A difference between Salaries of Israeli and Local Companies in the USA

You are welcome to participate by voting, commenting, sharing. Within a month I'll publish the full results.

Further Employment Trends in the USA

This post is the 2nd in the series. Start here.

Comparing Employment to Previous Recessions

The following chart, taken from NY Times blog, compares employment recovery (as well as recession recovery) rates of prominent previous recessions and the current one. Current recession seems to be the deepest and one of the longest since 1980.

Horizontal axis shows months. Vertical axis shows the ratio of that month’s nonfarm payrolls to the nonfarm payrolls at the start of recession.

International Comparison
It is interesting to see how USA behaves compared to the world. The next chart describes monthly unemployment rates for 10 countries (April 2009-September 2010) (Source BLS).

Foreign Labor in the USA

This topic is of special interest for us (and thanks to my FB friend who's commented on previous post).

The following chart details comparative employment data for native and foreign born population. Foreign born means those residing in the United States who were not U.S. citizens at birth (Source BLS).

Note that foreign population surveyed employment rate hasn't changed during the last year, and it has been and still higher than natives' employment rate. About 90 percent of both the foreign and native labor forces are employed.

According to critic cited in the Epoch Times, employers hire foreign workers without legal documentation, and do not declare about it. It is not completely clear from the article, which sectors most adopt such behavior. It makes sense that the actual employment rate of the foreign labor is actually higher. Reminds Israel, doesn't it?

Current Employment Trends in the USA

Employment Overview

According to the BLS survey recent report, as of October 8th, 2010, Nonfarm payroll employment edged down (-95,000) in September, and the unemployment rate was unchanged at 9.6 percent. Government employment declined (-159,000), reflecting both a drop in the number of temporary jobs for Census 2010 and job losses in local government. Private-sector payroll employment continued to trend up modestly (+64,000). The images below are taken from the BLS report.

Since many of the unemployed are leaving the workforce, the actual number of the unemployed is much higher. Therefore it is more than probable that the unemployment rate was, in fact, increased.

Employment by State

The lowest unemployment rates were found in North and South Dakota and Nebraska. The highest rates were reported in California, Michigan, Nevada and Puerto Rico.

Employment by Industry

The following chart displays employment over-the-month change during the last year by industry. Employment is steadily improves in private service providing industry and especially in business, professional, education and health services. There is also a reasonable basis for assuming that part of the unemployed are recently moved to the service providers sectors as self-employed, small businesses.

I've also made a small research for updated current employment data and found some further interesting details (all images were generated by indeed.com). The data is based on current job postings.

Salaries by Position

Currently CMO and CTO suggested salaries are higher than for CEO and COO positions. It seems that during the deepest recession times CMO and CTO positions were perceived as the more required and essential ones.

Salaries by Location

New York is one of the best paid States to work at – about 18% higher than average CEO salaries for job postings nationwide.

Big Company is better. Is it?

Surprisingly Early Stage companies suggest much higher salaries, 71% and 63% higher than the Fortune 500 and Fortune 1000 salaries, correspondingly. Although early stage companies are considered as less "safe" workplaces, higher salaries serve as "risk" compensations.

See further trends here.

Coopetition 1: Would you cooperate with your competitor?

Summary

A few months ago, on a cup of coffee under a humid weather, my friend and I had a discussion about collaborating with competitors. We both agreed that when competition is indirect and there is an added value, such collaboration is the right strategic step. However, we could not have agreed on collaboration with direct competitors. So, I've decided to share this issue with you, the readers, to help in resolving this disagreement.

This post is the first in a series of posts on this subject, and I really hope that it will be interactive with your help. Would you coope(ti)rate with me?

What's Coopetition? - The Roots

The concept seems to have been taken up most extensively in the computer industry, where strategic alliances are common in order to develop new products and markets, particularly between software and hardware firms.

Ray Noorda, the founder of Novell, is regarded as a pioneer of coopetition, both the term and the concept. Noorda was the first to articulate that the many interoperating parts of the computer industry meant that one company needed to cooperate with another to ensure their products worked together.

Imagine the web, computers, hardware, and software, and eventually the social media and user- interfaces, without cooperation between the competing companies in this industry. A total mess and absolutely useless.

As a general rule, cooperation can be beneficial to participating parties when competition is indirect and the parties can provide each other complimentary products (technology, service, etc) with added value. Well, in coopetition the rules of the game are changed: it is a situation of possible cooperation between two or more direct competitors.

Competitive advantage - Such collaborations may not provide the coopetitiors with competitive advantage over each other. However, competitive advantage can be achieved by the organizations outside the alliance.

Why to Coopete (cooperate with competitor)

The only reason is leveraging value for the coopetitors. The value can be long term or short term, it can be quantitative and qualitative, but in the bottom line the coopetitors benefit from such alliance more than if they wouldn’t.

Networked world and economy

We live in a flat world. Networking is the most common and accepted business tool available today, and it is spreading everywhere. Business dynamics have changed. Social media brought these networking tools to our personal lives and the personal “real world”. Try not to coopetite in these circumstances

TO BE CONTINUED...

Photo source: http://articles.sfgate.com/2006-10-23/news/17318303_1_half-marathon-leukemia-lymphoma-society-ocean-beach

Happy Rosh Ha'Shana, Happy New Year

I would like to wish you all a Happy Jewish New Year, full of Health, Love and Joy!
Usually the New Year brings personal and professional scrutiny and resolutions. Whatever they are, let this be a year of new initiatives, clear goals and objectives filled with achievement and satisfaction.

Cheers!
Edith

The PROS and CONS of Israeli's working overseas – an UPDATE

A few weeks ago I’ve posted a similar article and received many insightful public and private comments (link). I think that the positive commentaries (pros) provide tools to better cope with the cons, and the negative ones (cons) enable to be better prepared.

Most redundant pros mentioned were learning new methodologies, gaining experience, ease of economic welfare and exposure to new cultures. The most popular cons were homesickness, and the need to establish a new network. Hence, the PROS are mostly associated with professional and social aspects, and the CONS with the social ones.

I would like to summarize these comments in an updated post and to thank everyone who've read and commented.

If you have further comments, remarks, contradictions you are welcome to post them.

Motti Attia, the first responder to this post, suggested expanding the discussion to the impact of the transition on the families. We will address this issue in a later post but you are more than welcome to send us your thoughts.

PROS

Professional Aspects

• Learning new powerful and efficient working methodologies.
• Learning to deal with and develop within huge corporations.
• Learning from worldwide industry leaders.
• Focusing on the long term strategy as opposed to ad hoc problems.
• Gaining international and cross cultural experience
• New ways of doing business
• The understanding that a "win-win" attitude can actually work, and that a "win-win" is not "I got screwed" (יצאתי פראייר) – also a social aspect.
• Working in an advanced and articulate business culture
• Opens up your mind in a way that is not possible unless you live and work in another culture.
• The new, other perspectives profoundly impact your analyzing capabilities - It makes you a better problem solver and more efficient communicator.

Personal and Social aspects

• Better work-life balance (w
• Expanding your network.
• as mentioned primarily for Europe).
• US school system - US schools & student achievements ranked better than Israeli ones both in Elementary and High School areas.
• Faster career advancement
• Feeling Cosmopolitan – although feeling foreigners in the USA, and outsiders in Israel.
• Be exposed to other cultures
• No worries of security issues.
• Less worries of what is happening around you on a country level.
• Working in a different environment has an intense effect on your perspective and perception. Driving you to be less judgmental.
• You will always have great adventure stories to share at home.
• Better summer climate.

Financial Aspects

• Economic welfare – higher salaries, lower customs, inexpensive maintenance.

CONS

Religious aspects

• Maintaining Jewish life style (synagogue, kosher food, Jewish community neighborhood, and education) is expensive.

Professional Aspects

• Concerned about loosing position in Israeli organization, that will be replaced and manned.
• Concerned about losing network with Israeli professional community.
• Distantness from the decision making centers of the Company.

Financial Aspects

• Expensive health insurance

Personal and Social aspects

• Weaker network community – takes years to built one (maybe less with the Web 2.0 tools)
• The logistics and mental difficulties of transiting the partner and kids to a new environment.
• Whether you are choosing a life-long international career or a one-time trial, starting a life as an expat can be an exhausting experience.
• Feeling as “the foreigner.” Even though you develop relationships with people in the new location, you never feel completely assimilated.
• Homesickness.
• Concerned about the US school system.
• Spouse cannot find employment.
• Difficulty to assimilate back in Israel.

Many thanks to (in a2z order) Alec Belfer, Amichai Teumim, Amir Tocker, Ayalla Goldschmidt, Dorian Shifman, Eldad Caspi, Jeff Kern, Jonathan Chashper, Joseph H. Boussidan, Lawrence Benedek, Ludmila Kaplun, Motti Attia, Naomi Salpeter, Omri Cohen, Shimon Keren, Tetsuzan Benny Ron. Your voices keep the discussions and the network alive!

I summarize with Amichai Teumim's words: If the motivation is the money, you can make good money everywhere as long as you learn to play the game right. Decide where you want to be, and work your ‘tachat off’ while keeping your mind switched on.

Recruiting Generation Y Executives

I will continue with the topic of employees and leaders in regards to their generation. I was actually exposed to this topic during the last few years while confronting the dilemmas that HR and Executives have in this issue. ( I find it both interesting and challenging and on top of being of key importance today.

Just a note before I talk about Gen Y recruitment:

I believe that Boomers and Gen Xers are important, valuable asset to every business, and have discussed this issue in my LinkedIn group. According to my birth date, I belong to the Xers, and am a little biased. OK, more than a little… :-)

But... I meet Boomers, Xers and Yers in my work and every Generation has its strengths and advantages. Furthermore, it is about generalization. Generalization makes our life and work easier and helps us see the big picture, but it is important to treat each person individually, especially when it comes to one on one interview. Otherwise we will be restricted by our prejudices.

Nowadays, generational differences are prominent, and it seems that our society undergoes revolutionary changes. During this changing era, it is important to know how to recruit and engage the Gen Y leaders and employers, to get their maximum advantages. Gen Yers offer a unique set of skills, which are essential for every firm's competitive advantage in the coming years.

Employer, know the Yers now, if you haven't already. You just cannot afford not to.

In my previous post, I have described Gen Y characteristics. For them the family is a source of confidence, safety and support. Usually the Yers are more affluent, dynamic, confident, commitment averse and pro-brands. And most of all, they are people of WHY. Rules, determinism, institutions and traditions, are all must be explained, otherwise they are unacceptable.

Gen Y are people of WHY

To better understand the "WHYness" of the Yers I strongly recommend watching the recorded lecture of Simon Sinek on Ted.com. The WHY provides the motivation for the employee, instead of instruction or order. The Yers are directed by their motivation and inspiration. Given the WHY they will engage, spread the word, and inspire others.

Profile - main traits to consider

• Gen Yers are motivated by personal growth, and therefore, they are not seeking a job for lifetime.
• Gen Yers are confident and perceive themselves as priceless.
• Gen Yers are educated and maneuver easily in a technical environment.
• Gen Yers have high work of ethic and they want corporate goals to settle with their personal goals.
• Gen Yers want to make a difference.

Attracting and recruiting

• Gen Yer will be interviewing you on top of you interviewing him/her. They will be active and ask questions. The answers that they will get will determine if they want the job or not.
• Establishing a Learning program that contributes to their personal growth will help to attract them.
• Don't be formal, talk to the Yers at an eye level.
• Avoid formality at the working environment. Strict hierarchy is inappropriate, since the leaders and best talents are models to learn from.
• Use Web 2.0 tools to recruit Yers and retain them.
• Provide added value and meaning. They honestly care about ethics and corporate social responsibilities.
• Think and talk positive.
• Provide dynamic and developing working environment, with opportunities, challenges, incentives and a fulfilling culture.
• Create encouraging and supporting teams.

That is what I am going to do.

THANKS FOR LISTENING! You are more than welcome to leave your comments and insights. I am an eternal student, and eager to study from you as well.

Edith

Sources

Baulkham Hills, N.S.W. McCrindle Research. 2006. New generations at work: attracting, recruiting, retraining & training Generation Y.

Michael J. Holleran II, PCM, CPSM. 2008. The Talent War: Attracting and Retaining Generation Y Leaders in Professional Services.

Verhoeven H. et.al. 2010. Recruitment and Generation Y: Web 2.0 the way to go?

Proceedings of Annual London Business Research Conference.

World Business Institute, Australia.

Image by Oscar Castañón Barragán

Inter Generational Employee Differences – How to Bridge the Gap

While your human resources are consisted of multi generational employees, a broader management approach is required to bridge the generation gap for more efficient working environment and better working relationship.

WHO (why) THEY ARE

The main 4 generations might be defined roughly by the years of births and their way of communication and their working perspective. Obviously the generations have some overlaps.

1. Senior Generation - born during or before WWII.
2. Veterans (BBs) – ~ 1946-1964, Baby Boomers, born after WWII. Called Baby boomers following the increase in birth rate during this period. Boomers are tended to avoid discussions and planning for their demise, and avoid much long-term planning.
3. Generation X (Gen X) – ~ 1961-1981, following a book with this name - generation members were born after the baby boom ended. They were affected by a sense of economic uncertainty and a reduced expectation of long term fidelity between employers and employees. They are better educated than the Baby Boomers and in the workplace, this generation values freedom and responsibility. Gen X is micro-management resistant.
4. Generation Y (Gen Y) - ~ 1980-2004, AKA the Millennial Generation, Generation Next or Net Generation. The rise of instant communication technologies made possible through use of the internet, such as email, chats and new media affected this generation. They are perceived as peer-oriented due to easier facilitation of communication through technology.

CHARACTERISTICS (how they are)

1. Seniors – today they are 68 or more yrs old. Known to be conservative, cautious, with high loyalty to their workplace. Accept and respect hierarchical authority.
2. Baby Boomers – today they are about 50-67 yrs old. Described as egocentric, strive to independence and development of self capabilities. They are committed to their work place, and see it as a place for self-fulfillment. They highly value themselves and valued by their environment.
3. Gen X – today they are about 29-50 yrs old. The members of this generation grew up as latchkey children. On this ground they developed independence which characterized in direct expression of their wills. They do not hesitate to quit work as a result of dissatisfaction and their loyalty to workplace is relatively low.
4. Gen Y – today they are about 6-30 yrs old. For this generation the family is source of confidence, safety and support. This generation was born into multi cultural actuality and high level technology and communication. They seek interest and involvement, team work, and strive to partner. They are in continuous action, and easily adopt environmental changes and developments.

BRIDGING THE GAP (what to do)

To settle the working relationships within a group/team/company there are three main layers of required managerial intervention:

1. Training and motivation.
2. Communication.
3. Conflict resolution.

Training and motivation

In order to increase the motivation of every generation, the manager has to implement various methods of training. For example, the senior generation is recommended to be formally guided and provided with direct action instructions, so they will be able to improve their performance.

Baby boomers prefer eye level communication and the manager should take advantage of their personal experience for the internalization of change. Gen X would prefer a more equitable environment in which they could demonstrate their personal capabilities. Gen Y expects training and guidance more than any other generations. They are target oriented but they need guidance, working plan and orientation.

Communication

The way of dealing with differences between the generations is the development of flexibility in interpersonal communication styles and adjusting it to different generations:

Communication with the seniors - should be built on trust, and preferably on hand writing media, rather than communication associated with new technology. The Baby boomers will prefer open, direct and less formal communication. Group discussions through staff meetings are desirable. They feel comfortable with technology like emails and mobile phones. Gen X gets bored at long meetings and look for quick decision making. They are comfortable with the communication technology. Gen Y which has grown into emails and chats, will be frustrated if they do not receive quick response. New media technology is a good way to communicate with this generation. Unlike the Gen X, they enjoy staff meetings and attend them since this is one more communication channel. As a group they read less and thus distribution of written long brochures and procedures is less effective. Therefore, in order to disseminate and assimilate the procedures among this generation, it is preferred to organize staff meetings where written material, sent earlier, is discussed.

Conflict resolution

Behavioral and attitude differences are potentially to become a substantial conflict. The main conflict is between Baby boomers and Gen X. The main reasons for such conflict lay in the differences of how they accept innovation and new media communication tools, their loyalty to work and perception of responsibility.

Management strategies applied in the past, do not benefit nowadays, as generations change. So it is important to make the stuff to be aware of the generation gap, and also about acceptance, mutual respect and sensitivity. These values are the key to comfortable working environment, where all opinions are legitimate. Respect is a basic ethical foundation of proper working relationships.

Photo source: Eric Danley

This is my First Blog Post Ever

Hi, my name is Edith Davidson, and this is the first time I'm blogging. So, please be understanding to unusual phenomena...

I decided to open the blog after writing posts to my groups in LinkedIn and Facebook. So, I thought it would be much better to have one place for my content and post the links only to the groups.

So, it is mostly a decision of making some order in my online presence.

Welcome to my blog. Your comments are important to me. So, feel free to write to me, fix mistakes, make remarks and share information. Thank you!

Edith