USA to review law on older workers' rights

02 March 2000
USA to review law on older workers' rights

A roposed law change in the USA could allow older workers to help solve the labour shortage in hotels and restaurants.

The proposal, which is being considered by policy-makers in Washington DC, would change long-standing laws that make pensioners forgo social security benefits if they want to work. At present, Americans lose most benefits if they earn more than $17,000 (£10,700) a year.

The groups lobbying for change, among them the National Restaurant Association, want this law relaxed or abolished completely for 65- to 70-year-olds.

Although they acknowledge the costs of extra benefits would be high, backers of the proposal say the benefits would outweigh any disadvantages.

Zed Wondemu, owner of the 90-seat Zed's, an Ethiopian restaurant in Washington DC, said she used older Ethiopian-American workers for their culinary expertise when she opened 12 years ago.

"I learned my skills from them. When the time came for them to claim social security, they left me, and I don't blame them. Now I train [younger people], but I wish I could hire more older people instead," said Wondemu, who recently testified in support of the proposal before a government subcommittee.

Lobby groups claim strong bipartisan support for a change in law, which, if successful, could be enforced within months.

There are more than 75,000 restaurant workers aged 65 to 70, according to the NRA. Its president and chief executive officer, Steven Anderson, said labour shortage was a "top concern" for restaurateurs.

by Gillian Drummond

Source: Caterer and Hotelkeeper magazine, 2 - 8 march 2000

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