 Welcome so glad that you're here for another episode of the nonprofit show today's guest is back by popular demand Lynn Ruby of Ruby Marketing Agency and let's hear to talk to us about understanding the demographic drought. This is quite a conversation quite a topic so I'm really excited to have this with you Lynn. We are so grateful to be here for the nonprofit show, Julia Patrick this was her brainchild I'm so glad that she thought of this back in March of 2020. She roped me in by saying it was going to be a two week endeavor. Here we are two and a half three years later. I'm Jared ransom your nonprofit nerd CEO of the Raven group and I'm truly honored to serve alongside Julia in this journey and of course we are honored to to have the ongoing support of our presenting sponsors. For those of you that are viewing the show you can see the logos but those of you listening and tuning in in the auditory space let me give a shout out to our sponsors. Thank you so much for joining us today. We're going to be talking about the American Nonprofit Academy Fundraising Academy nonprofit nerd, your part time controller staffing boutique and nonprofit thought leader. Many of these companies have been with us from the very beginning and they help us produce over 600 episodes. There are 500 and 600, but who's counting, and it's been a lot of fun. Again, if you missed any of our episodes, or you want to go back and listen to an episode. Perhaps this one that we have here with Lynn Ruby, you can find us on Roku YouTube Amazon Fire TV, as well as Vimeo. If you're a podcaster like I am you can also queue up the nonprofit show on your podcast. And then curveball already out the gate. Are you a podcaster, do you listen to podcast. I listen to a few podcasts do you have a reader that I am a listener. I tend to. Yeah, well that's that's good to know I do podcasting when I'm outside, you know, walking or just, you know, getting some exercise and so it's good to know. So Lynn, I, I have already talked to you talked to you up in this episode I'm just so grateful to have you back. And again I know you and I connected personally on LinkedIn. Beyond these conversations so so glad that you're back Lynn Ruby CEO and president of Ruby marketing agency. Welcome back. It's awesome to be here. I love the show it's so much fun. It's so much fun and you were on previously. So really glad to have you back again when we can have a guest come back have another appearance. It's really good to dive deeper with them and today's conversation we are doing just that so the demographic drought. We're going to talk about this and you know this show goes by very quickly and so we're merely scratching the surface, but I witnessed to you that this show there's a couple of things that I'm like. So what is that I don't know like so I am here as our viewer and listener right alongside them say, teach me educate me tell me what you're working in. So let's let's dive right in there talk to us about this demographic drought. And again share with us a little bit about the past workforce and again for those of you watching we have on the screen here past workforce boomers retired, they did not replace you. Let's dive deep Len. Let's dive as deep as we can and the time that we have. So a little bit of background first I discovered a report called the demographic drought, not too long ago and it was a 40 page statistical report. I am not a statistics person I'm not a math person I'm not a numbers person, and yet I read this report through and was all 40 pages and was trans. I was like, Wow, this is really important information that a lot of people need to know whether they're in business, or just for their personal lives and I was just really struck by the challenge of it, and the optimism of it to that I could see in it. So, I want to dive a little bit as much as we can into three main points that this report stood out to me for. And first is that, well, we know we're talking about the great resignation right and okay everybody's resigning from their jobs all that's happening and there seems to be an underlying assumption that, you know what, at some point, the great resignation is going to be over and we'll be back to somewhat what we call normal will be doing hybrid stuff and all that still but you know it'll, it will write itself. And when I read this report I realized, ooh, I don't think so. And the subtitle of this report is called the coming sands Demek sands the word s and s, meaning without lack of, meaning people without people. And then this report proceeded to go into all of the statistical facts, and the things that are happening globally that are causing this coming sands Demek and I was like, wow, this goes way beyond the great resignation. So let's start with, and this has been happening way before the pandemic. And as with everything else, the pandemic accelerated it so let's take a look at the past first the past workforce will call it, although it's not entirely past. The boomers. The boomers were this huge as you know this huge population that came about and were a huge influence on our current workforce. And at the time that they were in charge we'll call it they created the way things should be in the work world right. And that way was you were loyal to your company you come in and you work and they will be loyal back to you. And as we know that has all changed dramatically. And what happened with the boomers is that they are now retiring in record numbers. Of course, they're at that age right, and what happened was normally 2 million boomers retire per year. In 2020, with the pandemic that soared to 3 million. So that means that there is a whole lot of knowledge and expertise and experience that is leaving in mass right and companies are being left with, wait a minute. All this knowledge left and now what. So let me just clarify this is a national report correct or is this international. This is an international report. 3 million international boomers. I'm sorry, for this statistic, the, the statistic is us. Okay, so this is international. Wow. Yeah. Okay, you, you had said you know that you're not a numbers person math person I'm not either, you know I shook my head I was like, No, not me neither. But you've already these are sobering statistics that I'm like, they are. They are sobering and get ready for more. So, okay, the boomers retired are retiring and in that process and that was speeded up by the pandemic. Yeah. So, also, another thing the boomers did was they did not replace themselves. What I mean by that is on average, the parents of the boomers, which were the greatest generation right on average had four children per family. The boomers on average had less than two, they have 1.8 children per couple. So they didn't replace themselves. Okay, so there's fewer people to replace those massive boomers who are retiring. Okay, so that, yeah, is amazing and and I think of my own life right and we were sharing about this earlier. I'm a one kid. I'm a one in dinner. I was like, Oh, guilty. Yeah, yeah, I'm adding to that statistic as we get to my age so yeah, one in dinner here so sorry but anyway. So, then in 2016, some of you may be aware of the some not but in 2016, which was not that long ago, the millennials the generation behind the boomers actually became the largest generation in the workforce. So the workforce is no longer predominantly the boomers, which it was for so long it is now predominantly the millennials who have a much different have a much different as our outlook on work, as we all know, right. And then in addition to that, the boomers were very, very wealthy. They are retiring with lots of money, and they are leaving lots of money to their children. So boomer children the children of boomers are set to inherit about 68 trillion with the T dollars by 2030. So they are going to be the wealthiest generation in history. So just make sure that I'm right in this land as the silver tsunami, right and so really looking at the boomers. You know, all of their their money the inheritance is them being passed on in large force to their inheritance and this is really this huge transference of wealth. And which is exciting. And a little scary. It is a little scary because not only are they transferring a huge amount of wealth they're transferring transferring it to fewer people because they had fewer children. Right. So in fact, there's even more each child gets even more of that pie, if you will, and what does that do to they saw what their parents went through their companies were not necessarily loyal to them they're generating they're inheriting all this wealth. They are much less motivated to work. Right. So you're of them they're less motivated to work and they're radically different in their perspective of what work is all about. So that's, that's, that's what we'll call the past. Okay, that is fascinating and I, I probably skipped ahead but you know looking at our present so the millennials are still present they're still part of our workforce. They're starting to inherit some of this, some of this wealth. And they're also looking at with the great resignation the great reshuffle however we want to talk about this really looking at what's important to them. And I'm curious Lynn if you can share with us, what is important to our present workforce you shared you know this phenomenal fascinating report it's very eye opening and jaw dropping. What is our present workforce, what is our audience our workforce wanting meeting and how are they engaging what's important to them. So what's important is meaning a purpose in their work and flexibility. And when you think about the, the culture of the boomers and what they put in that was not there at all it was work hard for work hard sake, and be loyal for loyalty sake, and make a lot of money. And that's not necessarily what the millennials and the generation that follows it are is important to them. They, you know, for the large part they don't have to worry about money. They're looking for meaning and purpose in their work as well as flexibility whether that's you know hybrid working from home working in the office or totally high or totally remote work, or flexible hours and support from their, from their employers for their life, in addition to their work life, not just their work life. Yeah, I'm not a millennial but I'm right on the cusp right and so really looking at what is important to me. And when I hear the word success for me that definition has changed over my years, or, and you know, looking at not only my income, but my quality of life, my, my present time my current engagement with my family. So important to me and I have said these words out of my mouth when you couldn't pay me a million dollars to take that contract. Now when it comes down to it. I really don't know if someone wanted to give me a million dollars if I truly would take that contract, but I have found this balance and it waxes and wanes you know but really determining what is important. I want to spend my years and for me, my why freedom, flexibility and travel. I want the freedom to do what I want when I want the flexibility to have that option, right, and, you know, to travel travel is a really big thing for me so as a present worker, you know, being part of that that's important to me. Are you seeing that also you know when we look at assessing and maybe reassessing during this time what our present workforce is is looking for and are they negotiating re negotiating. Yes, so employers are having to whether they want to or not some of them are doing it kicking and screaming and some of them are doing it. Gladly and happily is evaluating how they hire, who they hire, and what kind of benefits and flexibility and purpose that they give to those that they provide for those employees and valuing them so much more so much more than in the past. Now if we want to talk about, there's also something going on now that I think is pretty astounding, and that is that presently women in from February 2020 to February 2021 2.4 million women left the workforce. Now of course this was impacted by the pandemic doubtless right who has primary caregiving responsibility for children, the women and the children were at home having to do homeschooling so with that fault fell on the women to do that. In addition, a lot of predominantly female employee employment areas like hospitality and service oriented are women primarily. So, nonprofit sector, I mean I would love to know there has to be, you know, a gender study out there but most of the nonprofits that I've worked with Lynn across the nation are predominantly women. And, you know, for me as a working mom, I'm so very grateful that my son's dad also, you know was very present during the pandemic, and we're still in it right like I don't want to dismiss it I know we're still having that impact. I do know that a lot of my friends, you know, and they left the workforce as that primary caregiver became the homeschool kind of you know person. And I'm just so grateful that I was able to find a way through it it wasn't easy. It definitely wasn't easy, but that number that you just shared and that was a year so February 2020 February 21. It was a huge sands, if you will, it's a big change. Yes, yes. And then there was something else going on with the males in the workforce that actually started way back in 1980, which I found fascinating and also sobering. So sobering this morning but the, the report actually says where have all the men gone because the prime age male workforce fell 94% from 1980 to 2019 and that's over 3 million missing male workers from the workforce. So that was starting way back in 1980. And where are they. So, tell you where they are. We're, we're have the men gone. So in 2014 for the first time since 1880 1880 more men 25 to 34 years old we're living with their parents than they were with his spouse. So they're not getting married, and then also 13% of millennials didn't get their millennial men didn't get their first job until the age of 20 plus. And they are willingly opting out and doing part time work rather than full time work and they're also, they're also being very much wooed away by video games, surprising and opioids the opioid endemic had a really negative impact on male participation in the workforce. Wow. And that's, that makes me sad, both of those, those facts, and, and so we're losing the men also, and that together just creates. Yeah, challenges. What about the gig economy, has that taken an impact is when I heard you say, you know the men specifically in the part time roles. I think of a gig economy, I think of you know, we can start looking at shifting our schedule becoming our own boss choosing when we work where we work how we work. And I'm curious maybe the study mentioned this but if you can just speak to it a bit, you know, that gig economy, because I've also heard Lynn that it's normal now to have a gap in your resume that includes a lift or Uber or some other kind of gig economy job. Right, that is perfectly normal it's no longer frowned upon right that's trying to get hired in your resume has that kind of gap. So I would get this report does not specifically mention the gig economy, but to me it's only natural to assume that that part time work includes the gig economy of all types, whether that's you know part time consulting or doing zoom or Uber or lift on the side. And that, you know, and, and if you think about the mindset of this generation, you know, it's not imperative that they have to support a family because they're not getting married they're not having kids, and they're living at home and they've got all this wealth that they're set to inherit so there's not much of a motivation to get out and really be, you know, proactive in a quote standard career. Yeah, that is fascinating so I don't mean to drop the ball on you here but what is our current unemployment rate and I don't know if you know this nationally but you know as I think about this, this workforce that is not present. I mean they exist, but they're not present they're not working they're not choosing to work this full time capacity. So what are we doing with the unemployment rate versus the individuals that are just simply not motivated to to be in this full time, you know work environment. And you know I don't, I don't want to say a number because I can't recall the latest one that I read but that's a very good question, yes. And so, I mean we know the unemployment rate is relatively high because we're all talking about the great resignation and where are all the people. And so, you know, these are statistics that back that up. Yeah, absolutely and you know the unemployment rate changes so so very much. So we've talked about the past, we've talked about the present. Now, the future workforce life below 2.1 globally. What, what is this that mean. Yes, when we think about the future. Remember I said in the beginning that there's kind of this underlying assumption that oh we're in this period of the great resignation but we're going to come out of it will be okay afterwards right. That may not necessarily we're going to have to readjust how we think about everything because this is going to affect not only employers but how to get when we get services from businesses as as consumers when we go to the hospital and we wanted to treat a doctor or nurse so it's going to affect the entire world. So when I say 2.1 2.1 is the rate at which every woman needs to have a child 2.1 children in order to keep the population steady, not to grow the population. It goes into account, you know, childhood death and so forth. So 2.1 is the rate at which women need to have children globally in order to keep the population steady. And we are, as I mentioned the what were the 1.8 is what the boomers did. They think okay well you know what there's lots of other countries that want people from other countries that want to come to the US so let's just get people there to come here and then we'll be fine. Okay. Yeah, I'm thinking of other solutions to because, again, I'm staying a one in Dunnerland. So, when we look at the like immigration and other countries that might want to emigrate here, Mexico, in particular their fertility rate has been falling for 50 years, their replacement rate is now at 2.12. So that's barely above. Yeah. Yes. Japan, Spain, Italy, Central and Eastern Europe have already stopped growing so they're below 2.1. When we look at the employment status in other countries, Mexico has been struggling with talent shortages since 2018. Around percent of companies in India have talent shortages and China is struggling to fill jobs, especially with skilled workers. So, some of the places that we might look to to replace our declining population are also in decline. In fact, I have a colleague who does business primarily in Japan. She's about 10 to 15 years ahead of us in terms of their population growth. So they, and their population growth is declining. And she tells me when she's over there, all she sees is old people, old people everywhere. And there are only about 10 to 15 years ahead of us. So, it's a sobering statistic, and it's a sobering report. And also, I found hope in the ending of this report because they talked about the fact that the bottom line is value people more. And that really spoke to my heart because, gosh, have we been taking people for granted all these years, it's time to value them more and value your employees more value every child born more value every student in colleges, more because we need people in order to sustain our level of living and in order to sustain ourselves as healthy populations. So, that was that was my hope at the end of this. I had to take a deep breath because when you said value people more that is such a simplistic humane statement, right. It's really important and I'm thinking, and thank you honestly because that's that's what I needed to hear hopefully what many of our viewers and listeners needed to hear. We've been talking a lot about how do we retain our workforce. How do we, you know, have stay interviews instead of exit interviews how do we pay in a competitive, you know, comp compensated way. My first thought honestly was, maybe we look at our child labor laws and say, how soon is too soon to work. But that's clearly not the answer. The answer is to value people more. And looking at, you know, are we providing that balance of purpose and passion and personality and really looking at the, the whole person. I'm curious and we don't have too much time here just about five minutes. Where does artificial intelligence and because honestly when I when I see this the slide and for those of you listening. It really looks like a robot hand, and I'm thinking, okay now we're moving into this 2.1 global being, you know, kind of the robot era, we have self driving cars at the local university here we have food being delivered by little robots. The drinks at fast food stations are now poured solely by, you know, a computer, not a hand anymore. So where does that fit into the into the mix. You know that's a fascinating question because I think a lot of thoughts will automatically, well you know what we have so much technology, let you know for a large part of this let's just implement AI of some sort, so that we can overcome this lack of people. There's two, two, two issues with that. One, for me and this is my personal opinion, I do not believe that implementing AI is always the best answer, because there is just something about human interaction that is so valuable because we talked about value of people more. That is incredibly valuable so I think AI and technology has a place in solving this problem. The other issue, however, is that when we have a whole lot fewer people and we have a whole lot fewer skilled people, we have fewer technically advanced folks to implement and create and develop this AI to begin with. So, there's a, you know, there's two sides to this we want to value people more, and we want to use AI as much as we can but we have less people to develop that AI and that technology so isn't that fascinating that that yes AI is part of the answer, but I am so much inspired by the value people more aspect than by oh let's just implement technology to solve all our problems because it's not going to solve all our problems. It's, it's not and for me I think of AI is more how might we reconsider or consider our processes right like where might we find efficiencies, and there still needs to be that human connection, especially as a professional listener, you know, we really need to have that. So when fascinating information, phenomenal conversation you have left me with so very much to think about and I know our viewers and listeners the same. I'm the CEO and President Ruby marketing agency. Now you're being very generous you are sharing your email here Lynn LYNN at Lynn Ruby calm. You are sharing this with us is that right the research that you just shared. Yes, so if anyone would like to email me and just say I'd like a copy of that demographic drought report. I had to send it to you along with a one sheet or that we have developed of ways to address the same becoming sans demic from our perspective. And that is always, I think the bottom line is value people more whatever form that takes it might take the form of AI it might take the form of different customer service might take the form of flexibility and hybrid and all of that. Who knows what all it's going to take, but the bottom line is value people more. The sans demic was a word so I just have to share before we sign off here one of our viewers said this is beyond fascinating beyond at all caps. We will definitely be rewatching this so thank you very much for being here for sharing this information Lynn it definitely landed with many of our viewers so so thank you so much for that. And for those of you that are watching, glad to have you here. Again, you know, Julia, Patrick and I come on every single weekday, the only nonprofit national webcast and also podcast thanks to our sponsors that are that are blooming American nonprofit Academy fundraising Academy nonprofit nerd your part time controller staffing boutique and nonprofit thought leader. Please check out these companies they are fascinating they value people and we can all value people more I'm taking that away Lynn so thank you so very much for that. And, and thank you for being here it's it's our grateful honor to have your voice and thought leadership so thank you. Yeah, and for all of you that joined us either live or watching this recording because I know many of you will press replay. Please join us again tomorrow and until then, stay well, so you can do well. Thanks Lynn.