As unemployment nears 10 percent and with no end in sight for the worst downturn in the job markets since the Great Depression, a structural change is occurring in the American workforce that is forcing many of us to become more self-reliant on matters of retirement.
The reality is that the U.S. economy is not simply going through a cycle but is undergoing a structural change that will alter for years the employment picture.
Companies are becoming conservative in their hiring practices, and managers are constantly looking for ways to stay lean in their employment practices.
What we are seeing is a shift towards an era of relying more on contract workers, part-time employees, and consultants to make up the bulk of the workforce rather than full-time employees.
And many of these workers will not be provided any retirement benefits.
The changing dynamics of the workforce is forcing individuals to pay more attention to their retirement plans.
Workers who are not employed with full-time benefits will now need to set aside an even greater percentage of their income for retirement through disciplined savings.