Change happens, so plan ahead
October 6, 2020
The natural forces of capitalism mean that some companies will prosper, and others will fail, writes Peter Watson.
Workers are encouraged to think proactively at ways that make your future more secure against possible job loss.
Capitalism can be cruel.
In the search of profit, companies are competing vigorously with each other. Firms attempt to improve their operation and expand market share at the expense of competitors.
Some companies win. Some companies lose. The good fortunes of their workforce depend on how their employers succeed or fail in an ever-changing fiercely competitive business marketplace.
For those that earn their living working from these companies there is risk. That risk is out of their personal control.
Our recommendation is for each individual to manage those factors they do control.
Be aware of trends and how they could affect your ability to earn an income.
For example, Amazon continues to expand. What firms are at risk because of this?
Amazon recently announced that it is opening 100 new warehouses in Canada and the United States. This quarter they are hiring 100,000 additional workers, which is consistent with their hiring pattern over the last year.
Ask yourself if you anticipate your employer will be operating a year from now.
What things can you do now to solidify your career opportunities? Should you seek additional training? Should you change jobs? What is the risk if two people from the same household work at the same company?
Consider your personal finances. Is this a good time to decrease debt or increase savings in case you suddenly find yourself unemployed?
It is extremely easy to feel confident when things are going well. In reality, we all know that things can change.
This by no means is meant to be a pessimistic outlook but an optimistic proactive thought process that each and every one of us can do to protect our future.
Peter Watson, of Watson Investments MBA, CFP®, R.F.P., CIM®, FCSI offers a weekly financial planning column, Dollars & Sense. He can be contacted through www.watsoninvestments.com