Workforce Development - A Good Investment?

Pay It Forward for Results: The ROI of Skill-based Pay

Pay for Performance

The concept is familiar but the implementation landscape is changing. Previously "pay for performance" focused on the design of incentives to drive behavior and related performance. Incentive design is still an important element but leading companies realize that paying attention to the linkage between organizational alignment, employee development, and compensation design is more likely to deliver desired business performance.

Gerry Ledford, President of Ledford Consulting Network, LLC presented an online webinar on this important topic on Thu, 26 Jun 2008 from
2:00 PM - 3:00 PM EDT

His session discussed how in an integrated strategy, there is a close relationship between broad business objectives and engaging the entire organization. The familiar milestones of goal setting and performance assessments in compensation planning remain intact. However, the integrated "pay for performance" process offers alignment and line of sight opportunities with operational relevance. The connection between objectives and rewards is stronger because related development and metrics are directly communicated.

Technology plays a significant role in an integrated pay for performance strategy, offering continuous business insight, agility and refined communication. This program showed how successful design and implementation practices play out in an integrated talent management strategy, Pay for Performance.

What are the pros and cons about telecommuting?

I have a blog I read with some frequency entitled HR Clean-up (Because HR is a Dirty Business), that recently published a great article entitled "Telecommuting"

It is written from the perspective of the current astronomical fuel prices we're seeing. The gist of the article follows:

There was an article, not a big one, in Sunday's Boston Globe that stated "4-day weeks, telecommuting look better to employers now".  Since I actually teach Virtual HR and I've been a proponent for flexible work arrangements for a long time, I read with interest. Traffic It turns out that soaring commuting costs are finally forcing employers to help employees out.  And, given that so many of us have moved away from work to find cheaper housing, employees are buckling under the increased expenses.  On top of employee costs, employer costs are also skyrocketing.  Companies are starting to figure out that office space isn't cheap--so if an employee is ok with heating and cooling themselves, why not? The other really big change is on the legal front.  Finally, there seems to be some movement to get a bit more flexible. As organizations start to embrace telecommuting, it will be critical for HR to be at the decision making table--along with IT, Building Services, and everyone else who makes the organization tick.  HR has an amazing opportunity to push the traditional boundaries of "butt in seat" and get companies to start measuring what counts--work output. It is going to be a long hot Summer and fuel costs are going to continue to escalate.

However, there are many faces beyond this article, that factor into the telecommuting discussion:

An article "Telecommuting not so great for those left in office" that was published in January 2008 by Kristina Cooke over at Reuters looks at how those that telecommute have less stress and a higher morale compared to those that are left to come into an office everyday. She mentions that “their co-workers tend to find the workplace less enjoyable, have fewer emotional ties to co-workers and generally feel less obligated to the organization.

The beginning of the article states "Telecommuting may boost morale, and cut stress, but it can have the opposite effect on those left behind in the office, according to a new study"

The author cites how telecommuting has been a growing trend in the United States since about 2000. About 37 percent of U.S.-based and international companies now offer flexible work arrangements, with the number of those programs growing at a rate of 11 percent per year, according to the Society of Human Resource Management. but then goes on to explain how

The author cites research of Timothy Golden, a management professor at Rensselaer Polytechnic Institute that claims that when a number of their co-workers toil away from the office by using computers, cell-phones or other electronic equipment, those who do not telecommute are more likely to be dissatisfied with their job and leave the company.

I'm a bit skeptical about this inference.

In the late 1990's I worked with IBA, an early pioneer in telecommuting, and participated in the establishment of the first "telework" centers around Washington DC.  Others have since sprung up, adding credence to the ideas of telecommuting in various "flavors".  In 2006, The Telework Coalition, conducted a Telework Benchmarking study of 13 large organizations with mature telework programs.

This study asked about the attitudes of those employees who did not telework. Both our study and two previously conducted studies by other organizations in which there were multiple participants showed that the non teleworking coworkers were both enthusiastically supportive and felt teleworking was good for the organization, or at the least, the situation was a non issue.

I believe that this area is ripe for investigation and action by management and HR practitioners.  Since each organizations' DNA is different, it may not be the right solution for every situation, but there are viable telecommuting approaches that will and do help organizations attract and retain talent in todays increasingly complex market.

Ever Wonder Why Women Enter the Field of Engineering?

Julie Martin Trenor, Director of Undergraduate Student Recruitment and Retention at the Cullen College of Engineering, University of Houston is one of the most significant voices advocating the Engineering profession for women. I pay close attention to anything from her that crosses my desk.

She recently cited some excellent research into WHY women are drawn to engineering, that I wanted to share with you.  She cites studies by Goodman & Cunningham in 2002, Seymour & Hewitt, in 1997, Grose in 2006 and the American Society for Engineering Education in 2006 that document the "drivers" of interest in Engineering for women.  These studies provide a good "roadmap" for profiling women who might take to the Engineering field:

• Confidence in math/science abilities
• Engineer role models (90% know an engineer)
• Parental encouragement
• Value potential societal contributions of the field
  • Fields with more obvious altruistic nature boast much higher female enrollment percentages: 
    
    • e.g. biomedical engineering =  42%,
    • environmental engineering = 43%.
  • However, top 6 disciplines with highest % of women comprise only 17% of all B.S. degrees awarded
• The future of our engineering workforce therefore rests on the ability of the field to market itself as a socially-conscious, application-driven, and team-based profession!

The talent shortage will not relent, even in a recessionary cycle, and it is imperative that women continue to ascribe to the engineering profession.  Unfortunately, just as there are incentives, Dr. Trenor also points out that there are still many barriers for women.  Among them she cites:

• Poor math preparation: decisions on which discipline to consider, often start in 7th or 8th grade
• Lack of K-12 engineering courses
  
• Negative messages, gender-biased attitudes exist everywhere
  
• Lack of female role models
• Engineering’s public image problem
  • Few role models available in the public eye.
  • Unlike doctors & lawyers, engineers are rarely portrayed in prime time television
    • Engineers/scientists are often portrayed as white males
    • Women fre3quently relegated to subordinate roles (e.g. lab assistants)
    • Contrast “Dilbert”, “Star Trek” vs. “Law & Order”, “Grey’s Anatomy”
• Peer pressure to go into "popular" programs
• Isolation

There need to be more engineers period, and there are many opportunities for women to excel in this profession.  Watch this blog for more updates on Dr Trenor's important work in this area.

Income inequality and how it affects the workforce

Paul Krugman, in an article entitled The Great Wealth Transfer articulates the simple reason why he thinks most Americans think the economy is fair to poor amidst the apparent "healthy" economy we enjoy.

For most Americans, it really is fair to poor. Wages have failed to keep up with rising prices. Even in 2005, a year in which the economy grew quite fast, the income of most non-elderly families lagged behind inflation.

The number of Americans in poverty has risen even in the face of an official economic recovery, as has the number of Americans without health insurance. Most Americans are little, if any, better off than they were last year and definitely worse off than they were in 2000.

But how is this possible? The economic pie is getting bigger -- how can it be true that most Americans are getting smaller slices? The answer, of course, is that a few people are getting much, much bigger slices. Although wages have stagnated since the 2000 elections, corporate profits have doubled.

The gap between the nation's CEOs and average workers is now ten times greater than it was a generation ago. And while the current administration's tax cuts shaved only a few hundred dollars off the tax bills of most Americans, they saved the richest one percent more than $44,000 on average. In fact, once all of these tax cuts take effect, it is estimated that those with incomes of more than $200,000 a year -- the richest five percent of the population -- will pocket almost half of the money. Those who make less than $75,000 a year -- eighty percent of America -- will receive barely a quarter of the cuts. In the post 2000 era, economic inequality is on the rise.

Rising inequality isn't new. The gap between rich and poor started growing before Ronald Reagan took office, and it continued to widen through the Clinton years. But what is happening under the current administration is something entirely unprecedented: For the first time in our history, so much growth is being siphoned off to a small, wealthy minority that most Americans are failing to gain ground even during a time of economic growth -- and they know it.

In the past few years, distrust of our government and its actions only worsens as economic inequality rises. Indeed, the gap between rich and poor doesn't just mean that few Americans share in the benefits of economic growth -- it also undermines the sense of shared experience that binds us together as a nation.

"Trust is based upon the belief that we are all in this together, part of a 'moral community,' " writes Eric Uslaner, a political scientist at the University of Maryland who has studied the effects of inequality on trust. "It is tough to convince people in a highly stratified society that the rich and the poor share common values, much less a common fate."

Does this affect the attitudes of the workforce?  Readers, what do you think?

Concrete proof that Employee Benefits are going to the dogs

The American Animal Hospital Association in a recent article (AP) has revealed that while employers are scaling on back costly health benefits, pet insurance is gaining popularity as an employee benefit.

Veterinary Pet Insurance, the nation’s largest pet insurer, saw its corporate accounts balloon from 15 to 1,600 in the past six years. About 15 percent of Veterinary Pet Insur­ance’s policies, or about 50,000, come from its corporate accounts.

The growth of this perk comes as pets occupy an increasingly promi­nent place in the American home. According to the American Pet Prod­ucts Manufacturers Association, pet owners spent an estimated $9.8-bil­lion on veterinary care in 2007, up from $7.1-billion in 2001.

Pet owners are spending more on sophisticated care to give animals some comfort or a few extra years when illness strikes. The cost of a sur­gical veterinarian visit was $453 for dogs and $363 for cats in 2006, but treating a pet for an illness like cancer can cost several thousands of dollars.

Pet insurance is rare, with about 2 percent of U.S. pets insured. Anoth­er major pet insurer, PetHealth Inc., expects that figure to grow to about 10 percent over the next decade as options for animal medical care grow. PetHealth in Oakville, Ontario, saw revenue from policies jump to $4.3-million in the third quarter, up 12 percent from the previous year.

Noninvasive procedures like MRIs, CAT-scans and endoscopies have become rela­tively common for animals. Though rare, owners can get organ transplants and pacemakers for cats and dogs.

For employers, offering pet insur­ance doesn’t cost a dime, since employees pay the full cost of the benefit, unlike health insurance for humans. Workers typically get a dis­count of 5 or 10 percent if pet policies are obtained through their company.

Only a tiny fraction of employees typically sign up for the benefit — usually less than 5 percent, according to Veterinary Pet Insurance. But with big names like Comcast Corp., Home Depot, the Walt Disney Co. and Sprint offering the benefit, policies add up.

Del Monte Foods Co. in San Fran­cisco started offering pet insurance about a year ago. Only 15 or 20 employees signed up, but the benefit makes a statement about the compa­ny’s culture, said Paul Berg, vice pres­ident of compensation and benefits.

Bobbie Stanton, a 55-year-old employee at Del Monte, signed up her two Shetland sheepdogs.

Stanton pays $313 a year for each of her two dogs. She recently paid $20 to have a burr removed from one dog’s ear; the cost without insur­ance would have been $200.

Pet insurance isn’t for everyone. Unless your pet’s breed is prone to chronic illness, Consumer Reports says insurance might cost more than it saves. Depending on the age and type of animal, insurance costs $10 to $40 a month. Pet owners often pay bills up front, then are reimbursed.
Whatever the means may be — pet insurance, a savings account or any other financial plan — the key is to simply plan ahead for medical care, said Dr. Thomas Carpenter, presi­dent of the American Animal Hospi­tal Association.

Shouldn't that Christmas Feeling Last the Entire Year?

MERRY CHRISTMAS TO ALL MY LOYAL READERS!

PEACE TO YOU AT THIS SPECIAL TIME OF YEAR, and throughout the year

Wouldn't it be nice if the feelings of appreciation that are expressed between friends and colleagues continued throughout the year?

That is the genesis of the question that our friends over at AZCentral.com raises in their recent article entitled "Show worker appreciation every day"

This timely article discusses the benefits of "showing the love" to the people that are important to us - every day.

Because isn't it a good feeling to know you're appreciated?

Interesting Info on Starting Salaries in South Florida

Being a Floridian, I often get asked what salaries are like down here. 

Doesn't seem to matter what discipline, folks are always interested in learning more about the wages paid "south of Dixie"

Recently came across an interesting article in the "Judged" blog, which is a pretty cool source of information about what's happening in the legal profession.  They wrote an article entitled "Info on Starting Salaries in South Florida" that sheds some light on what the larger firms down here are offering new folks joining their firms.

Ever wonder how that associates salary compares to what you see on your monthly bill for legal services?  Check out the article, I think it'll be insightful.

Is CEO pay an issue for the workforce?

I'd like to begin this post with an article on CEO compensation that came out in late August

Americans Pay a Staggering Cost for Corporate Leadership

(Washington, D.C.) With leading Presidential candidates turning up the heat on overpaid CEOs, a new report from the Institute for Policy Studies and United for a Fair Economy documents for the first time the extreme pay gaps that have opened up not just between U.S. business leaders and American workers, but between U.S. business leaders and leaders elsewhere in American — and European — society.

Download the complete report “Executive Excess 2007” at www.faireconomy.org/reports/2007/ExecutiveExcess2007.pdf (PDF, 1 MB).

KEY FINDINGS:

CEO-WORKER PAY GAP: CEOs of large U.S. companies last year averaged $10.8 million in total compensation, over 364 times the pay of the average U.S. worker, a calculation based on data from an Associated Press survey of 386 Fortune 500 companies.

The top 20 private equity and hedge fund managers, pocketed an average $657.5 million, Forbes magazine estimates. That’s 22,255 times the pay of an average U.S. worker.

Workers on the bottom rung of the economy have just received their first federal minimum wage increase in a decade. But the inflation-adjusted value of the new minimum, despite the hike, stands 7 percent below the minimum wage level a decade ago. CEO pay, in that decade, has increased over inflation by roughly 45 percent.

“The CEO-worker pay gap is finally getting some high-profile attention from Presidential candidates,” says report co-author Sarah Anderson of the Institute for Policy Studies. “But lawmakers still aren’t doing nearly enough to tackle the gap.”

PENSION AND PERK GAPS: CEOs at major U.S. corporations enjoyed, on average, $1.3 million in pension gains last year. By contrast, only 58.5 percent of American households led by a 45-to-54-year-old even had a retirement account in 2004. Between 2001 and 2004, the retirement accounts of these households gained an average of only $3,775 in value per year.

CEOs of S&P 500 companies retire with an average $10.1 million in their special Supplemental Executive Retirement Plans, accounts not open to average workers. By contrast, only 36.3 percent of American households headed by an individual 65 or older held any type of retirement account in 2004. The accounts that did exist averaged only $173,552 per household.

The top 386 CEOs took in perks worth an average of $438,342 in 2006. A minimum wage worker would need to work 36 years to earn as much as CEOs obtained just in perks last year.

THE LEADERSHIP PAY GAP: Compensation for American business leaders now wildly dwarfs the pay that goes to leaders in other sectors of American society. The 20 highest-paid individuals at publicly traded corporations last year took home, on average, $36.4 million. That’s 38 times more than the 20 highest-paid leaders in the nonprofit sector and 204 times more than the 20 highest-paid generals in the U.S. military.

The 20 highest-paid figures in the private equity and hedge fund industry collected 3,315 times more in average annual compensation in 2006 than the top 20 officials of the federal government’s executive branch, a group that includes the President of the United States.

“Today’s soaring pay gap between business executives and elected leaders in government essentially makes corruption inevitable,” notes Sam Pizzigati, an Institute for Policy Studies associate fellow. “With such huge windfalls at stake, business leaders have a powerful incentive to manipulate the political decisions that affect corporate earnings.”

IS CEO PAY REALLY THE ISSUE?

Before we tackle the answer to this question, I'd like to share with you comments from reader Rex Stormont, a former employee of Coca-Cola.

For 17 years the world’s most recognisable brand, Coca-Cola, was lead by CEO Roberto Goizueta. During his period in this role he managed to increase share price growth on average by 20% year on year compounded. He was arguably the most successful large corporate CEO of all time.

There are many Coca-Cola millionaires who have Mr Goizueta to thank for their financial stability which very often was achieved with their minimum investment.

For the last 10 years of his tenure, he was shadowed by Mr Douglas Ivestor who was the corporation’s COO. Mr Goizueta was grooming him to become the next CEO upon his own retirement. The stock markets, who universally loved the company and its CEO, were very comfortable with with the heir apparent and Mr Ivestor had their full backing.

Mr Goizueta achieved his tremendous success with his exceptional character, people skills, incredibly shrewd business acumen, ability to build strong teams and develop a strong corporate cultural identity. Everyone who worked for the company (it seemed) loved this man.

There was an almost tactile relationship with him for most employees, most of whom had never even met him. Belief in his vision and objectives was wholeheartedly embraced en masse by them. They felt they had a very real and personal connection with him.

Then suddenly, in 1997, Mr Goizueta was diagnosed with cancer and very sadly succumbed to the condition 2 weeks later.

On the day his death was announced, Coke’s share price grew, a clear indication of the stock markets’ faith in Mr Ivestor. This was a totally unexpected response for the corporation, who thoroughly expected the share price to remain static (if not slightly decline) until his protegee had proven himself.

The honeymoon period continued, until after a relatively short period, product quality issues were discovered in Europe resulting in certain markets totally withdrawing Coca-Cola products from the supermarket shelves.

Mr Ivestor made no public announcements for 2 weeks. The share price halved overnight. He was subsequently sacked by Mr Warren Buffet, Coke’s largest shareholder.

Today, Coca-Cola has still not recovered its share value, some 10 years on….. But what was the impact on the corporation?

From being ‘THE’ FMCG corporation to work for, they quickly became 2nd division players. Morale within plummetted. And worse huge numbers of employees at all levels of seniority were made redundant across the globe.

How do I know this? I was one of the many employees who lost his job as a consequence of an incompetent CEO.

The CEO’s of sucessful corporations are a very rare breed. They have something about them that the vast majority of good businessmen do not possess. It is rather like drawing a comparison between the Peles of this world and an average Premier League soccer player.

Are CEO’s salaries very high? Have they mushroomed as the chart shows above? Yes.

But rather like the big clubs building teams of professional soccer players at the top of their game, the boards of executive directors who appoint the CEOs know full well that they recruit in a competitive job market, where good performers are rewarded with astonishing packages.

Ultimately, the CEO can quite easily make or break these giant corporations. The CEO knows he and his performance as well as that of the people under him are answerable to the stock market.

Whether a company’s stock growth is 1% or 100% frankly it is irrelevant. What counts is if the city analysts and shareholders are content with it.

In other words, in a competitive CEO recruitment market, provided the CEO ensures his company meets performance expectations, he is worth what the market is prepared to pay him.

Rex makes a great point folks - really good CEOs create stability, growth and equity creation that benefit everyone - employees, vendors, shareholders.  What's that worth?  Well, what % of the equity created did the CEO end up pocketing as compensation?  Is that excessive or reasonable?  What do you think?

Not bad for a McJob

One high profile example of a corporation tackling their employer brand head-on is McDonalds, who rely on a steady supply of Human Capital to give their business and their brand life.

After the term 'McJob' appeared in the Oxford English Dictionary, being described as having low pay and poor prospects, McDonalds responded in 2006 with the challenging 'Not bad for a McJob' campaign.

The McDonalds fight-back campaign featured posters including examples of health policies, flexible working hours and prospects for promotion, with the objective of improving their public image as an employer of choice and ensuring their employees felt 'McRespected' and 'McValued'.

McDonalds represents an extreme example, but other companies across the world dedicate much time and resource to winning coveted places in top employer listings, such as the Sunday Times Top 100 Companies to Work For in the UK and the 100 Best Employers to work for in Canada. And, according to Sheffield University, its a case of 'Who Cares Wins' in todays job market.

Emerging Health Care Trends 2007 Survey Results

Today, employers appear to be making a "choice of roads" decision when it comes to providing healthcare for their employees.  The choice taken can have significant effect for the employer as it impacts their ability to retain existing employees as well as colors the attractiveness of the organization when seen through the eye of certain classes of job-seekers.

There are two distinct types of employers, and their beliefs and behaviors are dramatically different in how they view the value of Healthcare benefits according to Hewitt Associates in a recent survey report.
Download emerging_health_care_trends_2007_survey_results.pdf  

There are the “Stop Light-to-Stop Light” employers who find they are primarily focused on managing trends.  They have substantial resistance to cutting benefits because they view health care benefits as an attraction and retention tool and are in a competitive market for talent. At the same time, however, they do not tend to see health and productivity as a business issue.

Then there are the respondents indicate they will become much more involved in health and health care benefits, referred to as the "Superhighway" companies

Employers from both roads ranked managing cost and competitive positioning as their top two business issues related to health care. However, the next most important business issue for Superhighway employers is a leadership mandate to address health care, whereas Stop Light-to-Stop Light employers are worried about profitability. Similarly, employers from both roads ranked employee satisfaction and protection from catastrophic loss as the top two employee issues related to health benefits. Superhighway employers ranked improving productivity next, while Stop Light-to-Stop Light employers are worried about turnover.

Small employers have been exiting from health care, dropping sponsorship of their plans entirely.  However, for most large employers, this approach would create significant difficulties for many of their employees. If an employee or dependent currently had a serious medical condition, for example, he or she may be denied coverage entirely in the individual marketplace. While costs continue to escalate, very few large employers are currently considering dropping sponsorship of health care
plans.

The Hewitt survey validates this trend—no respondents believe their organization will be less involved in health care benefits over the next three to five years than they are today.  What remains to be see is how each group reconciles the cost of quality healthcare to the demands of an increasingly tighter labor market.

Is Fraud or Incompetence Now a Skillset?

I am an avid reader of CFO magazine, an award-winning Economist Group publication, dedicated to providing relevant insights to senior financial executives around the world. Reaching an international audience of over one million corporate decision makers each month through specialized events, conferences and research, it is a highly credible "microscope" into the complex world of corporate finance.

Just for grins, I went back into the first three (3) weeks of headlines for September 2007 and discovered the following:

• Apple's Jobs Was Subpoenaed, Report Says
• Ex-CFO Says He Won't Be the "Fall Guy"
• Del. Court Slaps Staples on Backdating
• Retiree Miscount Leads to Restatement
• Quest's Quest for More Backdating Errors
• German conglomerate, embroiled in scandal
• Wachovia Sued over Drink Company's Spill
• Dynegy Settles Charges with Pensioners
• UTStarcom to Redo China Revenue Report
• Mentor to Fraud? Two Former Execs Settle
• SEC Charges Hedge Fund Head over PIPEs
• SEC Aims to Clean Up Grocery Spill
• Dried Dough: Krispy Kreme's Woes
• Fairchild Dumps KPMG
• CTRL-ALT-DELETE: Dell Frozen, Restarting
• Former HealthSouth CFO Back in Court
• Grand Theft Auto, for Real
• The Morality Play
• Shareholders Cry Foul in Calpine Plan
• Former CFO of a high-end car dealer is accused of embezzlement
• Ex-Controller Settles Fraud Case
• Unregistered Auditors Busted by SEC
• SEC Takes Aim at Ex-Nortel Finance Execs
• CFOs' Optimism Plummets to Six-Year Low
• CSC Tax Review Uncovers Years of Errors
• Wireless Company's CFO Takes a Leap
• Ace Discovers $154M Inventory Error
• Finite-risk Probe Halts Assurant Buyback
• Couple Guilty in "Pillow-talk" Case
• Top Exec Steps Down from FASB Parent
• Macau Gambling Plan Loses $1B in Loans
• Saks Settles SEC Vendor-Allowance Suit
• Motive Inc. Restates, Looks for Auditor
• Did Fake Purchase Orders Oust CFO?
• Overhill Farms CFO Goes over the Fence
• Internal Probe Stalls Retailer's Filings
• CEO Put on Leave Following Audit
• Uncollectibles Force SEC Settlement
• Internal Probe Stalls Children's Place Filings

I couldn't believe it - almost 40 headlines IN 21 DAYS showcasing matters relating to corporate fraud or incompetence (or both).

Makes me wonder?  Is fraud or mismanagement of company assets becoming a "corporate value?"  The headlines over three weeks would seem to indicate that is the case?  Has greed overtaken "core values" as being more desirable for workers than working hard, protecting company assets and keeping the customer satisfied?

Is the "I got mine" mentality, where managers and executives put their own self interest ahead of the employees, customers and shareholders leading to higher levels of frustration in the business world resulting in the attitude of "what the hell, everybody else is doing it?"

If this phenomenon is occurring on an increasingly widespread basis, what effect does this have on Workforce Development?  Do frustrated competent and honest workers leave for places they perceive as better or more ethical?  Does it become harder to attract and recruit top talent, when a cloud (either publicized or not) hangs over the business/organization?  Or do the "opportunists" flock to the firms being investigated in the hopes that they can profit from the "birds of a feather" mentality?

Readers - what do you say?

Offshoring is also eroding the quality of the U.S, workforce

Offshoring is increasingly eroding the quality of the workforce in the US. There are fewer entry level IT jobs in the US. These jobs go to increasingly Indian or Chinese software engineers. Similarly, the legal and investment banking tasks sent overseas are the yeoman's work that historically enabled young people to learn the profession. Next are the entry level jobs in architecture and design/engineering.

Fortunately, many service firms aren't of a scale where this sort of outsourcing is viable, but nevertheless, it reduces the number of domestic training positions. It's a hollowing out of service industries. The fact that is is now happening at the very large firms that do the most sophisticated corporate work begs the question of where their next generation of executives / principals and partners will come from.

Where will it end.  Keep watching this blog.  We've got answers coming for you.

Statistics vs. Real Life

A recent article in Parade magazine discusses a concern about the "real" basis of government published workforce statistics.

The article cites:
Many Americans feel that government statistics don’t match their daily experience. “Inflation seems worse than official reports indicate,” says Arden Davis, who made $94,300 teaching geological engineering at the South Dakota School of Mines and Technology last year. His view is widely shared. The Consumer Price Index (CPI) says inflation is low, but the cost of necessities like housing, utilities, health insurance and education is rising faster than wages for most Americans. “ The CPI is heavily influenced by the wealthy, who do most of the spending,” explains Zandi.

The Parade article continues, “It doesn’t reflect the budget of most Americans.” Gary Earl Ross, who earned $64,900 as an English professor and author in Buffalo, N.Y., agrees: “Any wage increase I’ve gotten is offset by increases in the cost of living,” he says, “and in the fall I’ll have two kids in college.” Marie Ouano made $75,000 last year performing X-ray and MRI exams as a radiology technician but says housing in San Francisco is so expensive, she’s not sure she can afford to buy a home on one income.

This has always interested me.  The CPI, against which many published economy statistics are grounded, generally excludes costs of housing, food, and energy costs, which have all been rising as of late. 

Does this make sense?

Blog :Global Labor Strategies

Global Labor Strategies an advocacy blog containing both accepted as well as highly controversial discussion of ideas and resources for the global labor movement caught my attention recently.  It is an excellent resource on what's happening in the organized labor community, and provides good insights on policies and activities of "players" in the global labor marketplace.  Stuff that we all need to stay on top of.

The authors include Tim Costello who has over 40 years of work and union experience in the area. He helped organize and served as Coordinator of the Boston based North American Alliance for Fair Employment, Brendan Smith is a legal expert (J.D. Cornell University Law School) specializing in national and international labor law and policy.  He is currently co-director of the UCLA Law School Globalization and Labor Standards Project, Jeremy Brecher a leading labor historian, writer, and documentary script writer who has for more than two decades collaborated with Costello in research and publishing numerous books about labor and globalization, and Claudia Torrelli of Montevideo, Uruguay. who handles GLS’s Latin American network, an activist the in labor—community based Hemispheric Social Alliance, and in other social movement organizations in Latin America.

In this blog, you will find insights not readily available elsewhere.  For example, a recent article "Why Labor Can and Should Lead a Reassessment of Approaches to China"  examines the role of the U.S. labor movement in the reassessment of approaches to China.

Great blog and excellent overall resource on this important aspect of todays global workforce.

What do these employers do right?

According to Family Business magazine, there are a number of really old family businesses in existence.  One might ask, "what is it that keeps these firms going - generation after generation"?

The quality and consistency of the workforce has been a factor in all of these successful businesses.  many have employee ownership programs in place, all respect the people who have helped maintain the business over time

* Denotes new addition.

1. Kongo Gumi
Construction/Osaka, Japan
Founded: 578
40th generation
www.kongogumi.co.jp
Prince Shotoku brought Kongo family members to Japan from Korea more than 1,400 years ago to build the Buddhist Shitennoji Temple, which still stands. Over the centuries, Kongo Gumi has participated in the construction of many famous buildings, including the 16th-century Osaka castle. Today the family continues to build and repair religious temples and manage general contracting from its Osaka headquarters. Current president is Toshitaka Kongo; his 51-year-old son, Masakazu Kongo, is waiting in the wings.

2. Hoshi Ryokan
Innkeeping/Komatsu, Japan
Founded: 718
46th generation
www.ho-shi.co.jp/jiten/Houshi_E/
According to legend, the god of Mount Hakusan visited a Buddhist priest, telling him to uncover an underground hot spring in a nearby village. The hot spring was found, and the priest requested that his disciple, a woodcutter’s son named Garyo Saskiri, build and run a spa on the site. His family, known as Hoshi, have run a hotel in Komatsu ever since; the current structure houses 450 people in 100 rooms. Zengoro Hoshi is the current patriarch.

3. Château de Goulaine
Vineyard, museum, butterfly collection/Haute Goulaine, France
Founded: 1000
http://chateau.goulaine.online.fr
The castle, owned by the Goulaine family, houses a rare butterfly collection in addition to a museum. It hosts various functions, including weddings. Wine is available for sale at the castle’s vineyards.

*4. Fonderia Pontificia Marinelli
Bell foundry/Agnone, Italy
Founded: c. 1000
Bell foundry founded in the small central Italian town of Agnone, high in the Appenine hills. Still uses the original wax techniques of its founders (a wax “false bell” is overlaid with the real thing); its bells toll in New York, Beijing, Jerusalem, South America and Korea, among other locations. Firm has 20 employees, including five members of the founding Marinelli family. Pasquale Marinelli is current managing director. A museum, opened in 1997, features the work of Pasquale’s brother, sculptor Ettore Marinelli.

5. Barone Ricasoli
Wine and olive oil/Siena, Italy
Founded: 1141
www.ricasoli.it
The Ricasoli barons were first given their land by the Republic of Florence; today their Brolio Estate covers about 3,600 acres. The family’s main focus is its wine production, although 26 acres of the estate are used for olive cultivation.

6. Barovier & Toso
Glass making/Murano Venezia, Italy
Founded: 1295
20th generation
www.barovier.com
The Barovier family produces crystalline glass, mother-of-pearl glass and gold-free cornelian red on Murano Island, about a ten-minute ferry ride from Venice. The Baroviers merged with the Toso family, who were also glassmakers on Murano Island, in 1936.

7. Hotel Pilgrim Haus
Innkeeping/Soest, Germany
Founded: 1304
www.pilgrimhaus.de
The Hotel Pilgrim Haus is operated by the Andernach family in the town of Soest, about 110 miles north of Frankfurt.

8. Richard de Bas
Paper/Ambert d’Auvergne, France
Founded: 1326
www.richarddebas.fr
Richard de Bas has a longstanding reputation for high-quality papers, which has led to many high-profile jobs. The company has supplied paper for limited-edition works by Braque and Picasso. It also operates a museum.

9. Torrini Firenze
Goldsmiths/Florence, Italy
Founded: 1369
www.torrini.com
Jacopus Torrini moved to Florence from his native village of Scarperia to forge armor for Florentine knights. His workshop later evolved into a goldsmith, creating jewels and other precious objects. Perhaps the family’s most valued possession is its secretive and exclusive “Oro Nativo” manufacturing process, a method of working with gold while retaining its most natural color.

10. Antinori
Wine/Florence, Italy
Founded: 1385
19th generation
www.antinori.it
The Antinori family has been in the wine business since Giovanni di Piero Antinori joined the Florentine Guild of Vintners more than 600 years ago. Marchese (or “Count”) Piero Antinori, and his three daughters currently oversee a system of vineyards in Italy, the U.S., Hungary, Malta and Chile that continue to be recognized by consumers and wine critics for their superior-quality Chiantis and other vintages. He sold 49% to British beer brewer Whitbred in 1983, later bought it back. The company has been housed in a Florentine palazzo since 1506.

11. Camuffo
Shipbuilding/Portogruaro, Italy
Founded: 1438
18th generation
The business began in Khanià, a Venetian port on the island of Crete. It was founded by a man locals called “Camuffi” but whose real name was El Ham Muftì. The family has supplied boats to Mohammed the Second, the Venetian Republic, Napoleon, the Asburg Imperial and the Royal Italian navies. Experts refer to a Camuffo boat as “the Stradivarius of the sea.”

12. Baronnie de Coussergues
Wine/Montblanc, France
Founded: 1495
16th generation
www.henokiens.com/index_baronnie_gb.php
When King Charles VIII began selling royal property in France to pay off some of his expenses, Pierre Raymond de Sarret bought the estate known as Coussergues. Today the vineyard produces a wide variety of wines, including Chardonnays, Sauvignon Blancs, Viogniers, Cabernet Francs, Merlots and Cabernet Sauvignons. The Sarret family sells 1.5 million bottles a year and has won numerous gold medals for its wines.

13. Grazia Deruta
Ceramics/Turin, Italy
Founded: 1500
The company produces majolica, a special type of ceramic that pre-dates the 13th century. Current CEO Ubaldo Grazia has expanded the company’s business into the U.S. market and has produced three exclusive designs for Henri Bendel. Grazia has also done work for other major department stores and labels, such as Neiman-Marcus and Tiffany.

14. Fabbrica D’Armi Pietro Beretta S.p.A.
Firearms/Gardone, Italy
Founded: 1526
14th generation
www.beretta.it
Bartolomeo Beretta’s world-class gun-maker is now a Hollywood favorite; its guns appear in the James Bond series, among other films. Beretta’s reputation for quality craftsmanship enabled the company to wrest a $56 million U.S. armed forces contract away from competitor Colt Industries. Beretta is the weapon of choice of other law-enforcement agencies around the world, such as the Italian Carabinieri, French Gendarmes and Texas Rangers. The company also has earned distinction for its line of hunting weapons. Ugo Gussalli Beretta is the company’s current president.

*15. William Prym GmbH & Co.
Copper, brass, haberdashery/Stolberg, Germany
Founded: 1530
www.prym.com
Goldsmith Wilhelm Prym started a brass and copper manufacturing business in Aachen in 1530. In 1642, the Protestant Prym family lost its guild rights in the Catholic city of Aachen and moved to Stolberg. In the 19th century, Prym developed the first finished products made of brass, iron and steel and later manufactured the first metal haberdashery products to be made mechanically. Michael Prym (born 1943) and Axel Prym (born 1950) are among the current company managers.

16. John Brooke & Sons
Woolens/Huddersfield, United Kingdom
Founded: 1541
15th generation
www.yorkspark.co.uk
The company, founded by John Brooke, has provided fabrics for British troops (Battle of Trafalgar, World War II), French troops and Russian military personnel. In the 19th century it had 220 looms and 900 employees, down to 280 by 1969. Today it’s headed by Mark Brooke and his brother Massimo Brooke. Mark has changed the company’s focus within the past decade, abandoning manufacturing and instead creating an entrepreneurial development park in the firm’s old mill buildings.

17. Codorniu
Wine/Saint Sadurní d’Anoia, Spain
Founded: 1551
www.codorniu.es
Jaime Codorniu acquired the company in 1551, beginning centuries of family ownership. In 1976 King Juan Carlos I declared the Codorniu estate a national historic and artistic monument. The estate is visited by 200,000 people every year and produces about 60 million bottles of wine annually.

18. Fonjallaz
Wine/Lavaux, Switzerland
Founded: 1552
13th generation
www.fonjallaz-vins.ch
Pierre Fonjallaz began the family business when he “devoted himself to the growing of the vine,” as the label on a bottle of Fonjallaz wine will tell you. The company is now headed by Patrick Fonjallaz.

19. von Poschinger Manufaktur
Glassmaking/Frauenau, Germany
Founded: 1568
13th generation
www.poschinger.de
The von Poschinger glassworks in Germany began in 1568 when Joachim Poschinger took ownership of a glass factory near Frauenau, near the Czech border. Today the business is divided into three areas—farming, forestry and glass works—though glassmaking is still the focal point of family business affairs.

20. Hacienda Los Lingues
Ranch/San Fernando, Chile
Founded: c. 1575
15th generation
www.loslingues.cl
The Angostura Estate, located in Chile’s Central Valley 78 miles south of Santiago, was originally granted by royal decree of Spanish King Felipe II to Don Melchor Jufré del Aguila for merit in the arts of war and fine writing. Currently dedicated to the hotel business. Named best wine valley in the world by Wine Enthusiast magazine; has a strategic agreement with Viña Los Vascos (Domaines Barons de Rothschild [Lafite]) under which Viña Los Vascos produces, bottles and labels a selection of five wines under the trademarks Hacienda Los Lingues and Los Lingues. It’s also the home of one of the most prestigious horse stables in the Americas: the Aculeo Stable, which features horses brought to Spain by the Moors in 711 and later brought to the New World by the Spanish Conquistadors. Family member Germán Claro Lyon is the general manager.

21. Wachsendustrie Fulda Adam Gies
Candles, wax figures/Fulda, Germany
Founded: 1589
Maker of candles and wax figures still operated by the founding Gies family.

22. Berenberg Bank
Banking/Hamburg, Germany
Founded: 1590
www.berenberg.de
One of the few remaining independently owned banks in Germany.

23. R. Durtnell & Sons
Construction/Kent, United Kingdom
Founded: 1591
12th generation
www.durtnell.co.uk
Founder John Durtnell and his brother Brian built their first house in 1593. It still stands and is occupied to this day. The company, based in Kent, is extremely versatile; its projects have included the Royal Military Academy, Chartwell House (Winston Churchill’s home) and Buckingham Palace.

24. J.P. Epping of Pippsvadr
Grocers/Germany
Founded: 1595

25. Eduard Meier
Shoes/Munich, Germany
Founded: 1596
13th generation
www.edmeier.de
The company today is run by Peter Eduard Meier and his sister Brigitte. Its product line consists of about 4,500 items.

*26. Toraya
Confectioners/Tokyo, Japan
Founded: pre-1600
17th generation
www.toraya-group.co.jp
Japan’s oldest traditional confectionery has been making the sweet delicacy known as wagashi since its founding in Kyoto by Enchu Kurokawa. After his son Kichiemon Kurokawa cultivated relationships with Japan’s nobility, the firm became purveyor to Japan’s Imperial Court in the 17th and 18th centuries. The firm moved to Tokyo in 1879 and opened its first branch retail outlet in 1962. Today, under Mitsuhiro Kurokawa, a former banker, the firm operates 79 shops with revenues of about $150 million.

27. Tissiman & Sons Ltd.
Tailors and outfitters/Bishop’s Stortford, United Kingdom
Founded: 1601
www.tissimans.co.uk
Established as a tailor, draper and undertaker; now offers formal and casual clothes and shoes. The original building in Bishop’s Stortford (which dates from about 1360) is still in use.

*28. Enshu Sado School
Ceremonial tea school/Tokyo, Japan
Founded: c. 1602
13th generation
www.enshuryu.com
The school has thrived for 400 years, imparting the traditional Sado tea ceremony and its culture to Japanese. Founded by Lord Enshu Kobori (1579-1647), who served as official tea instructor for Japan’s second and third shogun and built the famous Nagoya and Osaka castles. Current grand master Sojitsu Kobori succeeded his father in 2001 at age 44 and now oversees a staff of 20 with 30,000 practitioners, 53 local chapters in Japan, international chapters in Holland and Korea, and a school in Singapore. He goes to the school’s ancestor room each morning to pay his respects to his forebears.

29. Takenaka
Construction/Osaka, Japan
Founded: 1610
www.takenaka.co.jp
Takenaka has built office buildings for some of Japan’s major corporations, such as Mitsui Bank and Nippon Life Insurance. The family company has won many awards for design, technique and quality.

30. Mellerio dits Meller
Jewelry/Paris, France
Founded: 1613
15th generation
www.mellerio.fr
Members of the Mellerio family from Lombardy, Italy, became seasonal workers in France in the 16th century as purveyors of handcrafted jewelry. The family became royal favorites when it helped foil an attempted assassination of King Louis XIII. Located today near the Place Vendôme in Paris, Mellerio is known for fine jewelry and as designers and creators of the French Open tennis championship trophies.

31. Cartiera Mantovana Corp.
Paper/Mantua, Italy
Founded: 1615
www.cartieramantovana.it
The Marenghi family, descendants of Riccio da Parma (a knight famous for his battles in the early 1500s), owns the company. On July 1, 1615, the Duke of Mantua granted the family the privilege to make and and sell paper; production began that year. The company is currently run by Cristina Marenghi and her sons Marcofabio, Alberto and Vittorio.

32. Zildjian Cymbal Co.
Cymbals/Norwell, Mass.
Founded: 1623
14th generation
www.zildjian.com
Founded in Constantinople by an alchemist named Avedis I, who discovered an extremely musical metal alloy to create powerful, durable cymbals. The sultan named him “Zildjian,” Armenian for “cymbalsmith.” The family arrived in the U.S. in 1909, in time for Avedis Zildjian III to establish ties with the hot new jazz drummers of the day. His son Armand (1921-2002) created modern factory. Today his daughters Craigie (CEO) and Debbie (VP/human resources) run the company, the first women chiefs in the firm’s long history.

33. Kikkoman
Soy sauce/Noda, Japan
Founded: 1630
www.kikkoman.com
On the run after her husband’s military defeat and death at the Osaka castle in the 16th century, widow Shige Maki escaped to Noda, Japan, and established a small business making what was to become soy sauce. The family business became a unified company in 1917 when eight branches of the Mogi family merged their companies together. The company has grown into the world’s largest producer of soy sauce products.

34. Sumitomo Corp.
Conglomerate/Tokyo, Japan
Founded: 1630
www.sumitomocorp.co.jp
Masatomo Sumitomo opened a medicine and book shop in Kyoto in the 17th century. As time went on, various members of the family added to the conglomerate, making it what it is today. Sumitomo Group’s current core consists of 20 companies focusing on banking, shipbuilding, mining, glass production, electronics, cement, lumber and chemicals.

35. Akerblads
Hotel/Tällberg, Sweden
Founded: 1630
21st generation
www.akerblads-tallberg.se
This charming hotel in Tällberg is currently run by members of the 19th through 21st generations of the Akerblads family. The property has been remodeled and expanded over the years but still conveys a 17th-century atmosphere while offering excellent cuisine and warm Swedish hospitality.

36. Tuttle Farm
Agriculture/Dover, N.H.
Founded: 1635-38?
11th generation
Founder John Tuttle left England in 1635, survived a shipwreck off the Maine coast and arrived in Dover with his wife and four-year-old daughter. His 240-acre farm grows vegetables and strawberries and operates retail shop on site. Twelfth-generation member Evan Hourihan, who is in his 20s, has expressed interest in the family farm.

37. Gekkeikan
Sake/Fushimi, Japan
Founded: 1637
13th generation
www.gekkeikan.co.jp
The Gekkeikan brewery was established by Jiemon Okura in the town of Fushimi. The quality of its sake has led to the company’s appointment as the official supplier of the Japanese Imperial household. Currently, the business makes more than 170 different products and exports to more than 60 countries.

38. Shirley Plantation
Historical site/Charles City, Va.
Founded: 1638
11th generation
www.shirleyplantation.com
Virginia’s oldest plantation was settled in 1613 on the James River between Richmond and Williamsburg (near the present Charles City) by Sir Thomas West. Operated as a tobacco and grain farm, 1613-1952. Acquired in 1638 by Edward Hill and managed by his descendants ever since. His great-granddaughter Elizabeth Hill married John Carter in 1723; site has been owned since then by their descendants. Under tenth-generation owner Charles Hill Carter Jr. and his wife, it was converted to a tourist attraction in 1952; since 1998, it has hosted weddings and corporate events as well under the Carters’ children.

39. Hugel et Fils
Wine/Riquewihr, France
Founded: 1639
12th generation
www.hugel.com
The Hugel family’s roots in the war-torn Alsace-Lorraine region of France reach back to the 15th century. In 1639 the family began to make wine in the town of Riquewihr. Today its vintages have an outstanding international reputation and are exported to more than 100 countries.

40. James Lock & Co.
Hatters/London, United Kingdom
Founded: 1642
www.lockhatters.co.uk
The company was founded by James Lock and now makes men’s and women’s hats. One of its most recognized creations is the bowler.

41. Barker’s Farm
Dairy and apples/North Andover, Mass.
Founded: 1642
11th generation
Family farm now run the Barker family. Visitors can pick produce.

42. G.C. Fox & Co.
Shipping agent/Falmouth, United Kingdom
Founded: 1646
Shipping agent (now travel agency as well) founded by George Croker Fox.

43. R.H. Levey & Son
Funeral services/Stansted Mountfitchet, United Kingdom
Founded: 1649

44. William Adams & Sons
Potters/Stoke-on-Trent, United Kingdom
Founded: 1650
12th generation
www.thepotteries.org/potters/adams.htm
The family has been producing pottery since at least 1448. In 1650, brothers William and Thomas established their pottery business in Burslem, about 35 miles south of Liverpool. It’s currently run by members of the 11th and 12th generations.

45. Ulefos Jernvaerk
Metals, milling, forestry/Telemark, Norway
Founded: 1657
On Aug, 8, 1657, King Fredrik III gave a royal decree allowing the Cappelen family to begin the company’s operations. The family has become involved in many different businesses over the years: owning ships, trading and producing stoves and manhole covers. The company is currently Norway’s market leader in manhole covers, which accounts for 70% of the family’s business.

46. Van Eeghen
Trading company/Amsterdam, Netherlands
Founded: 1662
14th generation
www.vaneeghen.com
Christiaen Van Eeghen established himself circa 1633 in Aardenburg (in the present Flanders, Belgium) as a cloth merchant. His son Jacob van Eeghen founded Van Eeghen & Co. in 1662 in Amsterdam, where the business remains. Subsequent generations launched sailing ships to spread their markets along historic spice routes to British colonies and the Far East. Today Van Eeghen continues its involvement with world trade but specializes in food products.

47. Schwarze & Schlichte
Distillery/Oelde, Germany
Founded: 1664
12th generation
www.schwarze-schlichte.de
Jan Swarte (the surname was later changed to Schwarze) began the family business in Westphalia, where he was a farmer and a distiller. Four generations later, Hermann Josef Schwarze bought a house at Herrenstrasse, where the family still lives. This house serves as the company’s headquarters. The Schwarze Group acquired the Schlichte brands in the 1990s.

*48. The Seaside Inn and Cottages
Innkeeping/Kennebunkport, Maine
Founded: 1667
12th generation
Mason family
www.kennebunkbeach.com
At the request of Fernando Gorges, agent for King Charles II, John Gooch was asked to reside on this oceanfront peninsula at the mouth of the Kennebunk River to ferry travelers across in the 1640s. He provided rooms and operated a tavern for travelers who stayed in the area. The family’s first dated record is Gooch’s will, dated 1667. The property was passed down for generations to the first-born son. Four generations ago the Gooches had only daughters, and the name “Severance” was introduced. The current 12th-generation innkeeper, Patricia Mason—daughter of Mike and Sandy Severance—now operates the inn with her husband, Ken.

49. Early’s of Witney
Blankets/Witney, United Kingdom
Founded: 1669
Richard Early established a blanket factory in Witney in 1669, mostly contracting to spinners who worked in their homes. Family’s first weaver was his son Thomas. Brian Crawfford of the eighth generation (his mother was an Early) was with the firm from 1949 to 1986.

50. C. Hoare & Co.
Banking/London, United Kingdom
Founded: 1672
11th generation
www.hoaresbank.co.uk
The Hoare bank in London is the last survivor of the English private deposit banks that were originally established in the 17th and 18th centuries. The bank was founded by Richard Hoare and is now run by members of the tenth and 11th generations. The family’s pride in close customer relationships and meticulous service has attracted famous customers, including Samuel Pepys, Queen Charlotte, furniture makers Thomas Chippendale & Son, Lord Byron, Jane Austen and various prime ministers.

*51. Firmin & Sons Ltd.
Uniforms and insignia/Birmingham, United Kingdom
Founded: 1677
www.firmin.co.uk
Britain’s leading manufacturer of military and civil regalia (uniforms, badges, buttons, medals, swords, etc.) has served the British monarchy since about 1750. Past customers include Lord Nelson and his men at the Battle of Trafalgar, the Duke of Wellington at the Battle of Waterloo and the armies of both North and South in the U.S. Civil War.

52. Viellard Migeon & Cie.
Iron making/Forges de Morvillars, France
Founded: 1679
www.vmchooks.com
The business was started by an ironmaster named Nicolas Viellard and met with significant success after the French Revolution. During this time the business adopted a strategy of cultivating family alliances to consolidate the iron works in Belfort, about 35 miles north of Toulouse. It’s now one of the world’s leading makers of fishhooks.

53. Miller Farm
Agriculture, timber/Frederica, Del.
Founded: 1684
The farm has remained in the Miller family’s hands through nine generations. Its tillable land is currently leased to a local farmer.

54. Gradis Corp.
Wine trading/Bordeaux, France
Founded: 1685
The Gradis family, Jewish refugees from Portugal, settled in Bordeaux in the late 1500s. Diego Gradis later began the family wine trading business. During the Seven Years’ War (1756-63), family ships were used to re-supply troops in Canada. During World War I, the French government commissioned the family to ensure the supply of sugar for France. Today, the family has returned to its roots in wine trading.

55. Toye, Kenning & Spencer
Weavers/London, United Kingdom
Founded: 1685
www.toye.com
Toye, Kenning & Spencer holds a royal warrant and over the years has produced much of the U.K.’s regalia, medals and uniforms. Brian Toye is the current chairman.

56. Yamamotoyama
Tea/Japan
Founded: 1690
www.yamamotoyama.com
The Yamamotoyama family began producing premium teas in Japan more than three centuries ago. The company is now the oldest family-owned tea business in the world.

57. Delamare et Cie.
Packaging materials/Criquebeuf-sur-Seine, France
Founded: 1690
www.henokiens.com/index_delamare_fr.php
The company was founded by André Delamare and is now run by Franéois Delamare. Family members initially worked with wood, making carts and stagecoaches. Eventually they expanded into plastics and adhesives in the packaging market. The family has earned two top packaging awards, in 1986 and 1988. Today it conducts research on recycling and transformation of industrial waste.

*58. Nolet Distillery (Ketel One Vodka)
Distillery/Schiedam, Netherlands
Founded: 1691
Tenth generation
www.ketelone.com
Since its founding by Joannes Nolet (1638-1702), the Nolet family’s distillery in Schiedam has been passed from father to son, each zealously guarding the family’s secret vodka formula. The company name refers to the family’s first distilling kettle. Current proprietor Carolus Nolet, 63, maintains the family tradition of distillation by hand.

59. Folkes Group
Real estate and engineering/Lye, United Kingdom
Founded: 1697
Seventh generation
www.folkesholdings.com
The company began by making chain mail and swords and is now the oldest firm with a current stock market listing in the United Kingdom. In addition to making real estate investments, the company produces specialized cargo handling equipment, large crankshafts, roofing materials and other products.

60. Berry Brothers & Rudd Ltd.
Wine merchants/London, United Kingdom
Founded: 1698
www.bbr.com
Family of coffee, tea and spice merchants gravitated to wines and spirits later. They earned the right to supply the British royal family in 1760 and continue to do so—they currently hold royal warrants to the Queen and the Prince of Wales. The family operates out of the same shop where they began three centuries ago.

61. Shepherd Neame
Brewer/Faversham, United Kingdom
Founded: 1698
Fifth generation
www.shepherd-neame.co.uk
Britain’s oldest brewer, founded by Capt. Richard Marsh, who was the mayor of Faversham, in Kent. Samuel Shepherd and his sons Julius and John eventually bought the business. When Percy Beale Neame joined the partnership in 1864, the company’s beer began to gain widespread renown. The Neame family has remained in control ever since.

62. Allandale Farm
Fruit, produce, flowers/Brookline, Mass.
Founded: 1700?
www.allandalefarm.com
Last working farm within Boston-Brookline limits; only one of six farms left within Route 128 Beltway. Also operates summer outdoor program for children.

*63. Farina Gegenüber
Fragrances/Cologne, Germany
Founded: 1709
Eighth generation
www.farina1709.com
The world’s oldest perfume company was launched in Cologne by Johann Maria Farina (1685-1766), who made his city famous by calling his new fragrance Eau de Cologne. His namesake and eighth-generation descendant, Johann Maria Farina, runs the firm today.

64. William Dalton & Sons
Pest control/United Kingdom
Founded: 1710

65. Cooke Farm
Farm/Wallingford, Conn.
Founded: 1720?
Tenth generation
Founded 1720 or earlier, once a thriving 550-acre dairy operation. Tenth-generation proprietor George Cooke stopped milking cows in 1995, sold off most acreage and developed an industrial park. The business is now a general contractor and leases its remaining land to a tenant farmer.

66. Nourse Family Farm
Agriculture/Westborough, Mass.
Founded: 1722
www.noursefarm.com
Farm established in 1722 by the grandchildren of Rebecca Nurse, hanged for witchcraft in Salem, Mass., in 1692. The family fled Salem and in 1722 purchased land on the frontier in Westborough, where descendants have farmed the 140-acre spread for more than 280 years. Jonathan Nourse, proprietor since 1971, has expanded into prepared foods (jams, jellies, pies, etc.).

67. Tissages Denantes
Cloth/Grenoble, France
Founded: 1723
Even with more than 400 employees, the company preserves its traditions, which began in the 18th-century French trade fairs. Michel Denantes and his wife, Barbe, established a reputation for fine cloth at these fairs.

68. Amarelli Fabbrica de Liquirizia
Licorice/Rossano Scalo, Italy
Founded: 1731
eng.liquirizia.it
The family’s roots in Italy’s southern Calabria region pre-date the year 1000. Fortunato Amarelli created the Amarelli company with his son in Rossano in 1731, harvesting licorice to sweeten his land when it lay fallow. In 1987 the company won the gold medal from the Italian Chemical Company for combining traditional craftsmanship with modern technology.

69. Fratelli Piacenza Corp.
Woolens/Pollone, Italy
Founded: 1733
11th generation
www.piacenza1733.it
Pietro Francesco Piacenza created the first woolen mill in Pollone, a small town nestled at the foot of the Alps, near the Swiss and French borders. The family prides itself on its strict quality standards—its method of producing wool takes up to six times longer than some more modern techniques. The company’s president today is Riccardo Piacenza.

70. Taittinger Champagne
Champagne/Reims, France
Founded: 1734
www.taittinger.com
The business was begun by Jacques Fourneaux. After World War I, the Taittinger family merged with Fourneaux-Forest (as the company was known at the time). The Taittingers ultimately took control of the operation. Claude Taittinger runs the business today.

71. William Clark & Sons
Linen/Upperlands, Northern Ireland, U.K.
Founded: 1739
Ninth generation
www.wmclark.co.uk
The family has operated for more than 250 years as a manufacturer of linens in Northern Ireland. Their international reputation for quality and value has made Irish linen perhaps more highly prized than any other cloth. Founded by Jackson Clark, the company was named for his great-great-grandson William; it’s now run by Bobby and Stephen Clark of the ninth generation.

72. Lyman Orchards
Agriculture/Middlefield, Conn.
Founded: 1741
Eighth generation
www.lymanorchards.com
The 1,100-acre farm today offers an ambitious variety of food products (cider, apple pies, etc.), events (golf tournaments, fund-raisers) and tours.

73. John Whitley Farm
Agriculture/Williamston, N.C.
Founded: 1742
Eighth generation
Oldest farm in North Carolina. Family mementos include the original deed with wax seal of the king of England and a note from Theodore Roosevelt thanking the Whitleys for lending him their binoculars. The land is now leased for tobacco, corn, wheat, peanuts, soybeans.

74. Boplaas
Agriculture, orchards/Koue Bokkeveld, Cape Town, South Africa
Founded: 1743
Ninth generation
The farm was founded by Isaak Wilhelm Van der Merwe and is now run by two brothers, Frans and Nicolaas Van der Merwe. The family also has built a literary legacy through poet Isaac Wilhelmus Van der Merwe, known nationally as “Boerneef,” and current author Carl Van der Merwe (eighth generation). The family farm was declared a national monument in 1973.

75. Aubanel Publishing Co.
Publishing/Avignon, France
Founded: 1744
The business was started by Antoine Aubanel in Avignon. Rome awarded Antoine the title of “master printer” in 1756, and in 1780 he was appointed the official printer to the Pope, an honor that was to be handed down from generation to generation. The family refused to publish Napoleon Bonaparte’s book Le Souper De Beaucaire.

76. Fonderia Daciano Colbachini & Figli
Bell maker/Padua, Italy
Founded: 1745
www.henokiens.com/index_colbachini_gb.php
The foundry was established by Giuseppe Colbachini when he joined with his three brothers to make bells. The Colbachini family’s talents earned them the prestigious title of ‰Pontifical Foundry” on Jan. 17, 1898. To this day, Fonderia Daciano Colbachini & Figli is the only maker of bells in the world that is able to stamp its products with the Papal coat of arms. The business is currently directed by Giovanni Aldinio-Colbachini.

77. J.D. Neuhaus Hebezeuge
Hoist manufacturers/Witten-Heven, Germany
Founded: 1745
Seventh generation
Johann Diederich Neuhaus began the business when he joined the Factory Register in Germany as a manufacturer. The company started by producing wooden jacks, which were in high demand by carters who would constantly break their wheels on the rough terrain of 18th-century roads. In 1952 the company invented the air hoist, which was much safer than the electrical hoists produced at the time. Today, the company’s products are sold in 90 countries. One product, the Gorilla V, is reportedly the world’s most powerful air hoist: It can lift 250 tons. Johann Diederich Neuhaus is the current chairman.

78. Villeroy & Boch
Housewares/Mettlach, Germany
Founded: 1748
www.villeroy-boch.com
The family business began in Lorraine when François Boch, then an iron founder, started making ceramic tableware. In 1791, Nicolas Villeroy established a nearby ceramic factory. In 1836, these two families merged their factories to form Villeroy & Boch.

79. Zenith Pipe Company
Tobacco pipes/Gouda, Netherlands
Founded: 1749
Eighth generation
Aart van der Want currently runs the company.

80. Parlange Plantation
Farm/New Roads, La.
Founded: 1750
www.pcchamber.org/parlange.htm
One of the state’s oldest plantations; descendants of first owner Marquis Vincent de Ternant still live there. Originally grew indigo and cotton; now sugarcane, soybeans, corn and Brahmin cattle. The house, open for tours, contains original Louis XIV- and Louis XV-style furnishings and French objects handed down through generations. A basement museum displays antiques: blacksmith tools, cotton scales, sugar kettles (formerly used to boil indigo beans down to a dye), candle molds, and an 1842 inventory of the estate, which lists livestock by name and ranks the value of each slave by age and ability.

81. Marie Brizard & Roger International
Distiller/Bordeaux, France
Founded: 1755
Eighth generation
www.marie-brizard.com
The company traces its origins to 18th-century Bordeaux, where, as legend has it, Marie Brizard saved a sailor from death. To show his gratitude, the sailor told Marie about an elixir that supposedly could cure every type of ill. Marie joined with her nephew Jean-Baptiste Roger to start the family company by producing the “elixir” known as anisette. The business is still centered in Bordeaux and is currently run by Jean-Baptiste Roger. Today the company’s products can be found in 130 countries.

82. Joseph Drouhin
Wine/Beaune, France
Founded: 1756
www.drouhin.com
Parts of the family’s wine cellars date to the 13th century. One portion of their cellar was built in the 16th century for the king of France. The family’s cellars have been classified as historical treasures. Today the estate covers more than 162 acres. Family members Robert, Philippe, Véronique, Françoise and Frédéric currently run the winery.

*83. Franz Haniel
Conglomerate/Duisburg, Germany
Founded: 1756
www.haniel.de
Family-owned conglomerate based in Duisburg controls Gehe, Europe’s biggest drug wholesaler, and Lloyd Chemists, a household name in Britain. It also has large stakes in retailers, mail-order houses, steel recycling, concrete blocks and disaster recovery services. Sales exceeded $25 billion in 2002. The company was founded by Jan Willem Noot and later renamed for his grandson Franz Haniel. About 520 Haniel family members are shareholders (although an unwritten rule precludes them from working there full-time). Franz Haniel, 49, is chairman of the firm’s supervisory board.

*84. Riedel Glas GmbH
Glassmaking/Kufstein, Austria
Founded: 1756
11th generation
www.riedelcrystal.com
Johann Christoph Riedel (1678-1744) journeyed throughout Europe trading glass. His son Johann Carl Riedel (1701-1781), a guilder and glasscutter, operated his own workshop. Grandson Johann Leopold Riedel (1726-1800) founded glass factory in 1756, benefited from the need to rebuild windowpanes after the Seven Year War (1756-1763) between Austrians and Prussians. The company is now known for making wineglasses. Georg Riedel of the tenth generation is the president. Eleventh-generation member Maximilian Riedel (born 1977) is in charge of the North American market; Laetizia Riedel (born 1974), a lawyer, plans to become the firm’s legal adviser.

85. Lanificio Conte S.p.A.
Woolens/Schio, Italy
Founded: 1757
www.henokiens.com/index_lanificio_gb.php
The business was started when Antonio Di Giovan Battista bought a woolen mill in 1757. The current president is Gemma Boniver Conte. The firm has cultivated a reputation for fine women’s clothing.

86. Jose Cuervo
Tequila/Tequila, Mexico
Founded: 1758
www.cuervo.com
José Antonio de Cuervo acquired a land grant from the king of Spain in 1758. In 1795, José Maria Guadalupe Cuervo was granted the first license from the king to produce tequila. The family business is now Mexico’s oldest existing company. In Spanish, Cuervo means “crow,” the symbol the firm uses to identify its products.

87. Waterford Wedgwood
Crystal, china, & cookware/Dublin, Ireland
Founded: 1759
www.waterfordwedgwood.com
Waterford Wedgwood is perhaps the world’s leading maker of luxury crystal, china, ceramics and cookware. The company’s most visible product is the large crystal ball lowered every New Year’s Eve in New York’s Times Square. Chairman Tony O’Reilly and his brother-in-law control about 27%.

88. Creed Perfume
Perfumes/Paris, France
Founded: 1760
Seventh generation
www.parfumsraffy.com
The business was started in the U.K. in 1760 when James Creed received an appointment from King George III to make fragrances. The company moved its operations from London to Paris in 1854. Prince Charles and the late Diana, Princess of Wales, both commissioned the company to make scents for them. Today the company has 238 fragrances in its line and is run by Olivier Creed.

89. Griset
Foundry/Villers-St. Paul, France
Founded: 1760
www.griset.com
Antoine Griset established the family’s first metal foundry in Paris in 1760. The factory was moved to Rue Oberkampf in Paris in 1825. Here the platinum bar used by the International Bureau of Weights and Measures to denote the “standard meter” was first produced.

90. Faber-Castell
Writing instruments/Stein, Germany
Founded: 1761
Eighth generation
www.faber-castell.com
The company was founded in Stein, Germany (near Nuremberg), when Kaspar Faber, a carpenter, produced his own pencils. Count Anton Wolfgang Graf von Faber-Castell currently manages the company, which offers about 2,000 products with 2002 sales of $263 million.

91. Möller Group
Metal products/Bielefeld, Germany
Founded: 1762
Seventh generation
www.henokiens.com/index_moller_gb.php
The family can be traced back to 1575. The Möllers began working with copper in 1762. Successive generations expanded the family’s focus to include a tannery and leather goods factory (1827), an engineering division (1863) and a plastics division (1936). Dr. Peter von Möller, who represents the seventh generation, currently runs the company.

92. Bachman Funeral Home
Funerals/Strasburg, Pa.
Founded: 1769
Eighth generation
www.bachmanfuneral.com
Johannes Bachman, a Swiss Mennonite, began as cabinetmaker in Lancaster County, Pa., and evolved into coffins and funerals. His original business ledger (in German), dated April 1769, has been passed to the present eighth generation. John D. Bachman is the current director.

93. Silca
Keys & key cutting machines/Vittorio Veneto, Italy
Founded: 1770
Fifth generation
www.silca.it
Camillo Bianchi started the business when he invented the key-cutting service. The company serves more than 130,000 key-cutting centers, locksmiths and manufacturers in the security and automotive industries worldwide.

94. Osborne y Compania
Brandy and sherry/Cadiz, Spain
Founded: 1772
Sixth generation
The business was started by an Englishman, Thomas Osborne Mann, who in the late 1700s owned an export agency in Cadiz. He enjoyed early success through his friendship with a British consul, who allowed him to store his wines in the consulate’s personal cellar. Today the company has about 700 employees and is headed by Tomas and Ignacio Osborne.

95. Editions Henry Lemoine
Music publishing/Paris, France
Founded: 1772
www.editions-lemoine.fr
The family business was begun by Antoine-Marcel Lemoine in Paris. In 1810 he published the Messe Solennelle, composed for the coronation of Napoleon I. The company also published the works of Chopin, Berlioz, Donizetti, Halevy, Franck, Gounod, Messiaen and Piazzolla. Pierre Lemoine currently heads the company.

96. Stuart Land Co. of Virginia
Cattle/Rosedale, Va.
Founded: 1774
Eighth generation
Beef cattle operation still functioning. Henry Smith II started Clifton Farm. When his great-granddaughter Mary Taylor Carter married William Alexander Stuart, she brought a dowry of 80,000 acres, which Stuart added to his own large land holding. Current proprietor William (Zan) Stuart is eighth generation from founder; he has no children in the business, but his grandchildren may succeed him.

97. JB Fernandes & Sons
Tools & ironwares/Lisbon, Portugal
Founded: 1778
Sixth generation
www.redcube.org/JBF
In 1778 an earthquake ruined much of Lisbon, then one of Europe’s most brilliant capitals. This disaster prompted Ignacio Jose Fernandes to open a business selling tools and iron goods to help rebuild the city. Today the firm is an industry leader in Portugal.

98. St. John Milling Co.
Milling, farm products/Watauga, Tenn.
Founded: 1778
Sixth generation
Stone mason Jeremiah Dungan built the original foundation for the mill and stone manor (still standing) and ran the mill with his children Jeremiah and Mary D. Hendrix. The mill passed to his son Jeremiah’s daughter Mary and her husband, John Houston (brother of frontier hero Sam Houston), and then to their sons John Jr. and William Houston. They were succeeded in 1866 by George W. St. John (1837-1904), great-nephew of Jeremiah Dungan. His son James St. John (1874-1956) inherited the mill from his father in 1904. His son George St. John, an electrical engineer, succeeded him and converted the farm’s power source from water to electricity. Today the mill is owned by George’s daughter and son-in-law, Elizabeth and Ron Dawson. The operation changed from general feed and milling to a feed and seed store. Owing to shifting boundaries, the company has paid taxes in three different states: North Carolina, Tennessee and the short-lived “State of Franklin.”

99. Ditta Bortolo Nardini
Distillery/Bassano del Grappa, Italy
Founded: 1779
www.nardini.it
Bortolo Nardini founded the distillery when he bought an inn next to the famous Bassano Bridge, about 45 miles northwest of Venice. The inn became known as the “Grapperia Nardini.” Grape pomace acquavite (known as grappa) had been made by peasants living in the area before the Nardinis arrived. Nardini introduced technology to the process of distilling the seeds, skins and stems left at the end of the winemaking process, making it more modern and scientific.

100. Laird & Co.
Brandy Distiller/Scobeyville, N.J.
Founded: 1780
www.lairdandcompany.com
America’s first large-scale distiller produces AppleJack brandy, vodka, gin, scotch, bourbon, tequila, wines, etc. Robert Laird, Revolutionary War soldier, first distilled AppleJack in 1780 to serve at inn, provided brandy to George Washington.

New Workforce Model facing Opposition

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