Thursday, September 22, 2016

Is There Really Such a Thing as Job Security Anymore?

Today the concept of job security is really more of an oxymoron. Phrases like, “You’re fired,” “You’ve been down sized,” “You’ve been laid off,” “Your position has been outsourced,” “Here’s your walking papers or your pink slip,” “There have been cutbacks,” are all-to-common in the workplace today. And the days of working for one company and being taken care of for the rest of your life with a pension are becoming relics of a different time period.

Here is the problem today as I see it, in Q&A format below:

Out of 100 people, how many are taught to work for money? Just about everyone in America, but the idea of “go to school, get good grades and get a safe and secure job” was a good one for people born before 1930. Today, everyone needs to go to school to prepare for a job or career, but we also need to know how to invest and how to create some form of passive income.

Out of 100 people, how many are taught to have money work for them? This is a subject that is not really taught in schools today and you will have to go elsewhere to get the answers to this question.

If the class for how to become a millionaire was offered, do you think you would have signed up for it? Probably most people would say yes!

So, most people were taught to go out get a job and work for money.

Out of 100 employees, how many do you think would like a raise? Probably all 100.

Out of 100 business owners, how many do you think want to give their employees more money? Probably very few of them if any.

So, everyone wants a raise, yet so few employers want to give out raises. Why is this so?

Many companies are publicly traded and have shareholders.

What are shareholders most interested in? Making more money.

What are the CEOs of companies most interested in? Higher profits, so they can pay the shareholders more money.

What are profits? Revenue minus Expenses

In this system, where is the employee – a source of revenue for the company or an expense to the company? As an employee you are an expense.

So, CEOs want to pay employees as little as possible to get the profits as high as possible.

In order to get the profits higher, what must the company work on decreasing? Their expenses

So, there is a limit to the amount of money you can get paid and once you start making too much money they will have to get rid of you because now you are starting to cut into the company’s profits. Because of this, the employee position today is more of a temporary situation. And that is why we have people with 2, 3 sometimes 4 jobs between husband and wife in a household - not to live lavishly - but just to make ends meet.

So how can you ever win being an expense to someone else? Unfortunately, it is very hard and nearly impossible to today. The reality is that your boss’s job is not to make you rich. Your boss’s job is to make sure you get your paycheck. It’s your job to become rich if you want to.

I realize that I am offering up more questions than solutions, but the bottom line is, “Don’t only rely on only your job because there is no such thing as job security anymore!” Make sure you have a Plan B. Heck, make sure you have a Plan C and D as well. Make sure you educate yourself on investing and start making some good investments now and get your money to start working for you – you will surely need this in your future. Make sure you keep an open mind to opportunities and look for ways to make passive income in areas that you actually love doing - opportunities are all around us.

I'm so excited to share this information with you. If you have enjoyed the information or feel that it would benefit someone else, please share it. If you have any questions or comments, please feel free to contact me.
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