Investors and Employers

The true employers in society are individuals with a small savings account, having bills to pay and living within their narrow financial means. They are not hard nose greedy rich people as often portrayed by the media or enemies of workers’ unions engaged in unfair tactics during employment negotiations. The public impression of employers is one of a bully not listening or concerned with reasons but forcing the most out of their workers, that may more describe management, and the true employers do not directly hire and fire such management. Management’s role is to please both employers and employees. Employees expect the best working conditions with fair remuneration packages. And employers expect a safe place to put funds and receive a competitive yield to live on.

Most of today’s true employers are not financially savvy investors, they mostly come from backgrounds of being thirty to forty year workers and employees, who have and receive benefits from a pension plan. Elderly men and mostly women, having to live on a monthly pension and savings income, no longer earning a salary or wage, and calculating daily, how long will this money last. Such persons are brought together by associations and quickly learn that deposits, in the commercial banks and other financial instruments rates, currently pay very low interest income and will not provide them with enough money to pay living expenses, or upcoming medical bills. Investment Clubs are, therefore, formed and guided to pool a targeted percentage of such person’s funds and buy into a portfolio of operations, which currently meet the set objective and is predicted to return the required and needed minimum rate.

The investment fund objective is set to describe the size, type and model of operations to be included in the investment portfolio, formulated to maintain both sector diversity and risk proportion, dictating projected yields; growth in share values and income from dividend payouts, to constantly beat annual inflation, guided by industry professionals but control by a committee elected from actual investors. The fund, therefore, invest in the manufacture, transportation, wholesale, retail of and communication connected to goods and services, which these same investors regularly use and consume in daily life. Calculating and projecting future earnings of each operation, based on historical trends, present circumstances and economic forecast, but fully prepared to sell off operations, which are anticipated to underperform and buy into those operations thought to meet or exceed its expected financial targets.

These investors having to live off of income from investments are considered true employers. In each operation, management is hired and must achieve targets set out in the strategic plan, or be removed. Remember, these investors/employers, whose investment funds pay both management salaries and workers wages need those targets met to pay their own living expenses and medical bills, no delays, no excuses. Employees/workers, hired by management, must understand who and under what circumstances are their true employers, so when sales are low, absenteeism is high, personal emergencies arises, cash is missing, stock disappears, strikes are called and so many more unfortunate happenings prevent productivity, the employees would realize who is really being affected and how.

Hence, each and every employee must perform for the sake of their own parents and grandparents, previous employees maybe even of the same operation, retirees who now have the time to relax and engage in fun, the elders in the community and of society, and all who achieve wisdom and old age. Such persons, ex-employees/investors/employers willing to create and sustain employment, should be encouraged and thanked.

Rationale

T.A.J & Associates Company Limited uses this occasion to comment on topics that have been covered, both academically and by the mainstream media, to add its opinion and point out investment opportunity, not to invoke any social action.