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.

When your spouse is also your coworker

Sometimes you're married to work; other times you are married at work. The ups and downs of working at the same office as -- or alongside -- your spouse.

This article was originally published by Fortune.com on Thursday, June 9, 2011.

By Katherine Reynolds Lewis, contributor, Fortune

When Tom Corwin is done with his workday, he knocks on the wall. That signals his wife Carol -- who works in the neighboring office at the U.S. Education Department's budget office -- that he's ready to go home.

"We've been married 27 years now, and we've been working together longer than that. I can't imagine not working with her," says Corwin, 59, who met his wife on the job. "We always know what one another is going through professionally."

The couple enjoys talking out work challenges during their commute home, and often will brainstorm a solution to an assignment that seemed pointless at first blush. They contribute to each other's careers, and probably end up giving more time and energy to their employer than they would otherwise, he says.

With June kicking off the start of wedding season, newlyweds who work in the same office will embark on a delicate balancing act between their relationship at work and at home. Long-time married couples sharing an employer say it helps to have separate roles, respect your spouse's contributions at home and work, shift into professional mode when needed and zealously guard your personal time.

The ‘Warren Report’ - GOP Attacks Consumer Agency

This article was originally published by the Fiscal Times on Thursday, May 19, 2011.

By Katherine Reynolds Lewis

Even before it formally opens its doors this summer, the new federal agency created to protect consumers from unscrupulous financial industry practices is coming under withering attack by Wall Street and Republican lawmakers. And despite a months-long charm offensive by Elizabeth Warren, the former Harvard professor and chief architect of the new agency, Warren has been unable to win over many of her critics on Wall Street and within the GOP.

Bills pending in the House would curb the power of the Consumer Financial Protection Bureau, while 44 Republican senators have promised to block confirmation of a director for the new agency unless those restrictive measures are approved.

With Democrats in control of the White House and the Senate, but not of the House, the legislation is unlikely to become law. But between the Senate GOP ultimatum and financial industry criticism of Warren, few believe she could be confirmed if President Obama nominates her as the director.

As a result, Obama may have little choice but to name Warren as director during a congressional recess in order for the agency to have someone at the helm when it begins to wield regulatory power this summer. Warren currently is overseeing the creation of the consumer protection bureau as a special assistant to the president. If she is made director through a recess appointment that would all but assure a politically bumpy future for the agency.

The Senate GOP pledge "creates a climate that is ugly. That is an in-your-face kind of attack that I haven't seen in 20 years in Washington," said Ed Mierzwinski, director of the consumer program at the advocacy organization U.S. PIRG. "Elizabeth Warren wants to come in and make that marketplace fair. Wall Street would prefer to decide on their own how to make money."

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.)

Saying no to the boss

It's all too easy for companies to fall into a yes-man culture, but managers that encourage loyal opposition are best suited to avoid corporate disaster.

This article was originally published by Fortune.com on Wednesday, May 11, 2011.

By Katherine Reynolds Lewis, contributor

Imagine going to your boss with news of a delayed project or cost overrun, and hearing"thank you" in response.

That's the rule at Menlo Innovations, a software company based in Ann Arbor, Mich., which trains project managers to smile and thank employees even when they're bearing bad news.

"My job is to say, 'Thank you for letting me know,' not 'I need you to work an extra 10 hours tonight,'" says Lisa Ho, 26, a Menlo project manager. "Sometimes it's hard to do because we have this deadline we're trying to meet. But I respect them for telling me and as long as we're very transparent… I can call the client."

In corporate America, many employees are afraid to report bad news because they're essentially saying no to the boss -- telling her that a business goal hasn't been met. But companies that foster a fear-free culture enjoy better decision-making, more ethical behavior and the ability to truly harness the collective brainpower of the workforce, according to Menlo CEO Rich Sheridan and other business leaders.

Encouraging employees to say no to the boss ensures that smart new ideas bubble to the top levels of an organization, Sheridan says. He sets such a high priority on healthy dissent that he's baked it into the corporate culture through training, procedures, regular communications to employees and a willingness to take risks based on staff suggestions.

National Debt: Budget Turmoil Slams Treasuries

This article was originally published by the Fiscal Times on Tuesday, May 3, 2011.

By Katherine Reynolds Lewis

Until recently, countries like Canada, Australia, and Norway could expect little more than scraps off the table after global investors parked most of their cash in U.S. Treasurys — long considered the gold standard for government securities. Throughout much of the past decade, more than two-thirds of the world’s cash reserves were held in dollars.

But all of that is changing as Wall Street, sovereign wealth funds, and other global financial concerns are looking askance at Washington’s long-term deficit problems and tumultuous political wrangling over the debt ceiling – and are scouting out more stable investments. The signs of this souring on U.S. debt are everywhere:

-- Major investors from PIMCO's Bill Gross to the central bank of China have pulled back on purchasing Treasury securities or have outright sold their Treasury bonds. Nine months ago, U.S. Treasuries accounted for half of the assets of Gross’s flagship Pimco Total Return, but that has shrunk to 30 percent now — the lowest ever in the fund’s 23-year history.

-- Individual investors have begun fleeing Treasurys as well. In March, the three worst-performing investment categories were U.S. short, medium and long-term debt, which lost $1.1 billion, according to Kevin McDevitt, analyst for Morningstar, which tracks mutual funds. Over the last 12 months, intermediate government bond funds lost 5.7 percent of their assets and long-term funds lost 14.5 percent.

-- And some sovereign wealth funds have shifted their focus from Treasurys to government debt in countries as diverse and disparate as Brazil, Malaysia, Canada, Australia, and the Scandinavian region — which while tiny markets compared with the United States have the advantage of appearing more stable.

Bernanke faces press, makes history

This article was originally published by Bankrate.com on Wednesday, April 27, 2011.

By Katherine Reynolds Lewis

Federal Reserve Board Chairman Ben Bernanke made history by facing nearly five dozen reporters in an hour-long press conference, the first ever for the U.S. central bank.

With his usual unruffled delivery, Bernanke answered a dozen and a half questions ranging from the effects of long-term unemployment, the value of the dollar and gas prices to his personal feelings about staring down the media corps.

Bernanke reassured the press, and the public watching via Web cast, that the Fed is closely monitoring all indicators to balance economic growth against the threat of inflation.

"It's very hard to blame the American public for being impatient," he said. "The combination of high unemployment, high gas prices and high foreclosure rates is a terrible combination. ... I am very confident that in the long run, the U.S. will return to being the most productive, fastest-growing and most dynamic economy in the world."http://www.bankrate.com/financing/federal-reserve/bernanke-faces-press-makes-history/

The Fed is watching carefully to see the current "moderate recovery" continue and strengthen, with particular hope that the labor market will improve further. For now, the major concern is to establish a sustained recovery, with inflation being of little immediate threat, he said. The central bank has a dual mission to support employment and keep inflation under control.

Flexible jobs = happy worker bees?

While it's no magic bullet and comes with sacrifices from both sides, more offices across the country are offering flexible working arrangements to increase retention, productivity and morale.

This article was originally published by Fortune.com on Wednesday, April 20, 2011.

By Katherine Reynolds Lewis, contributor

When John Parry, CEO at Solix, Inc., arrives at work at around 7 a.m., the office parking lot already has some 80 cars, a testament to his employees' desire to beat rush hour by shifting their work hours earlier than the typical 9-to-5.

But none of those workers had to apply for a flexible work arrangement or win supervisory approval for a schedule change.

"We don't really care when people come in," explains Parry. "We trust Solix staff with million-dollar funding decisions, so we should trust them to work flexibly."

The Parsippany, N.J.-based process outsourcer is among a growing wave of employers that have discovered how workplaces that accommodate employees' desires for flexibility enjoy superior business results, higher productivity and greater retention.

"You see company after company that says, 'We created a more flexible workplace because the turnover level was really high,'" says Ellen Galinsky, president of the Families and Work Institute, a research and advocacy nonprofit that recently released a report on flexible workplaces in partnership with the Society for Human Resource Management.

Flexibility is almost mandatory in a 24-7 global economy, when people may be called on to work evenings in an emergency or to connect with international colleagues, says Galinsky.

Moreover, with 87% of people surveyed by FWI saying that flexibility would be important in their evaluation of a new job, it's a key element of any human resources package. That's not to say that flexibility is a magic bullet or is universally embraced in corporate America -- a whopping 60% of employees feel they don't have enough time for themselves, according to the institute's research.

Crowdfunding Promoted to Help Small Businesses

This article was originally published by the Fiscal Times on Sunday, April 17, 2011.

By Katherine Reynolds Lewis

Many small businesses are still struggling to raise capital in the wake of the Great Recession, despite a flurry of government and private initiatives.

President Obama launched Startup America to encourage entrepreneurship, stressing that small businesses traditionally have been the engine of job creation, and Federal Reserve Board Chairman Ben Bernanke regularly talks up his concern for small businesses and keep tabs on small business funding.

Now there's an effort to exempt startup businesses from the complex U.S. securities registration and filing requirements when they acquire relatively small amounts of loans and equity.

The founder of Startupexemption.com, Sherwood Neiss, says the proposal would facilitate the growth of crowd funding by letting small businesses offer returns to small investors with less paperwork and expense. Crowd funders network and pool money and other resources, usually via the Internet, to support businesses or causes initiated by other people or organizations.

The financial crisis and slow economic recovery have exacerbated the perennial difficulty small businesses face in raising startup capital, experts say. Banks and institutional lenders cut back dramatically on loans, not only because of their losses in the crisis, but also because regulators forced them to hold more capital. And even under normal circumstances, angel investors and venture capital firms tend to offer only large investments -- beyond the needs of many small businesses.

TARP’s $24 Billion Profit: Some Demand a Recount

This article was originally published by the Fiscal Times on Friday, April 1, 2011.

By Katherine Reynolds Lewis

The Treasury Department is crowing about a new analysis that claims the government’s massive bank bailout in response to the 2008 financial crisis will actually end up turning a profit of nearly $24 billion.

Treasury Secretary Timothy Geithner said that while the government’s overriding objective was to “break the back of the financial crisis and save American jobs,” it didn’t hurt that the TARP investments in U.S. banks “delivered a significant profit for taxpayers.”

But whether the government’s Troubled Asset Relief Program will ultimately end up in the black or red is still an open question. And the Obama administration has been slammed by congressional Republicans and some financial experts for restoring Wall Street to profitability through TARP while millions of homeowners continue to struggle with foreclosures and more than 13 million people remain unemployed.