Hi Jim,
The job market is a cycle. Contractors are for load leveling.
You need to add contractors at the top of the market because it is not sustainable.
And you need them at the bottom of the cycle because you can kickstart projects with them.
(basically using them to fill in the holes left by the company’s layoffs)
Now outsource 20% of those jobs. It just moves the curve lower.
That means that in the short term, (6 months – 2 years) we should be ready for a landslide of contractor positions to open.
When that happens, rates will get more competitive because of supply and demand.
In the short term, we should be OK.
In the long term, none of us will be OK. There is no job you can recommend to a child that will be a safe place to go.
Possibly medical doctor or nurse only because they are service jobs that cannot be outsourced.
However, the healthcare reform could very well make it intolerable to be either of those even.
So, we can see a tidal wave coming… We can sit down and give up and whine about it, or we can talk to an adaptation expert: You!
We all need to tap into the young industry professional mentality that we had to be when we learned Pro/E.
That person was thinking: “This is the next big thing, it is rough, it hurts, but if I get it, there is no stopping me!”
How do I ride the wave? You can start a business. If you aren’t working right now, it is the perfect time! Nothing to lose!
There are a huge number of folks that would work for you for free right now for a piece of the business…
If all of your employees were free, it is pretty easy to succeed.
There is a downside to being an engineer. You have been trained to focus on product. As a business owner, you have to put at
Least half of your energy and resources into marketing. Think of Carl’s Jr (Hardee’s) as 50% product and 50% marketing.
Think of McDonalds as 10% product and 90% marketing. You might prefer to eat at Carl’s Jr, but you are better off owning McDonalds.
The bottom line is that poorer countries will always produce cheaper ditch diggers.
If you want to keep digging ditches, you have three choices: start a ditch digging business or manage the ditch diggers or accept a lower wage.
The transition is going to be painful, but if anyone can do it, they are the people reading this post.
You just have to become the person you were when you were learning Pro/E.
Best regards and Happy Holidays,
Frederick Burke