What do the Millenials think of Boomers, Traditionalists and Gen X?
By a five-to-one margin, surveyed Millenials seemed drawn to admiring those of us in the generation that preceded the Boomers. Boomers, they say, offer a mixed reputation. Neil Howe and William Strauss, the authors of “Millenials Rising”, conducted a recent survey on the Millenials (Gen “Y”) that is worth a look. For details about the survey, please Google the authors.

By the way, the same authors have suggested we all begin our study of the Millenials by calling them just that – not Gen “Y.” Here’s why -“Today’s kids realize that their generation doesn’t fit the dominant Gen-Y stereotype—far from it. According to our Class of 2000 Survey, high school seniors widely believe (by more than two-to-one) that Generation X has a negative reputation.” They overwhelmingly reject the tag-along name of Generation Y.

Want to read more about the 4 generations in the workforce and about the future of the American workforce? I recommend “Generations” and “The Fourth Turning” by the same authors. The Fourth Turning, in particular, (while written in the “long ago” of 1997) is predictive about the future that we find ourselves in! Beautifully written, and carefully researched, it is a must read book.

More evidence links good health to working later in life New U.S. research finds that job loss doubles the risk of heart attack or stroke for workers in their 50s and 60s. In other words, a pink slip is a red flag for increased cardiovascular risk.

“For many individuals, late career job loss is an exceptionally stressful experience with the potential for provoking numerous undesirable outcomes, including heart attacks and stroke,” the Yale University team wrote in the June 21 online issue of Occupational and Environmental Medicine. The study collected data on over 12,600 individuals who participated in the U.S. Health and Retirement Survey. The first surveys were carried out in 1992 and involved 4,301 people aged 51 to 61, all of whom were working at the time. A decade later, 582 people had lost their jobs while the remaining 3,719 were not laid off. Of this remaining group, 478 were continuously employed in the same job by the end of the study period, over 1,200 people retired, 100 died and nearly 500 dropped out of the study. Another 450 had temporarily stopped work, and 960 voluntarily left their full-time work. The bottom line: People over 50 who had been laid off were more then twice as likely to suffer a heart attack or stroke during the study period, compared with those who kept their jobs, the researchers found.

HOT FLASH! Congress Passes Pension Reform Increased Contributions, Automatic Enrollment, Investment Advice, Permanent Repeal of Maximum Exclusion Allowance Among Bill's Provisions. (Taken from CUPA HR newsletter – August 4, 2006)
“On August 3, the U.S. Senate approved by a 93-5 vote pension reform legislation, which the House of Representatives already passed on July 28. The President is expected to sign the bill. The legislation makes sweeping changes to the rules governing defined benefit plans of private employers, with new funding requirements and other measures designed to ensure companies are able to deliver on retirement security promises.”

For the hardy few…read on!
“Key changes were made to the defined contribution system as well. The bill will make permanent the pension and retirement provisions of the Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA). The relevant EGTRRA provisions, many of which would have expired at the end of 2010 or earlier, permit Americans to save more in employer plans and IRAs, ease portability among various plans and provide significant administrative relief to employers who sponsor plans. . In addition, the Act established targeted measures such as the Saver's Credit, which benefits low-income savers, and catch-up contributions that permit older workers to save more under the plans and IRAs. The legislation also contains new rules for providing investment advice and incentives for creating automatic enrollment under 401(k), 403(b) or 457 plans, where the employee would need to affirmatively “opt out.” The auto-enrollment provisions, which will become effective in 2007, will require certain minimum contributions. The Department of Labor will be tasked with providing guidance on default investments.”

My take? Look for more organizations to freeze pension plans. And, while you’re at it, ask yourself - whatever will our fearless leaders do about the $400 to $800 billion in inadequate funding of public pensions?

PORTFOLIO CAREERS, a career choice that sets up new opportunities by leveraging experience.

Once upon a time, a long, long time ago, I read Charles Handy’s book, The Age of Unreason, on a short plane ride between Atlanta and Raleigh. In this book, he described how he perceived most people would work in the 21st Century. The portfolio career was his prediction. I liked the idea of a portfolio career then and I love the idea of a portfolio career now! For those of you who may not know what a career portfolio is, and why you may wish to consider this career choice in your own maturity, please read the following excerpt from our book, Boom or Bust.

“Who are the Portfolio Career Jugglers? These are the people who appreciate the value of not putting all their ‘career eggs in one basket.’ They believe that the diversified work portfolio, over time, increases their probability of realizing financial success, improves their sense of control and boosts their feelings of security.

What you need to know. Mr. Handy compared work to managing a stock portfolio. Some investments, he proposed, are initially risky but they offer a high degree of probability for future growth. Other investments, such as investments in long-term growth stocks, provide a steady and relatively certain climb over time. Still other investments may be risky but worth trying out. In other words, smart investment strategies are usually balanced between high risk and reasonable certainty, between long and short-term growth.

What are some of the advantages of managing a balanced portfolio? You enjoy income from a variety of sources. When one income source is ‘hot’ and one is ‘not’ – you are still in the business of making some money. You expand your knowledge about the present and future market. You deepen your reputation as a subject-matter expert. You balance your energy between the various components of your portfolio. You will be able to shift emphasis (investment) as evolving marketplace needs drive change. You will have more fun and, over time, realize the financial returns from your investments.”

Where can you find out more about portfolio careers? Read Bob Buford’s book, Half-Time: Changing Your Game Plan From Success to Significance.” Charles’ Handy’s The Age of Unreason is still a terrific reading experience and, of course, there are new websites to explore - just Google it!

The following description is that of a simple, straightforward and balanced work portfolio. The size of each “nest egg” is intended to create an image of the amount of time/effort dedicated to each investment.

• Pretend that you are seeking to migrate from the for-profit world of work to a non-profit environment that closely matches your personal interests. At this moment in time, you have none of the required experience that would prompt your target organization’s hiring authority to engage you for pay!

• Imagine that you immediately “invest” in learning, and return to school for a semester or two, to gain the missing skills and competencies in order to present new and vibrant credentials to your prospective employer. At the same time, you volunteer a few hours a week of your talent to the targeted non-profit.

• See yourself bridging the financial gap between today and the future by continuing to do project work in your area of expertise. To save yourself the challenge of selling your services, you register with a temp agency, like Spherion, and you connect with your former employer to let them know of your availability for short-term assignments.