The economics of job, wealth and        revenue creation.20 by 20: Create 20 million new private         sector jobs by 20...
Jobenomics                           Book                            Book released, September 2010                       ...
Jobenomics 20 by 20 Campaign Plan         10 Million New Jobs                      10 Million New Jobs     Small & Self-Em...
Presentation OutlineProblem: Debt & Joblessness   Solution: Jobenomics   Solution: Jobenomics                              4
Economic Recovery Scenarios         V or U         V or U             W or Double Dip                            W or Doub...
Lost Decade Total New US Jobs Millions per Decade                                        21.7           Prosperity        ...
2010 Private Sector Growth          350             Jobenomics 20 by 20 Goal          300                167,000 per month...
The US Is Awash in Debt                  US Debt and Obligations                            $Trillions       Federal Recei...
National Debt Exploding                                         No Revenue                                         (Jobs) ...
Too Few Pay for Too Many               309 Million                309 Million    Non‐Working Sector Welfare Recipients    ...
Closing the Gap Challenges                                      $916B                                                     ...
Unemployment Tsunami                                                                                                      ...
Declining US Labor Force                            1980 = 8.2%                            US Population: 228M            ...
Few New Jobs                                      Applicants Per Job        Jan    Feb     Mar     Apr     May    Jun     ...
Corporate Recovery and Employment         Corporate          Recovery            Increased                              E...
Other Potential Joblessness Factors   Double dip recession   State/municipal government       fiscal crises      fiscal ...
Presentation OutlineProblem: Debt & Joblessness   Solution: Jobenomics   Solution: Jobenomics                             ...
What’s The Solution? Question:  Should American’s focus on cutting spending     or growing revenue?   Answer:  We should...
Jobenomics 20 by 20 Campaign                            20 by 20  The goal of 20 by 20 is to assist the private sector in...
Small Business: US Economic Backbone                                In comparison to large businesses,                    ...
The Power of Small Business                                8                                7                             ...
Top Small Business Initiatives                           Establish community‐based                            Establish c...
Jobenomics-Central Pennsylvania  Industrial Space    Revitalization                      Bellefonte, PA Jobenomics’ team ...
Jobenomics Combat Veterans-OwnedBusiness Center                          Few jobs are available for                      ...
Jobenomics Harlem Micro-BusinessIncubator  Objective is create micro‐     businesses for inter‐city residents      of Har...
Women-Owned Businesses                 10 1 million US women‐owned businesses:                  10.1 million US women own...
Direct-Care Initiative Direct‐care positions should increase by  Direct care positions should increase by     several mil...
REO Initiative Foreclosed bank owned properties called REOs are a triple threat  Foreclosed bank‐owned properties, called...
Business Ministries  The largest social network in   The largest social network in      America, 327,000 churches,      i...
Capital to the Base-of-the-Pyramid Community‐based incubators  Community based incubators    • Identify and prioritize   ...
20 by 20: Large Business Initiatives US l i i l  US multinational    corporations: 2 million    US expatriate positions  ...
20 by 20: International Investment Over the next decade, much of the business growth within the US will  O     h       d d...
Jobenomics Center for IndustrialDevelopment Center for Establishing andFinancing Foreign Businesses in the USA            ...
20 by 20: National Energy TechnologyRevolution (ETR) Initiative      Post WWII                 1990s             2010s    ...
Jobenomics-Emerald Planet Jobenomics has joined Emerald Planet’s Washington D.C.                  j                      ...
Conclusions The US is in trouble economically   and will not recover unless we act   aggressively and decisively.  aggres...
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Join Chuck Vollmer as he explores ways to create to 2 million jobs by 2020.

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Jobenomics presentation

  1. 1. The economics of job, wealth and revenue creation.20 by 20: Create 20 million new private sector jobs by 2020 2020. Chuck Vollmer Chuck Vollmer Jobenomics, Author and Founder January 2010
  2. 2. Jobenomics Book  Book released, September 2010   A il bl t Available at any major online  j li bookstore (e.g., Amazon.com)  Jobenomics.com A movement  National initiative to create 20 National initiative to create 20  million new private sector jobs by  year 2020  Many grassroots efforts underway: Many grassroots efforts underway: • National level initiatives • State & municipal initiatives • Private sector programs Private sector programs The book is the intellectual underpinning for the movement. 2
  3. 3. Jobenomics 20 by 20 Campaign Plan 10 Million New Jobs 10 Million New Jobs Small & Self-Employed Large Businesses Plan Businesses Plan  Send US expats overseas Community‐based business  b db  Reciprocal trade agreements incubators and training centers Women‐owned micro‐business   Buy American preference for  taxpayer funded programs initiative Combat Veterans‐Owned  Foreign Businesses Plan Business Center In home direct care (elder, child,  In home direct‐care (elder, child,  Assist foreign businesses and  investors to start US companies i t t t t US i healthcare) initiative Real estate owned (foreclosure)   EB‐5 Investor Visa Program initiative  Business ministries for the  Energy Tech Revolution Plan E e Te h Re l ti Pl financially downtrodden  National initiative for system‐of‐ Capital to the base‐of‐the‐ systems approach to the ETR pyramid initiative id i iti ti  International collaborative effort International collaborative effort Emphasis on small, self‐employed and emerging businesses. 3
  4. 4. Presentation OutlineProblem: Debt & Joblessness Solution: Jobenomics Solution: Jobenomics 4
  5. 5. Economic Recovery Scenarios V or U V or U W or Double Dip W or Double Dip L, L Declining L Traditional view  After a few false   A view that the  where market  starts the market  economy may take  bottoms out and  bottoms out and rebounds. rebounds decades to recover,  decades to recover rebounds to   The last W or  decline or even collapse. historical levels. double dip   Expressed by analysts  8 f h l 9 US 8 of the last 9 US  recovery was in  i who say global  h l b l recoveries were  the early 1980s. disruptive forces have  V’s or U’s. changed the status quo. Since the US is in uncharted economic territory,  experts can make plausible arguments for each scenario. 5
  6. 6. Lost Decade Total New US Jobs Millions per Decade 21.7 Prosperity 19.4 18.1 17.1 12.0 Lost 10.7 Decade ‐0.9 ? 40s 50s 60s 70s 80s 90s 00s 10s Collapse US cannot afford another lost decade of private sector jobs. 6
  7. 7. 2010 Private Sector Growth 350 Jobenomics 20 by 20 Goal 300 167,000 per month Small 250 Business (1‐499  200 employees) 167 150 88% (1‐49 Monthly 100 employees)ChangeIn Private 50 48%Sector Employment 0 ‐50 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec ‐100 ADP National Employment Report ‐150 Private Sector Growth in 2010 So far in 2010, the private sector is only growing at 45% the  rate that is needed to achieve 20 million new jobs by 2020. 7
  8. 8. The US Is Awash in Debt US Debt and Obligations  $Trillions Federal Receipts (Taxes) Federal Receipts (Taxes) 2.1 Annual US GDP (Goods & Services) 14.1 Resources National Debt   14.0 Accumulated Mortgage & Consumer Debt 16.5 $T Debt & Other Obligations USG Bailouts/Pledges 23.7 (Estimated) Medicare/Social Security Medicare/Social Security 100 US Derivatives 200 The US has evolved from the largest creditor nation in the 1970s  to the world’s largest debtor nation today. 8
  9. 9. National Debt Exploding No Revenue  (Jobs) Growth $37T Est. (Jobs) Growth $37T Est 35 Interest $2T+ The Debt to the Penny 30 25Jan 2010 national debt =$12.3T $22T 20 Interest $1T 15 Current  10 GovernmentJan 2011 national debt =$14.0T $5.7T 5 Forecast 0 2000 2010 2020 In one year, our national debt increased  $1.7T. 9
  10. 10. Too Few Pay for Too Many 309 Million  309 Million Non‐Working Sector Welfare Recipients ki lf i i US Citizens  51 million receive Social Security payments   45 million are Medicare beneficiaries    59 million receive some form of Medicaid 59 million receive some form of Medicaid  Non‐ Non‐  40 million receive food stamps monthly   Working  37 million fall below the poverty level    26 million are unemployed 26 million are unemployed   Sector: 178M Government Sector Workforce  22 million civilians  10 million government contractors Government  3 million in the armed forces force Sector: 35M Sector: 35M Private Sector (non‐farm) Workforce Private Sector (non‐farm) Workforce S Workf Private   18,000 large businesses, 6 million small  Sector: businesses and 22 million self‐employed 96M  87% work in the service industry (less than 1%  y(US are in agriculture and 4% manufacturing) Civilian workforce is decreasing while overhead is increasing. 10
  11. 11. Closing the Gap Challenges $916B NationalUpward Spending Upward Spending Additional Debt New Interest Crises Pressures Bank‐ rupt Stimulus Pay‐ Mounting &  New State & State & Bailout ments Baby b Bigger Bi Entitle‐ Boomer Federal Local Packages ment Gov’t Social Gov’t Pro‐ Higher  Costs Security grams & Medicare Costs Sell/Leverage  Sell/Leverage Costs Reduce National $3.7T Government Assets Spending Print/Borrow Programs/Size / Increase More Money Budget  Taxes Gap Increase Reduced Dollar Devaluation/ Jobs Foreign New Reserve N R Receipts Greater Investment Currency $2.2T Business Unemploy‐ in the US Failures ment Reduced Receipts FY2010                      Fiscal Years 2011 To 2020 Pressures P Washington cannot close the gap without robust jobs creation. 11
  12. 12. Unemployment Tsunami U1 Category g y Unemployed 15 Weeks & Over 7 6 Source: BLS Dec 2010 5 5.6% 4 % 3 2 1 0 00    01    02    03    04    05    06    07    08    09   10 U3 Category U6 Category 12 Offical Unemployment Offical Unemployment Rate Total Unemployed T t lU l d 10 Source: BLS Dec 2010 20 18 Source: BLS Dec 2010 8 9.4% 16 16.7% 14 % 6 % 12 10 4 8 6 2 4 2 0 0 00   01    02    03    04    05    06    07    08    09  10 00 01 02 03 04 05 06 07 08 09 10 00    01    02    03    04    05    06    07    08    09  10The unemployment situation is more chronic than people think. 12
  13. 13. Declining US Labor Force 1980 = 8.2% US Population: 228M Population: 228M Manufacturing Workforce: 18.7M 9% 8% 7% 55% % 6% ( (US Manufacturing 5% Manufacturing Decline Workforce/ 4% Population) 3% 2010 = 3.7% Source: BLS, US 2% Census Bureau US Population: 309M 1% Manufacturing Workforce: 11.6M 0% 2000 = 39.4% US Population:  282M 40% Private Sector Workforce: 111M 39% 38% % 37% 13% (US Private Decline Sector  Workforce/ 36% Private Sector Pi t S t Population) 35% 2010 = 34.3% 34% Source: BLS, US US Population:  309M 33% Census Bureau Private Sector Workforce: 106M 32% It is imperative that we reverse these declines. 13
  14. 14. Few New Jobs Applicants Per Job Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec2001 1.2 12 1.2 12 1.2 12 1.3 13 1.4 14 1.4 14 1.5 15 1.6 16 1.7 17 2.1 21 2.2 22 2.3 232002 2.2 2.3 2.3 2.5 2.3 2.4 2.4 2.4 2.4 2.2 2.3 2.82003 2.4 2.5 2.7 2.7 2.8 2.8 2.8 2.8 2.8 2.6 2.6 2.52004 2.4 24 2.3 23 2.4 24 2.3 23 2.2 22 2.4 24 2.1 21 2.1 21 2.1 21 2.0 20 2.3 23 2.0 202005 2.0 2.1 2.0 1.8 2.0 1.8 1.8 1.8 1.8 1.7 1.7 1.62006 1.7 1.6 1.5 1.5 1.5 1.6 1.7 1.6 1.5 1.4 1.5 1.52007 1.6 1.5 1.4 1.5 1.5 1.5 1.6 1.5 1.6 1.7 1.6 1.82008 1.8 1.8 1.9 1.9 2.1 2.2 2.3 2.6 2.9 3.1 3.3 3.72009 4.3 4.5 5.0 5.5 5.8 5.9 6.3 6.2 5.8 6.1 6.2 6.02010 5.2 5.6 5.4 4.6 5.1 5.1 4.7 4.8 4.9 4.4Key 1.0-3.9 4.0-4.9 5.0-5.9 6.0+ Source: BLS JOLTS/Unemployment Reports Applicant per job opening has jumped from a low of 1.2 to a high of 6.3 over the last ten years.   14
  15. 15. Corporate Recovery and Employment Corporate  Recovery  Increased  Employment Reasons for not hiring  Downsizing ii  Outsourcing   Use of part time workers Use of part‐time workers  Mergers and acquisitions  Making money‐on‐money rather  g y y than re‐capitalizing  Emerging markets’ allure Many of the lost jobs will never return. 15
  16. 16. Other Potential Joblessness Factors  Double dip recession  State/municipal government  fiscal crises fiscal crises  Future residential/commercial  real estate crises  Major stock market decline  Eurozone crisis  War with Iran • Preemptive attack on Israel • St it f H Strait of Hormuz closure l • Nuclear incident  Terrorist attack Terrorist attack There are a number of wildcards outstanding. 16
  17. 17. Presentation OutlineProblem: Debt & Joblessness Solution: Jobenomics Solution: Jobenomics 17
  18. 18. What’s The Solution? Question:  Should American’s focus on cutting spending  or growing revenue? Answer:  We should do both, but growing revenue via  Answer: We should do both but growing revenue via jobs creation may be easier in today’s toxic, partisan, and  divided ideological environment. The Ideological Divide In America Today Class Have‐Nots Have Nots Haves Politics Left Right Theme Wealth distribution Wealth protectionMovements MoveOn.org TeaParty.org Jobenomics can help bridge the gap 18
  19. 19. Jobenomics 20 by 20 Campaign 20 by 20  The goal of 20 by 20 is to assist the private sector in producing  20 million new jobs by 2020.     Why 20 million by 2020?  • 130,000 monthly new workforce entrants (14 million) • C tti th 10% Cutting the 10% unemployment rate to 6% (6 million) l t t t 6% (6 illi )  Historically, the decades of the 1970s, 1980s and 1990s  produced 20 million new private sector jobs.   So, the 20 million  job goal is achievable in recent history.  Led by the private sector, supported by government. 19
  20. 20. Small Business: US Economic Backbone In comparison to large businesses,  small and self‐employed businesses:Large Businesses 18,000 18 000  Generate 64% of all new jobs Small Businesses  Employ more full‐time people 6 Million  Employ more part‐time people Self‐Employed Self Employed Businesses  Hire 40% of hi‐tech workers 21.7 Million  Produce 13 times more patents Produce 13 times more patents  Produce 30% of all exports The US should focus on job creation in the small business sector since large business and traditional opportunities may be limited.    20
  21. 21. The Power of Small Business 8 7 New Jobs Creation  b i Millions Of Jobs 6 5 2005 4 3 M 2 1 0 Small        Medium      Large         Very Large  (1‐49) (1 49) (50‐499) (500‐9,999) (10,000+) (50 499) (500 9 999) (10 000+) 12.0 10.0 Exit Rates 8.0 6.0 4.0 Small Business (1‐499) Exit Rate ( ) 2.0 Large Business (500+) Exit Rate Source: US Census Bureau Study 0.0Small business creates more jobs, and is equally likely to stay in  business compared to large business. 21
  22. 22. Top Small Business Initiatives  Establish community‐based Establish community based  business incubators  Incentivize women‐owned  business creation b i ti  Develop a national in‐home  direct‐care program p g  Establish a combat veterans‐ owned business center  Start real estate private equity/  property management initiatives  Develop business ministries Develop business ministries  Create a national capital to the  base‐of‐the‐pyramid initiative Jobenomics has started all these initiatives  with significant private sector involvement and support. 22
  23. 23. Jobenomics-Central Pennsylvania Industrial Space  Revitalization Bellefonte, PA Jobenomics’ team is supporting   Initial projects: the revitalization of a 500,000  • Expand existing low‐melt  p g sq. ft. industrial complex in  metal manufacturing  Bellefonte, PA. operation • Start turnkey eWaste I i i l f di Initial funding appears to be  b facility (planned Q1 2011) f ili ( l d Q1 2011) forthcoming from PA State  • Start natural spring water  government bonds and private  distribution for oil and gas  sector capital. sector capital “fracking” operations fracking operations Large business can start small if the idea is big enough. 23
  24. 24. Jobenomics Combat Veterans-OwnedBusiness Center  Few jobs are available for  returning US combat vets  The Center will help vets: Th C t ill h l t • Incorporate their own  business (VOB, SDVOSB). • T i h t Train how to run a business. b i • Finance start‐up businesses. • Provide transition counseling. Objective is to train Asian businessmen to start US businesses. 24
  25. 25. Jobenomics Harlem Micro-BusinessIncubator  Objective is create micro‐ businesses for inter‐city residents  of Harlem, New York City. fH l N Y k Cit  Lead by Michel Faulkner: • Former NFL player Former NFL player Michel Faulkner • Inter‐city minister • Ran for 112th Congress Ran for 112 NY 15th (Harlem)  Key efforts: • $20 million micro‐business  loans by local banks • Charter schools • Jobenomics boot camp J b i bThe business incubator concept could be duplicated across the US. 25
  26. 26. Women-Owned Businesses  10 1 million US women‐owned businesses: 10.1 million US women owned businesses: • 90% of women‐owned firms are self‐ employed businesses without employees • Directly employ more than 13 million  people and generate $1.9T in direct  revenue. • Overall economic impact at $2.8T with  23 million direct and indirect employees • O l 22% f th US i t Only 22% of the US private sector civilian  t i ili workforce The 2010s should be the decade of women owned businesses:  The 2010s should be the decade of women‐owned businesses: greater financial needs and incentives, more qualified women,  more emerging opportunities, and less cultural barriers. The Jobenomics team plans to publish “Jobenomics’ Women” when “Jobenomics” achieves best seller status. 26
  27. 27. Direct-Care Initiative Direct‐care positions should increase by Direct care positions should increase by  several million new jobs, due to: • Assisted‐living services • Handyman services Handyman services • Child‐care services  A national direct‐care initiative could be  largely paid by those who need  largely paid by those who need assistance to retire at home or working  families who can’t afford child care.   Young to middle‐aged Americans could  Y t iddl dA i ld be employed to provide direct‐care,  either on a full‐time or part‐time basis. The principal role for government  Th i i l l f t (federal, state and/or local) would be to  set up the direct‐care program, help  train potential caregivers, and provide  train potential caregivers, and provide proper oversight and quality control. Information technology enables direct‐care business creation. 27
  28. 28. REO Initiative Foreclosed bank owned properties called REOs are a triple threat Foreclosed bank‐owned properties, called REOs, are a triple threat  to recovery: loss of value to homeowners, banks unequipped to be  property managers, and loss of property taxes to municipalities. % of Houses in Foreclosure % of Houses in Foreclosure September 2010 0 % 2 % 4 % 8 % 8% Source: CoreLogic/Washington Post, 19 Oct 10 17.5 %  REOs present a major opportunity for small real estate and  property management firms that can convert REOs into rental  properties or low‐cost homes. properties or low cost homes Rather than letting large investment funds profit from REOs,  Jobenomics is working to create opportunities for small business.   28
  29. 29. Business Ministries  The largest social network in The largest social network in  America, 327,000 churches,  is the one that is the least  prepared for a jobless  prepared for a jobless recovery—the need is great.   Families broken by  unemployment, poverty and  l t t d financial hopelessness justify  development of business  ministries, from focus  ministries from focus groups, training centers, to  business incubators, to  micro financing programs. micro‐financing programs.  The first Jobenomics  Business Ministry is open in  Manhattan, New York City. Manhattan New York City Business MinistriesDan Stratton (shown) is leading Jobenomics’ business ministry effort. 29
  30. 30. Capital to the Base-of-the-Pyramid Community‐based incubators Community based incubators  • Identify and prioritize  opportunities • Government underwriting • Small business bank loans • State and municipal bonds • Federal grants/incentives A l d 504/506 i t d bt Angel and 504/506 investor debt  and equity financing Public offerings (OTC, Pink Sheets,  g ( Penny Stocks) Foreign financing (e.g., EB‐5) Direct Public Offering (DPO) Di P bli Off i (DPO)A national initiative is needed to deliver capital to small businesses. 30
  31. 31. 20 by 20: Large Business Initiatives US l i i l US multinational  corporations: 2 million  US expatriate positions  overseas to develop bi‐ national business  opportunities. opportunities US domestic corporations: 3 million new jobs. • Re‐shoring US jobs R h i US j b • Reciprocal‐trade policy • Preference to US companies for Preference to US companies for                      US taxpayer funded programs • Improved federal government support, promotion and protection d Create 5 million new corporate jobs by 2020. 31
  32. 32. 20 by 20: International Investment Over the next decade, much of the business growth within the US will  O h d d h f h b i h i hi h US ill be from companies in emerging economies in Asia and the MidEast. 1990s 2010s 150,000  Direct &  3 Million Indirect  Direct & Indirect  Direct & Indirect Jobs Jobs Japanese Auto Plants International Plants $20B Investment $200B to $400B Investment Create 3 million new jobs in the US via international corporations  and investors by 2020, to gain preferred access to US market. 32
  33. 33. Jobenomics Center for IndustrialDevelopment Center for Establishing andFinancing Foreign Businesses in the USA  1,200,000 sq. ft. center • 300,000 sq. ft. hotel & training center f h l& i i • 900,000 sq. ft. industrial park Objective is to train Asian businessmen to start US businesses. 33
  34. 34. 20 by 20: National Energy TechnologyRevolution (ETR) Initiative Post WWII 1990s 2010s Military  Information  Energy Technology Technology Technology Revolution  Revolution  Revolution  (MTR) (ITR) (ETR) 5 million new jobs 10s of millions of new jobs 10s of millions of ne jobs Jobenomics Goal J b i G l The country that dominates the ETR will be the next superpower. 34
  35. 35. Jobenomics-Emerald Planet Jobenomics has joined Emerald Planet’s Washington D.C.  j g based television show is simulcast to over 50 stations around  the country and features ETR solutions.  Dr. Hancock’s will lead an “Emerald Planet Trek” that will cross  300,000 miles, through 143 countries, across six continents to  identify 1000 best ETR practices. Emerald Planet’s “Power for Peace” initiative is to bring  g affordable power and sustainable economic and  environmental development to underprivileged communities. Mini BioDiesel  Rapidly Deployable  Plant Power System  Power System Hancock & Vollmer Jobenomics is a proud Emerald Planet partner. 35
  36. 36. Conclusions The US is in trouble economically  and will not recover unless we act  aggressively and decisively. aggressively and decisively. The Jobenomics goal of 20 million  new private sector jobs by 2020 is  p j y very achievable, if we focus on the  American entrepreneurial spirit  and small businesses and the self‐ employed. Join the Jobenomics team, read  the book, attend Jobenomics  forums, and utilize this  entrepreneurial/financial network. A new vision for debt reduction and job creation is needed. 36

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