New research indicates many employers foresee big problems on the horizon as baby boomers reach retirement age:

As millions of baby boomers prepare to retire, “the inevitable talent drain threatens to alter the national economy,” said Ithaca College sociologist Stephen Sweet, referring to a recent report he coauthored, released by the  Sloan Center on Aging & Work at Boston College. “Cracks have appeared in the foundation of the economy and the workforce is getting older.”

In 2000, baby boomers represented the largest portion of the U.S. labor force at 48 percent. By 2010, they’re projected to shrink to 37 percent of the workforce, leading some economists to predict a shortage of 10-15 million workers in the coming decade, with a disproportionate number of inexperienced workers in the overall dwindling labor pool. The retirement boom affects staffing leadership and training as well as overall continuity and engagement within the workforce.

Those employers who see the change coming and are able to prepare may find the shift gives them an advantage over competitors:

Though long-predicted, the threat of workforce shortages has met with limited planning response from organizations. Realizing that some older workers want to work longer but more on their own terms to fit their changing lifestyles, some organizations created programs to improve employee engagement and productivity, and have a measured way to manage knowledge transfer. Those who heeded the warning and began adapting have a huge potential for a competitive edge.  “Workforce planning makes good business sense,” said Sweet. “Changing age demographics don’t have to disrupt a business — they may present new opportunities or competitive advantages. Employers should take advantage of programs designed to meet the evolving needs of employees nearing retirement, while at the same time meeting business needs by keeping experienced talent longer and ensuring business continuity.”

Read more about the research and additional findings.