A poll recently conducted by The Washington Post/ABC News found that 57 percent of Americans are "concerned someone in the household will lose a job, take a pay cut or have hours reduced in the next few months."Makes me wonder about the other 43 percent who seem to be in denial or blissfully embracing ignorance. Maybe they are just living life to the fullest while they can. Still, I find this number higher than I would have expected.
In a way, it doesn't surprise me that some Americans seem to be ignoring the recession. Many people who I know are going about their lives like they never turn on the evening news or look at a newspaper. They are still taking vacations, still buying things they don't need and still rationalizing it all. A sizable minority will not alter their lives in the least, despite statistics that show unemployment will continue to rise while salaries remain stagnant or will be reduced.
There aren't too many industries that are immune to losing jobs, so it's truly remarkable to see how unconcerned some people are about their financial futures.
When the economic storm clouds began to gather about a year prior to my being laid off, my wife and I began saving as much as we could. In fact, we began saving a few years prior because we had to play catchup after some financial hardships earlier in our lives. These were going to be the years we built our retirement savings. Our prime-earning years. Then I got laid off. Hopes of retiring are gone, but fortunately, that one year of watching every penny helped us through the first 10 months of my not working.
I have tried to impress upon friends the need for them to not make the mistakes I did and to start saving sooner and at an even higher rate. But most folks seem reluctant to take action until things become a crisis. Guess that's just human nature.
Tens of thousands of jobs are still being lost every month. Some experts claim that Wall Street is already returning to the bad habits that caused the recession. Yet, 43 percent of Americans have no concerns about things getting worse for them or anyone within their household. Amazing.
Hang in there mick! I too started saving about a year ago, thinking my job could end at any time. I am very thankful I did, as the fear of job loss has not gone away. I am definitely in the 57%...
ReplyDeleteThe movie below is playing at landmark in DC, thought you might enjoy it:
http://www.sonyclassics.com/itmightgetloud/
Definitely concerned over here, although watching the housing market semi-optimistically. One of these days we'll hopefully be able to get rid of The Albatross, instead of renting it out.
ReplyDeleteEconomists are variously predicting an L shaped recession, W shaped recession or a V shaped recession, which is proof that nobody really knows what's going to happen. So it's only wise to be a little jumpy right now.
ReplyDeleteI spoke to a friend of mine last week. He's a manager for a division of a big regional bank that was bought out by a foreign company a little over a year ago. His department has already gone through several rounds of layoffs under the new ownership, and last week he learned he had to eliminate two more slots. "I've already cleared out the ones who didn't produce," he said. "Who do I fire now--the good worker supporting four kids or the equally good worker who is the source of health benefits for her sick husband?"
My wife has one of the most stable jobs imaginable--she teaches at a public university. But she's not tenured, and if things continue to deteriorate, anything could happen.
Concern isn't paranoia in this case.
If a person isn't concerned about themselves or someone close to them losing their job, then they aren't living on the same planet as I am. I don't know how I could state it more simply. Even before I was laid off I was profoundly aware that jobs were disappearing at an alarming rate.
ReplyDeleteUntil we stop the bleeding, jobs will never come back. And we aren't even close to stopping the bleeding. It is quite conceivable that some people in their 50s or 60s, myself included, will never work again. That will become the mother of all disasters for this country. It will bring this country down in ways that war, disease and acts of terrorism could never match.
Yet pulling completely back and not spending on anything would also have devastating effects. Who is the engine of the economy? Middle class spenders. Wage earners that still go on vacations and out to dinner. That spending helps provide jobs in those sectors. Of course it's basic stuff. Don't spend yourself into credit card hell.
ReplyDelete