Two issues currently before Congress may have significant effects on the labor market experiences of retirement age individuals. These issues are the abolition of the mandatory retirement age and the elimination of the Social Security program's earning test. Both of these changes, if they occur, can be expected to affect the retirement decisions of older workers and, on average, to extend their time in the labor force. If this is true, the effects of race and sex discrimination among this group of workers will be prolonged. In this paper, evidence on the extent and nature of this discrimination is presented. The determinants of the market wage rates of older workers are presented. The extent and nature of current labor market discrimination by race and sex are then examined by estimating the portion of the race and sex wage differentials which cannot be explained by observable socioeconomic characteristics. Evidence of discrimination appears in both cases, and it suggests that occupational segregation or crowding is more of a problem in the male-female than in the white-nonwhite case. (Author/AM)