“Money doesn’t buy happiness. But happiness isn’t everything.”
Jean Seberg
1938 – 1979
“Money doesn’t buy happiness. But happiness isn’t everything.”
Jean Seberg
1938 – 1979
Let’s face it, NYC cab rides are not what they used be. And it’s not about credit card processing and the built-in monitors – those were inevitable. And it’s not about the signature-yellow black-checkered SUV’s and vans either (though, only God knows how many pairs of pantyhose I’ve ruined getting into them). The main difference are the drivers.
Back in the day your taxi driver talked to you; whether you wanted him to or not. They were the ones who invited the conversation. I mean, hairdressers and cabbies were people’s confidants. A cabby is even better than the hairdresser – most likely you will never see him again. Nowadays, however… Let me put it this way – Taxicab Confessions (1995) would not happen today.
Of course, just 15 years ago, when the medallions were around $250K, cab-driving was still a viable self-employment option for enterprising individual drivers. And a taxi owner-operator cared for the success of his business-on-wheels. Moreover, he felt at home there, ready to chat with his paying customer about this and that. But as soon as the medallions’ prices went over $500K (hitting $1 mil landmark in 2011), the ownership shifted to investment groups, who lease the cabs to drivers known as “hacks.” This resulted in a fundamental attitude transformation. To draw a parallel, it’s like the difference between the treatment you get from some outsourced customer service representative and the care displayed by a business owner whose livelihood depends on the customer’s satisfaction.
Generally speaking, we now get into a cab with an indifferent and dissatisfied employee at the wheel. And most of the time we actually want him to stop talking, because he is blabbering non-stop and not with you – he’s got his earpiece in and he is doing his share of “connecting” to his friends and families at full volume in the language you most likely don’t understand. Sometimes you are not even sure that he heard your destination; and you have to be really insistent if you want him to pay attention to your route instructions.
And me personally? At this point I am simply weary of cab drivers wanting to talk to me and actually prefer when they are preoccupied with their own telecommunications or whatever. I don’t know whether this is because weirdos feel comfortable with me or there are just more weirdos everywhere now, but recently I’ve been having some uncanny cab experiences: Scientology propaganda session; sex proposals (this actually happens regularly, which is unbelievable for many reasons I will not discuss on this blog); self-righteous preaching (also pretty common); pushy sales pitching of the driver’s childishly executed art; a reverse taxicab confession of a middle-aged driver stunning me with graphic details of his affair with a 78-year-old woman (sorry, people, but it’s the honest truth), etc., etc. So, trust me, a quiet ride is fine by me.
But I guess there is indeed a reward through suffering, because sometimes you get lucky!
I was in a cab a few days ago. The driver had an old-Brooklyn accent and was middle-aged. The cab wasn’t new either, but most remarkably it was already lacking the bulletproof divider (TLC announced in April that it can be removed). This is actually very important, because, even though he had the radio on at a low volume, without the glass barrier I could hear it very well (I have no idea what channel it was).
The topic of some political broadcast was the GOP’s opposition to their own likely nominee, Donald J. Trump. One of the guests was commenting on how silly it was and questioning the possibility of some last-moment aspirant’s attempting to steal the nomination in Cleveland from a candidate who won the most Republican primary votes in history – 13.4 million. And both the driver and I laughed out loud at the same time.
For the next 15 minutes I enjoyed the most amicable and satisfying political exchange with a person outside of my very close and very immediate circle, a complete stranger for that matter. And I would like my readers to share some of that experience. So, here you go, ladies and gentlemen, from my cab driver’s mouth to your ears (or rather eyes) – a few bits of pure common sense:
“…He [The Donald] may not say it right, but he says the right things.”
“…Professional politicians didn’t work as the country’s leaders. We’ve got to try something new. If he fails, we will not vote for him [The Donald] again.”
“…Trump is the only one who has full intention to do what he says and actually take care of things.”
“…I may not like Trump as a person and don’t what to be his friend, but he is the only one right now I trust to be my President.”
“…I used to be a big Clinton supporter, but she is a typical political weasel: talks how it’s dangerous to trust Trump with the ‘nuclear button,’ while 20,000 of her emails with government secrets are about to be publicly released by the Russians.”
“…How can she [Hillary Clinton] talk about War on Terrorism, when she is chummy with the Saudis? And how can she claim that she will protect women’s interest when she takes millions from the kings of Oman and such.”
Look, of course I don’t know about all of the 13.4 million of Trump supporters – I’m sure, like in any other group of people, there are plenty of bastards and idiots among them. Yet, every one of those who I met personally, heard talking or read their opinions in various media strikes me as exceptionally reasonable, very informed, logical person, free of fanaticism. Without any bias, in a true objective spirit I so vehemently cultivate on this blog, I cannot say the same about the followers of either of the still-running Democratic candidates. And it makes me wonder: maybe, just maybe, it has something to do with the compelling rationality of Donald Trump’s presidential platform.
Quoted directly (as written) from the actual email sent today to the frustrated CFO by her CEO:
“Marina,
You are so right about the economy. More than a half of the candidates I talked with today are looking for a job because they were laid off as the result of their companies’ downsizing or being swallowed during hostile mergers. One of the candidates worked for the same company for 20 years, and she is now looking for an entry-level job just to get stable employment with benefits. Amazing! Most people don’t even know what’s going on with the economy, because they listen to lies.
LF”
Like many hiring execs, I still have an employer account with Monster.com, even though the time when they dominated the job-hunting market has passed. Nowadays, they are not even at the top of the industry leaders list. Still, we got used to them in the 17 years they've been around. And they do try their best to provide the paying clients with value-added bells and whistles beyond the standard ad posting: resume matching, database searching, description writing, HR Resource Center, and whatnot.
One of these add-ons is the email service that blasts recruitment articles to all registered users. I usually ignore these emails, but the last one had an article with an enticing title The Real Reason Millennials are Leaving Your Company.
The first thing that caught my eye was the singular "Reason." I thought, "The author was able to identify a single, most fundamental cause of what appears to be a case of chronic pins and needles in the millennial butts? That's remarkable!"
I got even more curious reading the logline. It talked about an abundance of options, "a plethora of jobs" that allow millennials to be "super selective" in their career choices. Moreover, it promised expert advice to employers on how to keep the "valuable millennials" in the work seats. I was like: This must be one of those sci-fi imagine-if humorous thingies, because these statements, if not drenched in undiluted sarcasm, can only refer to some remote planet in an unknown universe. Here on Earth, right now, most of the millennials you and I know are either unemployed, or work jobs that have nothing to do with their chosen professions (let alone vocations), or stretch their schooling to avoid facing the bleakness of the job market. I mean, there are premium cable shows and broadcast sitcoms about it.
And, "valuable millennials?" Yes, they exist, in small numbers and tiny clusters, and you ought to be very lucky to have them around. But generally speaking: the state of our arts and entertainment is a testimony of young people's value and their values. And when it comes to hiring, you need to go through 800 entry-level resumes to find 3 candidates who can write a coherent sentence, even though (I'm talking to you, senator Sanders!), all of the applicants have college degrees.
Opening the article immediately dispelled all enthusiasm. Firstly, no pinnacle reasoning was crystallized. The piece was divided into subsections addressing different causes for millennials' job mobility. Since the author is not a Canadian afflicted by the national inability to pluralize words, I can only attribute the use of the single form in the title to writing and editing sloppiness. And, of course, there was not a single whiff of alien or any other humor.
In fact, the self-branded Talent Maximizer® Roberta Matuson, who wrote the article, takes herself and her "advisory" role very seriously. In complete solemnity she lists the following as the reasons why the millennials don't want to hold on to their jobs (with my commentaries):
To paraphrase Woody Allen, "What's wrong with this? Everything!"
First of all, what does the lame formula "improved society" mean? What's a "better society" for one person, is hell for another. The massive support of Bernie Sanders by young voters clearly shows that they want to live in a welfare state. I, on the other hand, have been preaching no government interference and market economy my whole life. I would understand if the focus was more specific – let's say on environmental issues. If employees of different ages boycotted the fracking industry, for example, our society would seriously benefit in the long run. But I doubt we are talking about future impact here. I'm pretty sure that if the fracking industry started providing free daily lunches to local people, the millennials would think of them as employers with a positive mission! Never mind the explosions and the fiery faucets.
And what happened to the old-fashioned purpose of being profitable, staying in business, and continuously providing jobs? It's not good enough? Do all millennials want to work for non-profits spending grants, or public companies depleting investors' pension and college funds?
Well, this is not the first time I am confronted with the suggestion that what I call "hugging motivation" is more important to younger people than fairness, objectivity, professional growth, adequate compensation, etc. Don't get me wrong, the acknowledgement of one's achievement is incredibly important, but only if it's deserved. Constantly patting on the back some unimpressive, low-value jackass out of fear that they will leave – that would be a betrayal of my work ethics and a violation of my fiduciary duty as a CFO. Merit-based rewards, people! That's what made America great in the first place and that's what will bring the greatness back!
And here she goes again with the sci-fi twist: the recession is over! Where? In Alpha Centauri? Oh, wait – on the front page of The Wall Street Journal and in government reports. In real life, we are in the permanently recessive stage of economic decline with no prospects for upward turn. This slow sliding may feel to the uninitiated as a flat plateau, but just you wait - we are bound to experience some dramatic crashes as well.
So, no matter how much you praise them, and hug them, and take them to lunch, the old-school paycheck still matters! Except there is nothing old-school about it either. Back in the day, wages were determined by clear and tangible factors: the sophistication of the job, the level of expertise, the scarcity of QUALIFIED professionals on the market. But apparently it doesn't work like that with the generation of people who were born after The Breakfast Club and Back to the Future came out. The key to their adequate compensation is their own self-worth. We must pay them whatever they think we must pay them. And don't forget, the employers need to account for the student loans! Essentially the implication is that we have to pay them what they NEED and not what they earn. "From each according to his ability, to each according to his needs" maybe sounds right to Sanders's supporters, but it is not the principle that lies in the American foundation. You know whose principle that is? Marxists-communists!
Just the millennials? Is that what the article's author actually believes? That millennials should be treated preferentially when it comes to working hours, paid time-off, etc.? That there should be two different HR policies in every company, one for millennials and another for the rest of us chickens? That's age-based discrimination, isn't it?
I've always believed in the importance of work-life balance and regularly wrestle with the owners to ensure that every employee has access to the same set of benefits and perks. And what my experience shows is that the millennials take the full advantage of these packages like no one else; sometimes to the point of abuse. 90% run out of the office the minute the clock strikes the official end time, no matter what's happening with the work. Many don't even spare a few seconds to shut down their computers (yet all of them fancy themselves "environmentalists"). Just last year, I had a millennial employee who was out for 15 working days in the 5 months I tolerated her bullshit. I've never had to deal with that kind of attitude before the millennials entered the workforce.
The truth is that you don't need to be an HR expert to formulate your ideas about the reasons behind the millennials' prevalent job discontent. Any experienced manager with a keen eye and some human insight can draw up a comprehensive list. And here is mine (in no particular order):
There is definitely something terribly fragile about the state of our foreign affairs if I need to discuss our phony "allies" in two posts back-to-back. This time, it's not some unnamed "friend" - it's Saudi Arabia or, as many journalists call it, one of the "most awkward" of US allies. The reason I feel the need to talk about it is that the present tension between us and Saudi Arabia is a stark exhibit of how monetary stimuli affect the White House politics.
But before I can address the current events, some cursory background is mandatory. At the very least it is important to understand why we are allies with Saudis in the first place and what's so awkward about this relationship.
Ever since FDR (that Grand Master of uber-strenuous alliances) struck some sort of a secret deal with the Saudi ruler of the time King Abdulaziz in 1945, the resulting relationship has been teetering on three main financial whales:
As in many money-driven relationships, the partners in this one don't really see eye to eye when it comes to non-monetary issues, especially with respect to social and political values. Hence, the awkwardness. Our President can laugh all he wants, but for those who care it's painful to know that the White House calls the country famous for its obscurantist interpretation of Islam, medieval punishments, and the harshest treatment of women "our ally." On the other hand, Saudis are not happy with US Middle-Eastern policies, especially in Syria, Iran, and Israel. In fact, the Saudi foreign minister has been quoted as saying, "It's a Muslim marriage, not a Catholic marriage."
That's actually remarkably aphoristic: Catholic marriage is for life. No divorces are permitted, so the union is truly "till death do us part." On the other hand, according to Sharia (Islamic law), Muslim divorce process is reduced to a single announcement of a husband to his wife, "I divorce you" (the phrase and the short ritual are both called talaq). That's it – he says it and she is out on the street; no legal or even religious authorities need to be involved. Apparently Saudi Arabia feels that the United States of America is its Muslim wife. As I said, clearly the relationship is precarious at best.
Into this volatile drama enters the bipartisan bill that, if passed by the Congress, may allow victims of 09/11 to sue foreign governments, including Saudi Arabia. When was the last time you've heard of a yet-unapproved legislation proposal becoming a big international news item? Well this one did, as soon as it hit the congressional floor. How important is this bill to the White House? It is so important that, according to the New York Times (our last frontier of journalism with original sources), the Obama Administration has been lobbying against it for quite some time, trying to squash it before it even got to the approval stage. Unable to stop the bill so far, Obama went this week to Saudi Arabia to talk it over with the King.
The administration's cover story for the bill-bashing activities, formulated on the record by the President, is the concern that this will give other nations a reason to put in place similar regulations against the United States. Well, even though we don't create disasters like 09/11, we do meddle in other nations' existence from time to time. So, it's a plausible worry. Only I don't buy it. Why is he not going to any other countries that may be impacted by the bill, just to Saudi Arabia? Why the President himself and not the Secretary of State, for example? You know why - C.R.E.A.M.!!!
The very same New York Times has also reported that our "ally" has already announced to the White House their retaliation strategy. Does it have anything to do with "we-shall-sue-you-back" laws? Nah, not surprisingly it's economic: they threaten to sell off $750 billion of American assets. Now, that's what I'm talking about! Money! It talks and makes US Presidents bounce this way and that way on their strings.
I find it absolutely preposterous that some "commentators" immediately started calming themselves down and speculating that Saudis don't even have that much of US bonds and stocks; or that they wouldn't extinguish a huge cache of investments just like that, because they would lose money, etc., etc. They sound to me like a bunch of ignorant optimists who either don't understand the extent of Saudi wealth, or are hiding their heads in the sand out of fear, or both. But I am not like that. I'd rather look into the face of the most damning scenario. I think that Saudis wouldn't hesitate to act on their threat. I also think that they are probably as conservative as I am and value their investments at the lower of cost or market. Therefore, this specific amount, $750 billion, is exactly what they can do without any problem; moreover, with gains.
Now, let's see what this amount means to the United States. First, there is the most obvious implication of the threat – the one that's on everyone's mind. $750 billion is about 1.7% of the total value (as of 12/31/2015) of American publicly-traded stocks and treasury bonds combined. That's a pretty significant share. (Just to give you an idea of the number's magnitude: the market capitalization, i.e. the total value of all outstanding shares, of Apple, Inc. [#1 ranked American stock] is $600 billion.) Dumping huge buckets of equity shares and bonds into the market will start an obvious chain reaction: The stock prices will start violently dropping and bonds' discounts (percentages below par) increasing. This will push other investors, especially day traders, into a panic and they will join the sell-off in attempt to recover at least some of their money, intensifying the effect and driving the prices further and further down. As the result, (a) the stock market will experience a deep adjustment and (b) the US Dollar will be seriously devalued. This, in turn, will affect the global markets, the international trade, the costs of raw materials, the deficit, etc., etc.
And assets divesture could be just a first step. It may be followed by another economic blow – the cancellations of arms deals. There are always Russians, you know, with their outdated garbage, but it looks pretty sinister. If weapons sales seize abruptly, first the military sector will need a bailout and then we shall see a contraction of the entire industrial sector. Therefore, it is not surprising that the White House is concerned – there is a definite possibility of talaq (see above) here. I'm sure Obama went to Saudi Arabia to promise them that he would veto whatever rightful laws the Congress might pass.
There is another significance to this number, though. It can give you an idea of who owns the US marketable securities (and keeps their values high). As of 10/01/2015, $12.2 trillion of those assets belonged to foreign investors. This breaks down into 43% (!) of total outstanding US government bonds ($6.2 trillion), and 20% of all outstanding equity shares ($6 billion). Now, as I said, not only that I think Saudis own $750 billion of American assets, I am sure that this is just a portion of what they have. It's just hard for me to believe that they would divest of the entire lot, no matter how angry they are. For argument's sake let's say it's 50% of what they actually have. That would mean that the kingdom holds 12% of the total foreign investments into the US markets. Remarkable!
Of course, all this politico-economic rat-scuffling is very fascinating, but so is the human paradox. Just think about it. There always have been plenty of speculations about Saudis complicity in 09/11 attacks, but nobody ever came out with solid proofs. If they exist, they are buried well. And honestly, considering how fickle everyone's attention is nowadays, nobody would dwell on their suspicions too long; if only Saudis kept their guilty asses in low profile, pretending that they have nothing to hide. But no! They had to go to the Bush administration with, "Please, please, get us out of here ASAP," resulting in all those sweeping-away-in-helicopters shenanigans. Nobody will ever forget that! And now, this scandalous reaction to the bill! Doesn't it sound like an admission of guilt? Wouldn't it be cleverer to stick to the not-guilty plea? I mean, even if there are law suits, a country like Saudi Arabia can buy the best legal defense in the world. On the other hand, it could be a matter of arrogance. They must feel incredibly secure not to worry about appearances.