Here in Michigan with manufacturing in a tail spin, the state's economy looks to new industries to provide employment to its citizens.

An unexpected answer is provided by Dr. Stuart Rosenfeld, an expert in economic development who is interested in the impact of creative enterprises.  "The creative economy has often been overlooked in the economic development literature and undervalued in economic development analyses and plans, largely because much of the wealth it produces falls just under the radar screen of conventional economic analysis," says Rosenfeld.

The creative economy is a sprawling sector, powered by the output of "originators" such as artists, architects, designers of all types, game-developers, chefs, among others.  It doesn't have the pizzaz of technology-based industries, Rosenfeld notes.

For example, at most colleges, marijuana is very much an extracurricular matter.  But at Med Grow Cannabis College, marijuana is the curriculum: the history, the horticulture and the legal how-to's of Michigan's new medical marijuana program.

With the market so volatile, your chance at a comfortable retirement may seem dicey no matter what you do. 

According to a recent Vanguard study, 401(k) participants as a group changed their allocations only slightly during the 2008 bear market.  Now, it's time for boomers to get constructive.  The retirement you want may be more attainable than you think.

Although you might have to save a bigger chunk of your income than you do right now, you also have resources beyond your 401(k), IRA and Social Security.  Your home, your ability to work a few years longer, a pension if you have one---all these can have a big impact on your future income.  Once you see how much they are worth, you'll be able to construct a realistic plan that doesn't force you to take huge gambles.

You need to know what it takes to build up a sufficient nest egg with a conservative portfolio so that you can sleep at night even during volatile markets like this one.

Baby Boomers have lived during an era of unparalleled prosperity.  So when this deep recession hit, much was written about them being too spoiled to cope.

Not so.  A look at recent employment data indicates that boomers have persevered in these hard times, and are less likely to grow discouraged and quit their job hunt than younger workers are.  "Older adults are not giving up," said Steven Hipple, a Bureau of Labor Statistics economist.  Despite the fact that the unemployment rate for Baby Boomers has doubled since the start of the recession, what the federal government calls their "labor participation rate"--the number of 45-to-64-year-olds working or actively seeking work--has remained unchanged.  In contrast, every other age group has shown a decline.

"Older workers don't have the choice of withdrawing from the labor force," said Mr. Hipple, pointing out that they have mortgages to pay, health issues and retirement to worry about, as well as children to put through college.

Boomer-age workers are the only age group whose employment prospects have improved since last summer.  For people over 45, joblessness was 6.8% in October 2009, down from 7.3% in July (the highest for this age group since data was first collected 60 years ago).

Source: NEW YORK TIMES, November 22, 2009

Both unemployed and employed boomers, who are planning to work before and/or after retirement, would be wise to learn some effective career transition tips (at www.JobCoachTips.com) to pay attention to long before he or she is walked out of their workplace.  For more online resources for anyone over 50, keep reading.

In its latest biannual survey, released in October 2009, temp firm Spherion Staffing Solutions asked about 300 employers and about 2,500 workers to name the top "drivers of retention."  As they did in 2007 and 2005, the bosses listed soft stuff: "management climate" and "supervisor relationship," for instance. 

Employees' top two in all three surveys?  Benefits and compensation.  And this year, only 27% are "very satisfied" with their pay.  Just 37% are equally happy with their benefits.

Of course, the high unemployment rate has scared working Americans into hanging on to their jobs at all costs.  The Bureau of Labor Statistics (BLS) says the "quit rate" --the portion of U.S. employees who voluntarily leave their jobs--was just 1.3% in August 2009, about half the rate that prevailed when the BLS began collecting such figures at the end of 2000.

A survey by benefits consultant Watson Wyatt found that the "engagement," or loyalty, of top-performing employees has dropped by 25% over the past year, largely because people who kept their jobs have been soured by layoffs, bonus and benefit cuts and a halt in promotions.

Why do new survey findings reveal that nearly half of U.S. companies' high performers are actively looking for other jobs?

The simple answer is that most employers are not spending enough time and money to retain their management talent.   

Source: BUSINESSWEEK, November 16, 2009

Did You Know....

By the end of 2009, more than 130 banks will have failed.

Most depositors will have little clue their bank was even at risk. Worse yet, the string-pullers in Washington are doing everything in their power to hide information about the safety of your bank from you.

Learn what you can do now to protect your money. 

If you’re like most leaders, you’ve never before experienced a downturn like this.  Reports about the end of the recession mean little if your company continues to fight cash-flow problems.  You know that the term 'jobless recovery' is an oxymoron.

You cannot allow yourself to be afraid.  Others look to you for strength and guidance. You must give the best you have and move quickly, even when faced with incomplete information.

In his new book, Ram Charan: Leadership in the Era of Economic Uncertainty: Managing in a Downturn, the best-selling author identifies the key rules to follow if you want to get the right things done in difficult times. They include:

· Pay attention to salespeople’s contributions.

· Accept guidance from your board of directors.

· Understand how various business functions must be aligned and coordinated.

· Communicate candidly and frequently.

· Respond to external pressures in realistic, yet positive, ways.

Uncertain Data

Projections and estimates are little more than guesses these days.  We won’t know when we’ve turned the corner, and we cannot envision the future shape and scope of our businesses.  What we can say is that change will present as both a danger and an opportunity.

Smart leaders are reshaping their businesses to carry on through whatever hard times lie ahead.  They are making changes now so they can emerge in better shape than before, ready for new growth.  They’re pouncing on new opportunities, devising ways to move faster and trying to serve customers in different ways.

  Ram Charan: Leadership in the Era of Economic Uncertainty: Managing in a Downturn

A record number of U.S. companies are beating earnings expectations but a big portion of their profits come from cost-cutting, disappointing investors who are hoping for boosts in revenue.  The worry is that without a meaningful upturn in U.S. sales, cost-cutting can only boost profits so long.

Barring acquisitions, your company will likely be smaller two years from now, according to Ram Charan.  In his new book, Ram Charan: Leadership in the Era of Economic Uncertainty: Managing in a Downturn, the bestselling author identifies the key rules to follow if you want to get the right things done in difficult times.  

As bitter and painful as it may be, survival depends on cutting costs and raising cash. This is the time to narrow your focus and concentrate on your business’ core: the invaluable assets you can’t afford to lose.