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Jobless Recovery --- An Oxymoron
Written by: Dr. Rick JohnsonArticle Overview: Jobless Recovery ----- Every time I hear this term I want to vomit. Wikopedia states ---- A jobless recovery or jobless growth is a phrase used by economists to describe the recovery from a recession which does not produce strong growth in employment. How can we possibly recover if we aren't creating jobs? The September unemployment rate is in. We lost another 263,000 jobs and unemployment in this country is now at 9.8%. Tell one of those hundreds of thousands of people that are out of work that the economy is in recovery and they are liable to smack you in the mouth.
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Jobless Recovery --- An Oxymoron
Jobless Recovery ----- Every time I hear this term I want to vomit. Wikopedia states ---- A jobless recovery or jobless growth is a phrase used by economists to describe the recovery from a recession which does not produce strong growth in employment.
How can we possibly recover if we aren't creating jobs? The September unemployment rate is in. We lost another 263,000 jobs and unemployment in this country is now at 9.8%. Tell one of those hundreds of thousands of people that are out of work that the economy is in recovery and they are liable to smack you in the mouth.
Jobless Recovery is Simply a Political Phrase --- an Oxymoron
An oxymoron is a figure of speech that combines two normally contradictory terms. ...
A jobless recovery or jobless growth is simply a phrase used by economists to describe a so called recovery from a recession which does not produce strong growth in employment to reduce unemployment. Personally, jobless recovery to me is simply an oxymoron. There is no such thing. This economy will start recovering when we start creating more jobs.
The reality of the situation is explanatory as to why the so called experts are calling it a jobless recovery. Congress approved a $787 billion dollar stimulus bill to bolster the economy and create jobs. Factually however, less than 10% of that money has been spent on job creation programs. Additionally, much of the money that has been spent does not create permanent jobs. The fact that much of the stimulus bill is really pork reduces that number still further.
The Free Enterprise System Works
Personally, I believe in our free enterprise system. I expect that the recovery will gradually gain momentum and that economic slack will diminish slowly. In particular, businesses are likely to be cautious about hiring, implying that the unemployment rate could remain high for a time, even after economic growth resumes. But, recovery isn't recovery until we start creating jobs.
I believe Job recovery should start by the third quarter of next year as businesses begin to gain confidence and start buying equipment and increasing capital investment. It may be a modest 1% or so but that represents a dramatic improvement compared to four straight quarters of decline since mid 2008. Inventories are being worked through and pent up demand is increasing. That is a good sign.
Caution ---- Uncontrolled Spending Can Have an Impact
Of course, the worm in the tequila may be the lack of control on federal spending. If we can not reduce the huge deficits, we may be facing rising interest rates and higher inflation. That's a bad thing and could stop recovery and job creation. In recent months, the economy has benefited from a slowdown in the pace at which businesses have slashed inventories, prompting factories to expand production. Auto sales have been aided by the cash-for-clunkers program which gave buyers incentives to trade in cars. Home sales have been stimulated by a tax credit for first-time home buyers, an inducement that expires in November. That means that the economy has been propped up somewhat and is still fundamentally weak. However, companies have learned a lot during this crisis. Best practices have been employed, contingency plans have been created and executed upon and once all the dust has settled companies are emerging stronger and in better control of their destiny.
However, unemployment will continue to rise in the near future until it reaches double digits. Until unemployment starts to decline the term jobless recovery sounds ridiculous. Many individuals, particularly those who have grown so discouraged that they're no longer looking for work will be vomiting right along with me. For them, a jobless recovery is nothing more than a term used by politicians to mask reality.
Don't Lose Hope
The sky isn't falling. Success will come at a much greater pace if you have proactively built leadership skills into the organization. I realize the economic realities may be that you are in a contingency mode and you are forced to make serious cost reductions. Be careful not to throw the baby out with the bath water. Remember.......... Companies that will thrive in this economic environment are companies that continuously develop leadership skills at every level in the organization. Doing business today is just not as easy as it was when we were riding the high wave of the economic boom. You actually have to know what you are doing to get through this economic crisis. That means you have to dust off your visionary skills. Often, these skills take a back seat when our attitude leans more toward survival. If the current economic crisis tells you anything, it should tell you that those who are prepared, those that have developed long term plans are going to be in a much better position to take advantage of the windows of opportunity that will occur as the economy recovers.
Remember, this economy will recover. You and your company will get through these tough times. Jobs will be created. You can be prepared and take advantage of the opportunities this economy creates. After all, your competitors are facing the same conditions you are. Maybe the "good times" created a little complacency within their ranks. Take advantage of it. Take advantage of future opportunities by being prepared.
Let's be honest, people without jobs don't spend money, and the economy is too dependent on consumer spending to recover without people returning to work. Economic recovery and job creation has a lot to do with the consumer. Consumer spending accounts for about two thirds of the gross domestic product. But personal spending has suffered not only from job losses but also from a loss of overall household wealth thanks to the decline in the stock market and the housing market.
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Article Tags: economy, jobless growth, jobless recovery, recession, unemployment rate
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About the Author: Dr. Rick Johnson RSS for Dr. Rick's articles - Visit Dr. Rick's website  www.ceostrategist.com - Sign up to receive "The Howl" a free monthly newsletter that addresses real world industry issues. - Straight talk about today's issues. Rick Johnson, expert speaker, wholesale distribution's "Leadership Strategist", founder of CEO Strategist, LLC a firm that helps clients create and maintain competitive advantage. Need a speaker for your next event, E-mail rick@ceostrategist.com. Dr. Rick Johnson has over 35 years of experience in distribution sales and operations. Rick�s career can be broken down by decades. The first ten years of his distribution career were spent with the largest steel-processing distributor in the world (Joseph T. Ryerson). The second ten years began with Rick starting his own processing distribution center from scratch. In the first year, sales reached $1 million dollars and had grown to $25 million in its tenth year when Rick sold the business to one of the major national chains. The third ten years of Rick�s career dealing with financially troubled Turn-A-Round companies. After completing ten years of TAR work, Rick decided a decade of acting like Darth Vader was enough and became a consultant to the Wholesale Distribution Industry in 1999. Rick received an MBA from Keller Graduate School in Chicago and a Bachelor's degree from Capital University, Columbus Ohio. He also served six years in the United States Air Force as a survival instructor. Rick completed his dissertation on Strategic Leadership and received his Ph.D. in 2005. Rick is frequently published in numerous magazines including a column in Supply House Times, with over 250 different articles published to date. He�s also a published author with eight books to his credit. Click here to visit Dr. Rick's website   Has Your Sales Force Lost Their Passion Accepting Credit Card Payments Is it Really Worth It Winning Organizations Check Your Attitude to Avoid The Pygmalion Effect Ten Tips to Avoid Micro Management |
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Contingency Planning and Disaster Recovery: A Small Business
- Contingency Planning and Disaster Recovery: A Small Business Guide
Donna R. Childs, Stefan Dietrich
2002
"Among the countless tragic lessons of 9/11, an overlooked but important discovery was the lack of preparedness among small and midsized businesses for responding to disaster. While most of the media attention was naturally devoted to...., the very existence of thousands of small businesses was determined by whether or not they had adequate insurance, sufficient technological support, and viable disaster contingency plans."
(People who live in hurricane prone areas need this as well...and who knows when a fire might not strike...)
Table of Contents
1. Preparation
2. Response
3. Recovery
4. SAmple IT Solutions
Basic safety practices
Okay, the TOC isn't [i:2fu76idt]too [/i:2fu76idt]helpful, but there's lots of valuable info in this book, as to ensure that [i:2fu76idt]your [/i:2fu76idt]losses won't be catastrophic. How people cope with suddenly seeing their homes and all their possessions gone, what kinds of insurance to get, etc. etc.
Books for Women Entrepreneurs
- There's a thread for good books in the Resources folder, but it doesn't target books for businesswomen particularly, so I figured I'd start such a thread here.
It doesn't matter how successful you are in your business - it's always possible to learn something new.
In subsequent posts I give Table of Contents and brief descriptions for various titles - most of them devoted to the businesswoman - and sometimes a review. If anyone else has read a review, or has read the book and found it useful, please comment!
1. The Old Girl's Network
2. Mother's Work
3. The 7 Greatest Truths About Successful Women
4. Pitch Like A Girl
5. Workplace Warrior
6. Treasure Hunt: Inside the Mind of the Modern Consumer
7. Contingency Planning & Disaster Recovery
8. She Wins, You Win
9. Napoleon On Project Management
10. Why Good Girls Dont' Get Ahead, But Gutsy Girls Do
11. Comeback Moms: How to Leave Work, Raise Children, and Restart your Career even If you Haven't Had a Job in Years
12. The One Minute Millionaire
13. Talking From 9 to 5
14. Soloing: Realizing Your Life's Ambitions
15. 101 Best Home Based Businesses for Women: Everything You Need to Know About Getting Started on the Road To Success
16. Work With Passion: How to Do What You Love for a Living. Revised and Expanded
17. Fail-Proof Your Business: Beat the Odds and be Successful
18. Confidence: How Winning Streaks and Losing Streaks Begin and End
19. Women Don't Ask: Negotiation and the Gender Divide
20. Millionaire Women Next Door: The Many Journeys of Successful American Businesswomen
21. Start Small, Finish Big: Fifteen Key Lessons to Start - and Run - Your Own Successful Business
22. Rewired, Rehired or Retired: A Global Guide for the Experienced Worker
23. The Martha Rules: 10 essentials for achieving success as you start, build or manage a business
24. The Essentials of Entrepreneurship: What it takes to create Successful Enterprises
25. Net Ready: Strategies for Success in the E-conomy
26. The Promotable Woman
27. Leave The Office Earlier: The Productivity Pro shows you how to do more in less time and feel great about it
28. The Work At Home Balancing Act: The professional resource guide for managing yourself, your work, and your family at home
29. Secrets of Six-Figure Women
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