Study: Unemployment Stems Partly from Deficient Worker Skills, Education

 

One in six Americans live in poverty, according to the Census Bureau in 2011. The economy is difficult for them and others. However, in this knowledge-technology era, millions of American workers would be employed, if they kept in mind two adages.

They’re apropos for veteran and entry-level workers.

More on the adages later. First, let’s consider the startling results of a Brookings Institution study: Education, Demand and Unemployment in Metropolitan America. Job hunters, in many cases, are simply under-educated.

“This report provides evidence that there is an education gap in most metropolitan areas, and that this gap is responsible for higher unemployment,” wrote study co-author Jonathan Rothwell.

There are more jobs than educated workers, according to the study’s results covering 2005 to 2009. It appears to be a worsening trend.

Even with a nationwide unemployment rate of 9.1, a check of help wanted ads shows countless available jobs. Why?

The study includes a chart with a caption:

“In 2009, the average U.S. job required 13.54 years of education, but the average U.S. adult over the age of 25 had attained just 13.48 years of schooling. This gap between the supply and demand for educated workers has significant consequences – metro areas with large education gaps had consistently higher unemployment rates than other metro areas from 2005 to 2011.”

If you are educated but are unemployed or under-employed, please know that I am empathetic. Yes, I know, the economy is a bummer. And yes, a lot of jobs have been outsourced overseas. But in my experience, the study is accurate for good reason.

It’s important to accept challenges, and to consider solutions.

So, here are profound mottos for success from two unlikely sources:

1. The 1946 graduating class of Watts High School in Watts, Oklahoma.
2. Michelangelo.

Watts High School motto

Families in 1940’s Watts were very poor. Starting in the 1930s, the only available jobs were the result of President Franklin Roosevelt’s WPA – Works Progress Administration. Watts had been a vibrant railroad town with a roundhouse to repair locomotives. As I understand it, The Kansas City Southern Railway Company laid off all the workers as management changed strategies.

One such family produced six siblings, which included my dear mother.

As a youngster, my mother felt fortunate to get a job working 8 hours waiting tables for $1 at her uncle’s cafe. Later, she was senior-class salutatorian and named to the state’s high school honor society – one B and the rest were A’s.

She’s now in her eighties, and has no trouble recalling her class motto: “Find a way or make one.”

Many of today’s American workers — at all skill levels — could profit by such a philosophy.

Like many others from the Great Depression, she knew to avoid debt. She worked hard, took the bus to work and saved money. Upon being divorced when I was three years old, she raised my brother and me without any assistance – welfare, food stamps or alimony. In Tulsa, when I was in elementary school, she bought a house.

When I was nine, she faced a layoff as a result of the sale of her oil-company employer. Fortunately, with her work ethic, she was offered a job in Palm Springs and soon bought a two-year-old Pontiac and a new house a half block from Bob Hope and James Stewart.

After I turned 13, she married a wise man, who told me: “It’s not how much you make, it’s how much you bring home.”

Both are now handicapped and walk rather gingerly. But my mom has the same approach to life as she did in 1946 – “Find a way or make one.”

Michelangelo’s motto

As for Michelangelo, his favorite tenet: “I am still learning.” It’s certainly apropos in this digital-age economy.

What were once considered basic job skills are no longer basic. About 30 years ago, literate workers could find employment if they were mindful of a company’s mission, and if they knew simple math.

A review of unfilled jobs – even entry level jobs – reveals that companies now require more: How to type on a computer keyboard, know how to use software, conduct research on the Internet, and have soft skills – empathy, teamwork and collaboration. To get a foothold in a company, workers often must be flexible in work hours and adapt to changing marketplace needs.

Another tip I used to my advantage when I was in the workforce long before becoming a business-performance consultant, which I still use today: Find needs of companies and provide them with solutions.

So, organizational and entrepreneurial skills are important. In addition, development of a professional presence in social media and foreign language skills in a 24/7 global economy are advantageous.

The moral: Get tougher mentally, have fun, continue to learn, be resourceful, and grow with an entrepreneurial spirit. You’ll make it, and you’ll have fun stories to tell.

Here’s a related resource link: Is Higher Education Doing the Job to Prepare Grads for the Workforce?

Here are  job-hunting strategies:

Discouraged in Job Hunting? Powerful Tips for the Best Job

15 Tips to Improve Your Odds for a Job

Job Hunting? Tips to Land Your Dream Job with Style, Substance

Study: Best Way to Get a Job Isn’t by Networking

From the Coach’s Corner, here’s a personal case study in overcoming unemployment:

Long before becoming a business-performance consultant, I knew the pain of unemployment after being corporately downsized. That was the case even though I already done some post-grad study at UCLA with experience in radio-TV news management, and had interviewed major newsmakers including two U.S. presidents and the Speaker of the U.S. House of Representatives. As a freelance contributor to networks, my news reports had aired nationwide.

If I needed a job, sometimes I had to get sales jobs in other industries and worked my way back into management.

In 1984, a radio station laid me off one bitter-cold winter in Salt Lake City. I had to swallow my pride and take a temp job at $4.25 an hour as a manual laborer. During lunchtime breaks, the construction workers guffawed at my unprofessional construction work-clothes. I explained I was just trying to make my car payment as an out-of-work broadcast broadcaster. Their reaction – they thought I had delusions of grandeur.

Actually, I enjoyed construction work. However, soon I accidentally dropped some heavy lumber on my foot while standing in frigid water wearing tennis shoes.

In 24 hours with the aid of crutches, I began cold-calling broadcast companies in-person. That included a nationwide-media company, where I inadvertently annoyed the human-resources manager. She barked at me: “How dare you come here without an appointment?!” To no avail, I explained that my visit was to make an appointment for an interview.

As she threw me out, I thought: “I’ll show her.” I hobbled to the second floor to cold-call the company’s local radio-station news director. Soon, he created a job for me, saying: “You’ve got a job for two weeks, and if Walter Cronkite doesn’t apply and you prove yourself, the job is yours.”

The reporter/weekend anchor shift at the 50,000-watt station was an unpalatable Wednesday to Sunday night from 2 to 11 p.m. But I worked hard while trying to be nonchalant as I watched applicants, one-by-one, walk by my work station to the boss’s office for interviews.

Suddenly, the boss left for California, and I worried because he wasn’t around to evaluate my work. Candidly, my bio rhythms were askew. I had been accustomed to a normal schedule – and running the show. When he returned, the news director summoned me to his office. I was shaking as began to tell me he had heard all about me while he was gone.

Then, he stunned me: “Your attitude is contagious,” he said. The job was mine.

When my boss escorted me down to the HR office to fill out paper work, the HR manager scowled at me. When I explained to the news director why she was unfriendly, he chortled, “Yeah, she’s a pain.” He then said he was thrilled by my gumption to bypass her.

In the ensuing three years, I won three awards and was promoted to afternoon/evening news editor and anchor where my shift earned market-leading double-digit ARB ratings. As a powerful radio station, its signal could be heard in nine western states. My parents often listened to my newscasts sitting by their wood stove.

One of those skeptical construction workers spotted me on a downtown street corner. He stared in astonishment, saying: “I heard you on the news.”

Little did he know, I enjoyed driving friends to the scene of my proud accomplishment – the medical-office building I helped to build. Even though they regularly heard me on the radio, they thought it was hysterically funny that I was proud of my manual-labor job.

Good luck! Enjoy your footwork.

“Do whatever it takes, whenever it needs to be done, regardless of whether you feel like doing it or not.”

-Greg Hickman

 

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Columnist Terry Corbell is a business-performance consultant and profit professional. Click here to see his management services (many are available online). For a complimentary chat about your business situation or to schedule Terry Corbell as a speaker, why don’t you contact him today?

After Taking Us for a Ride, A Vacation Is Warranted for Obama

 

Aug. 20, 2011

Frankly, I don’t understand the brouhaha over the Obama family’s vacation, decadent or otherwise. Critics who called on President Obama to cancel his Martha Vineyard vacation have been misguided.

Aren’t they over-reacting?

True, the timing of his vacation could have been better. Much of the country is suffering. World markets are in chaos. A check of history does reveal other presidents have canceled vacations during similar crises.

The well-to-do location also raised eyebrows of consternation. For one thing, Martha’s Vineyard does not have racial diversity. Even the Tea Party has more racial diversity. More noteworthy, nor does Martha’s Vineyard have economic diversity. The average American cannot afford the $50,000 per week price tag of Mr. Obama’s favorite vacation retreat – not to mention the huge amounts of money paid for security.

In contrast, President Clinton went camping in Wyoming, President Reagan went home to split firewood, and President Roosevelt served hot dogs to the Queen of England. Those symbols of leadership inspired Americans during critical times.

The feeling of President Obama’s critics is that he advocates certain principles, but his actions speak differently. I concur.

By now, you realize the headline and lead paragraphs in this piece are facetious.

No, I’m not a Republican. Nor am I a Democrat. As a Biz Coach columnist, count me also as an average American with a Cherokee Indian heritage, an Independent and a champion of the underdog — someone who is deeply worried about the direction of this country.

The spending is out of control. The risk of a double-dip recession is quite high. So what do we get now? We get an ill-advised bus-PR gimmick with only hints about a new jobs plan.

Yes, Mr. Obama’s bus tour has really taken us Americans for a ride — an abysmal, bumpy ride. As a former columnist at Belo Web sites and one who supported his small-business platfom during his campaign —  a Biz Coach column followed by a press release — I feel betrayed.

Incompetent economic policies

Actually, since his inauguration, President Obama has been leading us astray. Instead of focusing on the faltering economy, he gave us a dysfunctional health law, which has been one of the reasons small business has not hired workers. He advocated a plan to confiscate your retirement funds. And don’t forget about his unproductive environmental policy in Cap and Trade.

As a result, a recent Gallup Poll indicates Mr. Obama has a 26-percent rating for his handling of the economy. Americans aren’t confident about his policies with good reason – the policies and Americans aren’t working.

His rhetoric has suggested he will deliver an effective policy to create jobs and to ease the onerously high unemployment rate. He’s been wrapping himself in the American flag – issuing an ultimatum to opponents to support his secret jobs plan. He implies opponents of his ineffective policies are unpatriotic. Sure.

His bus tour was another indicator of incompetence – the type of economic-policy ilk that Americans suffered under President Carter. To state Mr. Obama is providing leadership is in reality an oxymoron. His so-called leadership is leading us down the wrong road.

The two Darth-Vader looking black buses cost $1.1 million – each – from Prevost, a Quebec-based manufacturer. Reportedly, the Secret Service made the purchase. If I were Canadian, I’d expect my government not to miss a chance to buy Canadian. Likewise, as a U.S. citizen concerned about jobs, I expect this administration to buy American.

Yes, it’s true all White House vehicles are black. However, instead of being a source for optimism, the black-colored buses are a reminder – the black mirrors the economy and morale of most Americans.

Obama behavior fails to match goals

For a president who claims he’s concerned about jobs for American workers, he’s committed a terrible PR gaffe – economically, environmentally and patriotically.

To send a message about job creation, appropriate action is indicated. But it’s not happening. No one will convince me that American bus manufacturers are incompetent. There’s at least one American bus manufacturer that’s able to meet security requirements to protect a U.S. president.

In fact, a cursory search on Google reveals three interesting American bus manufacturers:

1. Warren Buffett’s Berkshire Hathaway owns Forest River, a bus builder in Elkhart, Indiana – in business since 1903. Mr. Buffett just might have the resources to build such a bus.
2. General Motors Ventures LLC is investing $6 million in Proterra Inc., a well-known manufacturer of zero-emission buses. Locations: Golden, Colorado and Greenville, South Carolina.
3. How about American Coach in Decatur, Indiana?  Talk about a missed opportunity for PR. American Coach’s line of products: American Revolution, American Eagle, American Tradition and American Heritage. Any of the names would have been a PR coup of epic proportions.

(Note: If you work for a U.S. bus manufacturer excluded in this column, my apologies for my oversight. Please let me know. I’ll gladly add you to this list.)

One final example of Mr. Obama’s tone deafness: Not only did he miss an opportunity to put Americans to work building his buses, he missed another golden opportunity to show the No. 1 symbol of patriotism — the American flag.

There were no American flags anywhere on his buses. None.

So, I disagree with the critics of Mr. Obama’s vacations. I now believe he should enjoy long, decadent respites. When he’s not working, Americans are better off. They have a better chance of getting back to work.

From the Coach’s Corner, here are two resource links: economic analysis and short-term economic forecast.

You might also wish to read Does the Federal Reserve Understand Small Business?  Here’s a menu of other public policy columns.

“A major source of objection to a free economy is precisely that group thinks they ought to want. Underlying most arguments against the free market is a lack of belief in freedom itself.”

-Milton Friedman

 

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Columnist Terry Corbell is also a business-performance consultant and profit professional. Click here to see his management services (many are available online). For a complimentary chat about your business situation or to schedule Terry Corbell as a speaker, why don’t you contact him today?

 

Manufacturing Jobs Might Return to U.S. as China’s Labor Costs Rise

June 13, 2011

 

Will federal, state and local governments change public policy to take advantage of a development in China?

A recent study by a world-class consulting firm offers hope to regions in the United States beleaguered by high unemployment – the firm predicts labor issues in China mean U.S. firms will be less-inclined to offshore jobs.

As some U.S. states develop reputations as low-cost manufacturing centers and China’s wages increase, offshoring of jobs is expected to decline in five years, according to an international consulting firm. That’s the essence of a study by The Boston Consulting Group (BCG).

The firm’s report: “Made in the USA, Again: Manufacturing Is Expected to Return to America as China’s Rising Labor Costs Erase Most Savings from Offshoring.”

As usual, BCG offers enlightening insights.

“With Chinese wages rising at about 17 percent per year and the value of the yuan continuing to increase, the gap between U.S. and Chinese wages is narrowing rapidly,” said the firm’s press release. “Meanwhile, flexible work rules and a host of government incentives are making many states—including Mississippi, South Carolina, and Alabama—increasingly competitive as low-cost bases for supplying the U.S. market.”

That’s thanks to a labor-shortage issue.

“All over China, wages are climbing at 15 to 20 percent a year because of the supply-and-demand imbalance for skilled labor,” said Harold L. Sirkin, a BCG senior partner. “We expect net labor costs for manufacturing in China and the U.S. to converge by around 2015. As a result of the changing economics, you’re going to see a lot more products ‘Made in the USA’ in the next five years.”

It’s a complex issue, but BCG further explained the rationale.

“After adjustments are made to account for American workers’ relatively higher productivity, wage rates in Chinese cities such as Shanghai and Tianjin are expected to be about only 30 percent cheaper than rates in low-cost U.S. states,” stated the press release. “And since wage rates account for 20 to 30 percent of a product’s total cost, manufacturing in China will be only 10 to 15 percent cheaper than in the U.S.—even before inventory and shipping costs are considered.”

Cost advantages in China will lessen

“Products that require less labor and are churned out in modest volumes, such as household appliances and construction equipment, are most likely to shift to U.S. production,” according to BCG’s Web site. “Goods that are labor-intensive and produced in high volumes, such as textiles, apparel, and TVs, will likely continue to be made overseas.”

Sirkin, who authored “GLOBALITY: Competing with Everyone from Everywhere for Everything,” advised U.S companies to examine all the labor costs.

“They’re increasingly likely to get a good wage deal and substantial incentives in the U.S., so the cost advantage of China might not be large enough to bother—and that’s before taking into account the added expense, time, and complexity of logistics,” said Sirkin.

BCG said the reversal has started.

“Caterpillar Inc., for example, announced last year the expansion of its U.S. operations with the construction of a new 600,000-square-foot hydraulic excavator manufacturing facility in Victoria, Texas,” the press statement indicated. “Once fully operational, the plant is expected to employ more than 500 people and will triple the company’s U.S.-based excavator capacity.”

Caterpillar acknowledged why.

“Victoria’s proximity to our supply base, access to ports and other transportation, as well as the positive business climate in Texas made this the ideal site for this project,” said Gary Stampanato, a Caterpillar vice president.

Two other companies change course

“NCR Corp. announced in late 2009 that it was bringing back production of its ATMs to Columbus, Georgia, in order to decrease the time to market, increase internal collaboration, and lower operating costs,” said the consulting firm. “And toy manufacturer Wham-O Inc. last year returned 50 percent of its Frisbee production and its Hula Hoop production from China and Mexico to the U.S.”

U.S. unions, of course, have been an obstacle.

“Workers and unions are more willing to accept concessions to bring jobs back to the U.S.,” noted Michael Zinser, a BCG partner who leads the firm’s manufacturing work in the Americas. “Support from state and local governments can tip the balance.”

Mr. Zinser said U.S. executives need to look a bigger wage-cost picture.

“If you’re just comparing average wages in China against those in the United States, you’re looking at the problem in the wrong way,” Zinser cautioned. “Average wages don’t reflect the real decisions that companies have to make. Averages are historical and based on the country as a whole, not on where you would go today.”

Another factor is labor shortage.

“In the U.S., we have highly skilled workers in many of our lower-cost states. By contrast, in the lower-cost regions in China it’s actually very hard to find the skilled workers you need to run an effective plant,” added Doug Hohner, another BCG partner who focuses on manufacturing.

China will continue as a major player in manufacturing U.S. products, but Mr. Hohner offers these forecasts:

• First, investments to supply the huge domestic market in that nation will continue.
• Second, in the absence of trade barriers that prevent offshoring, Western Europe will continue to rely on China’s relatively lower labor rates since the region lacks the flexibility in wages and benefits that the U.S. enjoys.
• Third, even though other low-cost countries—such as Vietnam, Thailand, and Indonesia—will benefit from companies seeking wage rates that are lower than China’s, only a portion of the demand for manufacturing will shift from China. Smaller low-cost countries simply lack the supply chain, infrastructure, and labor skills to absorb all of it.

Public policy

My sense is the big question is whether government will start doing the right thing in public policy? Oops, that goes for unions, too, and the ostensible political motivations of the National Labor Relations Board (NLRB).

A brouhaha comes to mind – the issues over Boeing launching a manufacturing plant in South Carolina. For years, state government and union political activity gave the aerospace giant no option, but to look for a better locale-alternatives to build the 787 Dreamliner.

An editorial in a Tacoma, WA newspaper, The News Tribune, made a salient comment: “The NLRB complaint – which alleges that Boeing retaliated against its workers for striking when it choose to expand in South Carolina rather than Washington – appears to be little more than an attempt to assuage battered union interests.” (The right way to win Boeing jobs for Washington state)

In a similar editorial, NLRB complaint against Boeing needs critical look, The Seattle Times cited President Obama’s rhetoric about generating jobs.

“Really a president does not create manufacturing jobs. He creates policies that may encourage companies to create jobs — companies like Boeing, which has now had the creation of 1,000 jobs in South Carolina second-guessed by Obama’s National Labor Relations Board,” wrote the editorial writers.

“In its complaint, the NLRB is attempting to reverse a U.S. investment by the nation’s No. 1 exporter 17 months after the company decided to make it — after the money has been spent, after the equipment is set up and after 1,000 workers have been hired. In South Carolina, assembly of the first 787 is scheduled to begin this summer. For the government to demand now that the company move everything to another state shows no sense of practical reality,” the newspaper asserted.

Agreed.

Let’s hope BCG is right and the manufacturing jobs return. But more than political rhetoric, we need competence in government. If the right public policies are implemented, political and economic liberties will improve for everyone – not just the unions’ leadership.

To visit the BCG Web site: www.bcg.com

From the Coach’s Corner, here are related public-policy columns:

Job Creation: Will Public Officials Listen to Intel’s CEO?

Solutions for 3 Dangers to Small Business, Travelers’ White Paper

Common Sense for Washington State Pension Reform

“I don’t make jokes. I just watch the government and report the facts.”
-Will Rogers

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Columnist Terry Corbell is also a business-performance consultant and profit professional. Click here to see his management services (many are available online). For a complementary chat about your business situation or to schedule Terry Corbell as a speaker, why don’t you contact him today?

Discouraged in Job Hunting? Powerful Tips for the Best Job

 

Few things in life are as shattering to an unemployed person’s self-esteem as the inability to draw a paycheck. In this downturn, good jobs can be difficult to get. And most job seekers are weary from their character-building trials. Under-employment is another result of this economy.

Whether unemployed or under-employed, a person needs two things: A sense of hope and the right tools to negotiate a job.

More than 100 years ago, Oscar Wilde wrote: “What seems to us as bitter trials are often blessings in disguise.”

Unconvinced? Try the philosophy of Dr. Norman Vincent Peale: “What seems impossible one minute becomes, through faith, possible the next.”

You can get faith from the action of using the right tools in your job search.

How much money do you want to make? Take my word for it, Roy Chitwood, of Max Sacks International, has the right tools, which are worth whatever you want in a salary. He’s also an advocate for positive thinking and he’s been successfully training salespeople the art of selling for more than four decades. And now, he is providing free-of-charge, his “Seven steps on how to ‘sell’ yourself to get a new job.”

I agree with him when he says the best-selling takes place as the result of the power of listening. To help you remember the concept, think of Marlon Brando in “The Godfather.” Remember the scenes of him listening to the downtrodden folks as they unloaded all their troubles? The godfather had all the power.

To gain job-negotiating power, Mr. Chitwood provides this example:

“The typical job interview goes like this: The interviewer says something like, ‘Tell me about yourself’ or ‘What are some of the projects that you worked on in your last position that you’re proud of?’ From that point on the interview goes downhill. Why? Because the interviewer will be bored stiff by whatever you say.”

So, he advocates taking control of the conversation. “The only way you know what someone is thinking is when he or she is the one talking – not you,” he says.

He explains further:

“Think about how differently the interview would go if you responded to the interviewer’s question, ‘Tell me about yourself,” with, ‘I’d like to tell you about myself. However, could I first ask you a couple of questions regarding the position?; Now you have control of the interview and you know what the interviewer is thinking. Using this one phrase, you have put the interview on track.”

Here are Mr. Chitwood’s steps for a successful job interview:

Step one — approach: In this step, you’ll introduce yourself, smile, be engaged and interested in what the interviewer is saying. You’ll use the interviewer’s name when addressing him or her and you’ll develop rapport by using what we call the FSQS (friendly silent questioning stare). This is body language that shows you’re listening intently, inviting the interviewer to tell you more.

Step two — qualification: This is the portion of the interview where the “Tell me about yourself” question occurs. Get the interviewer talking with a response like, “Mary, I would like to tell you about myself. However, first I would like to ask a couple of questions. Is that all right?” When she agrees, you’ll ask a series of questions to gain the information you need to assess whether the position is right for you.

Step three — agreement on need: This where you’ll ask the most important question of all: “What are some of the things you are looking for in a candidate for this position?” This is how you’ll determine whether the job fits you. If it doesn’t, this is the time to gracefully terminate the interview. Say that this position isn’t what you’re looking for, thank the interviewer for his or her time and politely excuse yourself.

Step four — sell the company: This is normally the step in the selling process where you extol the virtues of your company. Since you are the “company,” share your own attributes. “John, let me tell you a little about myself.” Make sure that the things you talk about relate to the job, such as your education and experience. You could share information about your goals, travel or family situation if they are relevant. Finally, ask, “What questions do you have about my background?” to get the interviewer talking again.

Step five — fill the need: In this step you’ll drive home why you’re the one for the job. Say something like, “There are several important experiences I would bring to the company and this position such as …” and then relate how your education, experience, goals, etc. will benefit the company in a series of feature/benefit/reaction sequences. These sequences should be specific. “My fluency in Mandarin Chinese along with my five years of experience selling in China (feature) will help me increase your company’s sales in Asia (benefit).”

Then, ask a “reaction question”: “How would that help with your sales goals for this year?” Limit your feature/benefit/reaction sequences to three. Now transition to the next step by asking a release question such as, “What questions do you have?” Once the interviewer has asked any clarifying questions, this is the time to ask about compensation and estimated start date for the position. “When would you like the new person to start?”

Step six — act of commitment: This is the close of the “sale.” Make a statement such as, “If I can arrange my schedule to start on the date you would like and my references check out can you think of any reason why you wouldn’t hire me?” Unlike most interviews that end with the interviewer saying, “We’ll call you,” this closing approach allows for honesty between you and the interviewer. You’re communicating your interest in the position and if he or she is interested in you, you’ll most likely get an indication at this point.

Step seven — cement the sale: This is your graceful exit from the interview. Say something like, “Thanks very much for meeting with me. I appreciate you taking the time to give me the information on the position and the company. I look forward to starting on Jan. 15.” This confirms the specifics of what you and the interviewer discussed and it’s a friendly, professional close to the interview. Remember to shake the interviewer’s hand as you leave.

Follow up the next day with a handwritten, mailed thank-you card. The process of landing a job can be much easier when you know how to sell yourself.

(NOTE: I’m proud to say Roy Chitwood is a friend of mine. We were introduced by Gerri Knilans, who is the noteworthy president of Trade Press Services, www.tradepressservices.com. Trade Press Services gets your company in the news by writing bylined feature articles and guaranteeing their publication in trade magazines.)

From the Coach’s Corner, here are a few more ideas:

Firstly, here’s a related column: Job Hunting? Tips to Land Your Dream Job with Style, Substance.

Secondly, my sense is that the principles in Mr. Chitwood’s strategies are applicable if you want to negotiate a raise.

Thirdly, for more job-hunting power, here are two more reading sources:

• For Mr. Chitwood’s selling tips, visit www.maxsacks.com.
• Short of buying the book, “The Power of Positive Thinking,” try strengthening your resilience by constantly reviewing quotes on optimism. Here’s a link to more inspiring quotes by Dr. Peale.

Why You Can’t Get Work or Hire Workers

 

Are you one of the countless baby boomers who is relying on Social Security before you reach retirement age? You’re not alone. The dearth of jobs has prompted many Americans to accept lower Social Security payments at the age of 62. This means Social Security is forecast to start paying out more in benefits than it receives starting in 2017.

The Labor Dept. says some 2.7 million Americans will lose their unemployment parachute checks near the tax-filing deadline of April15. About 6.3 million folks have been out-of-work for six months or longer.

The government believes 15 million people are jobless. That’s only an estimate. It doesn’t include the high number of self-employed people desperately taking independent contractor projects because they can’t find jobs, or the under-employed taking temporary jobs.

These numbers also jurt job creation. Higher unemployment rates charged to business by government is a disincentive, too.

After having worked through 6 major economic downturns, my analysis of the data and the trends is that the real unemployment rate is about 25 percent. That’s depression-like, not recession-like numbers.

A recent study proves it’s getting worse for American workers. The Center for Labor Market Studies at Northeastern University in Boston sums up the problem in its study’s subtitle – “A Truly Great Depression Among the Nation’s Low Income Workers Amidst Full Employment Among the Most Affluent.”

For the nation to catch up, most experts believe 100,000 new jobs need to be created every 30 days. But veteran pragmatists know it won’t happen. Count me as one of those.

The job drought is not a new phenomenon in the sense that it’s been years in the making. The federal government began tracking the number of unemployed in 1948.

Many jobs have not and will not return. Not to over-simplify, institutional investors own increasing numbers of companies. Largely, they extract profits by slashing payrolls and encouraging offshoring of jobs in Latin America and Asia where labor is cheaper.

Since 2000, automation is responsible to cutting 5.6 million jobs.

After each recession since 1970, job-growth rates have decreased. Published reports indicate that even before the Great Recession, it was less than one percent a year and was only 2.4 percent in the 1990s and 1980s, according to the Labor Department figures.

Based on trends following recessions, I’m in agreement with economists who forecast it will be at least five years before the unemployment rate returns to more palatable levels – hence, the term, jobless recovery. Even then, I’m not sure it will happen.

Historically, consumer spending has been a key ingredient for economic recovery. But that won’t happen unless there’s a fundamental economic change.

This also means the tax revenue pie for governments at all levels will remain flat.

For good reason, Americans have returned to 1930’s money values. They’re becoming tight-fisted with their money and are demanding government accountability.

The housing bubble resulted in a high volume of excise taxes, but the high rate of foreclosures alters that scenario.

Talk to anyone who checks credit for consumers or small businesses. The aggregate level of bad credit is huge –largely caused by the predatory behavior of big lenders. They’ve nearly destroyed the livelihoods of small businesses with mega interest rate hikes for bogus reasons.

Small business has historically has been the main job-creation engine, but no more.

Small businesses do not have the financial firepower expand and create jobs. New credit card legislation does nothing to correct the injustices.

Instead of focusing on helping business, government at every level, is hindering the economic climate. Economic and political freedoms are being stolen each day by bad government policy (See this site’s other Public Policy columns). The largest employer in many communities is government. Public-sector agencies are still growing, not laying off, while spending and taxing at ever-increasing levels. For the common good of all Americans, change is needed.

Businesses and consumers can no longer afford the status quo in taxes. Government must reform.

From the Coach’s Corner, effective on Feb. 22, 2010, here is the essence of the credit card law:

1. Credit card companies cannot increase the rate in the first year until the introductory rate expires. The banks must give 45 days notice to change the rate.
2. Unless two months past due, rates can’t be changed.
3. The original interest rate must be granted once payments are on time for six months.
4. The fine print will be easier to grasp.
5. Activation and annual fees can’t exceed 25 percent of the credit limit in the first year; and will be unlimited after 12 months.
6. Credit card statements must be sent three weeks in advance.
7. Transactions can’t take place over the credit limit unless the cardholder agrees.
8. The “universal fault” nonsense (if you were late one day on one payment, the other credit card companies jacked up your rate) is stopped and interest rates on existing balances must stay the same (see No.1).
9. Companies can’t give students or anyone under 21 a car unless she/he has a co-signer or the autonomous ability to pay statements. Schools have to make public any credit-card marketing deals, and companies cannot stage publicity or giveaway events on or near campuses.