Recession Proof Your Life
Experts may argue whether the country is experiencing a recession,
but the public is taking no chances. Consumers have been so adept at
keeping cash and credit cards in their wallets since last fall,
economists believe the nation might see the first drop in personal
consumption since 1991. Any slowdown could have long-term implications
for African Americans, according to the Center for Economic and Policy
Research. In a mild to moderate recession, African-American
unemployment rates could rise to 9.3 percent this year, compared to 8.3
percent in 2007. If the recession is severe, that could increase to
10.1 percent.
but the public is taking no chances. Consumers have been so adept at
keeping cash and credit cards in their wallets since last fall,
economists believe the nation might see the first drop in personal
consumption since 1991. Any slowdown could have long-term implications
for African Americans, according to the Center for Economic and Policy
Research. In a mild to moderate recession, African-American
unemployment rates could rise to 9.3 percent this year, compared to 8.3
percent in 2007. If the recession is severe, that could increase to
10.1 percent.
That’s why it pays to come up with a strategy for surviving the
down time, says Susan Ascher, CEO of the Ascher Group, a human
resources contract staffing firm for professionals. Even in a tight
economy, she points out, some professions will fare better than others.
“There are certain pockets that are going to thrive,” she says. “If
you’re in the banking industry, that’s scary. If you’re a home-health
aide, that’s not quite as scary.”
down time, says Susan Ascher, CEO of the Ascher Group, a human
resources contract staffing firm for professionals. Even in a tight
economy, she points out, some professions will fare better than others.
“There are certain pockets that are going to thrive,” she says. “If
you’re in the banking industry, that’s scary. If you’re a home-health
aide, that’s not quite as scary.”
The same goes for geographic areas. Ascher believes the Midwest,
where automotive and manufacturing industries rule, will see harder
times than the Northwest, where aerospace is king. No matter where you
are, or what you do, now is not the time=2
0to flinch. “People, like corporations, need to stare change in the
face,” she says. So use a combination of tactics to weather the times
ahead.
where automotive and manufacturing industries rule, will see harder
times than the Northwest, where aerospace is king. No matter where you
are, or what you do, now is not the time=2
0to flinch. “People, like corporations, need to stare change in the
face,” she says. So use a combination of tactics to weather the times
ahead.
Tighten your belt: If layoffs are looming, use the money you’re
still making to pay down bills. Cut expenses and put the extra aside.
“Live below your means,” Ascher says. “It doesn’t mean you can’t take
your kids to Burger King, but it does mean you have to save for a rainy
day.”
still making to pay down bills. Cut expenses and put the extra aside.
“Live below your means,” Ascher says. “It doesn’t mean you can’t take
your kids to Burger King, but it does mean you have to save for a rainy
day.”
Get in good with your boss: Executive recruiter and author
Stephen Viscusi says most hiring and firing decision are subjective, so
your relationship with your boss can help–or hurt. ”Bosses like to
keep people who they really like to work with,” Viscusi says. “Nothing
is worse than the person who is a high-maintenance employee. The one
who is difficult to get along with, that’s who’s gonna go.”
Stephen Viscusi says most hiring and firing decision are subjective, so
your relationship with your boss can help–or hurt. ”Bosses like to
keep people who they really like to work with,” Viscusi says. “Nothing
is worse than the person who is a high-maintenance employee. The one
who is difficult to get along with, that’s who’s gonna go.”
Work hard, and work long: Lois Cooper, vice president of
employee relations and diversity at the human relations firm ADECCO,
urges workers to look around for a way to make themselves invaluable.
“Let’s say you’re in a call center. If you’re the one who provides the
best service, that will make you stand out from the rest,” she says.
employee relations and diversity at the human relations firm ADECCO,
urges workers to look around for a way to make themselves invaluable.
“Let’s say you’re in a call center. If you’re the one who provides the
best service, that will make you stand out from the rest,” she says.
And if you aren’t actually busy, at least look like you are. “Be visible, be early
, stay late,” Viscusi says. “This is not the time to plan your wedding at work.”
, stay late,” Viscusi says. “This is not the time to plan your wedding at work.”
While you still have a job, train for work in a burgeoning
profession: Some fields are going to grow; consider switching. Health
care is a growth industry with positions that only require six months
to a year’s worth of training, Cooper says. If money is an issue, check
with the local branch of the National Urban League or with local school
districts. They often offer free or inexpensive classes that can help
you gain new skills.
profession: Some fields are going to grow; consider switching. Health
care is a growth industry with positions that only require six months
to a year’s worth of training, Cooper says. If money is an issue, check
with the local branch of the National Urban League or with local school
districts. They often offer free or inexpensive classes that can help
you gain new skills.
If you’re laid off, file for unemployment later rather than
sooner: Think of unemployment as a cushion, Ascher says. “Take a
menial job. Get a temp job. Then fall back on unemployment.”
sooner: Think of unemployment as a cushion, Ascher says. “Take a
menial job. Get a temp job. Then fall back on unemployment.”
But the best option is to keep your job. That might mean taking
drastic measures. Viscusi knows of executives who kept their jobs by
offering to take a salary cut. It’s a strategy he advises high-paid
managers older than 40 consider if they’re on the layoff list. “Say, ‘I
like the company. I like the job. Why not let me do the same job for
less money?’ At least you’re able to pay your mortgage.”
drastic measures. Viscusi knows of executives who kept their jobs by
offering to take a salary cut. It’s a strategy he advises high-paid
managers older than 40 consider if they’re on the layoff list. “Say, ‘I
like the company. I like the job. Why not let me do the same job for
less money?’ At least you’re able to pay your mortgage.”
–Afi-Odelia E. Scruggs is a Cleveland freelancer who frequently covers money issues.
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Three Tips Before You Buy a Franchise
* What am I willing to put into a franchise? Don’t be seduced by a compelling franchise concept and forget to consider how much time, money and energy you have or are willing to invest in the enterprise and for how long. Seek franchise opportunities that are in line with your lifestyle and budget.
* What are my business strengths? Carefully assess your skills from sales and marketing to management and information technology. Then compare your strengths with the skills the franchise requires and the type and depth of training the franchisor provides. Keep searching for other opportunities if you are weak in an area that the franchisor doesn’t teach comprehensively.
* Will I follow the franchisor’s blueprint? The best franchisees accept the constraints of the franchise agreement and commit themselves to the franchisor’s system. Free spirits and people who are prone to challenge authority may be better suited to launching a business outside of the franchise system.
–Maya Payne Smart
Bounce Back From a Bad Review
Annual review season could make you feel like a kid again: unsure
what kind of grades you’ll receive on your report card. While this is a
typical reaction, human resources expert Carl C. Jefferson, president
of the National Association of African Americans in Human Resources and
a vice president at Wachovia, says the review process is a positive
experience that really creates a chance for employees to do well.
The evaluation is “an opportunity to perform better by going into
the future with it,” Jefferson explains. Below, the five steps he
believes employees should take after a less-than-desirable review.
the future with it,” Jefferson explains. Below, the five steps he
believes employees should take after a less-than-desirable review.
- Assess your feelings.Take inventory of how you’re feeling after
receiving a bad review. Are you angry? Confused? Sad? These are the
questions Jefferson says you should ask yourself. During this step,
assess whether you can still do the job, and determine if anything has
changed since you took the position. Are there fewer resources
available, did a work team decrease in size or did the velocity of your
work increase and you were not ready, able or capable of doing the
work? This is the period where you are determining what may have
contributed to the negative review. - Analyze differences you and your supervisor(s) have about your
job performance. Write down any discrepancies between how you thought
you=2
0were performing and what’s expressed in the review. It is important to
close the gap between what your employer thinks and what you believe
about your work performance. Be completely honest with yourself. The
two of you could not jibe over something such as punctuality or meeting
deadlines. - Consider your options. Now that you’ve completed a
self-assessment of your feelings and outlined the performance gaps,
it’s time to determine what you’re prepared to do in response to the
review. Do whatever helps you prepare for a time of reflection–whether
it’s meditating, sitting alone or re-reading the review. “It’s not
about the job; it’s about you. It may take a few hours (to figure this
out); it may take a day,” Jefferson says. During this stage weigh your options and “come up with a whole
laundry list of things you need to consider.” This is where you should
ask yourself whether you find a mentor, coach or sponsor, or consider
additional education to help you perform better at work, or if you need
to look for a new job. You may even decide your current line of work
isn’t fulfilling your life’s purpose and opt to switch to a new
industry. Be honest with yourself and trust your spirit. Don’t allow
fear to keep you imprisoned in your current position if your spirit is
pointing in another direction. - Create an action plan to impro
ve your performance or plan to make an exit. “What action are you
willing to take?” Jefferson asks. If you had trouble meeting deadlines,
get clarity from your manager on when projects are due. If punctuality
is an issue, the action plan would say you’re going to arrive 10
minutes earlier for work. If you are planning to resign from your
position, take the proper steps to find new employment or income stream. - Commit to improving. This is for two people: yourself and your
supervisor. “It’s a decision to surrender to the decision to make a
commitment to improve,” Jefferson says. “If you made a commitment to
leave, you need to commit to your decision. If you’re going to stay,
put all of your actions into your improvement.”
Aisha Iman is an Atlanta freelancer who writes frequently about business.
Best Jobs for Single Moms
Ninth-grade teacher Danna L. Kiel enjoys popping over to her son’s
school in the middle of the day just to say hi. Ali, 6, enjoys visiting
his mom’s classroom and writing on the chalkboard. Both very simple
things, but both very meaningful moments to the single mother, who
traded in a writing career in Tinseltown to give her son a consistent
and predictable schedule.
“I learned the hard way that routine is
one of the greatest things I can give my child,” Kiel says. “Teaching
is not the 7 a.m. to 2:20 p.m. job everyone thinks it is, but it
certainly offers me a more than viable way to provide a living.”
one of the greatest things I can give my child,” Kiel says. “Teaching
is not the 7 a.m. to 2:20 p.m. job everyone thinks it is, but it
certainly offers me a more than viable way to provide a living.”
Genia Spencer, managing director of human resources and operations
for Randstad USA, says for single moms, the key to matching a job to
your life is knowing your skills and values, and she agrees that
teaching and other knowledge-based careers, like accounting, editing or
proposal writing, provide great opportunities. “Companies are more
interested in whether you get the job done well rather than face time,”
Spencer says. “Some work can be done from any desk, at any computer.”
for Randstad USA, says for single moms, the key to matching a job to
your life is knowing your skills and values, and she agrees that
teaching and other knowledge-based careers, like accounting, editing or
proposal writing, provide great opportunities. “Companies are more
interested in whether you get the job done well rather than face time,”
Spencer says. “Some work can be done from any desk, at any computer.”
Spencer also suggests sales for single moms. “A field-based sales
job, like in the pharmaceutical or manufacturing industries, allows a
person to make her own schedule and, to a large degree, control her earnings,
since it’s commission-based. Plus, these jobs often provide a single
parent the ability to be home every night.”
job, like in the pharmaceutical or manufacturing industries, allows a
person to make her own schedule and, to a large degree, control her earnings,
since it’s commission-based. Plus, these jobs often provide a single
parent the ability to be home every night.”
The health care industry, Spencer says, is another great
field for single moms. It has incredible shortages in the workforce and
unlimited opportunity. Home health care offers a great deal of
flexibility because it’s based on the hours the care provider selects.
Occupational therapy, physical therapy and X-ray imaging are also
viable areas. And if you’re interested in working in an office, try
medical practice management, which focuses on billing, risk management and human
resources.
field for single moms. It has incredible shortages in the workforce and
unlimited opportunity. Home health care offers a great deal of
flexibility because it’s based on the hours the care provider selects.
Occupational therapy, physical therapy and X-ray imaging are also
viable areas. And if you’re interested in working in an office, try
medical practice management, which focuses on billing, risk management and human
resources.
But Spencer warns people not to get locked on new job excitement
and the salary offer. “In this economy, be cautious making a move in
order to ensure it’s going to be a good long-term fit,” she says. Learn
about tuition reimbursement, student-loan repayment, teleworking,
onsite daycare centers, paid leave, company culture, health insurance
deductibles, per-visit payments, how often the family can go for well
visits and whether the company has flex spending accounts and 401(k)
matching programs.
and the salary offer. “In this economy, be cautious making a move in
order to ensure it’s going to be a good long-term fit,” she says. Learn
about tuition reimbursement, student-loan repayment, teleworking,
onsite daycare centers, paid leave, company culture, health insurance
deductibles, per-visit payments, how often the family can go for well
visits and whether the company has flex spending accounts and 401(k)
matching programs.
“It’s really important to do a complete balance sheet before you
accept the offer,” Spencer says. “It has an impact on both your
finances and your quality of life.”
accept the offer,” Spencer says. “It has an impact on both your
finances and your quality of life.”
– Kennedy Spencer is an Atlanta freelancer.
Where to Go for Foreclosure Help
- (888) 995-HOPE (4673) This hotline is available to any homeowner
having trouble paying her mortgage. It is in operation 24 hours a day,
7 days a week. The sponsors are two well-respected, non-profit housing
organizations, Homeownership Preservation Foundation and Neighborhood
Works America. - Department of Housing and Urban Development This federal
agency’s hotline provides help and a link to a list of HUD-approved
housing counseling agencies. The toll-free number is (800) 569-4287. - National Foundation for Credit Counseling The NFCC is another source for homeowners trying to avoid foreclosure.
The toll-free help line, (866) 845-2227, offers links to NFCC-certified
housing counselors or assistance online at housinghelpnow.org. - Foreclosure Prevention Resource Center This Web site, sponsored by the Mortgage Bankers Association, offers basic information on the process of foreclosure as well as links
to helpful sources for homeowners in trouble.
Homeloanlearningcenter.com will take you to a link for foreclosure
assistance.
Pick up your copy of the October/November Heart & Soul for additional foreclosure assistance.
–Shawn Kennedy
Don’t Get Let the ATM Mug You
We’ve all felt the pinch: While away from home, you had
to–gasp!–get money from an ATM at a bank not your own. You accept the
$2.50 fee that bank charges you to use its machine. But you didn’t
think about the $2 fee you rown bank will slap on you for making a
transaction at a foreign bank. And ATMs at hotels, restaurants, cruise
ships and casinos sometimes charge as much as $7 per transaction. Ouch.
Whenever possible, use your own bank’s ATM. But if you’re in the middle
of nowhere and the only ATM available is at Joe’s Bank, try this: At
the grocery store, drugstore or other point of sale places, when you
pay with your debit card, always choose the cash back option. There’s
no fee for that money.
