Most of us living in the western world don't like the use of overseas cheap labour, and worse, we don't like them coming to our shores and stealing our jobs. What's disturbing is that we are the cause.
The use of cheap overseas labour is not new, but in recent times, the importation of cheap labour onto our shores is becoming a fact too hard to bear. Just recently in Australia, a story was shown nation wide of how employers are now paying for companies to supply them with cheap labour from places like Southeast Asia.
The argument put forward by the employers is that they are cheap, reliable, qualified, and most importantly, they want to work, and this is more than what can be said for Australians, especially the young.
On the other side of the coin, union bosses are crying foul because it is impossible for a qualified worker in Australia to compete with a similarly qualified worker from overseas, who is asking around 30 to 40% of the asking rate from Australians.
But not once, throughout this whole story did any body try to expose the reason this explosion of cheap labour, whether it be in our own country or outsourcing, is occurring.
Let's compare a country like Australia or the US to a country like China, and the average families behaviour to work and money, and also their outlook in life.
In Australia or the US, the average family is saving around 2% of their total household income. In China, the average family is saving around 40%. This is a massive difference, and the fact that the average worker in China is willing to work for around 5% of the income earned by someone in the US, it makes it even more difficult to swallow.
The Chinese also adopt an attitude of waiting for their spoils. Another words, unless they can pay cash for something, they will not attempt to purchase it. On the other hand, we in the western world want everything now and in most instances, not a second thought goes into the cost of these actions down the road.
So what are these two distinct differences creating? Well, think about it! Because westerners want everything now, they need to use credit. This overuse of credit is causing massive personal debt, so is it any wonder our average savings rate is only 2%.
The Chinese can save 40% of their income because they are prepared to wait for their luxuries, and they have no personal debt.
So what has this got to do with cheap labour flooding our markets? It has plenty.
If we weren't so far in debt, we could save more and live on less. If we can live on less, we don't need to earn as much. If we don't need to earn as much we can compete with overseas labour. But let me take this a little further, because I can hear a lot of you saying yeah but, just the removal of debt will still not compete with a market willing to work for 5% of the income over here – Yes it will!
You see, when you have a lot of consumer spending, whether it be on credit or not, it will always cause the price of materials to go up. The mere fact that a huge majority of consumer spending is done through credit, only serves to magnify this. In our impatience to keep up with the Jones's or our belief that it is our 'god given birth right' to own everything now, we have created a demand that is willing to pay plenty.
This demand or appetite for life's luxuries, and the credit used to pay for it, is causing a huge vacuum, and the only way to fill this vacuum is for wages to keep increasing at alarming rates to support it.
The biggest problem is that throughout our entire lives, we are being told that it is good to want everything now, and that it is our right to have everything now, regardless of whether we can afford it or not.
I want to make this clear right now, that I don't blame people for the mess they are in, or for the huge increase in cheap overseas labour, I only blame the institutions who encourage the behaviour we see so evident in westerners. But what I will say is that before you go blaming overseas labour for stealing our jobs, maybe we should learn to take a leaf out of their book when it comes to the way we treat our finances and our appetite for life's luxuries.
Dean Whittingham the author of this article, is a Mortgage and Finance Coach and is and owner of www.TrideanDevelopments.com
Secured loans: One solution for all your financial needs
Of late, there has been a tremendous change in the thinking of people regarding secured loans. Now-a-days loans are not considered as scary as they were in the yesterdays. UK personal secured loans are a type of personal loan especially designed for homeowners as they require collateral against the loan amount.
Lenders are now more flexible toward their borrowers. Lenders offer secured loans at low rate of interest and for a longer period of time. There are many other advantages associated with secured loans. These are as follows :
• Secured loans can be used any purposes i.e., for personal as well as for business purpose.
• Secured loans are offered by lenders at low rate of interest as compared to unsecured loans.
• The repayment periods are longer and with easy monthly repayments unlike unsecured loans.
• Secured loans are approved easily as lenders feel secured against the property offered by the borrowers.
• Even a borrower having bad credit history can go for secured loans.
• A big amount can be drawn from secured loans unlike unsecured loans.
Secured loans can be used for many purposes like for home improvements, debt consolidation, holidays, higher education, etc. Homeowners are taking privilege and getting such loans at low rate of interest and with flexible repayment period.
But the main disadvantage associated with secured loans is that, in case of defaults in repayments by the borrowers, lenders may repossess their property. But such a situation seldom exists provided you repay the loan amount on time.
If you are in need of money, being a homeowner you can definitely go for secured loans to gratify all your financial needs.
Unveil The Uniqueness Of Unsecured Consolidation Loans.
Are you facing debt difficulties?
Do you want to consolidate all your debts into one?
But do not have any property that you can use for availing loans?
Do not get depressed. Now you can also apply for a loan to consolidate your debts. And for that, you do not have to place any collateral. Yes, it is true that consolidation loans are also available in unsecured form where no collateral is required.
Like other consolidation loans, unsecured consolidation loans are used for consolidating various debts into one manageable debt that is easy to repay. Besides, the facility of dealing with single lender instead of various lenders will ensure you to get back your mental tranquility.
However, various facilities you can get by opting for unsecured consolidation loans. These are as follows:
• Unsecured consolidation loans are available without any collateral. This is the first and main advantage of unsecured consolidation loans. Thus, it can be said that these loans are meant for all. Whether you are a homeowner or tenant, you can avail these loans easily.
• The risk of collateral repossession is nil with unsecured consolidation loans. So, if you do not want to put your property in danger, then these loans are just appropriate for you.
• If you are tired of paying off various debts, then end this phase by availing these loans. With unsecured consolidation loans, you will be able to merge all debts into a manageable debt and it will be convenient for you to repay.
• By availing unsecured personal loans, you can save your money. As, these loans will reduce the interest rate being paid on your present debt.
• Since, the rate of interest will be low then you can repay the amount with lower monthly repayment. Thus, it will not hamper your monthly budget.
• Moreover, with these loans you can end all untimely and harassing calls of lenders.
Unsecured Consolidation Loans are offering you to borrow money ranged from ₤5,000 to ₤25,000 and the repayment period varies from 5-10year. It is true that there is no question of collateral repossession if you fail to repay the amount. But some legal action can be taken against you. Above all, instead of coming out, you will go deeper into debt-danger.
These loans are also obtainable for borrowers with bad credit history, like, CCJ's, Bankruptcy, Arrears, Defaults, Late payment etc. These loans rather offer them a chance to eradicate their bad credit score. As these loans consolidate all debts into a single manageable debt, thus, it would be easy for them to repay the amount. And by repaying regularly; they can easily improve their credit score and credit history.
The uniqueness of unsecured consolidation loans is truly unbelievable. You can consolidate all debts into one and start repaying only on a single debt. And for that, you no need to use your property and put it at risk. So, now start consolidating your all debts with unsecured consolidation loans.
