Something Terrible Is Happening To The 9-5 Job

the 9 to5 workday has been the golden standard for more than 100 years but that might soon come to an end today I'll share three reasons the 9 to5 isn't working anymore what might replace it and how you can prepare yourself for the next few years first as Kendrick said loyalty loyalty loyalty many of you probably remember your grandparents sharing stories about how they landed their first job at 18 they worked there for 47 years and then they retired with a nice fat pension the problem is that kind of Company employee loyalty no longer exist today many companies could not care less about their employees which creates a self-perpetuating cycle of disengagement in the company's eyes you are just a cog in a machine if you disappeared tomorrow the company would just replace you with another Cog as if you never existed and workers are beginning to realize this that's why worker loyalty now goes to the companies willing to pay them the most and willing to treat them right but the story might get even worse a 2023 study found that layoffs and employee departures lead to more work and expectations for the employees who remain they're expected to answer emails without delay participate in slack channels 24/7 attend every Zoom meeting and do the job of three people somewhere in between all of that and sure employees who stick through this increased workload might get rewarded with a 2% maybe 3% raise at the end of each year but nowadays that feels like more of a slap in the face than anything else next Benjamin Franklin once said time is money describing the belief that more time working leads to more money money which made sense decades ago when manufacturing was a big part of our economy during the Industrial Revolution the number of hours you worked directly tied to how much you produced and ultimately how much money could be made for example in a car manufacturing Factory an 8- hour shift equated to about a th000 cars and that would be consistent across shifts and across the employees which is why companies relied heavily on Punch Cards to monitor 8 hour shifts day in and day out the problem is we're still following a work system them designed nearly 100 years ago a time when we had radios that weighed 60 lb and sounded like chicken scratch but with the decline of manufacturing jobs and advancing Technologies knowledge work now drives a large part of today's economy making the requirement of everyone working the same 8 hour shift absolete do all accountants work at the same speed do all marketing managers need to work 40 hours do consultants stop working after 5:00 p.m. TV shows like the office are super popular because they ridicule the outdated flexible work schedule of today there's even one episode where everyone is trying to trick the manager Michael into believing it's 5:00 p.m. so they can all leave early despite everyone having complete their work already the workers go through the length of adjusting the time on all the computers the clock in the office the clock in Michael's car and even Michael's wristwatch although the concept of work itself has changed so much how company's measure work output has remained the same the 9 to5 work schedule continues to resemble the assembly line which forces knowledge workers to fit a mold that wasn't created for them next imagine being told that you need to stay busy for 8 hours even if you finish your task early I bet you dried your hardest to make the time passed as quickly as possible Cal Newport refers to this as the busyness as a proxy for productivity AKA fake work fake work is basically when you appear to be working but in reality you're not actually doing anything you might have your Google Sheets open and a slack Channel up on your computer but you're secretly tagging your friends in memes so a few years ago one of my friends joined a law firm as their it guy handling their digital documents so his job was basically to look for and transfer documents to a server for evidence that's it that was his entire job and I kid you not he said that it took him just 2 weeks two weeks to write a program that did exactly that for him his program scanned for new files and then would automatically transfer them to the cloud literally every morning he would just log in he start his program and then he would play video games or watch TV for the next 8 hours and he only need needed to check the logs at the end of the day to make sure everything ran smoothly my friend basically did fake work for about a year before the company caught on now the problem is for the companies employees doing fake work because they need to look like they're working cost companies about $1.5 trillion per year so clearly the traditional 9 to-5 workday isn't beneficial to workers or companies so what's the alternative according to several studies the alternative to the 95 job gig workk is growing at it unprecedented Pace but when I say gig workk you're probably imagining your friendly neighborhood Uber driver or instacart delivery guy but gig work is so much more than that by definition it's basically any work performed by an independent contractor there's graphic designers caregivers tutors and More in 2022 4 million Americans did some kind of gig and freelancing work but just one year later in 2023 that number jumped to 64 million Americans or 30 8% of the US Workforce and the contributions this has on the economy is huge in 2014 Freelancers contributed $715 billion to the economy but in just 9 years in 2023 that number reached $1.27 trillion so it's clear that gig work is becoming a significant force in redefining the traditional work structures and going so far as to permeate Corporate America in 2021 7 1% of hiring managers said they plan to sustain or increase their use of Freelancers in the future but the big question now is why is gig work becoming so popular looking back the past few years it's clear that the 95 work structure is going through a pivotal time a catalyst that laid the foundation for how work was about to change forever it signal two Essential Elements first the workers when it comes to the traditional 9 to-5 it usually means you're working Monday to Friday reporting to a boss and told where you need to be at all times but with a gig worker you're Your Own Boss you can determine when where and who you want to work for if you want to take Friday off go ahead if you want to start working later or end a little earlier why not today flexibility is becoming more important than ever with 72% of workers saying work life balance is a critical Factor when choosing where to work people want to spend time with their family ReDiscover their Hobbies or travel without being limited by seven vacations days a year to them the flexibility of gig work offers them a way out and it's not about being lazy studies show that people work best when they have control over their schedules they're happier and 21% more productive and knowledge work depends on optimal brain function and optimal brain function depends on physical and emotional well-being but it's not just workers who prefer gig work many companies have recently been announcing layoffs and hiring freezes to maintain profits and reduce cost and anti ipation of a worsening economy the problem is businesses can't just stop hiring people altogether they still need workers to grow or maintain their operations so who are they going to hire in 2022 78% of Business Leaders said they're more likely to hire Freelancers than full-time employees during uncertain Economic Times for three reasons first flexibility similar to why workers prefer freelancing businesses prefer Freelancers too it's less risky than hiring a permanent employee who needs to be paid whether there's any work for them or not Freelancers on the other hand are hired on a clearly defined budget and project meaning companies don't have to worry about finding them new work them doing fake work or running out of funding next it's faster to hire a LinkedIn study found that the average time to hire someone is 41 days which can get pretty expensive there's multiple rounds of interviews there's background and screening and then weeks of training on the other hand companies can bring on a freelancer for a specific project in a matter of days it can get even Messier if companies realize that they hired the wrong person for the job if it's a permanent employee it can be tough to navigate through mountains of paperwork and bureaucracy to fire them but if it's a freelancer companies can easily let them go next studies show that it's 20 to 30% cheaper per year to hire a freelancer over a permanent employee because companies don't have to provide benefits like health insurance pay vacation days or retirement plans for small to midsize companies who might not have a ton of capital these cost savings can quickly add up but if you're worried about what's going to happen to your 9 to5 over the next few years here are three things you can start doing today to Future proof your career no matter what happens first build your career of capital because it will be the stepping stone for everything else in the book be so good they can't ignore you C Newport says your career capital is basically your skills resources and abilities that you accumulate throughout your career that allow you to have more leverage in life the trick to building your career capital is accepting the fact that you don't know everything and that you can constantly learn more because the truth is a college degree isn't good enough to get a good job anymore you need to constantly be upskilling to stand out from the competition but more importantly to be able to demand more money when I realized the importance of kurer capital early on I dedicated an hour or two every week to Learn Python a programming language so I can do one thing my biggest priority at the time was to max out my salary through my day job my plan was pretty simple it was to show that I could excel at work so I could aggressively push for pay raises and promotions and if they said no then I knew I had to cre Capital to just find a different company NeXT maximize your active income a lot of people nowadays are just focusing on passive income and trying to grow that income stream which is fine but in my experience it is infinitely better to prioritize your active income stream to get the ball rolling because it's a lot easier to do that with your career Capital at least in the beginning and then the plan is to use that to amplify your other income streams that could be passive in the future like if my current active income stream allows me to invest $100 in a stock market and the stock market goes up by 10% then I would earn $10 but if I was able to increase my active income stream to the point that I could comfortably invest let's say $11,000 then a 10% return now means I earn $100 so when I was working I just aggressively asked for raises so I could increase how much money I could save and invest it was sort of like a fly wheel the more money I could save the more money that I could invest and the more money I invested the more money I earned you can use an app or a Tracker to make sure you're on track and hitting your savings goals but if you want the savings goal tracker that I used in order to do all this I'll link in the description below and over time I was able to earn enough that I could use that extra money to hire Freelancers to help me build out my other income streams next break the wage ceiling the problem is even if you are the best at what you do and you constantly get raises and promotions you're still trading your time for money which leads to two issues first let's say you're being paid X for y number of hours that you work the problem is you're limited by the number of hours that you can work 24 hours in a day assuming you don't sleep or eat which I don't recommend second there is a limit to how much someone will pay you for your skills if you're a super specialized doctor you might be able to make $3,000 per hour but eventually you're still going to hit a wage ceiling because the market won't pay a higher price this is why after you're at a good amount with your active income stream you need to create other income streams and I know you're tired about hearing about side hustles and working multiple jobs but unfortunately that's the reality we live in while a full-time job might provide a sense of security with paychecks coming in every 2 weeks you never know when that's going to end in 2023 over 263,000 Tech workers lost their jobs and that number is only increasing in 2024 starting another income stream whether that's investing or freelancing is essentially preparing a safety net before it's too late and you don't need to quit your job before you start one a 2024 report found that 44% of new business owners in the US launched their businesses while working part or full time in 2023 and even if it doesn't evolve into a full-blown business it's still going to be a fantastic safety net where you constantly have income coming in in case you suddenly get laid off but what if I told you that just making more money is enough the truth is even if you earn hundreds of thousands of dollars a year if you don't know the best way to manage your money you could lose everything click here to learn how you can manage your money like the 1% so you can start doing that today

Channel: Vincent Chan

Views: 55,130

Keywords: job market, career, unemployment, why can nobody find a job, companies cant find workers, worker shortage, job shortage, labor shortage, worker strikes, ghost jobs, what are ghost jobs, are companies hiring, why finding a job is so hard, most in demand jobs, highest paid jobs, tech jobs, the great resignation, how many employees, amazon workers, side hustles, freelancing, job search strategies, career advice, the collapse of the 9-5, the 9-5 job, gig work, freelance, 9-5 job

Id: 6NfgvA9SdHM

Length: 12min 46sec (766 seconds)

Published: Sun Apr 28 2024