I wouldn't necessarily agree it needs to be rewritten. Hiring programmers that are willing to work in cobol would certainly be harder than other languages though, because you'll have a much smaller candidate pool and people would be unlikely to see learning cobol as a good career investment
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Everything that you said is correct, except the prevalence of the career advice. I would bet most people looking for their first job out of school don't even know COBOL is a language.