AI pushes senior white‑collar workers to rethink retirement plans

Generative AI is reshaping the employment prospects of older white‑collar workers. In the United States, a 53‑year‑old software engineer, Keith Hayden, began paying for AI tools and retraining after interviewers prioritized AI skills. Data show only about 25% of adults aged 50‑64 have used ChatGPT, compared with 58% of those under 30, while the share of workers aged 55+ has risen from 10% in 1994 to 25% in 2022. Some boomers opt for early retirement, but many must upskill to avoid displacement. Their extensive experience can give them an edge in judging AI output quality and higher‑level decision‑making.

In Australia, retirees are increasingly turning to AI for financial planning. A recent poll found 65% of retirees use AI tools for advice, and 38% run calculations with them. Proponents argue AI demystifies retirement budgeting, while critics warn of outdated data and unreliable tax modelling. MIT Sloan professor Andrew Lo notes AI excels at scenario exploration and behavioural coaching but struggles with precise tax optimisation and compliance. Users are urged to treat AI as a supplement, not a sole source of advice.