spacer ECONOMIC OUTLOOK

The Psychological Recession
Published: August 2008

In her 1995 best-seller Danger in the Comfort Zone,1renowned consultant Judith M. Bardwick wrote brilliantly about the problem of workers who feel so entitled to their jobs and secure in their employment that their performance suffers. 

Now, because of global competition and the relentless migration of jobs to lower-cost providers, that sense of entitlement has largely disappeared and has been replaced by the opposite problem:  Today, many employees are so worried about becoming victims of downsizing, outsourcing, and off-shoring that they work in a state of perpetual insecurity.  And, because they feel their employers no longer care about them, they have stopped caring about their jobs.

In The Conference Board Review,2 Bardwick cites surveys that reveal that as many as two-thirds of U.S. employees are either actively looking for new jobs or merely going through the motions at their current jobs.  Even many of the people who physically show up for work each day have quit their jobs emotionally.  In their minds, they already have one foot out the door.

It used to be that companies could rely on their employees to show up for work each morning ready to give their employers their commitment, loyalty, and even passion.  The reason:  They believed that the company was committed to them.

That feeling no longer exists.  Over the past couple of decades, labor forces have been downsized, and whole departments have been either outsourced or off-shored.  As a result, workers no longer feel that the company values them, so they have lost their passion for their work and their commitment to their employer.  Now they feel extremely vulnerable and afraid for their futures.

Bardwick calls this emotional state the “Psychological Recession.”  In this condition, people feel worried about the present and even more pessimistic about the future.  This is especially relevant in the business world because chronically fearful people are too exhausted to be creative and innovative.  They expect the worst to happen, so they see no reason to give their all.

This isn’t a problem that affects only a few disgruntled employees.  According to Bardwick, everyone is affected by the Psychological Recession.  Everyone personally...

The Psychological Recession | Trends Magazine — www.trends-magazine.com

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