Category Archives: Employment

What The NFL Draft Can Teach Us About Our Own Job Searches

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I have a date this Thursday night. It’s not with my fiancée, my family, or even my friends. Nope, I’ve got a date with my television set. Thursday night, it’s all about me, ESPN, and the NFL Draft.

Even if you’re not a football fan, there are plenty of reasons to watch the draft. There’s intrigue, love-triangles, and plenty of last-minute back-room dealing – sounds a lot like a daytime soap opera or the latest episode of Mad Men (at least, that’s how you can pitch it to your wife or girlfriend as you steal the remote).

But the NFL Draft is an opportunity to learn about how the business world works – and there are plenty of take-away lessons from the draft that you can apply to your own job hunt.

Employers Take Time To Do The Research

Before the Indianapolis Colts make their choice on Thursday night – in case you’ve been living under a rock for the last four months, they’ve got the number one pick – they’ll have already put thousands of man hours into evaluating their top choices. Andrew Luck is the star Stanford quarterback, with a pedigree so good the Colts let gazillion-time Pro Bowler and Super Bowl MVP Peyton Manning go. Robert Griffin III, called RG3 for short, is the Michael Vick-like Baylor QB who won the Heisman Trophy last season.

The Colts’ executives have studied Luck and RG3 from every angle – they’ve seen them throw the ball at their pro days, they’ve seen their results on the much-maligned Wonderlic test, they’ve gone over (and over, and over, and over…) all the film from the past several years to see how these players react to game situations.

Any employer worth their salt is going to take the time to evaluate you, too. Sure, their research might not include hours of film or a dumbed-down intelligence test; instead, they’ll call your previous employers to see how you’ve performed in past jobs; they’ll go over your resume with a fine-tooth comb to flesh out any inaccuracies; they’ll probably log on to Facebook and Twitter to see if you’ve said anything mind-numbingly dumb enough to make you a liability instead of an asset to their company.

Before they make you that job offer, they’re going to do their research. And you should too.

You Need To Do YOUR Research

Football fans will remember years ago when Eli Manning – Peyton’s little brother and now a two-time Super Bowl champ in his own right – was the top prospect coming out of college. Eli came from a long line of professional level quarterbacks, and knew a good situation when he saw it. He didn’t see it in San Diego, the team with the top pick in that year’s NFL Draft. Eli had done the research, and knew that his playing style wouldn’t fit in with the Chargers’ system. He knew that San Diego wasn’t an environment that would make him happy. He craved the spotlight and the system already in place in New York City, and fought to get the Giants to make a draft day trade to acquire him after being selected by San Diego.

You need to do your research, too. Learn as much you can about any potential employer during your job hunt. What are their strengths? Weaknesses? Place in the industry? Find out as much as you can about your potential supervisor, too. Figure out If you’ll mesh well, and be able to work together as a fluid team. If you don’t do your due diligence, you may find yourself working for a company or a boss who makes you miserable. And, unlike professional sports, you can’t demand a trade to a sunnier market.

Accolades Matter

Each year, NCAA football players are eligible for 21 individual awards. They range from the Heisman, awarded to the best overall player, to the Butkus award, which goes to the nation’s top linebacker, and every position in between.

This year, of the 15 different players who won those awards (Luck, RG3, and Boston College’s Luke Kuechly each won multiple honors), seven of them are projected first round picks. In other words, accolades matter.

Whether you won Salesman of the Year at your old job, or graduated Summa Cum Laude from your university, these types of awards need to occupy a prime spot on your resume. They are more than just bragging rights – they help potential employers focus in on your skill set while showing where you excel compared to your peers.

Test Scores Don’t Matter

I can’t tell you the number of friends who bemoaned their LSAT, MCAT, or GMAT scores, worrying those numbers alone would keep them from reaching the pinnacles of their fields. Likewise, I know plenty of accountants who refused to celebrate over passing their CPA exam, simply because they didn’t score as high as they’d hoped.

But these days, test scores don’t matter. A growing number of top colleges and universities are shrugging off the SAT and ACT, saying they don’t accurately reflect a student’s resume. In the professional realm, when was the last time you put your GPA, or score on the bar exam, or other professional test score on your resume? Chances are, you didn’t – you simply put whether or not you passed or graduated, leaving your potential boss nonethewiser to the fact that you only passed by the skin of your teeth.

Football is the same way. The Wonderlic test, football’s benchmark of baseline intelligence, is a perfect example. Last year, Auburn’s Cam Newton reportedly scored just a 21 on this exam – less than half that of Alabama QB Greg McElroy scored. Yet, Newton was still taken number one overall by the Carolina Panthers and went on to have a record-setting rookie season as the starter.

First Impressions Count

The bottom line? While there’s a lot that doesn’t count – in your job searches as well as in the NFL Draft – there’s one thing that’s absolutely irreplaceable: a good first impression. Whether on the football field or in a corner office, getting off on the right foot is crucial to landing the job. Qualities like professionalism – things like manners, good taste, charisma – can’t be quantified in two lines on your resume or cover letter. They’re intangibles, like audibles called at the line of scrimmage by a fast-thinking quarterback who sees the defense shifting from zone to man-to-man. And they can make the difference between a job offer and an extended job hunt.

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Why You Shouldn’t Wait Til Next Year To Ask For A Raise

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“Our company isn’t even giving out cost-of-living raises anymore,” my friend Tina lamented over drinks a few weeks ago. “The cost of gas is up; my rent’s going up in June; I’m even spending more at the grocery store. I don’t know where I’m going to get the money.”

Tina had just had her annual review with her supervisors, and, as you’ve probably figured out, it didn’t go well. While Tina had heard some of her co-workers had received modest raises – most of them dubbed “longevity” or “loyalty” raises to thank employees who’d stuck it out with the company during a recession-induced salary freeze – Tiny was bummed she hadn’t received a salary increase as well.

“There’s always next year,” Tina pined, sounded like a Chicago Cubs fan at the end of September.

But really, there isn’t always next year. Here’s why:

What A 3% Raise Is Worth To You Right Now

Say you make an average American salary – that’s around $28,000 according to the U.S. Census Bureau. If you work in a high cost-of-living state, like California or New York, you probably make more than that. If you live in a low cost-of-living state, like Tennessee or Alabama, you likely make less. What does a standard three percent pay raise get you?

$28,000 x 0.03 = $840

An additional $840 a year – which comes out to just over $32 a paycheck (if you get paid every other week), and that’s before taxes – might not seem like much. Depending on where you live, it might not even cover a single month’s rent or pay your yearly car insurance bill. When you do the math, you might find yourself thinking like Tina: wondering why she should even bother to ask for a raise.

What A 3% Raise Is Worth To Your Future Earnings

In Tina’s estimation, it’s ok if she doesn’t get a salary increase this year; she assumes she’ll just have more fodder when she ultimately asks for a raise 12 months down the road. She’s overlooking a critical fact.

Say next year, she does get that three percent pay raise. The year after that, she get a promotion which nets her a ten percent salary increase. After that, she receives a standard cost-of-living raise for four straight years before getting a loyalty raise of five percent the fifth year. Let’s do the math:

Her original salary was $28,000

  • Year one: she didn’t not ask for a raise, so her salary remained $28,000
  • Year two: she gets a ten percent raise, bringing her annual earnings to $30,800
  • Years three thru six: she gets a three percent raise every year, ultimately giving her an annual salary of $34,666 by year six
  • Year seven: she gets that five percent loyalty raise, bringing her salary up to $36,399

Now, let’s pretend that she not only asked for but got that three percent raise this year. How does that change things down the road?

  • Year one: instead of earning just $28,000 for a second straight year, she instead receives $28,840
  • Year two: thanks to the ten percent promotion raise, she is now earning $31,724 – almost $1,000 more than she’d be earning if she hadn’t received the year one raise
  • Years three thru six: with her annual three percent salary increase, she’s earning $35,706 by year six
  • Year seven: factor in her five percent loyalty raise, and her income is now $37,491

The net difference between a raise this year and waiting until next? During our seven-year example period, Tina would bring home an additional $6,838 simply by fighting for that small raise this year. Under this scenario, her annual salary will be $1,092 higher seven years from now; the gap between what she is earning and what she could have been earning will only continue to grow over the course of her career.

What A 3% Raise Is Worth To Your Portfolio

Seven years from now, let’s pretend Tina took the additional $6,838 she’d earned – just because she didn’t wait until next year to ask for a raise – and put it into an IRA. Let’s give the market the benefit of the doubt and assume she’d see an eight percent return on her investment. At that point she’ll be 32, so let’s look ahead another 28 years – after she’s reached that golden age of 59 ½ and can withdraw from that IRA without penalty – to see how much the $6,838 is worth now:

$58,992

It seems crazy to think that simply by fighting for a measly $840 right now, Tina can add more than $58,000 to her investment portfolio.

And, as astounding as that figure is, it doesn’t even take into effect a 401(k) match from her employer (which would grow right along with her salary) or any additional investments made based on her earnings past the initial seven years. Say she continued to invest an extra $1,000 – which she earned simply because of asking for a raise in year one – every year from age 32 to 60, along with the initial investment of $6,838. How much would her account be worth then?

$161,598

Sure, Tina could wait until next year’s annual review to fight for a pay raise. But she shouldn’t. She can’t afford to.

And neither can you.

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Salary vs Commission: Which Do You Prefer?

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Everyone’s job situation is different. Some people are paid hourly, others a flat rate for the year, and others on commission.

There are advantages and disadvantages to each payment system, and it definitely takes some getting used to when changing from one system to another.

Here are the pros and cons for the 3 most popular compensation structures:

Hourly

Pros: It’s very easy to see that the more you work, the more you earn. If you are a hard worker, you have the potential to earn even more money for working overtime, which is often at a rate of 1.5 times the usual rate.

Cons: There is very little stability. Also, if you are sick or need a vacation day, you may feel guilty and go to work when you shouldn’t.

Salary

Pros: There is more stability here and it’s easy to know exactly how much you’ll make every pay period. You are likely entitled to benefits, which can help you take off work without having to worry about making less money.

Cons: There is not much ability to increase earnings since performance reviews are often once a year. Also, you may have to work more than 40 hours a week without being compensated for it.

Commission

Pros: The better you are at your job, the more you will get paid. There is no limit to how much you can earn.

Cons: You can never be sure how much money you will make in a given month, which makes planning difficult. Sometimes, factors outside of your control will determine if you have a good or bad month.

Throughout high school, I worked summer jobs, all of which paid me hourly. The more I worked, the more I got paid. So when I wanted to leave my job picking fruits and vegetables on a local farm at noon, it meant that I wouldn’t be making money during the afternoon.

After college, my first job was a set salary for the year. There was definitely a sense of security which I apprecited.

Now, my compensation consists of a base salary in addition to commission based on a percentage of sales. There’s no limit to how much I can make, which I like. I am able to motivate myself because I know that the harder I work, the better I will do, and the more I will earn.

Readers, what payment structure do you have? Do you like it? Which is your favorite?

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Are Company Sponsored Trips The Best Perk Ever?

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I’ve written about perks in relation to work before, but I may have a new perk that could top half-day Fridays. Now, I’m not taking leaving at 1pm every Friday of the year for granted, but sometimes you have to look at which perk is truly more special.

Last month, I went on a company sponsored ski trip. We left at 9:30am, skied for about 6 hours, and returned at 7:30pm. It was a pretty fantastic way to spend a day, and getting out of the office is always great. Plus it was a workout!

The reasoning behind the trip was to build a team atmosphere and I will say that it worked. I was able to talk to people about non-work related topics, and being in a more relaxed environment helps build trust. Just sitting on a ski lift for a few minutes helps you get to know someone better than 6 months in an office. I thought it would be 100% fun and a silly business expense, but after the trip, I must say that the benefits will likely transfer over to the workplace.

This month’s trip beat last month’s. We went to a steakhouse, had a fantastic lunch, and then went to a shooting range. Yes, a shooting range. You can’t get farther away from a typical work environment that that. And you get to know the people not just in your office, but in other departments, and it helps work with them later because there’s a relationship already and it’s no longer just a business conversation with a stranger.

Skiing was great and shooting a gun was an entirely different experience, but is a once a month trip better than half-day Fridays for a whole year? Maybe. I love half day Fridays. But these trips have been a breath of fresh air. Plus, who knows where we’re going next month?

Readers, which perk do you think is better? Half day Fridays or company sponsored trips?

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