Having seen threads here about the economy and rising unemployment and working at a job with major changes happening, I felt it appropriate to share these thoughts.

During my long career, I have seen many RIFs occur and the employees who only knew that job they were "losing" as their only life. Why? Because the companies that they worked for wanted them to think that way so that they would be "good workers". Many times employers use almost military conditioning techniques to mold employees and this results in a worker totally adrift when that company turns them out into the street.

Modern homesteading offers quite a bit of relief to strains placed on a family by economic downturns in the form of food production, shelter and "basic" skills. However, since we still exist within the society that relies on the "bio life system support coupons" ($$$), contingency plans should be made also if you work within a society job.

Some ways to pad your fall in the event of RIF before it happens are:

a) start a hobby such as small engine repair. build a small sawmill operation if you have timber and make lumber. Gain expertise on apliance repair, anything that could qualify as a service that you could offer at a lower rate than the competion during time when money is tight. Use this while completing steps b through d.

b) while still working, get with your long term friends at work and devise a way that if your group were to become unemployed, you could pool the talents taught to you by your former employer to start a small scale operation similar to the one that laid you off and instead of trying to become a $1,000,000 operation, set your goal to allow all participants in your little group to bring home a paycheck. Use the libraries, bookstores, the internet and personal knowledge of your group tolearn how to set up a small scale corporation and write your five year business plan. c) Use the available internet technology to assist you, but don't rely solely on it (remember the dot.com evaporation last year)

d) Pool the resources of your small group and seek funding through grants and SBA. Avoid investors if at all possible as you could find youselves in a similar situation as that which placed you in unemployement in the first place.

Many years ago some airline personnel found themselves out of work with no where to go. They got a hanger, a couple of aircraft and went into business as a no frills airline. Their corporate offices were in the same hangar as the mechanics, no offices, just a bullpen with cube walls (except the presidents office, it was a cube in the corner with windows on two outside walls, that was the extent of the "corporate glitter"). Pilots fueled their planes with credit cards, everyone did their job and got the same amount of pay when the expenses were paid and profits devided. They are still in business today.

Remember, should you be laid off, that company that walks you out the door was once a small group just starting out. And if they didn't come into existance in bad times, they undoubtly survived some when smaller and layoffs are a large companies way of trimming the fat, another way of trying to be small again. And the most important thing to keep in mind as you take the last walk out, they may be keeping what you used to do your job and the cost of your pay, but they can never take the things they taught you or the on the job friendships and relationships you made with co workers, who while worrying about their own situations , also care more about you than your former management.

So many people have started their own business because no one would give them a job. I was inspired to post this thread after seeing a current Church of Jesus Christ, Latter Day Saints (Mormon) commercial on television.

-- Looking Ahead (anonymous@planning.future), August 12, 2001

Answers

We have been self-employed (owner-operator truck drivers)for 20 years now, folks think it is so wonderful being able to take a vacation or not work when ever you feel like it. Well, it is, however, we have no vacation pay, no sick or "personal days", no paid health or medical benefits, no retirement benefits, you are starting to get the idea here by now.

Our health insurance costs 349.00 dollars a month for the two of us, no dental or eyeglass benefits, and goes up every few years as we age, we are 42 and 45 now, by the time we are 60, it will be 550.00 a month, if it is like my father's costs now ( he is self-employed also).

Yes, it is wonderful to know your "job" is there no matter what every day, BUT, be prepared to come up with at least 500 or 600 a month more to cover the expense of health insurance and retirement contributions that are necessary for you to be able to "retire" someday, otherwise you will work until you die.

And, when the economy really gets in the toilet, like it was back when Reagan took office, you have to be extremely creative and take substandard paying work just to stay afloat in your business, cut your rates, so to speak. You work your butt off just to barely scrape by, let me say there were many years we paid no taxes back in the Reagan years, because there was nothing left to tax!!!

But, if you have the incredible will to survive, and lots of "drive", you can make it being self-employed, with a little bit of luck, just be prepared to put in 70 and 80 hour work weeks sometimes, all the time in those rough years!

-- Annie Miller in SE OH (annie@1st.net), August 12, 2001.

My industry is protected for the state (Md - Dept. Tansportation). The MTA supposedly has to sign off to allow any competition. I have thought of doing it free for donations! I want to provide transportation for persons headed to/from employment, who lives a certain distance from the bus line that heads to there job. No round Robin Hood's Barn!

-- rick K (rick@fakeid.com), August 12, 2001.

Sorry, my post sounds unclear. 2 miles from home is to far to walk to transportation. My service would connect these displaced persons with their destinations. Baltimore has some creative routings meaning sometimes it may take an hour and a half to make their trip!!!

-- rick K (rick@fakeid.com), August 12, 2001.

After graduating from High School I went to work for a Large Paper Bag Manufactor, I worked there for 4 years and decided factory work was not for me.

About 10 years after I left the main office decided to close the plant where I had worked. 100's of people lost their jobs, many of them had worked at this plant their entire working life. The nearest other Bag Manufactor was about 600 miles away. So most had to find a new trade or adapt the skills they learned in the Bag Plant to other Factorys. BUT a few smart ones bought some of the no longer needed equipment rented a small section of the old plant and went into the Bag Business themselves. From what I hear they are doing pretty good! I admire folks who will take a chance when it looks like things are lost.

-- Mark in N.C. Fla. (deadgoatman@webtv.net), August 12, 2001.

"d) Pool the resources of your small group and seek funding through grants and SBA. Avoid investors if at all possible as you could find youselves in a similar situation as that which placed you in unemployement in the first place".

A note of caution should be added to applying for and getting SBA loans or "grants". Them thats got the gold make the rules. Two small, independent busimen have both told me that they could'nt wait for the day when they were out from under such loans or grants. One said he had to hire two people just to handle the continual paper works and demands for information that come attached with the SBA loans (or became attached to the loans). The overall benefit to his company was marginal and the time and energy distractions probably made the loans a negative. Be careful making any bureaucracy a not so silent partner. They will own you and start to make all your decisions for you.

-- charles (clb@dixienet.com), August 12, 2001.

Investors "angel" not wolves will invest in YOU and the idea if based on reality and backed by a strong business plan. I've had several business over the past 30 years all were backed by investors. My only word of advice Be Choosey as to whom you let invest. They most often will be at the meetings and they always have an opinion on how the business should be run. (Sometimes theyre even right).

-- Kenneth in N.C. (wizardsplace13@hotmail.com), August 13, 2001.