24-April 7. Eli Lilly & Co. begins drive-thru testing for the coronavirus for health care workers with a doctor’s order. Ball State University cancels the May commencement.
  • March 24: Indiana’s death toll rises to 29. Fred Payne of Indiana Workforce Development says any Hoosiers out of work, including temporary layoffs, are eligible to apply for unemployment benefits.
  • March 25: Indiana’s death toll rises to 35. Indianapolis Motor Speedway announces the Indianapolis 500 is moved to Aug. 23.
  • March 26: Indiana’s death toll rises to 44.
  • March 27: Indiana’s death toll rises to 47.
  • March 28: Indiana’s death toll rises to 58.
  • March 29: Indiana’s death toll rises to 76.
  • March 30: Indiana’s death toll rises to 91.
  • March 31: Indiana’s death toll rises above 100, to 113. Gov. Holcomb extends the limits of bars and restaurants to offer only “to go” and “carryout” through April 6. Indiana health commissioner Dr. Kristina Box, asked about when Indiana will be in a surge of COVID-19 cases, says she thinks the surge is starting.
  • April 1: Officials extend Marion County’s “stay at home” order through May 1. Marion County health officials say they will start COVID-19 testing services for front-line employees.
  • April 2: The state announces K-12 schools will be closed for the rest of the school year. The Indiana High School Athletic Association cancels spring sports seasons.
  • April 3: Gov. Holcomb extends the “stay at home” order through April 20. The state receives a federal Major Disaster Declaration for all 92 counties. The Indiana National Guard says it, the Army Corps of Engineers and state health officials will begin to assess sites for alternate health care facilities.
  • April 4: Indiana’s death toll rises above 200.
  • April 6: The state reports a Madison County nursing home has had 11 deaths. Gov. Holcomb extends the “stay at home” order through April 20. He also limits additional businesses to carry-out only.
  • April 7: Indiana’s death toll rises above 300. Indiana health commissioner Box says four long-term care facilities have 22 deaths that appear to be related to COVID-19.
  • April 10: ISDH said 24 residents of a long-term care facility in Madison County have died from COVID-related illness.
  • April 11: Indiana’s death toll rises above 400.
  • April 14: Indiana’s death toll rises above 500.
  • April 16: Indiana records more than 10,000 positive coronavirus tests. The governor says he expects Indiana to experience a reopening in early May.
  • April 17: Indiana’s death toll rises above 600. The governor says that he will extend the “stay at home” order through May 1.
  • April 20: Indiana’s death toll rises above 700. Gov. Holcomb extends the “stay at home” order to May 1. The governor also says, if the medical supply chain is in good shape, other elective medical procedures can resume April 27.
  • April 22: Indiana’s death toll rises above 800. The Tyson facility in Logansport voluntarily closes so 2,200 employees can be tested for COVID-19.
  • April 24: Indiana’s death toll rises above 900. The Indianapolis City-County Council approves $25 million to help small businesses. Fishers City Council creates a city health department with a plan to test every resident.
  • April 25: ISDH says it will launch an antibody testing study for Hoosiers; thousands of residents were randomly selected to participate in the study.
  • April 27: Indiana’s death toll rises above 1,000.
  • April 28: Indiana officials say they will open COVID-19 testing to more Hoosiers, with expanded criteria and new testing services at 20 sites around the state.
  • April 29: The state says it will spent $43 million on contact tracing.
  • April 30: Indianapolis extends its stay-at-home order through May 15.
  • May 1: Gov. Holcomb announces a phased reopening plan for the state of Indiana. He also extends the stay-at-home order to May 4.
  • May 3: Indiana records more than 20,000 positive coronavirus tests.
  • May 4: Indiana enters Stage 2 of its Back on Track plan, which excludes Cass County until May 18, and Lake and Marion counties until May 11.
  • May 6:The state begins testing for all Hoosiers at 20 sites, with plans to expand the number of sites to 50 in a week. Ivy Tech Community College says it will continue virtual classes when summer courses begin in June. 
  • May 8: Cris Johnston, director of the Office of Budget and Management, says the state missed out on nearly $1 billion in anticipated April revenues; all state agencies will be given budget-cutting goals. Purdue University OKs plans to reopen for the fall semester with social distancing and other safety measures.
  • May 10: Indiana’s death toll rises above 1,500.
  • May 13: The first phase of a state-sponsored study of the coronavirus estimated about 186,000 Hoosiers had COVID-19 or the antibodies for the novel virus by May 1. Indianapolis Mayor Joe Hogsett announced plans for limited reopenings of worship services, retail establishments, libraries and restaurants.
  • May 15: Simon Property Group reopens Castleton Square Mall, Circle Centre Mall, and Fashion Mall at Keystone
  • May 18: Indiana reports its first case of multisystem inflammatory syndrome in a child. The Farbest Foods turkey-processing plant in Huntingburg is closed for three days; 91 people had tested positive there.
  • May 21: Indiana records more than 30,000 positive coronavirus tests.
  • May 22: Indiana advances to Stage 3 of the Back on Track reopening plan. Indianapolis closes portions of five streets to allow restaurants to reopen with outdoor dining only.
  • May 27: Indiana University says the fall semester will have in-person and online courses, plus an adjusted calendar through May 2021. Ball State University says the fall semester will be 13 straight weeks of in-person classes with no day off on Labor Day and no fall break.
  • May 28: Indiana’s death toll rises above 2,000.
  • May 29: Places of worship in Marion County can begin holding indoor services at 50% capacity with proper social distancing. Jim Schellinger, Indiana secretary of commerce, said the federal Paycheck Protection Program has made 73,430 loans in Indiana totaling $9,379,164,461, the federal Economic Injury Disaster Loan program has made 5,070 loans in Indiana totaling $445,428,500, and the federal Economic Injury Disaster Loans Advance program has made 38,365 grants in Indiana totaling $136,554,000.
  • June 1: Marion County restaurants begins serving customers indoors and outdoors with 50% capacity. Marion County salons, tattoo parlors reopen by appointment only. Marion County gyms, fitness centers and pools reopen with 50% capacity and no contact sports. However, a Marion County curfew that began the night of May 31 and continued into the morning of June 3 after rioting impacted the reopening of some businesses.
  • June 3: Phase 2 of statewide testing of random Hoosiers by the Indiana University Richard M. Fairbanks School of Public Health at IUPUI and the Indiana State Department of Health begins.
  • June 5: Indiana reports May tax revenues were 20% short of projections made before the coronavirus closings started.
  • June 8: Indianapolis leaders agree to spend $79 million in coronavirus relief funding on contact tracing, rent relief, personal protective equipment and support for small businesses.
  • June 12: Indiana, excluding Marion County, advances to Stage 4 of reopening plan.
  • June 15: Casinos and parimutuel racing reopen in the state. Marion County’s public libraries begin a phased reopening.
  • June 19: Marion County advances to Stage 4 of state’s reopening plan.
  • June 24: The governor says the state’s moratorium on the eviction on renters will be extended through July. Indiana announces it will create a rental assistance program July 13. Indiana Pacers guard Malcolm Brogdon says he has tested positive for COVID-19.
  • June 27: Indiana hospitalizations for COVID-19 begin to increase, with about 33 new patients a day through July 1.
  • July 1: Indiana’s death toll rises above 2,500. The governor pauses Stage 5 final reopening plan, announces Stage 4.5 from July 4-17.
  • July 4: Indiana’s Stage 4.5 reopening plan begins.
  • July 9: Indiana records more than 50,000 positive coronavirus tests. Marion County mandates mask-wearing.
  • July 10: Indianapolis Public Schools announces its reopening plans.
  • July 11: Indy Eleven resumes 2020 season with victory at Lucas Oil Stadium. The Children’s Museum of Indianapolis reopens.
  • July 13: Indiana begins rental assistance program for all counties but Marion County. Marion County begins its own rental assistance program.
  • July 15: Indiana announces the Stage 4.5 reopening plan will continue another two weeks. The WNBA season begins.
  • July 16: Indianapolis suspends applications for its rental assistance program due to overwhelming demand.
  • July 24: Bars, taverns and nightclubs in Indianapolis are shut down again. City officials also return to other previous restrictions.
  • July 25: Indiana Fever begins WNBA season after delays.
  • July 27: Indiana governor’s order to wear face coverings begins. Great Lakes Valley Conference, which including University of Indianapolis, postpones most fall sports, including football, men’s and women’s soccer, and volleyball, until spring.
  • July 30: NBA season resumes.
  • Aug. 4: Indianapolis Motor Speedway announces the Aug. 23 Indianapolis 500 will be run without fans.
  • Aug. 5: With more than 1,000 positive tests reported in a single day, Indiana jumps to a total of 70,993 positive coronavirus tests.
  • Aug. 10: Indiana records more than 75,000 positive coronavirus tests.
  • Aug. 17: Indianapolis Public Schools restarts with online-only classes. News 8 learns the 2021 NBA All-Star Game will not happen on Presidents Day weekend in 2021.
  • Aug. 20: Indiana’s death toll rises above 3,000. Purdue University suspends 36 students after a party at a co-op.
  • Aug. 21: Indiana high school football season begins with some teams not playing due to COVID-19 concerns.
  • Aug. 23: Butler University tells undergraduates that instruction will occur remotely for the first two weeks of the semester, starting Aug. 24, instead of in classrooms.
  • Aug. 24: Purdue, Indiana, IUPUI and Ball State universities resume in-person classes.
  • Aug. 25: Reports say a fraternity, a sorority and a cooperative house at Purdue University are under quarantines.
  • Aug. 26: Gov. Holcomb extends the mask mandate through Sept. 25. Indiana’s rental assistance program will take applications for one last day.
  • Aug. 27: Indiana University says eight Greek houses are under 14-day quarantines.
  • Sept. 2: Indiana University tells 30 Greek houses in Bloomington to quarantine.
  • Sept. 6: Indiana records more than 100,000 positive coronavirus tests.
  • Sept. 8: Marion County allows bars and nightclubs to reopen with 25% capacity indoors and 50% capacity outdoors.
  • Sept. 12: The Indianapolis Colts open their season with a loss in a Jacksonville stadium with a limited number of fans.
  • Sept. 21: The Indianapolis Colts home opener is limited to 2,500 fans.
  • Sept. 23: Gov. Eric Holcomb extends the mask mandate through Oct. 17.
  • Sept. 24: The state’s mask mandate is extended through Oct. 17.
  • Sept. 25: The Mid-American Conference announces it will start a six-game football season Nov. 4, with the championship game Dec. 18 or 19.
  • Sept. 26: Indiana advances to a revised Stage 5 of Indiana Back on Track plan with relaxed limits on gatherings, restaurants, bars, nightclubs and more. Marion, Monroe and Tippecanoe counties decided to have more restrictive limits, however.
  • Sept. 27: The Indianapolis Colts second home game is limited to 7,500 fans.
  • Sept. 28: Purdue University says it’s suspended 14 students, including 13 student-athletes, for violations of a pledge designed to curb the coronavirus pandemic on campus.
  • Sept. 30: The Indiana State Department of Health’s online coronavirus dashboard began showing data on positive coronavirus cases in Indiana schools.
  • Oct. 1: IU’s website shows two additional fraternities and a sorority at the Bloomington campus have been issued “cease and desist” orders.
  • Oct. 2: Franklin College suspends classes and moves to virtual education and activities through Oct. 9 after a “concerning and unusual” increase in the positivity rate for COVID-19.
  • Oct. 3: Indiana records more than 125,000 positive coronavirus tests.
  • Oct. 4: Indiana’s death toll rises above 3,500.
  • Oct. 12: Franklin College returns to in-person classes.
  • Oct. 13: Indianapolis-based drugmaker Lilly pauses its trial of a combination antibody treatment for coronavirus for safety reasons.
  • Oct. 14: Indiana health commissioner Dr. Kristina Box announces she has tested positive for COVID-19.
  • Oct. 15: Gov. Holcomb issues executive order to extend mask mandate and Stage 5 reopening plan.
  • Oct. 18: The Indianapolis Colts third home game was limited to 12,500 fans.
  • Oct. 19: Indiana records more than 150,000 positive coronavirus tests.
  • Oct. 23: The Big Ten begins its football season.
  • Oct. 26: Indiana’s death toll rises above 4,000.
  • Oct. 29: Indiana records more than 175,000 positive coronavirus tests.
  • Oct. 30: Gov. Holcomb extends the public health emergency through Dec. 1.
  • Nov. 1: Indiana National Guard to begin deploying to long-term care facilities to provide coronavirus assistance.
  • The Mid-American Conference football teams begins its six-game regular season.
  • Nov. 5: Indiana records more than 200,000 positive coronavirus tests.
  • Nov. 8: The Indianapolis Colts fourth home game was limited to 12,500 fans.
  • Nov. 9: Indiana’s death toll rises above 4,500.
  • Nov. 11: Indiana records more than 233,000 positive coronavirus tests.
  • Nov. 12: Indianapolis calls for schools to go to virtual learning by Nov. 30.
  • Nov. 14: Indiana records more than 251,000 positive coronavirus tests.
  • Nov. 15: Indiana adds coronavirus-control restrictions for all businesses and gatherings in counties with the highest number of new cases as part of an update to the statewide COVID-19 pandemic response.
  • Nov. 16: Indiana records more than 262,000 positive coronavirus tests. Indianapolis limits capacity inside bars, private clubs, fraternal organizations and gyms to 25%; inside restaurants, libraries, funeral homes, swimming pools and shopping malls’ food courts to 50%; and inside religious services to 75%. Marion County Health Department requires preregistration for COVID-19 testing after increased demand at three drive-thru locations.
  • Nov. 18: Indiana records more than 275,000 positive coronavirus tests.
  • Nov. 20: Indiana’s death toll rises above 5,000.
  • Nov. 21: Indiana’s death toll rises above 5,100.
  • Nov. 22: Indiana records more than 300,000 positive coronavirus tests.
  • Nov. 23: Indiana’s death toll rises above 5,200. Indiana records more than 306,000 positive coronavirus tests. Indianapolis Public Schools returns to virtual learning through Jan. 18.
  • Nov. 24: Indiana’s death toll rises above 5,300. Indiana records more than 312,000 positive coronavirus tests. The NCAA men’s and women’s basketball seasons begin; some games had no fans in the stands.
  • Nov. 25: Indiana records more than 318,000 positive coronavirus tests.
  • Nov. 26: Indiana’s death toll rises above 5,400. Indiana records more than 324,000 positive coronavirus tests. Butler University men’s basketball cancels Nov. 29 game against Eastern Illinois after a positive COVID-19 test.
  • Nov. 27: Indiana’s death toll rises above 5,500. Indiana records more than 328,000 positive coronavirus tests.
  • Nov. 28: Indiana records more than 333,000 positive coronavirus tests. Butler University men’s basketball team postponed two more games because of a positive COVID-19 test.
  • Nov. 29: Indiana’s death toll rises above 5,600. Indiana records more than 338,000 positive coronavirus tests.
  • Nov. 30: Indiana records more than 344,000 positive coronavirus tests.
  • Dec. 1: Indiana records more than 350,000 positive coronavirus tests. Bankers Life Fieldhouse hosts its first NCAA men’s basketball game, Kansas vs. Kentucky, since the start of the pandemic.
  • Dec. 2: Indianapolis ends its rental assistance program.
  • Dec. 12: Indiana’s mask mandate is set to expire.
  • Dec. 22: NBA to start league’s 75th season, delayed and shortened to a 72-game schedule because of the pandemic.

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