Monday, May 27, 2013

Inflexible homes

A recent study from the University of Warwick statistically demonstrates what could be intuitively clear – policies that result in high home ownership reduces labor and location flexibility, leading to higher unemployment rates. This is an important observation. However, what the study may be ignoring is that the “job market” has changed and any analysis of historical data on jobs and location flexibility may not be valid.

Many are unwilling to own up to the fact that there are no more “jobs” in the conventional sense of the word. With advancements in 3D printing and communications technology, both manufacturing and services industries are being revolutionized. What matters most now are skills and not presence, creativity not political savvy, imagination not optimization and execution not meetings.Those seeking jobs and those who are attempting to hire, should seriously reconsider what they are tying to do. If having a home, ties somebody down to a location and that reduces her employability, then, she may be seeking the wrong job. Equally importantly, if the hiring manager, however yahoo great she might think she is, insist on the presence of the employee on location, may be simply missing the whole point.

Studying historical data is good – but doing so without the context of the changing world, may not be.