The Career and Economy Dilemma! Preparing yourself for the New Career Economy ® Prepared by Empire...
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Transcript of The Career and Economy Dilemma! Preparing yourself for the New Career Economy ® Prepared by Empire...
The Career andEconomy Dilemma!
The Career andEconomy Dilemma!
Preparing yourself for the New Career Economy®
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
AgendaAgenda
• Today’s Job Market
• Preparing for Your Family’s Future
• Protecting Yourself in the New Career Economy
• Alternative Career Options
• The Power of Franchising
American workers face a downward spiral
American workers face a downward spiral
The job market is changing.Worker’s face an uncertain future.
The time is now to explore your options.
Our Present EconomyOur Present Economy
• Recession: Defined as two consecutive quarters of decline in real GDP
• Present recession started in December of 2007
• History dictates that average US recessions last 8-10 months– Global recessions last 16-18
months
• Since 1929, 2 have lasted more than a year– Now we have #3
Source: National Bureau of Economic Research (NBER) 12/1/08
Unemployment: A Sign of the TimesUnemployment: A Sign of the Times
• Unemployment is generally a lagging indicator
• Unemployment rate peaked 15 months after ‘90/’91 through month
• Best to worst case scenario: unemployment peaks October 2010 to February 2011
Its time to prepare your self for the
New Career Economy®, because its here!
There’s Good and Bad NewsThere’s Good and Bad News
• Good News: In a typical economy, unemployment rate for people with college degrees is approximately half for those with no degree.
• Bad News: This economy is anything but typical.
As you will learn in today’s presentation, unemployment is expected to skyrocket to over 9%
The time is now to protect yourself in this
New Career Economy®
Areas CoveredAreas Covered
• Current market issues that threaten your family’s security
• Eroding pension funds, Social Security, reactive investments
• Today’s job market: higher stress, dwindling savings
Alternative career options need to be explored
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
The quest for the good lifeThe quest for the good life
What’s left at the end of the month?What’s left at the end of the month?
• Does your income provide for all of your family’s true needs?
• Nearly half of all workers (47%) say they always or usually live paycheck to paycheck just to make ends meet., up from 43% last year.
- CareerBuilder.com 9/2008
Source: DeGraff, John. Affluenza: The All-Consuming Epidemic. San Francisco: Berrett-Koehler Publishers. 2003.
“In this economic climate, more of us are struggling to pay the bills, buy groceries and fill our gas tanks.”
- Kiplinger.com October 2008
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Can working a job give you the life you want? Can working a job give you the life you want?
• Nearly all of us must work for a living
• Can working a job finance your family’s dreams?
For most, a reliable career in America is becoming a thing of the past. Why?
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
“I never thought it would happen to me” “I never thought it would happen to me”
• The number of job cuts is growing at an alarming rate
The unemployment rate spiked to 6.5 percent from 6.1 percent, the highest level since 1994. Many analysts now expect unemployment will reach 8 percent by the middle of next year.
- New York Times; October 2008
Source: Bourne, J. You Are More Likely To Be Laid-Off Now, Than Anytime Since the Great Depression. 24 Aug 2004.
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Employment decay begins to spread across the countryEmployment decay begins to spread across the country
• Even if GM, Ford and Chrysler get federal loans, what is the outlook for workers?
Is your company next in line?
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Lengthy unemployment can add to the uncertainty Lengthy unemployment can add to the uncertainty
• Unemployed senior executives among the hardest hit
• Over one-third of employable people have been out of work 6 months or longer
And the longer it goes, the more the bills pile up!
Source: Albietta, S. Unemployment rate and long-term unemployment continue to diverge. 18 May 2005. www.epi.org. Ret 22 Mar 2006.
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Companies continue to slash health care benefits Companies continue to slash health care benefits
• 1 in 7 Americans have no healthcare benefits
• The majority of those who do are paying more
• Fully paid medical benefits are rare
Where will the extra money come from to pay for good health care?
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Still believe in corporate America?Still believe in corporate America?
• Only 10% of all companies meet forecasts in any given quarter
• The default rate for issuers of U.S. corporate junk bonds is expected to “catapult” to an all-time high of 13.9% by December 2009. (S&P 1/2009)
• The OC Watchdog Blog has
reported that American International Group corporate executives, and representatives of various AIG subsidiaries, were partying in style just 2 weeks after taxpayers bailed out the insurance corporation for $85 billion.
Source: Salas, C. Hertz, Clear Channel Among $88 Billion Falling Into Junk Market. Bloomberg. 15 Oct 2005. http://quote.bloomberg.com. Ret 15 Mar 2006.
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Pensions plans are becoming extinct Pensions plans are becoming extinct
• Pension plans are under-funded
• 50% of all pension plans have been lost in the past decade
• The collapse of the stock market last year left corporate pension plans at the largest companies underfunded by $409 billion.
Source: Isidore, C. / How plans took a hit, and the changes being proposed; is your money at risk? 17 Mar 2006. http://money.cnn.com. Ret 17 Mar 2006.
Are pensions something only our grandparents could rely on? Prepared by Empire Research Group for TES
© Copyright 2009 TES Franchise, LLC
The reward of progress? The reward of progress?
More work hours = LESS:
• Leisure time
• Paid vacation
• Sick leave
• Time with loved ones
Longer work days. And for what?
Source: Anderson, P. Study: U.S. employees put in most hours. CNN.com 31 Aug 2001. http://archives.cnn.com. Ret 15 Mar 2006.
Source: American Time-Use Survey, BLS, 2004.
0
10
20
30
40
50
60
70
80
All married
couples
Married couples
with no children
Married couples
with children
under age 18
Combined work hours of husbands and wives
1969
1979
1989
2000
2004
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Building someone else’s wealth?Building someone else’s wealth?
American workers labor longer hours than anyone else in the
industrialized world.
For what?
Are we out of our minds?
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
“Careers” in the New Career Economy®?“Careers” in the New Career Economy®?
The lifetime of a typical W-2 wage earner:
– 6 to 8 job changes
– at least 3 changes in profession
With every change, you fall farther and farther behind!
Source: Dept. of Labor Statistics, 2000 ; USA Today, 2/9/04
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Maybe they should call it Social INSECURITY?Maybe they should call it Social INSECURITY?
• The Social Security system: is it heading for bankruptcy?
• Experts estimate Social Security unable to meet benefits as early as 2018!
• Trustees Reports in 2008 issue a grave warning for Medicare and Social Security
Source: www.icr.com. Social Security System In Trouble, Say Americans. 16 Feb 2005. www.icrsurvey.com. Ret 22 Mar 2006.
Source: www.masoncontractors.org, 2006.
Will Social Security be there for you? Prepared by Empire Research Group for TES
© Copyright 2009 TES Franchise, LLC
What’s your long term forecast? What’s your long term forecast?
• Threats to your family’s future that are completely out of your control
Colossal consumer debt Longer work,
less money
Company downsizing
Enormous corporate
bankruptcies
Lengthy lay-offs Massive pension deficits
The elimination of benefits Social Security
insolvency
There could be a storm on your horizonPrepared by Empire Research Group for TES
© Copyright 2009 TES Franchise, LLC
Looking the other way is no longer an option Looking the other way is no longer an option
Source: www.breitbart.com. United States of Angst: Americans stressed, depressed, polls show. 28 Dec 2005. http://www.breitbart.com. Ret 25 Mar 2006.
Denial won’t make the problems go awayPrepared by Empire Research Group for TES
© Copyright 2009 TES Franchise, LLC
Look beyond your circumstancesLook beyond your circumstances
• Traditional jobs can’t deliver the American Dream
• The clock is ticking - how long will you wait?
CONTROLING YOUR OWN DESTINY IS KEY!Prepared by Empire Research Group for TES
© Copyright 2009 TES Franchise, LLC
Everyone wants to steer their own shipEveryone wants to steer their own ship
• Know your OPTIONS!
• Break free from the traditional employer- employee relationship
• Learn what successful people are doing
Successful people DO steer their own ship
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Perhaps it’s time to consider your own business? Perhaps it’s time to consider your own business?
• Successful people work to build their own future, not someone else’s
• What are your options for self-sufficiency?
Source: Campbell, A. Business Failure Rates Highest in First Two Years. 7 Jul 2005. www.smallbiztrends.com. Ret 19 Mar 2006.
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
What do these companies have in common?What do these companies have in common?
• Hyatt Corp
• Burger King
• IHOP Corp
• The Jim Henson Company
• FedEx Corp
• HP
• Microsoft Corp
• CNN
• MTV Networks
• Wikipedia Foundation Inc
• Sports Illustrated
• GE
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Source: http://www.insidecrm.com/features/businesses-started-slump-111108/
What do these companies have in common?What do these companies have in common?
• Hyatt Corp - 1957
• Burger King - 1954
• IHOP Corp - 1958
• The Jim Henson Company - 1958
• FedEx Corp - 1973
• HP – The Great Depression
• Microsoft - 1975
• CNN - 1980
• MTV Networks - 1981
• Wikipedia Foundation Inc- 2001
• Sports Illustrated -1954
• GE – 1876 (6 year recession)
THEY WERE ALL STARTED DURING A RECESSION!
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Source: http://www.insidecrm.com/features/businesses-started-slump-111108/
Why most independently-owned small businesses don’t workWhy most independently-owned small businesses don’t work
• Fatal assumptions lead to fatal problems
• Common wisdom says do what you know, love and enjoy
• The fast track from Grand Opening to Liquidation
Source: Michael E. Gerber. The E Myth Revisited.June 2001.
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
The reality of going it alone: The 2-year guillotineThe reality of going it alone: The 2-year guillotine
The 3 top reasons:
• Under funding / cash flow
• Unrealistic expectations
• Lack of an executable business model
Source: Campbell, A. Business Failure Rates Highest in First Two Years. 7 Jul 2005. www.smallbiztrends.com. Ret 19 Mar 2006.
“I-Had-No-Idea-How-Hard-It-Would-Be” survival rates of businesses according to M.I.T. business expert David Birch:
1ST YEAR 85%2ND YEAR 70%3RD YEAR 62%4TH YEAR 55%5TH YEAR 50%6TH YEAR 47%7TH YEAR 44%8TH YEAR 41%9TH YEAR 38%10TH YEAR 35%
1ST YEAR 85%2ND YEAR 70%3RD YEAR 62%4TH YEAR 55%5TH YEAR 50%6TH YEAR 47%7TH YEAR 44%8TH YEAR 41%9TH YEAR 38%10TH YEAR 35%
Source: USA Today, 2004.
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Some “F” words to keep in mindSome “F” words to keep in mind
• Frustration
• Fear of Failure
• Financial Constraints
• Family & Friends
Keep your eye on the prize: FINANCIAL FREEDOM
Which “F” word will you base your future on?
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Small Business Births and DeathsSmall Business Births and Deaths
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Annual Growth Rages:Annual Growth Rages:
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Who will lead us to a better future?Who will lead us to a better future?
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
The alternative to going it alone:find a TEAM to support you The alternative to going it alone:find a TEAM to support you
• Millionaires are usually "team-made"
• A good wealth team should consist of the following key players:– Mentors who act as active
coaches– Like-minded, supportive, wealth
builders and visionariesWhere can you go to find such a team?
Source: Langemeier, L. If You Want to Become Wealthy, You Need a Good Wealth Team. 17 Jan 2006.http://searchwarp.com. Ret 25 Mar 2006.
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Business coaches make excellent team partners Business coaches make excellent team partners
• Leadership Coaching
• Sales Coaching
• Turnaround Coaching
• Personal Coaching
• Business to Business Coaching
• Career Coaching
Source: 1Zarhosky, D. 10 Best Small Business Opportunities For 2005. / 2Gonzalez, A. Business leaders choosing coaching to gain an edge. 2 Aug 2005..
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Franchising:the trillion-dollar business option Franchising:the trillion-dollar business option
The team concept in action
Source: Green Sheet Publications. Industry Update: Bottom Lines. www.greensheet.com. Ret 2 Apr 2006.
Source: The International Franchise Association , 2005.
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Meeting your goals, needs & expectationsMeeting your goals, needs & expectations
Four crucial steps:
• Define your goals
• Map your course
• Build a winning team
• Explore your options
Your business is the vehicle that will take you there.
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Summary Summary
• There many dangers and threats to your family’s security
• We can no longer just look the other way
• You owe it to yourself to explore your options – TODAY!
• Information is one of the keys to your future
• Franchising manages the risk of business ownership
• Partnering with a coach is critical
Prepared by Empire Research Group for TES© Copyright 2009 TES Franchise, LLC
Next Steps Next Steps
Thank you for allowing us to share this information with you. • Continue the process of exploring your options
• Follow-up with whomever invited you to the presentation
• Take some time to consider your Goals, Needs and Expectations
Take the next step towards protecting your future… today!
Take the next step towards protecting your future… today!
Visit www.theesource.com/personal URL to learn more or call:
Toll-Free: (800) 289-0086
This is an informational seminar only and should not be considered a franchise offering.
Thank you for your time!