TheCareerBeat Blog

The latest trend: pay cuts and furloughs?

A recent article in The Economist caught my attention by noting that some of the latest cost-cutting moves by employers — namely pay cuts and reduced hours — are getting quiet acceptance by many working Americans.

The graph from the article (shown here) shows just how prevalent these measure have become in recent months.

A recent poll (June 2009) on Yahoo! HotJobs had similar results: Almost half of the respondents (48%) said that they have their pay cut or hours reduced by their employers in the last year.

It’s not like employees have many options today but to accept these sorts of cuts. But how you handle the situation can still make a big difference. For some ideas, see “Four Types of Pay Cuts, and What You Can Do About Them.”

Key to job security: good relationships

I was surprised to see in a recent survey that workers’ relationships with their bosses and fellow employees have apparently not been hurt by the recession. In fact, those relationships may have improved during the downturn.

The survey, from financial staffing firm Accountemps, showed that 87% of professionals said they have a good rapport with their supervisors, and 95% said they get along well with coworkers. Those figures are roughly the same as when the same survey was conducted in 2005, when the economy was better.

Some stronger ties

However, the number of folks this year who described their ties with the boss as “very good” was up 4% over 2005, and those who had “very good” relationships with coworkers was up 7% over 2005.

Is the recession driving people to treat others better in the workplace?

“People make work relationships a priority in good times and bad,” says Katherine Spencer Lee, a district president with Robert Half International, the parent of Accountemps.

“In the current economy, we see people pulling together, empathizing with the work and personal challenges their colleagues are facing and doing what they can to help,” she adds. “There also is a “we’re in this together” mentality among many of those trying to accomplish more with leaner teams and fewer supporting resources.”

Increasing your value

Good relationships in the workplace also boost job security, especially now as managers constantly assess where to make possible cuts. Experts offer these suggestions for maintaining and improving relationships at work:

• Take on challenges outside your job description.
• Adjust your work habits and communication style to better mirror those of your boss.
• Maintain your poise during challenging times.

For additional tips, see the article “Workplace Relationships Stay Strong in Economic Downturn.”

‘Underworked Americans’ not counted by BLS

A very interesting commentary in The Economist magazine points out a troubling trend. While U.S. adults often complain about their excessive time-consuming work demands, U.S. children have more cushy schedules than most others in the world.

The data includes fewer school days (German kids spend 20 more days in school per year, South Koreans get over a month more) per year and fewer hours per week in school. The long summer vacation is also unusual compared with schools in other countries, and it commonly yields “summer learning loss.”

The findings suggest that American kids grow up with a competitive disadvantage for succeeding in the global marketplace once they become adult workers. The full commentary is worth reading.

On the lighter side, the Bureau of Labor Statistics (BLS) is also not tracking another possible set of underworked Americans: poets. That’s the suggestion playwright John Patrick Shanley recently made to graduates at the College of Mt. St. Vincent:

“Not to bring up something upsetting, but when you leave here today, you may go through a period of unemployment. My suggestion is this: Enjoy the unemployment. Have a second cup of coffee. Go to the park. Read Walt Whitman. Walt Whitman loved being unemployed. I don’t believe he ever did a day’s work in his life. As you may know, he was a poet. If a lot of time goes by and you continue to be unemployed, you may want to consider announcing to all appropriate parties that you have become a poet.”

Three commands for job-hunting success

Last week I shared these simple commands (3 Be’s) as part of the “Money & Main Street” segment on CNN.com:

Be flexible. You may have to look outside your industry, your town, your salary range in order to find a job today. You may have to take a job that is more junior than you would like. But once you get in the door, you can demonstrate your skills and move up — or move out when the economy gets better.

Be special. With more than five job seekers for every advertised job listing online, you’ve got to be competitive. One way to do this is to identify what gives you unique value to an employer, based on your individual achievements. Then make sure you communicate that well on your resume, in interviews, and in your 20-second “elevator speech” that you might use at networking events.

Be positive. First impressions are so important in hiring decisions, so you need to project confidence and a positive attitude. This may be more challenging for people who have been job-hunting full-time for weeks or months, as rejections chip away at your attitude. Do all you can to engage your support systems and find inexpensive recreational outlets — whatever it takes to recharge your batteries. You won’t get hired without a positive attitude.

I also did a video segment on CNN.com that night on “How to Find a Job,” which you can watch by clicking here.

Extreme job hunters: Where are they now?

A few months ago I interviewed some job hunters who were using unusual tactics to get work, like renting a huge billboard for a month. I went back to them recently to see what kind of success their extreme efforts brought.

Billboard Yields Offers

Mark Heuer, the guy who rented a billboard in Milwaukee for a month, says that he got three job offers from his investment. He also got plenty of media attention, which connected him to a supportive network of people struggling through unemployment.

Heuer started a new job at the beginning of June as director of client experience for Home Instead Senior Care. The job is not one of the three offers that came as a result of his billboard.

“In the end it came down to sheer networking, even though the billboard did work in uncovering an unpublished opportunity,” he says.

After seven months of unemployment, Heuer recommends networking as the best method for finding a job today. But he still encourages job seekers to be creatively unusual.

“The billboard worked even though I did not choose the opportunities,” he says. “I suggest car wraps, bus wraps, billboards, or even yard signs to plant in front of decision-makers’ windows at their offices.”

Husband Still Looking

Robin Stearns tried a novel approach to help her husband Mike find a job after 10 months of looking: She started the site MyHusbandNeedsaJob.com.

The homepage shows her holding a big sign that says, “Hire my husband.” But nobody has yet, as of mid-June.

A 2008 MBA graduate of Georgetown, Mike says he still does a great deal of networking, which he says is “the most effective way to job search.” His efforts include attending career fairs and volunteering.

Like Heuer’s billboard, the site garnered plenty of attention around the world. “Unfortunately we’re not the only ones in this [unemployed] situation, and it’s been nice to hear so many stories of others struggling through this with us,” Mike says.

Would he do anything differently? He says: “Knowing what I know now, I would have broadened my scope a lot earlier and expanded my search while I was in business school.

He encourages other job seekers to be creative, as well as effective. “Our website still focuses on my qualifications and resume, so all is not lost on the unique way we tried to market it.”

“Persistence and patience are the key,” he adds. “And network, network, network!”

Best consumer perks for the jobless?

Despite the largesse of a cosmetic surgeon who is offering free Botox injections for unemployed job seekers, other discounts might be more appreciated by said job seekers.

Last week’s Yahoo! HotJobs poll bears that out, with most respondents preferring either restaurant meals (a la Denny’s free Slams) or phone-service discounts (big hint for Sprint!).

Here is the breakdown:

Q	If you were (or are) laid off, which free or discount plan targeted to the jobless would you appreciate most?
Travel refunds	10%
Botox injections	4%
Restaurant meals	38%
Phone service	39%
Income-tax preparation	8%
6183 Votes to date

Retailers and other service providers should consider cutting more slack to the unemployed — it’s great PR for the brand and could lead to more business! And in the upbeat wisdom of Avenue Q: “When you help others, you can’t help helping yourself.”

The Top 10 list for job seekers

Who doesn’t love a “Top 10″ list? The concept, especially as perfected by David Letterman, never bores me; I enjoy the countdown and the pull of what’s next. Of course, humor helps in a big way, but the list I want to share isn’t very funny.

Looking for a job today is serious business. It’s a job in itself, and you need to take it seriously in order to succeed.

Fortunately, the experts at Robert Half International have put together the 10 best strategies that every job seeker should pursue. The full article is posted on Yahoo! HotJobs, but here are three of the wise tips (in no particular order):

* Leave your comfort zone. Don’t limit your search to your current industry or field. Expand your horizons by focusing on your transferable skills.

* Be flexible. Remaining open to all possibilities is essential in a challenging economy. Don’t overlook a position even if the job title, salary, or benefits may not be exactly what you hoped for.

* Manage your digital footprint. With a few mouse clicks, potential employers can dig up information about you on blogs, personal websites and networking sites. As you look for employment, keep tabs on your online reputation to make sure there is no information about you on the Web that could affect your professional reputation.

For the full, informative top 10 list, click here.

For a fun diversion, check out the Top 10 archive from the “Late Show with David Letterman.”

Hunting for hopeful job-market signs

Everyone is hungry for some good economic news these days. Today’s unemployment report from the government (9.4% for May) didn’t really fit the bill. However, the loss of 345K jobs that month is the lowest job loss since September. Let’s hope the glimmer becomes a trend.

There was also an encouraging press release today about a three-month rise in employee confidence. The Spherion Employee Confidence Index, which measures workers’ confidence in their personal employment situation and optimism in the economic environment, rose again in May. Fewer workers believe the economy is getting weaker and more workers are optimistic in their ability to find a new job, according to a Spherion press release.

Some highlights:

* Thirty-eight percent of workers believe the economy is getting weaker compared to 46 percent in the previous month. Twenty percent of workers believe the economy is getting stronger, an increase of four percentage points from April.

* Forty-two percent of U.S. adult workers reported confidence in their ability to find a new job, an increase of four percentage points from the previous month.

Of course, the emphasis is on a perception of things being “less bad.” Do we really know? In the absence of hard evidence, perceptions may be some comfort. Especially when it comes to finding a new job — confidence and a positive attitude are incredibly valuable!

Poll: Salaries get the freeze

Interesting results in latest Yahoo! HotJobs poll: Most respondents had their salaries frozen at some time during this year.

Q	Has your employer frozen your salary at any time during 2009?
Yes	72%
No	28%
4911 Votes to date

Ready for disposal: vacation?

Vacations are supposed to relieve anxiety, not cause it. Yet many people are stressing out about vacations — particularly about whether or not to take them.

Whether it’s the cost of traveling or the fear of losing your job once you’re gone, many Americans are deciding to scrap their vacations this year.

Recession Victim?

When asked how the recession has changed their 2009 vacation plans, 61% of Yahoo! HotJobs site visitors responded that they are not taking a vacation at all. An additional 7% said they are taking less vacation time this year.

The informal online poll, conducted in the second week of May with over 6,000 responses, includes participants who are unemployed.

Last year we saw a similar trend, when 51% of respondents planned to skip vacation.

“Vacations are usually the first thing to go when people feel job or economic pressure,” says Joe Robinson, a trainer in work-life balance and author of “Work to Live.” He continues, “We’re programmed to believe that free time is worthless, a frill to shove aside, but vacations are as important as watching your cholesterol or getting exercise.”

Rescue Plans

Experts have offered some great tips, including:

• Remind yourself: Vacation is not a luxury.
• Put aside some funds each week. Even $20 or $50 will help finance a small trip.
• Plan leisure activities near home.

Some employers are also forcing workers to take vacation this year, which can save the company money — especially through a forced shutdown, as at the holidays. It can also be good for workers, especially ones who might be hoarding vacation time as a hedge against possible unemployment. (An understandable impulse, to be sure!)

For more on how to safeguard your vacation, see the article “Vacations Take a Hit from Recession.”