Jason Monastra

My life and thoughts out on the web

We have been listening to the words recession for the past year, all in hopes that soon one day this will pass and life will return to days of bliss and million dollar bonuses.  Now some will say those days are still among us - since we still hear constantly the winds of pay continue to swell around financial and other companies.  However for most people, those days are over.  But has everyone really looked at their pay and asked themselves if they are possibly overpaid, or asking too much if making a move, etc.  Not most of us, and more importantly no one wants to think that possibly they are paid too much.

Take a look at this recent article on football negotiations - http://sportsillustrated.cnn.com/2009/writers/jeff_pearlman/08/07/crabtree/index.html?bcnn=yes.  Do not jump to the conclusion that this does not apply to you since the numbers are so large.  It applies in more ways the one.  Hold out, over pay, not employed, etc. are all common key factors that resonate in this article and in the general job market.  To summarize, certain players continue to inflate their worth on paper without a proven track record of success (MBAs coming out of school).  Some with good track records continue to drive up salaries or hold out from playing (essentially taking themselves out of the job market).  I find interesting the fact that these professionals are not looking at the general economic condition and asking themselves if they are doing the right thing.

Look at one of the examples given here:

Just nine years ago Matt Harrington, a highly touted high school pitcher out of Palmdale, Calif., was selected seventh overall by the Colorado Rockies. At the advice of his agent,Tommy Tanzer, Harrington rejected the team’s $4.9 million offer and re-entered the 2001 draft. Then the 2002 draft. Then the 2003 draft. Then the 2004 draft. To make a long — and ultimately tragic — story short, at last check Harrington was earning $11.50 per hour installing tires at a Costco.

Now think about that and apply that to our technical world.  Employees out of work looking for the next position that will pay them 75/hr.   They hold out and hold out more in hopes that one day it will come.  A year passes, technology changes and they find themselves not even able to earn 50/hr with outdated skills.  Some will say, never me.  But this happens all the time.  Recently I had a professional turn down a long term contract for a short term 3 month one with a competitor over 4/hr.  Now he is miserable, looking for work and wishing that he had taken the role we had.

Short term decisions on pay are dangerous.  When you look at compensation think about the employer, the benefits, the stability of the role or contract, likelihood for extension, and how it builds upon your current skill set.  If these do not add up, an extra 4/hr is useless.  Swallow your pride.  Put it simple and sweet and let it go, as the 50/hr paid vs. 55/hr unemployed is a big difference.  Positions are paying less and that is something we need to become comfortable with.  If not, you might find yourself the next 11.50 Costco employee installing tires.