The Dow Jones Industrial Average gained 200 points today after the government reported that "third-quarter gross domestic product rose at a seasonally adjusted 3.5% annual rate." I suppose we have to dig deeper into what constitutes "seasonally adjusted" and "annual rate." When did all of the government reporting switch to "seasonally adjusted" data. Is it like daylight savings time for numbers? We spring them forward then adjust them back?
Anyway, it was enough for Wall Street to get excited about having watched the index close down over 100 points three times this week. All of the GDP excitement was not enough to lift it back over 10,000 points though, it currently stands at 9963. I am sure it will reach there tomorrow and then drop back next week continuing the mad triple digit flip-flopping that has characterized the market lately. Investors are back to over-reacting to every smidgen of "good" news and every smidgen of "bad" news. In my opinion, some of this news wasn't worth any movement at all.
The GDP figures adds more fuel to the "recession is over" fire despite the economic crisis still unfolding on the employment and housing fronts. This can only mean one thing, the stimulus package must be working because consumers have not returned to driving the economy at their usual rate unless they are handed $4,500 to buy a new car or $8,000 to buy a first house.
Thursday, October 29, 2009
Wednesday, October 28, 2009
Afghanistan: Graveyard of Foreign Armies
I don't like to weigh in about war because I do not like war and the rationale for war. I thought the entry into Iraq was a bad idea and the obvious contrivances foisted upon us in the run up to the war had me shouting at the television. Then George Bush threw down the gauntlet, we were either with him or against him and Rummy (Donald Rumsfeld) enthralled us with his surefire shock and awe strategy and the next minute we were watching the biggest fireworks show ever, the bombing of Baghdad.
The whole thing was supposed to be easy, the mighty pyrotechnical weaponry of the greatest and most expensive army in the world would take out Saddam Hussein and his weapons of mass destruction and deliver unto the Iraqis a freely democratic state that would also serve as an American foothold in the region. Six and half years later, we are still there. Are we?
There has not been much press on the Iraq War lately because the Iraq War, all that it is, ended up being a very expensive trillion dollar distraction, siphoning off troops and resources from the war in Afghanistan, where we were fighting the good fight against Al Qaeda and Osama Bin Laden, the architect of the September 11, 2001 terror attacks, and their state sanctioned sponsor the Taliban. Now, Afghanistan is front and center again, for eight years later, we are still there as well.
Both the Iraq and Afghan wars are of the same ilk. We invaded sovereign nations, destabilized their dictatorial regimes, tried to impose a system of democracy that resulted in weak, ineffectual and corrupt governments and where we have whipped up brutal insurgencies. Now, if we pull out, both of these fledgling states, Iraq and Afghanistan, can easily be overrun by power-hungry anti-American factions that will reverse all of our efforts, undermine our foothold in the region and imperil the lives of the inhabitants, not to mention becoming full out breeding grounds for terrorist cells.
The only existing military logic is to hold the line against insurgency by sending in more troops and training the national armies to manage the fight themselves allowing us to withdraw. We have been training the Afghans and the Iraqis for eight years and six years respectively and their armies are still not ready to take the reins. We send our soldiers into battle after six weeks of basic training but it seems virtually impossible to bring those national armies up to speed.
We are supposed to draw down troops in Iraq next year and right now, I don't know if that is still the plan. Whatever the case General McChrystal has now asked his Commander-in-Chief for 44,000 more troops in Afghanistan. Sending more troops will be a tacit acceptance of prolonged war. We must note here that Afghanistan has been known as the "graveyard of foreign armies" for several hundred years. Historically, foreign armies, including the British and the Russians, have jeopardized their empires trying to defeat the Afghans in lengthy contests, without success.
We cannot continue to fund both of these wars as we have already gone into considerable debt funding them and if we continue, in light of the current deficits and amid our current economic collapse, we run the risk of utter financial ruin. The President has a hard choice but in the end, I think, he should not send more troops. He should let the military manage with what they have while finding a solution for America to withdraw as expeditiously as possible before we all go down in flames.
The whole thing was supposed to be easy, the mighty pyrotechnical weaponry of the greatest and most expensive army in the world would take out Saddam Hussein and his weapons of mass destruction and deliver unto the Iraqis a freely democratic state that would also serve as an American foothold in the region. Six and half years later, we are still there. Are we?
There has not been much press on the Iraq War lately because the Iraq War, all that it is, ended up being a very expensive trillion dollar distraction, siphoning off troops and resources from the war in Afghanistan, where we were fighting the good fight against Al Qaeda and Osama Bin Laden, the architect of the September 11, 2001 terror attacks, and their state sanctioned sponsor the Taliban. Now, Afghanistan is front and center again, for eight years later, we are still there as well.
Both the Iraq and Afghan wars are of the same ilk. We invaded sovereign nations, destabilized their dictatorial regimes, tried to impose a system of democracy that resulted in weak, ineffectual and corrupt governments and where we have whipped up brutal insurgencies. Now, if we pull out, both of these fledgling states, Iraq and Afghanistan, can easily be overrun by power-hungry anti-American factions that will reverse all of our efforts, undermine our foothold in the region and imperil the lives of the inhabitants, not to mention becoming full out breeding grounds for terrorist cells.
The only existing military logic is to hold the line against insurgency by sending in more troops and training the national armies to manage the fight themselves allowing us to withdraw. We have been training the Afghans and the Iraqis for eight years and six years respectively and their armies are still not ready to take the reins. We send our soldiers into battle after six weeks of basic training but it seems virtually impossible to bring those national armies up to speed.
We are supposed to draw down troops in Iraq next year and right now, I don't know if that is still the plan. Whatever the case General McChrystal has now asked his Commander-in-Chief for 44,000 more troops in Afghanistan. Sending more troops will be a tacit acceptance of prolonged war. We must note here that Afghanistan has been known as the "graveyard of foreign armies" for several hundred years. Historically, foreign armies, including the British and the Russians, have jeopardized their empires trying to defeat the Afghans in lengthy contests, without success.
We cannot continue to fund both of these wars as we have already gone into considerable debt funding them and if we continue, in light of the current deficits and amid our current economic collapse, we run the risk of utter financial ruin. The President has a hard choice but in the end, I think, he should not send more troops. He should let the military manage with what they have while finding a solution for America to withdraw as expeditiously as possible before we all go down in flames.
Tuesday, October 27, 2009
Extended Unemployed Benefits Not For All
Many are welcoming the news that Congress is actively considering extending unemployment benefits for another 13 weeks, 20 in states where the unemployment rate is greater than 8.5%. While most people, including the newly unemployed, assume that extended benefits are available for all, that is simply not the case, at least in New York state. In fact, only those who filed for benefits before October 2008 are eligible for the full load of extended benefits, currently an additional 53 weeks (once they have exhausted the initial 26 weeks of regular benefits). And, having exhausted those 53 weeks, if they do so by the end of 2009, will be eligible for the new Federal extension should it be ratified.
What most of us don't know is that eligibility for extensions is based on when one filed for and began to collect benefits. These are the rest of the basic guidelines: Persons who claimed benefits between October 2008 and February 2009 are eligible for a maximum extension of 33 weeks; Persons who claimed between February 2009 and June 2009 are eligible for only a 20 week extension; And, if you filed after June 2009, you get the basic 26 weeks and that's it.
So, for those who believe (and they do!) that many unemployed people have simply given up looking for work, happy to ride the government gravy train because they have an almost unlimited pipeline of cash, are mistaken. They also fail to realize that the average weekly benefit in New York is about $300 of the maximum of $405. Anyone able to survive on $1200 a month when the average weekly paycheck is about $850? Hmmm? Most people I know cannot afford to be unemployed and believe me are not feeling happy about collecting such a paltry sum when their lives are based on a much higher salary.
I feel for the people who lost their jobs over a year ago now and have run out of benefits deperately waiting for the government to tide them over once again. But the real truth is that right after the New Year, a whole host of people who lost their jobs this Spring, when we experienced the massive bloodbath of layoffs, will run out of benefits for good. Will the government throw them a lifeline too?
What most of us don't know is that eligibility for extensions is based on when one filed for and began to collect benefits. These are the rest of the basic guidelines: Persons who claimed benefits between October 2008 and February 2009 are eligible for a maximum extension of 33 weeks; Persons who claimed between February 2009 and June 2009 are eligible for only a 20 week extension; And, if you filed after June 2009, you get the basic 26 weeks and that's it.
So, for those who believe (and they do!) that many unemployed people have simply given up looking for work, happy to ride the government gravy train because they have an almost unlimited pipeline of cash, are mistaken. They also fail to realize that the average weekly benefit in New York is about $300 of the maximum of $405. Anyone able to survive on $1200 a month when the average weekly paycheck is about $850? Hmmm? Most people I know cannot afford to be unemployed and believe me are not feeling happy about collecting such a paltry sum when their lives are based on a much higher salary.
I feel for the people who lost their jobs over a year ago now and have run out of benefits deperately waiting for the government to tide them over once again. But the real truth is that right after the New Year, a whole host of people who lost their jobs this Spring, when we experienced the massive bloodbath of layoffs, will run out of benefits for good. Will the government throw them a lifeline too?
Monday, October 26, 2009
Jobsearch Revisited
I am still looking! Lately, I have been searching though area corporation's websites, site by site, because I feel the job postings on these sites may be more authentic. Fellow job searchers will certainly understand for it is getting increasingly harder to tell which postings on the major job boards (i.e. Monster, CareerBuilder, HotJobs) or aggregators (i.e Indeed, SimplyHired) are valid.
Like aging house listings, many job posts are removed and re-listed so as to appear new even though they have been out there for a while. Many of these are just fishing expeditions, have to be, because there is no other explanation for how a company can fail to find suitable candidates after many months especially when a listing is for a fairly standard position. Obviously, if they are looking for a highly skilled specialist then we can understand they are looking for a needle in a haystack. But, if they keep posting certain jobs for which we know applicants abound, then what is up with that? Not to mention that there is so much repetition as multiple headhunters/recruiters post the same listings looking for heads.
Employment recruiters must have really taken off during the boom years that even in this distressed job market, there still are so many. How can we pledge allegiance to any one recruiter with so much cutthroat competition? We all know that all recruiters are not built alike. We want to be talking to the agency that has a solid relationship with the hiring manager at a prospective employer.
But then again, a recruiter is a negative if you can apply for a job directly through an employer's website and have just as much a chance as making a connection as they do. Besides, many of these employer sites expressly state their unwillingness to work with third parties. Unless, of course, you are working with the employer-sanctioned recruiter in which case you know you have a good lead in. The bottom line is recruiters cost a company money and how many of them would be willing to pay when there are so many job seekers?
As we all know by now, the big buzzwords have been network, network, network. Well, I know a lot of people who really have been exercising that option and they are no further along than I am. The job picture is just as certain as Caterpillar's announcement today that they will be hiring and firing; re-hiring 550 previously separated workers but firing 2,500 others. Alas...
Like aging house listings, many job posts are removed and re-listed so as to appear new even though they have been out there for a while. Many of these are just fishing expeditions, have to be, because there is no other explanation for how a company can fail to find suitable candidates after many months especially when a listing is for a fairly standard position. Obviously, if they are looking for a highly skilled specialist then we can understand they are looking for a needle in a haystack. But, if they keep posting certain jobs for which we know applicants abound, then what is up with that? Not to mention that there is so much repetition as multiple headhunters/recruiters post the same listings looking for heads.
Employment recruiters must have really taken off during the boom years that even in this distressed job market, there still are so many. How can we pledge allegiance to any one recruiter with so much cutthroat competition? We all know that all recruiters are not built alike. We want to be talking to the agency that has a solid relationship with the hiring manager at a prospective employer.
But then again, a recruiter is a negative if you can apply for a job directly through an employer's website and have just as much a chance as making a connection as they do. Besides, many of these employer sites expressly state their unwillingness to work with third parties. Unless, of course, you are working with the employer-sanctioned recruiter in which case you know you have a good lead in. The bottom line is recruiters cost a company money and how many of them would be willing to pay when there are so many job seekers?
As we all know by now, the big buzzwords have been network, network, network. Well, I know a lot of people who really have been exercising that option and they are no further along than I am. The job picture is just as certain as Caterpillar's announcement today that they will be hiring and firing; re-hiring 550 previously separated workers but firing 2,500 others. Alas...
Thursday, October 22, 2009
Clipping Wall Street Compensation Doesn't Help Us Much
With public sentiment rising against the egregiousness of Wall Street bonuses, the Treasury and the Federal Reserve have separately proffered plans seeking to curb executive pay in the financial sector. Both plans seek to reduce current compensation incentives that richly reward short-term profits and the selling of high risk financial instruments, the type of incentives that fueled the behavior that led to the crash in the first place. The Treasury plan is specific to the top seven recipients of taxpayer bailouts which includes Citigroup, AIG and Bank of America. They seek to reduce the pay of the top 25 executives by 50% over last year while the Federal Reserve seeks sweeping overhauls in compensation across the entire financial sector.
While this is all nice and good, these people are already rich and they will find work-arounds to keep themselves that way. Meanwhile the Dow continues to flip-flop across the 10,000 point threshold rising 132 points today after losing just as much in the previous two. This was too much of an increase for flimsy profit data especially when initial job claims rose "unexpectedly" to 531,000. It is clear that profits continue to be engineered through cost cutting and not earnings. While layoff news is no longer grabbing headlines, a quick visit to the Bureau of Labor Statistics shows mass layoffs are still high. In September 248,000 persons were laid off. That is one quarter of a million people laid off last month. And still the prospects are grim, a visit to the aptly named www.dailyjobcuts.com will have you crying.
While attempts to clip compensation on Wall Street may soothe us in the short term, it doesn't do much to help us really. What companies are doing to the rest of us in order to gain those earnings that makes Wall Street happy is far worse.
While this is all nice and good, these people are already rich and they will find work-arounds to keep themselves that way. Meanwhile the Dow continues to flip-flop across the 10,000 point threshold rising 132 points today after losing just as much in the previous two. This was too much of an increase for flimsy profit data especially when initial job claims rose "unexpectedly" to 531,000. It is clear that profits continue to be engineered through cost cutting and not earnings. While layoff news is no longer grabbing headlines, a quick visit to the Bureau of Labor Statistics shows mass layoffs are still high. In September 248,000 persons were laid off. That is one quarter of a million people laid off last month. And still the prospects are grim, a visit to the aptly named www.dailyjobcuts.com will have you crying.
While attempts to clip compensation on Wall Street may soothe us in the short term, it doesn't do much to help us really. What companies are doing to the rest of us in order to gain those earnings that makes Wall Street happy is far worse.
Wednesday, October 21, 2009
Overqualified
The New York Times online just ran a story about how a company in Indiana, having garnered 500 applicants for a $13 per hour job posting, instituted a thoughtful recruiting process to weed through the applicants. (Amid Tough Climate, a Thoughtful Recruitment Process, NY Times, 10/21/09). In what appears to be a timeline of two weeks, they were able to whittle down the list, conduct interviews and hire the person they believe was best suited for the position. This was accomplished by first eliminating the "significantly overqualified candidates right away, reasoning that they would leave when the economy improved. Among them was a former I.B.M. business analyst with 18 years experience; a former director of human resources; and someone with a master’s degree and 12 years at Deloitte & Touche, the accounting firm."
For me, the pedigree of some of these applicants hits home. This time around in this Recession, in this job market, in the face of escalating economic peril, there are simply too many well-qualified professionals out there all competing for jobs for which they are immediately overlooked precisely because they are overqualified. The fact that they have to resort to applying to jobs at a lower wage and professional level speaks to the tightness of the job market. Yet, the old thinking still prevails that those who are overqualified will leave immediately when a better paying position presents itself. I don't believe this will be the case this time around.
Eight million individuals have lost their jobs in just under two years at a pace unseen since the Great Depression. And, leading economic forecasters predict that the ranks of the unemployed will continue to rise through 2010 and hiring will not rebound til at least 2012, not to mention that we are still losing about 250,000 jobs a month. The fact is we need to swing to a positive of creating 400,000 jobs per month simply to begin to re-absorb the currently unemployed and to have jobs available for the 150,000 matriculating into the workforce every month.
Job creation statistics show growth in primarily the healthcare, government and education sectors, sectors that are primarily funded by taxpayer dollars. I am not seeing where these sectors can possibly create jobs of the magnitude required especially in the face of insufficient and now declining tax revenues and federal, state and local governments' spiraling debt burdens. In addition, new job procurers are most likely earning less than they did previously for the same or similar job.
So, I believe companies do not have to worry about job jumpers at this juncture because there are no jobs to jump to. Besides, if you have a job, your head is down working your bejesus off because you do not want to lose it. You are not thinking of jumping to another company, believe me. So for these overqualified professionals, what now? Where will they find work if they are automatically turned down for opportunities for which they are deemed overqualified yet there are no jobs being created at their level?
For me, the pedigree of some of these applicants hits home. This time around in this Recession, in this job market, in the face of escalating economic peril, there are simply too many well-qualified professionals out there all competing for jobs for which they are immediately overlooked precisely because they are overqualified. The fact that they have to resort to applying to jobs at a lower wage and professional level speaks to the tightness of the job market. Yet, the old thinking still prevails that those who are overqualified will leave immediately when a better paying position presents itself. I don't believe this will be the case this time around.
Eight million individuals have lost their jobs in just under two years at a pace unseen since the Great Depression. And, leading economic forecasters predict that the ranks of the unemployed will continue to rise through 2010 and hiring will not rebound til at least 2012, not to mention that we are still losing about 250,000 jobs a month. The fact is we need to swing to a positive of creating 400,000 jobs per month simply to begin to re-absorb the currently unemployed and to have jobs available for the 150,000 matriculating into the workforce every month.
Job creation statistics show growth in primarily the healthcare, government and education sectors, sectors that are primarily funded by taxpayer dollars. I am not seeing where these sectors can possibly create jobs of the magnitude required especially in the face of insufficient and now declining tax revenues and federal, state and local governments' spiraling debt burdens. In addition, new job procurers are most likely earning less than they did previously for the same or similar job.
So, I believe companies do not have to worry about job jumpers at this juncture because there are no jobs to jump to. Besides, if you have a job, your head is down working your bejesus off because you do not want to lose it. You are not thinking of jumping to another company, believe me. So for these overqualified professionals, what now? Where will they find work if they are automatically turned down for opportunities for which they are deemed overqualified yet there are no jobs being created at their level?
Tuesday, October 20, 2009
Civil Service, Not for Me...?
A while back, I mentioned I was taking a Suffolk County civil service test to broaden my job search options. It was for a trainee position, paying in the thirties and though I initially passed it up, I reconsidered when my prospects started to look dim. After all, statistics do show that job growth is occurring in the healthcare, education and government sectors.
Alas, there was not much information about the test and I initially surmised that since it was a trainee exam, how long could it be and how hard could it be? Well, it was long, five hours long, and it was hard, the type of hard that gives you a headache from question one. I've had my share of education and I'm telling you, it was hard.
I had done my due diligence, having driven over to Suffolk County Community College the day before to case the joint so I would know which building and where to park. Everything went according to plan until I got into the room and learned about my five hour fate. I had some snacks with me and water but the combination of stress and my low blood sugar issues (I have to eat within a certain time frame or else I start to feel ill) took its toll on me and I began to overheat and feel nauseous three hours in. Technically, it was lunchtime but there was no scheduled break for this exam.
I excused myself and went to the rest room, wet my face, drank some water and removed a layer of clothing. The test proctor asked me if I was OK and was incredibly sweet and procured me some raisins and a tangerine. Unfortunately, my body would not agree and I turned completely green. I endeavored to finish the test so I could get out of there. That's all I could think of, getting out of there and, of course, I quickly gave up on the whole notion of pursuing this avenue. Unfortunately, I tossed my cookies the second I got out, at four and a half hours in, with barely enough time to find a suitable receptacle. Thankfully, there was a well-placed garbage can.
Anyhow, after fielding inquiries from friends and family regarding my test results, I finally called Civil Service and was told that it would take three to six months. That was fine with me because I didn't want anything do with it anymore. Well, they called me today to tell me that I was one of the high scorers and they'd like me to come in for an oral examination before a panel (death squad?) of three persons. I am still thinking that this is a trainee position, that will net me, after taxes, not much more than I am receiving from unemployment, not that unemployment will last forever...
Of course, immediately upon receiving the phone call with the "good" news, I had an instant headache, as the tricky civil service policy questions came back to haunt me. Do I really want to do this job? I know people think of civil service as a godsend but me, I'm not so sure.
Alas, there was not much information about the test and I initially surmised that since it was a trainee exam, how long could it be and how hard could it be? Well, it was long, five hours long, and it was hard, the type of hard that gives you a headache from question one. I've had my share of education and I'm telling you, it was hard.
I had done my due diligence, having driven over to Suffolk County Community College the day before to case the joint so I would know which building and where to park. Everything went according to plan until I got into the room and learned about my five hour fate. I had some snacks with me and water but the combination of stress and my low blood sugar issues (I have to eat within a certain time frame or else I start to feel ill) took its toll on me and I began to overheat and feel nauseous three hours in. Technically, it was lunchtime but there was no scheduled break for this exam.
I excused myself and went to the rest room, wet my face, drank some water and removed a layer of clothing. The test proctor asked me if I was OK and was incredibly sweet and procured me some raisins and a tangerine. Unfortunately, my body would not agree and I turned completely green. I endeavored to finish the test so I could get out of there. That's all I could think of, getting out of there and, of course, I quickly gave up on the whole notion of pursuing this avenue. Unfortunately, I tossed my cookies the second I got out, at four and a half hours in, with barely enough time to find a suitable receptacle. Thankfully, there was a well-placed garbage can.
Anyhow, after fielding inquiries from friends and family regarding my test results, I finally called Civil Service and was told that it would take three to six months. That was fine with me because I didn't want anything do with it anymore. Well, they called me today to tell me that I was one of the high scorers and they'd like me to come in for an oral examination before a panel (death squad?) of three persons. I am still thinking that this is a trainee position, that will net me, after taxes, not much more than I am receiving from unemployment, not that unemployment will last forever...
Of course, immediately upon receiving the phone call with the "good" news, I had an instant headache, as the tricky civil service policy questions came back to haunt me. Do I really want to do this job? I know people think of civil service as a godsend but me, I'm not so sure.
Monday, October 19, 2009
Republican Sickness
We are all familiar with the Republican party's flagrant opposition to the current Democratic-controlled government. This has been well documented and manifested via an almost unilateral blanket of "no" when it comes to any policy changes proposed by congressional Democrats. In fact, their almost unanimous opposition, now hijacked and irrationally perpetuated by the Fox Opinion Machine (nee News) has already led to such a deep muddling of the healthcare overhaul that I fear we will not recover from it. Is it possible that they can get even more egregious than this? Yes they can, 30 of them did:
"Sen. Al Franken (D-MN) introduced an amendment to a defense appropriations bill that would prevent the federal government from funding contractors whose employee contracts prevent workers from pursuing allegations of rape against co-workers.
The measure passed the Senate by a vote of 68 to 30, with all 30 'no' votes being cast by Republicans. Notably, 10 Senate Republicans voted for the measure, including all four female Republican senators.
Franken was inspired to push the amendment by the story of Jamie Leigh Jones, who was an employee of KBR -- at the time a subsidiary of Halliburton -- working in Baghdad's Green Zone when she was allegedly gang-raped by other KBR workers." (excerpt from rawstory.com 10/7/09).
There is no other way to describe this as downright sickness. If you are against the ruling party, come up with your own plausible solutions and, by rationally opposing, win the respect of the people you represent but more importantly, sway some of the people from the other side. But to flagrantly vote against a provision that seeks to curb and punish downright deviant behavior just to prolong an already irrational opposition is a sickness of the mind that no political party should sanction. This is the party of morality and family values? With this one, these 30 Republicans have really crossed the line from mere opposition to pure and utter lunacy (and hatred in my opinion). How else can you characterize it?
Thursday, October 15, 2009
Cheering Up
I just don't seem to be having any fun lately and I'm entering winter which is my least favorite time of year. What can I do to get some pep back in my step? As this blog as devolved into a diary of sorts, it captures more of my mood which isn't too good lately. It seems I am spending more time in a negative spin zone and that can't be good for me. I do, at least, try to stop myself from time to time because I know that I should be of a greater mind and that my outlook should have some shimmer. I really need to cheer up.
Perhaps, I am just reflecting the general mood of the country which is moving beyond cynical, in my opinion. Unfortunately, there is very little to trust these days. Capitalism is front and center and it is showing its ugly side, it seems like greed, corruption and immorality are leading the charge and the acceptance of this as "business as usual" has set us on an even more destructive course of every person for him or herself. It seems that the common good has been left out of the equation lately. Hopefully, it will turn up soon.
Perhaps, I am just reflecting the general mood of the country which is moving beyond cynical, in my opinion. Unfortunately, there is very little to trust these days. Capitalism is front and center and it is showing its ugly side, it seems like greed, corruption and immorality are leading the charge and the acceptance of this as "business as usual" has set us on an even more destructive course of every person for him or herself. It seems that the common good has been left out of the equation lately. Hopefully, it will turn up soon.
Wednesday, October 14, 2009
Wall Street May Be Cheering but the Rest of Us Are Not
Now that the Dow Jones Industrial Average has regained 10,000, a feat one year in the making, Wall Street has plenty to cheer about. It is ironic that it made the mark, rising 144 points today on news that JPMorgan Chase posted a third quarter profit of $3,600,000,000, far exceeding expectations. So the bailouts worked, the financial institutions are back to serious business, raking in the cash as usual. Things are so good that Goldman Sachs, AIG and others are poised to hand out record bonuses in the billions of dollars, more than in 2007 when the economy was still apparently booming.
Unfortunately, this does not sit well for many of us, Wall Street may be cheering but the rest of us are not. Why on earth did we expect these institutions to have a heart and be grateful that we saved them? Too big to fail has created unprecedented levels of arrogance on the part of these financial institutions that they have made a mockery of us all. These institutions are not lending to us. They have increased their fees and interest rates on their credit cards. They have revoked our credit lines and so on. They are simply gouging us on every level and they are rewarding themselves for it.
I feel bad for the President but the rest of us on Main Street did not end up benefiting, absolutely nothing trickled down.
Unfortunately, this does not sit well for many of us, Wall Street may be cheering but the rest of us are not. Why on earth did we expect these institutions to have a heart and be grateful that we saved them? Too big to fail has created unprecedented levels of arrogance on the part of these financial institutions that they have made a mockery of us all. These institutions are not lending to us. They have increased their fees and interest rates on their credit cards. They have revoked our credit lines and so on. They are simply gouging us on every level and they are rewarding themselves for it.
I feel bad for the President but the rest of us on Main Street did not end up benefiting, absolutely nothing trickled down.
Tuesday, October 13, 2009
The Beatings Will Continue
I am here trying to get the vision of a stance out of my head, the one where your arms are up and crossed as you try to protect your head from a beating. That is how I feel right now as I struggle under the weight of all that is around me. Much as I have tried to hold my head up and stay positive, I am amazed that I can still feel so beaten down. Aren't positive thoughts and positive behavior supposed to make us feel better? I am busy every day, taking care of my house and my children and diligently working on my job search. I am determined to find work and I will not stray from my task. I continue to eat right and exercise because I worked so hard to lose weight and I intend to keep it off naturally. Most importantly, I endeavor to keep my wits about me and I still believe that karma will work toward my greater good even though it does not seem that way:
As I struggle to pay down my debt, all of it from an unfortunate business venture, I am riddled with notices of increased interest rates and increased payments even though I have faithfully made ample payments on time for years. Meanwhile, these financial institutions who were given billions of dollars in bailouts when their businesses failed continue to stomp on the very taxpayer who came to their rescue.
I struggle to come to terms with my new "consumer-driven" health insurance plan, a plan that does not pay for any visits beyond the sanctioned annual check ups but was chosen by my husband's company because they claim that they can no longer afford a traditional plan. Meanwhile, I watch the Congress lose sight of any legitimate reform that could actually cut costs or provide meaningful affordable coverage to those of us who truly need it.
As I struggle to find a decent job, I reflect on my ivy league education and ponder what it is worth. I try to prevent myself from staring at that huge gap in my resume where I stayed home after I had my second child. The childcare math does not add up when you hit number two because the childcare costs for two children, at least in New York, eats up a significant chunk of your paycheck. So many of us women choose not to sacrifice the welfare of our children for a few extra bucks but a difficult job market effectively discriminates against anyone who has been out for too long. Though I was fortunate to find a job last year, the economic crisis crashed my tenure so I do not appear as viable on paper when compared to those other consummate professionals out there.
The reality that we are earning less today than we did near the beginning of this decade strikes a chord right here in my household. I don't need statistics to drive this point home as I wrestle daily with the spreadsheet I use to manage my cash flow. I wish I wasn't so black and blue but my hands are not up there protecting my head for nothing. I am hoping that the black and white of these words will be cathartic and so I leave them.
As I struggle to pay down my debt, all of it from an unfortunate business venture, I am riddled with notices of increased interest rates and increased payments even though I have faithfully made ample payments on time for years. Meanwhile, these financial institutions who were given billions of dollars in bailouts when their businesses failed continue to stomp on the very taxpayer who came to their rescue.
I struggle to come to terms with my new "consumer-driven" health insurance plan, a plan that does not pay for any visits beyond the sanctioned annual check ups but was chosen by my husband's company because they claim that they can no longer afford a traditional plan. Meanwhile, I watch the Congress lose sight of any legitimate reform that could actually cut costs or provide meaningful affordable coverage to those of us who truly need it.
As I struggle to find a decent job, I reflect on my ivy league education and ponder what it is worth. I try to prevent myself from staring at that huge gap in my resume where I stayed home after I had my second child. The childcare math does not add up when you hit number two because the childcare costs for two children, at least in New York, eats up a significant chunk of your paycheck. So many of us women choose not to sacrifice the welfare of our children for a few extra bucks but a difficult job market effectively discriminates against anyone who has been out for too long. Though I was fortunate to find a job last year, the economic crisis crashed my tenure so I do not appear as viable on paper when compared to those other consummate professionals out there.
The reality that we are earning less today than we did near the beginning of this decade strikes a chord right here in my household. I don't need statistics to drive this point home as I wrestle daily with the spreadsheet I use to manage my cash flow. I wish I wasn't so black and blue but my hands are not up there protecting my head for nothing. I am hoping that the black and white of these words will be cathartic and so I leave them.
Monday, October 12, 2009
What Price, Peace Prize?
On this Columbus Day, a celebration of the explorer who "discovered," America, President Obama continues to be bashed for what many view as his un-deserving of the Nobel Peace Prize. What has he really done for peace, they ask? He really has accomplished nothing they conclude. While the rest of the world views his strong overtures toward diplomacy as a positive sign of great alliances to come, to his American critics, he appears to have changed nothing. In fact, these critics took it a step further by pointing out that he failed to secure the Nobel prize for economics. Huh? There are many who are rooting for this President to fail and they will find fault with his success and rejoice when he misses. They simply do not see that if any President fails, America fails.
While many loudly cheered when his attendance at the Olympic Committee in Copenhagen failed to help Chicago win its bid for the 2016 games, they missed the point that America lost. It is easy to blame the President when things are not going well - housing and health care costs, declining employment and rising taxes along with high debt - I am staring all of these issues in the face. Unfortunately, the seeds were sown long before he was sworn in and while I know it is customary to blame whoever is in power for the ills of the day, it is easy to see how negativity can suck in even the die-hard. It does seem though that we could use a little bit more peace and acceptance right here at home. Something about that great continent that Columbus found.
While many loudly cheered when his attendance at the Olympic Committee in Copenhagen failed to help Chicago win its bid for the 2016 games, they missed the point that America lost. It is easy to blame the President when things are not going well - housing and health care costs, declining employment and rising taxes along with high debt - I am staring all of these issues in the face. Unfortunately, the seeds were sown long before he was sworn in and while I know it is customary to blame whoever is in power for the ills of the day, it is easy to see how negativity can suck in even the die-hard. It does seem though that we could use a little bit more peace and acceptance right here at home. Something about that great continent that Columbus found.
Thursday, October 8, 2009
Improving My Odds in the Job Market
I'm back studying again in earnest, this time to gain national certification - that which will add some alphabet soup after my name. Anything that I can do to improve my odds in the job market. Actually I did get a call from an HR department of a prominent company based in New Jersey. Unfortunately, it is a 3 hour commute each way by car (due to the inevitable traffic) and virtually impossible by train. I would definitely have to relocate to take this job but I'm far from actually crystallizing that thought.
I am still pursuing the opportunity anyway because none of us ought to rule ourselves out. The whole contact and interview process requires practice and real world scenarios are invaluable. The initial phone interview was good practice. I haven't interviewed in months and I must say, it is amazing how quickly you can fall out of interview fluency. Ultimately, if I don't stack up against the other candidates, then nothing is lost and at least I've polished my chops a little bit. If, perchance, I do become a finalist then I will make the geographical determination then.
In the meantime, I will focus on my studies. And, as I am wont to do, I will make yet another declaration about how I will be resorting to brevity while I do so. Yet, as I scroll back through my posts, I see that I revert to wordiness almost immediately. Alas, such is me.
I am still pursuing the opportunity anyway because none of us ought to rule ourselves out. The whole contact and interview process requires practice and real world scenarios are invaluable. The initial phone interview was good practice. I haven't interviewed in months and I must say, it is amazing how quickly you can fall out of interview fluency. Ultimately, if I don't stack up against the other candidates, then nothing is lost and at least I've polished my chops a little bit. If, perchance, I do become a finalist then I will make the geographical determination then.
In the meantime, I will focus on my studies. And, as I am wont to do, I will make yet another declaration about how I will be resorting to brevity while I do so. Yet, as I scroll back through my posts, I see that I revert to wordiness almost immediately. Alas, such is me.
Wednesday, October 7, 2009
Long Island Consumer Confidence Confounds
As reported in the Long Island Business News, The Sienna Research Institute is claiming that Consumer Confidence on Long Island rose by 9 percent in the third quarter over the previous period. This seems to conflict with recent reports that Long Island's economy is still in the toilet, that there are no signs of the recovery that is supposedly taking place in the greater economy. This I believe. But consumer confidence increasing?
The core group of respondents must either be from the financial sector or the public sector. But seriously, I am still having trouble believing how an economy driven by consumer spending can recover when so many of those consumers are unemployed. It is simple math. The population of the United States is 300,000,000 comprising about 100,000,000 households. Over 7,000,000 jobs have been lost since the recession officially began 22 months ago. 7,000,000 jobs lost affects the finances of almost as many households, allowing for those that have, sadly, lost more than one job.
We must also count the millions of households who are affected by underemployment or have fallen below the radar. So, all told that is at least 10% of households not spending like they used to. The economy has been driven by 70% consumer spending over the last 10 years. A 10% reduction in consumer spending is a huge hit, accounting for trillions of dollars of our economic engine. There are also the millions of households who are in fear of losing their jobs and they are not spending like they used to, either.
In fact, the best numbers that have come out so far are those of consumer debt reduction. People are not spending, they are paying down debt and conserving. Wages continue to be stagnant and companies continue to cut jobs, albeit at a slower pace, in order to present better quarterly numbers but that is by no means a true gauge of health. I will certainly feel better and look better when I stop eating for a while but if I stop eating for too long, I may not survive.
Given all of these developments, it is hard to see where the consumer is finding any confidence especially in high cost Long Island where, unfortunately, those costs are closing in for many. I have completely lost my confidence. I don't even want to go to the store at all. But, since I am not the biggest consumer to begin with, I am always behind in necessities and so I remain. I know we are all looking for light at the end of the tunnel and we definitely need it soon. Even I am running out of patience.
The core group of respondents must either be from the financial sector or the public sector. But seriously, I am still having trouble believing how an economy driven by consumer spending can recover when so many of those consumers are unemployed. It is simple math. The population of the United States is 300,000,000 comprising about 100,000,000 households. Over 7,000,000 jobs have been lost since the recession officially began 22 months ago. 7,000,000 jobs lost affects the finances of almost as many households, allowing for those that have, sadly, lost more than one job.
We must also count the millions of households who are affected by underemployment or have fallen below the radar. So, all told that is at least 10% of households not spending like they used to. The economy has been driven by 70% consumer spending over the last 10 years. A 10% reduction in consumer spending is a huge hit, accounting for trillions of dollars of our economic engine. There are also the millions of households who are in fear of losing their jobs and they are not spending like they used to, either.
In fact, the best numbers that have come out so far are those of consumer debt reduction. People are not spending, they are paying down debt and conserving. Wages continue to be stagnant and companies continue to cut jobs, albeit at a slower pace, in order to present better quarterly numbers but that is by no means a true gauge of health. I will certainly feel better and look better when I stop eating for a while but if I stop eating for too long, I may not survive.
Given all of these developments, it is hard to see where the consumer is finding any confidence especially in high cost Long Island where, unfortunately, those costs are closing in for many. I have completely lost my confidence. I don't even want to go to the store at all. But, since I am not the biggest consumer to begin with, I am always behind in necessities and so I remain. I know we are all looking for light at the end of the tunnel and we definitely need it soon. Even I am running out of patience.
Tuesday, October 6, 2009
Reasons to Be Cheerful, Part Four: Codfuel.com
Last week, I ordered my first oil delivery of the season. My last delivery was back in March so I was due for a fill-up. As I have done, since discovering the site last winter, I ordered my heating oil through Codfuel.com. They service Long Island and the surrounding region. The site serves as a clearinghouse where participating heating oil distributors can post their prevailing price per gallon. These prices are much cheaper than your contract oil dealers. In fact, you can call around and check this very easily.
Go to www.Codfuel.com and look around; simply enter your zip code and you are free to peruse the list of heating oil distributors servicing your area. Many post a cash and a credit price per gallon with discounts depending on the amount of gallons you order. The more you order the cheaper it is and if you pay cash, you can save an additional 10 cents per gallon in most cases. I ordered last week because I saw the price of crude edging up with the stock market rally and I had been watching the prices for a few weeks. I wound up with $1.99 per gallon. Not bad.
As usual, my household will make this fill-up last as long as possible. When it gets cold, we turn to the fireplace in the den. We have two heating zones, upstairs and downstairs, so it never makes much sense to us to heat the whole downstairs when we can all keep warm in the den. Even though the price of oil has come down significantly since last winter, we all can still strive to save money on our heating bills; it is one of those bills that we can control. Throughout my entire existence, starting from growing up in my mother's house and now in my house with my family, the maximum thermostat setting for heat has always been 65 degrees. The same temperature as the lovely day outside that everyone was raving about today. Generally we keep it a few degrees below that and we always turn it down when we are not at home and when we go to bed.
Anyhow, I digress. The most important point about Codfuel.com is the huge savings over the contract heating oil companies. What most of us don't know is that when you sign their yearly service contract, you pay at least $1 more per gallon. Sure that contract includes your "free" annual checkup and preferential maintenance but it also requires you to accept automatic refills. If you do the math, you will see how that service contract benefits the oil company more than it benefits you. For every 1000 gallons of oil they deliver, they collect an extra $1000 dollars so all of that service isn't free, is it? If you had to call an independent oil heating system maintenance person for service, would it cost you $1000 dollars? I don't think so. So, quit your contract, save your money and use Codfuel.com. They should thank me for this.
Go to www.Codfuel.com and look around; simply enter your zip code and you are free to peruse the list of heating oil distributors servicing your area. Many post a cash and a credit price per gallon with discounts depending on the amount of gallons you order. The more you order the cheaper it is and if you pay cash, you can save an additional 10 cents per gallon in most cases. I ordered last week because I saw the price of crude edging up with the stock market rally and I had been watching the prices for a few weeks. I wound up with $1.99 per gallon. Not bad.
As usual, my household will make this fill-up last as long as possible. When it gets cold, we turn to the fireplace in the den. We have two heating zones, upstairs and downstairs, so it never makes much sense to us to heat the whole downstairs when we can all keep warm in the den. Even though the price of oil has come down significantly since last winter, we all can still strive to save money on our heating bills; it is one of those bills that we can control. Throughout my entire existence, starting from growing up in my mother's house and now in my house with my family, the maximum thermostat setting for heat has always been 65 degrees. The same temperature as the lovely day outside that everyone was raving about today. Generally we keep it a few degrees below that and we always turn it down when we are not at home and when we go to bed.
Anyhow, I digress. The most important point about Codfuel.com is the huge savings over the contract heating oil companies. What most of us don't know is that when you sign their yearly service contract, you pay at least $1 more per gallon. Sure that contract includes your "free" annual checkup and preferential maintenance but it also requires you to accept automatic refills. If you do the math, you will see how that service contract benefits the oil company more than it benefits you. For every 1000 gallons of oil they deliver, they collect an extra $1000 dollars so all of that service isn't free, is it? If you had to call an independent oil heating system maintenance person for service, would it cost you $1000 dollars? I don't think so. So, quit your contract, save your money and use Codfuel.com. They should thank me for this.
Monday, October 5, 2009
The Results of My Labor
Yesterday, we had a surprisingly warm day, I was beside myself. Beginning with our morning soccer games, I spent the entire day outside enjoying every minute of it. I worked hard though. We got most of our two cords of wood stacked. I cleaned up the gardens, pruning, cutting and shutting down for the winter. And, we cleaned out the garage. It was a busy day, just the way I like it. It felt good to be productive and see the results of my labor.
I spend so much of my time these days searching for work, which is, unfortunately, a thankless job. Since the only measurable result of this effort is landing a job, there is little opportunity in the process to reward oneself. I could pat myself on the back for the number of resumes I've sent out or for the number of contacts I've made, but the reality is, until I land that job, my efforts are simply not enough.
While all of the employment statistics remain off the charts, no unemployed person can ever truly relax for every aspect of your being is under siege especially when your finances are strained. So, as you take each day one at a time, it is nice to accomplish the little things that can make you feel worthwhile.
I spend so much of my time these days searching for work, which is, unfortunately, a thankless job. Since the only measurable result of this effort is landing a job, there is little opportunity in the process to reward oneself. I could pat myself on the back for the number of resumes I've sent out or for the number of contacts I've made, but the reality is, until I land that job, my efforts are simply not enough.
While all of the employment statistics remain off the charts, no unemployed person can ever truly relax for every aspect of your being is under siege especially when your finances are strained. So, as you take each day one at a time, it is nice to accomplish the little things that can make you feel worthwhile.
Thursday, October 1, 2009
Dirty Politics
Sometimes, you come across an article that sums up very well the seriousness of the current political discourse. Though many of us have been concerned about the escalating diatribes against the President, we believe that it is only a fringe group (read the Fox Crowd) that can and should be ultimately dismissed. However, there is much to consider when dirty politics begins to cross the line from ranting and raving into downright hatred. The following excerpt from Thomas Friedman's Op Ed column,"Where Did 'We Go? in the New York Times, September 29, 2009 certainly gives us all food for thought.
"I hate to write about this, but I have actually been to this play before and it is really disturbing.
I was in Israel interviewing Prime Minister Yitzhak Rabin just before he was assassinated in 1995. We had a beer in his office. He needed one. I remember the ugly mood in Israel then — a mood in which extreme right-wing settlers and politicians were doing all they could to delegitimize Rabin, who was committed to trading land for peace as part of the Oslo accords. They questioned his authority. They accused him of treason. They created pictures depicting him as a Nazi SS officer, and they shouted death threats at rallies. His political opponents winked at it all.
And in so doing they created a poisonous political environment that was interpreted by one right-wing Jewish nationalist as a license to kill Rabin — he must have heard, “God will be on your side” — and so he did.
Others have already remarked on this analogy, but I want to add my voice because the parallels to Israel then and America today turn my stomach: I have no problem with any of the substantive criticism of President Obama from the right or left. But something very dangerous is happening. Criticism from the far right has begun tipping over into delegitimation and creating the same kind of climate here that existed in Israel on the eve of the Rabin assassination.What kind of madness is it that someone would create a poll on Facebook asking respondents, “Should Obama be killed?” The choices were: “No, Maybe, Yes, and Yes if he cuts my health care...
Even if you are not worried that someone might draw from these vitriolic attacks a license to try to hurt the president, you have to be worried about what is happening to American politics more broadly."
Maybe the rest of us have to stage an intervention.
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