Marissa Mayer's brief maternity leave: Progress or workaholism?

Could the Yahoo CEO be setting unrealistic expectations for young women hoping to follow in her footsteps?

This article was originally published by Fortune.com on Tuesday, Oct. 2, 2012.

By Katherine Reynolds Lewis, contributor

FORTUNE -- Yahoo CEO Marissa Mayer will likely have the most scrutinized maternity leave and new motherhood in modern corporate history, which began on Sunday night with the birth of a healthy baby boy.

Mayer courted controversy by deciding to take just a week or two of leave and work from home throughout that time.

On one hand, it's a remarkable sign of gender progress that a new mother is now at the helm of a major corporation -- not to mention reassuring to Yahoo (YHOO) shareholders that the CEO's top priority is turning around the struggling Internet giant.

On the other hand, her decision seems emblematic of a workaholic culture that leaves too little time for family or even personal health, preventing either men or women from "having it all."

Could Mayer be setting unrealistic expectations for young women hoping to follow in her footsteps?

Maybe she's an outlier -- or making a mistake -- and shouldn't be held up as an example that mere mortals should emulate.

"She conveys the image of someone who's perfectly capable of combining her personal life and her public responsibilities without one derailing the other. That's a message we should applaud," says Kathleen Gerson, professor at New York University and author of The Unfinished Revolution: Coming of Age in a New Era of Gender, Work and Family. "It also suggests that somehow it's illegitimate for women -- and by implication for men as well -- to take some time off at critical moments in their own lives and the lives of their children. To that extent, it's a backward-looking message."

It's difficult to judge whether Mayer's abbreviated maternity leave plan will make it harder or easier for the millions of executive women who will follow her, certainly at this early stage. But there are three indisputable lessons that can be drawn from her situation.

Read the full article at Fortune.com.

Back to Work

This article was originally published by Bloomberg Businessweek on Thursday, May 31, 2012.

By Katherine Reynolds Lewis

Unemployment is a closely watched statistic, and for 12.5 million Americans, a humbling reality. The percentage of people out of work peaked at 10 percent in October 2009, and while the rate hovers stubbornly at 8.2 percent, at least some of the long-term unemployed are beginning to find permanent jobs.

This spring, Bloomberg Businessweek assigned photographers to follow several people as they returned to the workplace after absences ranging from seven months to three and a half years. Each story is unique, yet there are common themes: feelings of uselessness, the disturbing ease with which one’s professional identity slips away, the humiliation of asking family or friends for a loan, and, finally, the rewards of adaptability and persistence.

Read the full article in Bloomberg Businessweek.

What's hiding behind the buzzwords in job ads?

You've heard the job ad jargon so often, your eyes glaze over: detail-oriented, fast-paced work environment, team player. But these well-worn phrases can expose the dirty little secrets of your potential future employer.

This article was originally published by Fortune.com on Tuesday, Feb. 28, 2012.

By Katherine Reynolds Lewis, contributor

FORTUNE -- Read enough help-wanted advertisements, and you'll soon realize that they all basically sound the same. Jargon like "detail-oriented" and "self-starter" is so overused that the positions advertised begin to sound unremarkable: part of the expected landscape of hunting for a job.
But if you stop and think about what all of these buzzwords are signaling, you'll realize how much information you just might miss if you fail to read between the lines. First of all, when employers fall back on the same old jargon to advertise positions, it could very well be that they actually have no idea what they are looking for. They just know they have a spot to fill.
"Jargon is our way to grow lazier decision making in corporate cultures," says Kevin Fleming, owner of Grey Matters, a neuroscience-based executive development and coaching firm based in Jackson Hole and Tulsa. "We use these words to cover up something. It could also be a way to hide some ambivalence."

What can you buy for $300,000? Vacation homes to escape from the Beltway

This article was originally published by the Washington Post on Wednesday, February 22, 2012.

By Katherine Reynolds Lewis

Interest rates are still at historic lows. Real estate prices remain depressed in many areas. As you look forward to summer, you may be wondering whether this would be an opportune time to get a bargain on a vacation property that you could enjoy with your family while earning some rental income.

To answer that question, we looked at popular vacation destinations within a reasonable drive of Washington, D.C., to see what kind of escape from the Beltway you could purchase for $300,000. In some areas, sellers are stubbornly hoping that the market will rebound enough to reap the high prices they’ve set for their beach and mountain homes. In others, lower rental volumes and the tough economy have left property owners with limited resources for fixing up properties enough to make them irresistible to prospective buyers.

Why Some Business Owners Think Now Is the Time to Sell

This article was originally published by the New York Times on Wed., Dec. 21, 2011.

By Katherine Reynolds Lewis

Looking back, Cyndi Finkle wishes she had sold her craft services company, Sunday Night Dinner, early in 2008 when the economy was booming. With a track record of 30 to 50 percent annual growth for each of the previous five years, it could have been a compelling transaction.

At the time, however, she was not emotionally ready to part with a business she had started in 1997 and built into one of the largest suppliers of services to television crews and casts in Los Angeles. When her husband suggested selling, “I burst into tears and looked at him as if he were telling me to cut off my arm,” Ms. Finkle said. “Then everything changed, and I realized he was right.”

But the recession hit, and Ms. Finkle’s annual revenue dropped sharply along with declining television advertising and production budgets — making it impossible for her to sell. “I’ve had to work really hard the last three years to save my company and get it back, a lot of times working for free,” she said. “It was no longer about building it, it was about keeping it going until things got better.”

When working from home just doesn't work

There's no denying that working remotely provides tremendous benefits, but more organizations are finding that virtual collaboration also comes with significant limitations.

This article was originally published by Fortune.com on Monday, Dec. 19, 2011.

By Katherine Reynolds Lewis, contributor

FORTUNE – Once a year, leaders of Community Options come together from its 35 locations for a retreat. The nonprofit organization runs a variety of entrepreneurial ventures that create job opportunities and provide housing for people with disabilities.

At the most recent summit, the chief financial officer was bemoaning the wasted flowers at the organization's New Brunswick, N.J. floral store, due to the inevitable difficulty in managing inventory to meet customer orders.

Listening in, a graphic designer from Community Options' Daily Plan It, which rents shared office space and provides support services such as document shredding, thought they could use the dead, unsold flowers to create potpourri. As a result, Community Options is now launching a line of potpourri, which will be packaged and sold by people with disabilities.

"It's all because a group of people got together and came up with this idea," says Robert Stack, founder and chief executive of Princeton, N.J.-based Community Options. "People play off each other."

How to groom Gen Y to take the company reins

Start talking about younger workers, and pretty soon the word "entitled" comes up. But several companies have started programs to help the younger set learn the corporate ropes.

This article was originally published by Fortune.com on Thursday, Dec. 1, 2011.

By Katherine Reynolds Lewis, contributor

FORTUNE -- If you want to liven up a group of senior managers, raise the topic of the youngest employees in the workforce. Suddenly, the conversation turns animated, with strong opinions on everything from their flip-flops to their conversational style. "They are always multitasking," managers complain. "And why do they need so much feedback? Can't they just figure it out?"

Sooner or later, the word "entitled" is bound to come up, as executives compare the way they behaved as new workers with the attitudes of the Millennial Generation, those employees born between 1978 and 2000, says Lauren Stiller Rikleen, an inter-generational consultant and author of a new report on Millennial leadership for the Boston College Center for Work and Family.

How flexible work actually works

Imagine unlimited paid vacation and sick leave, with no mandated office hours. Chaos, right? Not according to a handful of award-winning employers profiled in a new report on effective workplaces.

This article was originally published by Fortune.com on Wednesday, Nov. 9, 2011.

By Katherine Reynolds Lewis, contributor

FORTUNE -- At MeetingMatrix International, a communications firm based in Portsmouth, N.H., employees have no defined work schedules, unlimited paid time off, and meetings are optional. How do they ever get any work done? That's actually the only thing that matters: results.

MeetingMatrix executives point to longer customer support hours, increased sales during a down economy, and 100% retention as evidence that their focus on the end results -- and not hours in the office -- works.

"When you start treating people like adults, they start acting like it," says the company's CEO Jmichaele Keller, who in 2008 shelved his company's employee monitoring systems in favor of a more flexible approach. Under the new regime, "people have a lot of ability to shape what is going on in their world and not a lot of micromanaging.... There really is no direct tie in an office environment between the amount of time spent and the productivity of that individual."

D.C. area housing market feels the pinch from lower jumbo mortgage limits

This article was first published on Saturday, November 5, by the Washington Post.

By Katherine Reynolds Lewis

Srinivasan Soundararajan and Jennifer Nordin have been thinking about selling their Potomac townhouse and moving into a detached house for some time. With two small children, 1 and 3 years old, they are beginning to outgrow their three-bedroom house.

This past summer, the couple stayed out of the market because of Congress’s gridlock over the U.S. debt ceiling; they feared that a spike in interest rates could disrupt a pending house purchase. Once lawmakers agreed to raise the ceiling, they started looking at houses again.

Now that they’re close to making an offer on a property, a change in federal housing policy has hampered their plans.

On Oct. 1, Fannie Mae and Freddie Mac lowered the maximum size of so-called jumbo mortgages that they would back to $625,500. Before Oct. 1, Washington-area mortgages as big as $729,750 could be purchased by Fannie and Freddie and repackaged to sell to bond investors, or guaranteed by the Federal Housing Administration. The change was the result of a law Congress passed in 2008 to stimulate the housing market in the depths of the crisis.

As a result, the upper end of the Washington real estate market is feeling the pain as buyers have fewer options to finance the purchase of a house. And sellers, like Soundararajan and Nordin, feel the change constrains the pool of potential buyers for their townhouse, which they expect to list at $725,000.

“It would definitely affect the ability of someone to buy our house,” said Soundararajan, a 43-year-old attorney, noting that his sale price equals the new cap plus a down payment of $100,000. “That’s not a first-time buyer. We’re going to lose that market.”

A software company takes a page from Toyota's playbook

Using a combination of Toyota-inspired lean manufacturing principles and an open office atmosphere, Menlo Innovations' work environment is attracting attention.

This article was originally published by Fortune.com on Thursday, Oct. 6, 2011.

By Katherine Reynolds Lewis, contributor

FORTUNE – At most white-collar job offices around the country, workers scurry from cubicle to cubicle, speaking in hushed tones. Take a step into software firm Menlo Innovation's offices in Ann Arbor, Mich., and it's clear that this firm is more cotton mill factory floor than monastery.

Instead of rows of cubicles, visitors enter an open space that calls to mind an artist's loft or an industrial warehouse that is filled with the sound of a dozen overlapping conversations.

"A lot of people don't believe software development can be done in anything but library quiet," says CEO Rich Sheridan, during a tour of his company's space. "I have 12 years of experience that says differently."

Sheridan and his co-founders built Menlo's work culture with a great deal of intention, and with the modest aim "to end human suffering in the world as it relates to technology." The free-form floor plan was inspired by Thomas Edison's Menlo Park, N.J., laboratory, which had an open and collaborative workspace that in turn drew inspiration from the machine shops of the day.

Invest like a girl

This article was originally published by USA Today in the fall 2011 issue of Men's Health Magazine.

By Katherine Reynolds Lewis

Given how the world of high finances is dominated by men, you'd be forgiven for thinking that they make better investors than women. But the fact is piles of research show that it's men's better halves who produce better returns.

Female hedge fund managers achieve higher returns than their male counterparts, according to industry tracker Hedge Fund Research. During the 2008 financial collapse, men were more likely to abandon equities, missing out on the stock market's rally since then, according to Vanguard. And University of California researchers studying 35,000 households over six years found that men traded 45 percent more frequently than women, reducing their net returns.

So it might be time to buck up and figure out what women are doing right. Read the full article.

Protect your home (and finances) from disaster

This article was originally published in the August 2011 issue of Money Magazine.

By Katherine Reynolds Lewis

(MONEY Magazine) -- The season for natural disasters, it seems, is now year-round. Floods and a record number of tornadoes have already caused billions of dollars of property damage across the nation in 2011. Come fall, forecasters expect an unusually active hurricane season. Moreover, experts believe crazy weather is here to stay.

"Climate change is intensifying the extremes of rain and snow as well as drought," says Robert Henson of the University Corporation for Atmospheric Research.

Think homeowners insurance will cover your tab if your property is walloped by Mother Nature? Think again.

A 2008 study found almost two-thirds of homes were under-insured for disasters. Worse, about a third of homeowners have recently lowered their home or auto coverage to save money, according to a 2011 survey by the Insurance Information Institute. Finally, even if your insurance is adequate it may not have the right coverage for the risks you face. Below, key steps to limit the damage.

Shore up your property

For earthquakes. The roof is a key vulnerability. You'll spend 2% to 3% of your home's value to firmly strap down the roof to the walls and foundation, says Timothy Reinhold, senior vice president of research for the Institute for Business and Home Safety.

For tornadoes. Again, your roof is at greatest risk of being damaged by high winds, says Robert Schneller, a risk-management expert at the University of Houston. Spend $50 to $100 per hour to have a roofer secure loose shingles or flashing that a gust of wind could pull loose. Also install roof clips to better attach your roof to the walls ($1 per clip, plus labor).

The garage door is another weak spot. An impact-rated pressurized door will run you $1,300, but you can also retrofit your existing door with pressurized equipment, which will cost just $450 and provide reasonable protection, says Reinhold.
Worried about your finances? Send the Help Desk your questions.

The changing face of the American working dad

More American fathers are assuming an increasingly active role in raising their children, but many employers haven't adequately responded to their changing needs.

This article was originally published by Fortune.com on Friday, June 17, 2011.

By Katherine Reynolds Lewis, contributor, Fortune

Who's going to pick the kids up from soccer practice? Or how about when junior is feeling sick and needs to be collected from the nurse's office? While the answer to these questions would have been obvious years ago, it certainly isn't today. But have employers actually kept up with this shift?

Take the flexible work policies that many employers have developed over the last few decades, as the flood of women entering the workforce demanded a departure from the standard 9-to-5 schedule, in order to handle children's emergencies. It turns out that men are five times as likely to work flexibly on an informal basis, rather than adopting a manager-approved flexible work plan, according to a new study of fathers and work by Boston College's Center for Work and Family.

What if you had to buy American?

This article was originally published by MSN Money on Thursday, May 12, 2011.

It might be supremely patriotic to stop purchasing imports, but the consequences for US consumers and the economy would be devastating.

By Katherine Reynolds Lewis

Legions of patriotic Americans look for "made in USA" stickers before buying products, out of a desire to support the country's economy.

But what if we all were restricted to purchasing only those goods that were made in America?

Our homes would be stripped virtually bare of telephones, televisions, toasters and other electronics, and many of our favorite foods and toys would be gone, too. Say goodbye to your coffee or tea, and forget about slicing bananas into your breakfast cereal -- all three would become prohibitively expensive if we relied on only Hawaii to grow tropical crops.

We'd have to trash our beloved Apple products because the iPod, iPad and MacBook aren't made in the U.S. Gasoline would double or triple in price, given that we now import more than 60% of our oil. And you couldn't propose to your true love with a diamond ring: There are no working diamond mines in the U.S.

Moreover, a complete end to imports would actually hurt the U.S. economy, because consumers and domestic companies would lose access to cheap goods. Trade protections, whether through tariffs or quotas, cost the economy roughly $2 for every $1 in additional profit for domestic producers, said Mark Perry, an economics professor at the University of Michigan-Flint and a visiting scholar at the American Enterprise Institute, a conservative think tank.

"If we restricted trade to just the 50 states, what would happen immediately -- and would increase over time -- would be a huge reduction in our standard of living, because we wouldn't have access to the cheap goods we get from other countries," Perry said. "We also wouldn't have any export markets, so companies like Caterpillar and Microsoft would have a huge reduction in sales and workforce." (Microsoft is the publisher of MSN Money.)

Stripper ‘Consultant’ Strikes Back against Boss

This article was originally published by the Fiscal Times on Thursday, March 31, 2011.

By Katherine Reynolds Lewis

When Ramona Cruz worked as a stripper at three different clubs in Massachusetts, her bosses dictated everything, from her skimpy attire, hair and makeup to the long hours she performed on stage and when she could participate in more lucrative private dances with customers.

Because she was eager for a job, Cruz agreed to work for no wages or benefits, just tips from her customers. Moreover, she had to share part of her tips with the club's other workers. Last fall, Cruz was stunned to learn from a friend that by law she should have been treated as an employee entitled to a minimum wage, overtime and other protections.

Instead, the club owners had gotten around federal and state labor laws for over a decade by classifying her and other exotic dancers as “independent contractors” who were entitled to none of those benefits. Last September, Cruz, 35, the mother of an eight-year-old girl, sued to recover the lost wages, tips and fees she was required to pay to work in the clubs, in three pending class-action suits challenging the classification of strippers as independent contractors.

"You don't feel like an independent contractor because you have to follow all their rules," Cruz, who now works as a home health aide in Boston, told The Fiscal Times. "We had to be there or we got late fees. Whatever they said went."

Unpaid jobs: The new normal?

While businesses are generally wary of the risks of using unpaid labor, companies that have used free workers say it can pay off when done right.

This article was originally published by Fortune.com on Friday, March 25, 2011.

By Katherine Reynolds Lewis

With nearly 14 million unemployed workers in America, many have gotten so desperate that they're willing to work for free. While some businesses are wary of the legal risks and supervision such an arrangement might require, companies that have used free workers say it can pay off when done right.

"People who work for free are far hungrier than anybody who has a salary, so they're going to outperform, they're going to try to please, they're going to be creative," says Kelly Fallis, chief executive of Remote Stylist, a Toronto and New York-based startup that provides Web-based interior design services. "From a cost savings perspective, to get something off the ground, it's huge. Especially if you're a small business."

In the last three years, Fallis has used about 50 unpaid interns for duties in marketing, editorial, advertising, sales, account management and public relations. She's convinced it's the wave of the future in human resources. "Ten years from now, this is going to be the norm," she says.

Administration Split Over Fannie Freddie Strategy

This article was originally published by the Fiscal Times on Thursday, Jan. 20, 2011.

With a Jan. 31 deadline looming for making recommendations, the Obama administration is badly divided over how to reform Fannie Mae and Freddie Mac, the financially strapped and controversial mortgage giants.

By Katherine Reynolds Lewis

The Obama administration is sorely divided over how to reform Fannie Mae and Freddie Mac, the controversial mortgage giants. Sources familiar with the discussions raise the possibility that the White House will miss its statutory deadline for submitting recommendations to Congress.

The dispute pits White House economic advisers, who favor merely offering lawmakers a menu of possible next steps without committing to a specific direction, against officials at the Treasury and Department of Housing and Urban Development, who want to endorse an explicit federal guarantee for the mortgage companies and throw the administration's support behind it, the sources said.

The controversy is as much over strategy as substance. White House advisers aren’t certain whether going out on a limb with a specific plan will drive reforms of the federal housing finance program in a constructive way, or present an easy target for opponents. Administration officials who object to offering an explicit guarantee so early in the process say it would make it harder to negotiate a compromise. Instead, they argue, the administration would be better off laying out a range of options, to give them maximum flexibility in talks with Democratic and Republican lawmakers and industry officials.

The government currently supports 97 percent of the mortgage market, and the two entities own or guarantee nearly three quarters of that amount, or $6 trillion in debt, which policy experts and stakeholders agree can’t be indefinitely sustained.

Making the Decision to Replace Yourself

This article was originally published by the New York Times on Thursday, Dec. 23, 2010.

In early 2008, Matt Dorey, founder and chief executive of Curve Dental, was at a loss. Three years into building a comprehensive Web-based software package for dentists, he felt the product was ready, but he was not sure how to make Curve a market leader. “The company was getting complicated,” Mr. Dorey said. “I was starting to become conscious of what I didn’t know. It was almost a feeling of loneliness.”

Then he learned of a chief executive, Jim Pack, who was looking for new opportunities after a private equity firm bought his medical-billing software company, AdvancedMD. Mr. Dorey reached out with a LinkedIn invitation. “This was someone I had been following for four years,” he recalled. “He was really open about sharing knowledge and letting us know about the challenges we face. I immediately knew there was nobody better to be the C.E.O. of this company.”

Mr. Dorey enlisted his board and top executives in a monthslong campaign to woo Mr. Pack, who ultimately agreed. Since Mr. Pack took over as chief executive in January 2009, Curve Dental has more than doubled its staff and has introduced its software to the American market, gaining share in more than 40 states and increasing its customer base fivefold. Picking the right replacement, Mr. Dorey said, “was the most important decision I’ve ever made at Curve and probably will ever make.”

Turning over your company to a successor is not to be taken lightly. And in many cases, sticking it out might be the better option, especially if you can delegate those parts of your job that have become unmanageable. But in some instances replacing yourself at the helm makes sense. Based on the experiences of small-business owners, this guide offers suggestions on how to make that decision and accomplish the transition as painlessly as possible.

HOW DO YOU KNOW? Ironically, the qualities that help you succeed as an entrepreneur — relentless optimism, willingness to tackle any challenge, a stubborn belief in yourself and your business — also make it hard to assess your own weaknesses dispassionately. But one individual rarely possesses all the varied skills and experiences needed to take a company from idea to product introduction to sales growth to institutionalizing operations. When you hit your limit, you and your company may benefit from a leader with a fresh set of eyes and a different skill set.

Rough Unemployment Road for Men Could Be Ending

This article was originally published by the Fiscal Times on Thursday, Dec. 23, 2010.

While women fared much better than men throughout the recession, the gap in the unemployment rates between men and women is beginning to narrow as more and more men are going back to work.

By Katherine Reynolds Lewis

Nearly two years after being laid off from his information technology sales job, Alan Yellowitz of Fairfax, Va. finally landed a job. He's making less than half of the $200,000 to $300,000 a year he once earned, but it's enough to keep the lights on, pay the mortgage and feed his family of four. "After 22 months of unemployment, we feel like we can breathe again," said the 47-year-old Yellowitz. "It's still somewhat rough. We’re still digging out of a hole. But getting a regular paycheck every two weeks feels amazing."

Yellowitz was a casualty of what some call the “mancession", more than two years of rampant unemployment that disproportionately hurt men more than women. Men did so poorly because far more of them worked in industries hit hard by the economic downturn – particularly manufacturing, construction and financial services. Women, by contrast, are disproportionately represented in sectors that are more resistant to economic cycles, such as health care and education.

With the recession officially over and the job market slowly improving, long-time unemployed workers like Yellowitz are beginning to find work. While the unemployment rate for men dropped by nearly a full percentage point to 10.6 percent in November from its 11.4 percent high last October, the female unemployment rate is holding steady near its 8.8 percent high of October 2009. Even though the uptick in employment for men is still relatively small the data suggest that the jobs now opening up are going to men more than to women.

"Men's unemployment rose faster and further than women's, but it has since recovered somewhat. In contrast, women's unemployment, while having peaked lower, hasn't actually come down," Betsey Stevenson, the chief economist at the Department of Labor, said in an interview with The Fiscal Times. "It does seem like the recovery has been more beneficial to men at this point. Some of this has to do with where the cuts [were] the deepest and where we [have] been able to add some jobs back."

One important question yet to be answered is whether males are merely bouncing back from the extreme job losses suffered during the Great Recession, or whether we are seeing the long-predicted turning point in the labor market in favor of women. Women hold an edge in the job market in part because they hold the majority of advanced degrees, and some experts believe that employers will hire and promote women to higher levels as a result. Thus far, the average woman still earns less than a comparable man, even when adjusted for hours worked and time out of the labor force.

Virginia farm supplies D.C. eateries despite animal-care violations

This article was originally published by TBD.com on Thursday, Nov. 18, 2010.

By Katherine Reynolds Lewis

Mie N Yu, Potenza, Zola -- they're all among a movement in Washington culinary circles toward locally grown, all-natural ingredients.

Another thing they have in common: dealings with Black Eagle Farm, a producer in rural Virginia that was found to have violated animal-care statutes and that lost its organic and humane certifications. Last December, a Virginia state veterinary inspector found that many of the animals at the Nelson County farm were emaciated and in need of veterinary care; the farm's working dogs ate raw meat rather than appropriate food; and one hen house contained eight chicken carcasses.

"The place was completely filthy," said Karen Davis, president of United Poultry Concerns, a Machipongo, Va.-based animal rights group that reviewed state records and photographs of the farm. "The company just stopped feeding the birds."

The state investigation was sparked by "numerous complaints" about maltreated dogs, livestock, and poultry on the farm, which is about 45 miles southwest of Charlottesville. A dead goat was tied to a fence, according to the records, and six dogs were allegedly being locked in a trailer full of feces for four days without water, and at least one was dying. The allegations and findings are spelled out in state records obtained through a Freedom of Information Act request by Gina Schaecher, general counsel for the Appalachian Great Pyrenees Rescue, based in Richmond, Va., which tried to rescue dogs on the farm.