Thursday, April 7, 2011

Jobless Recovery

“An "acceptable" level of unemployment means that the government economist to whom it is acceptable still has a job.”
While officially the Great Recession is over, we are still in a jobless recovery phase where companies are doing more with fewer employees. Here's a news article cited by Instapundit:
“A Massachusetts employment organization has canceled its annual job fair because not enough companies have come forward to offer jobs. Richard Shafer, chairman of the Taunton Employment Task Force, says 20 to 25 employers are needed for the fair scheduled for April 6, but just 10 tables had been reserved. One table was reserved by a nonprofit that offers human services to job seekers, and three by temporary employment agencies.”
Why are companies afraid to hire? For one, sales are down with so many unemployed. There's just fewer dollars out there. Second, it's expensive to hire someone, see my post The hidden costs of employment. With taxes, social security, and other federal fees, it costs a company $74,000 to put $44,000 in Sally's pocket.

Third, some are afraid to hire the unemployed. The odds of hiring a "bad" employee is higher with the unemployed - who can tell if they were laid-off by dumb luck or for good cause. There are increasingly bold companies that say in their want ads that they will NOT hire anyone unemployed. Ouch!

Some effects on employment are counter-intuitive. In The World Is Flat Thomas Friedman argues that one reason for past economic success in America is that it's relatively easy to fire someone. In Europe it is practically impossible to fire someone for any reason, as a result many firms are very cautious in hiring. We're seeing some of that in America now with companies using more part-time or contractors instead of new hires.

Sometimes Federals laws damper hiring. In SuperFreakonomics the authors state that the Americans with Disabilities Act (ADA) of 1990 has discourage hiring of the disabled. Employers are afraid they will be subject to lawsuit if they fire someone who is disabled because of the law.

Another law that dampers hiring? The new Healthcare law which increases the cost that companies must pay to provide health insurance.

Bottom Line

How bad is unemployment? Unemployment Insurance is supposed to last for just 26 weeks. But given the state of the economy it's been extended and extended and extended to a present value of 99 weeks. And there are persons who have exceeded even that. One site claims a million people in the 99er club. People who have exhausted all four tiers of unemployment benefits, are no longer are eligible for any more money, and will no longer be considered unemployed in the official statistics.

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Saturday, September 27, 2008

Survival After the Flood

"Many of the survivors say they wish they’d been warned about how life would be after the hurricane was over and they were dealing with a lack of utilities, of potable water, of fresh food – and the stench of mildew, of rotting fish, of sewage overflows, of toilets that don’t work, of sludge coating everything, and of the flies and mosquitoes and the heat. They didn’t need to evacuate for the storm; they do need to evacuate for the aftermath." - Gallimaufree Suburban Survival
I'll try to keep this post short and recommend you read, Survival After the Flood Waters Recede, by Gallimaufree. It describes what life is really like recovering from a flood. Some of the items I learned:
  • Dry wooden furniture in the shade – direct sunlight can warp it.
  • Do not harvest any food from flooded gardens – not even potatoes or carrots. If it’s a fruiting plant that hasn’t set fruit yet, and it survives the flood, you should be able to safely harvest it later.
  • Contaminated soil and compost is also a gardening hazard.
  • Make sure you are current on your tetanus shots because tetanus is a dreadful way to die. Even minor scratches can lead to tetanus.
  • Pathways may be slick with slime. Debris may house snakes and other animals and hide broken glass, nails, and shards. Walk carefully in heavy hiking boots and use a hiker’s walking stick for balance.

Bottom Line

Print out a copy of “Repairing Your Flooded Home”, http://www.fema.gov/library/viewRecord.do?id=1418, and keep it with your survival supplies. It covers what you need to do to get your property back in shape: recovering books, photos, documents, paintings; removing mold and mildew; drying out your furniture; and more. Your home may look like a total loss but you can recover much more than you thought possible.

Breaking News

Sept 24 (ABC News/AP) [Galveston] is in such bad shape, those hurrying back home were given an ominous warning: Bring tetanus shots, rat poisoning and don't bring children [...] planes are spraying the city with insecticide to prevent a boom in the mosquito population, the water isn't drinkable and people are urged to wear face masks to guard against inhaling toxic mold that is proliferating in the sweltering city.
Nevertheless, highways into Galveston were jammed with cars today, lines as long as 14 miles long, as many of the city's 57,000 citizens hurried back to see what, if anything, was left of their homes.

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Wednesday, September 24, 2008

Red Cross Disaster Services - Part 2

"Ladybug! Ladybug! Fly away home. Your house is on fire."
- nursery rhyme

The role of a Red Cross Disaster worker at the scene of an emergency is to provide immediate relief to the family or families to get them through that night and next few days. For longer term assistance, families are encouraged to visit the local chapter headquarters during business hours to meet with a professional case worker who can assist with recovery plans

Going back to the events of last night, we passed out toiletry kits with razors, tooth brushes, etc, we had dolls for children, and referrals to Goodwill for clothes, bedding, etc. For a few displaced families we offered 1 to 3 nights free in a local hotel. (If the disaster affects many families the Red Cross may open a local shelter with cots to lower costs.) We also provide debit cards for food and replacement clothing.

The aid is needs based. Only one apartment was destroyed by last night's fire so only that family received funds for clothing replacement. The other families who were displaced (all power and water to the building were cut off) were eligible for food and lodging relief.

Bottom Line
Relief assistance is NOT like winning the lottery. The funds provided are quite modest and just enough to provide an inexpensive second set of clothes if a fire left you literally with just the shirt on your back. The food allowance won't go far at a restaurant. It's meant to cover groceries for feeding the family.

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Tuesday, September 16, 2008

Emotional Recovery

"The sun will come out tomorrow" - Annie the Musical
Today's blog is taken from the Red Cross website "Picking Up the Pieces after a Disaster". While the physical destruction after an emergency is plain to see, the emotional damage is equally important to recognize and address.

You may be surprised at how you and others may feel after a disaster... People may experience fear concerning their safety or that of a loved one, shock, disbelief, grief, anger and guilt. Memory problems, anxiety and/or depression are also possible after experiencing a disaster.

Children, senior citizens, people with disabilities and people for whom English is not their first language are especially at risk. It is important to talk with children and elderly people in a calm way and let them know that you will help them find a safe place to stay.

Children become afraid that the event will happen again and that they or their
family may be injured or killed.

Young children do not understand the notice of replay on TV. When they see pictures again and again of a tornado or storm, they think the event is live and reoccurring. In NYC on 9-11 many children were terrified by frequent reshowings of a plane hitting the World Trade Center and the towers collapsing. For them the event kept rehappening.

Some basic steps you can take to meet physical and emotional needs

  • Try to return to as many of your personal and family routines as possible. For children this can mean having a favorite stuffed animal to hold and familiar pajamas to sleep in.
  • Get rest and drink plenty of water.
  • Limit your exposure to the sights and sounds of disaster, especially on television, the radio and in the newspapers.
  • Focus on the positive.
  • Recognize your own feelings.
  • Reach out and accept help from others.
  • Do something you enjoy. Do something as a family that you have all enjoyed in the past.
  • Stay connected with your family and/or other support systems.
  • Realize that, sometimes, recovery can take time.

BOTTOM LINE

If you observe unusual behavior in your children, which you think may be caused by a reaction to the disaster, contact your local Red Cross chapter, child's counselor or community professional for additional information and help. The Red Cross can also arrange for you to talk with a member of its disaster staff who has special expertise in dealing with disaster stress.

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Monday, September 15, 2008

Four Phases of Emergency Management

"mitigation, preparedness, response, and recovery" - FEMA
The Wikipedia article on Emergency Management excellently covers the four phases of Emergency Management: mitigation, preparedness, response, and recovery. Most people focus on preparedness and response giving little thought to mitigation and recovery.

Mitigation is an attempt to know the risks and deal with them before an emergency strikes. For example, during earthquakes damage or injury is caused by book cases and other tall furniture falling over. You can prevent this by attaching the top of the furniture to the wall with hooks and tie downs. At our house, storm water pours down a hill and straight into our basement. We mitigate this by building up ridges and channels to deflect the water around the house. We also have long rain gutters to take rain water to the sides of the house and away from the foundation.

Preparedness includes training, communication plans, drills, and stockpiling of supplies. These are all covered by earlier blogs posts.

Response has been the focus of the blog this week. It covers the first responders (fire, police) and the NGOs (non-government organizations) like the Red Cross who try to save lives during the first 3 to 7 days.

Recovery gets little press time, except when it's negative. Phone and electrical lines must be restrung, sewers and water lines repaired, roads and bridges fixed, and so on. Recovery can also be delayed by red tape. The Gas Company will want to check for leaks before turning the gas back on. A housing inspector may have to certify your house or apartment for occupancy for you can legally return. Access to your neighborhood may be restricted by the police until they decide it is safe. Your insurance company will need to inspect and photograph before you can begin rebuilding. Recovery can be a long and slow process taking weeks, months, and (with New Orleans) years.

BOTTOM LINE
Learn about each phase of Emergency Management. Mitigation efforts now can save you future grief. Plan for a long recovery.

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