U.S. workers did not share in the growth of the economy of the last forty years

According to a recent study1, unlike the growth patterns in the 1950s and 1960s, the majority of full-time workers did not share in the economic growth of the last forty years.

Had the income distributions of the three decades following World War II (1945 through 1974) held steady in the following four decades, the aggregate annual income of Americans earning below the 90th percentile would have been $2.5 trillion higher in the year 2018 alone. That is an amount equal to nearly 12 percent of GDP—enough to more than double median income—enough to pay every single working American in the bottom nine deciles an additional $1,144 a month. Every month. Every single year.

The median income for all adults with nonzero income was $42,000 in 1975 and it grew to $50,000 by 2018. Had income for this percentile grown as the same pace as the economy, it would have reached $92,000. In other words, their income growth captured only 17% of the growth that occurred in the whole economy.

 

 

 

 

  1. https://www.rand.org/pubs/working_papers/WRA516-1.html []

We witnessed the lynching of a black man

Note: For some reason (probably human error, that is, me) this entry did not post at the determined time, which was weeks ago now. I’m not saying anything new, but I am speaking my mind. I’m sure I will come back to this in later posts.

We witnessed the lynching of a black man. We all did.

And we were reminded of other similarly barbaric and despicable acts taking place in the recent past. Enough instances to lead one to conclude that this also is a pandemic.

I share Elie Wiesel‘s observation that

Neutrality helps the oppressor, never the victim. Silence encourages the tormentor, never the tormented. Sometimes we must interfere. When human lives are endangered, when human dignity is in jeopardy, national borders and sensitivities become irrelevant. Wherever men and women are persecuted because of their race, religion, or political views, that place must – at that moment – become the center of the universe.

Indeed, “we must take sides.” (Night).

Personally, taking sides consists not only in not being racist but, rather, in being anti-racist. Reading and reflecting on this hand-out from the Racial Healing Handbook: Practical Activities to Help You Challenge Privilege, Confront Systemic Racism, and Engage in Collective Healing by Anneliese A. Singh, PhD, LPC is a good place to start.

For corporations, statements are a modest start but clearly not enough.

 

Zoom alternatives with greater safety and privacy

FaceTime is a perfect alternative to Zoom, as long as everyone who’s part of the meeting or chat has access to an Apple device. FaceTime is stable and it allows you to add multiple people to your video chat. FaceTime uses end-to-end encryption, which means even Apple doesn’t have the key to view your chats, according to Apple.

Signal is a highly private and secure app. Think of it as a WhatsApp alternative, and like WhatsApp, Signal offers video functionality. As with Apple’s FaceTime, Signal is protected by end-to-end encryption, powered by the open source Signal Protocol. Unlike Zoom, Signal doesn’t support group chats, so it is really for use when you are having a one to one.

Skype is a solid Zoom alternative mainly because it is nearly as functional. It’s very stable, supports large group chats, you don’t need an account to use it, and it’s easy to create your own meeting and control who’s allowed in. One caveat: Skype isn’t end-to-end encrypted, so for those sensitive calls, you are better with an option such as Signal.

Jitsi is a very cool and secure open source app that’s recently launched to the market. It offers multiple video chatting features, and people joining your chat don’t have to create an account. It’s not end-to-end encrypted.

Houseparty isn’t super secure, but it’s very functional for casual chats and you can lock rooms to stop uninvited guests from crashing your party. In your settings, use private mode, and turn off location tracking. You can also use fake names and birth dates for extra security.

(the above is an abridged version of a longer article in Forbes, accessed on April 4, 2020 – photo by Benjamin Child on Unsplash)

9 Simple Money Rules On 1 Index Card

“[The best personal finance advice] can fit on a 3-by-5 index card, and is available for free in the library.”

“So, if you’re paying someone for advice, almost by definition, you’re probably getting the wrong advice because the correct advice is so straightforward.”

 

  1. Max your 401(k) or equivalent employee contribution.
  2. Buy inexpensive, well-diversified mutual funds such as Vanguard Target 20xx funds.
  3. Never buy or sell an individual security. The person on the other side of the table knows more than you do about this stuff.
  4. Save 20% of your money.
  5. Pay your credit card balance in full every month.
  6. Maximize tax-advantaged savings vehicles like Roth, SEP and 529 accounts.
  7. Pay attention to fees. Avoid actively managed funds.
  8. Make financial advisors commit to the fiduciary standard.
  9. Promote social insurance programs to help people when things go wrong.

Source: The Index Card

Clayton Christensen 1952-2020

Clayton Christensen, a professor at the Harvard Business School, is best known for his theory of disruptive innovation, in which he warns large, established companies of the danger of becoming too good at what they do best.

People who knew him personally speak of a fine human being.

RIP

You can find some of his seminal Harvard Business Review pieces here.

 

What does work flexibility look like?

A meta-analysis of the existing research on flexibility identified the fundamental components:

  • Where we work,
  • When we work, and
  • How predetermined our schedule is.

These component parts lead to six distinct types of flexibility:

  1. Remote: “Work from anywhere” – Remote employees keep standard office hours but are location independent. Their office is wherever they are.
  2. DeskPlus: “Partially office-based” – DeskPlus employees keep standard office hours and are partially location independent.
  3. TravelLite: “Minimal travel requirements” – TravelLite employees have minimal to no travel, with a maximum limit of 10% travel annually.
  4. TimeShift: “Standardly unconventional hours” – TimeShift employees reorder their working hours to create a set but unconventional schedule (outside of 9-5 conventions) that optimizes their productivity and performance.
  5. MicroAgility: “Freedom to adapt” – MicroAgility employees have the autonomy to step away from their work 1-3 hours at a time to accommodate the unexpected.
  6. PartTime: “Reduced workload” – PartTime employees serve in senior-level roles; they have the experience and skills to meet the company objectives on a reduced hours schedule.

A new project: the People & Management Monthly Links newsletter

When my friend Xavier took an interest in my master’s thesis he started suggesting books and journal articles that he thought might be useful to my research. Soon thereafter I started doing the same whenever I bumped into something I thought might be useful to his doctoral dissertation (and later to his research and classes).
 
I also began doing this to other friends and colleagues. It had been (and still is) a great experience for me and I wanted others to experience the same.
 
This has been going on for decades now. Of course, paper cuttings and photocopies have become emails with links and attachments.
 
I am thinking it is time to broaden the circle. And that is why I am creating the People & Management Monthly Links newsletter.
 
The content of the newsletter will follow my consultancy practice and intellectual pursuits: leadership development and executive coaching, that is, people managing themselves, others, their team, and their organization.
 
My hope is that as a subscriber to the Monthly Links you will also become a contributor of material that might be interesting to other subscribers. Please send your suggestions by replying to the newsletter email you receive – you can subscribe here.
 
Happy reading!