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Workers Going From Six Figures To Minimum Wage.

Wow. I cannot imagine having to go through this, but I am sure there are plenty of people who are. My brother lost his job 3 weeks ago and has not even been able to get an interview – and he is an accountant! But to go from making a six figure salary to hoping to make $7 an hour, that has to be real hard on a person:

In her best year as a mortgage broker, Laura Glick says she made “six figures.” This week she was one of more than 1,200 people attending a job fair and applying for one of 150 jobs paying between $7 and $12 an hour at a new Kohl’s department store in a Denver, Colorado, suburb. Laura Glick says she has a good resume but even getting an interview is difficult. She has been out of work for seven months and never thought it would take her this long to find a job. It’s not the kind of job she thought she would be applying for, but she has a case of the jitters just the same.

Is anyone going through this right now or know someone who is? And if so, in what industry were they making the money?


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Comments (25)

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  1. i cant even imagine… but i do hope to make 6 figures someday :/ and when i do i better make sure to save as much of it as i can, for times like these.
    -jack

  2. mhwse says:

    turn the problem back and forth:

    the US needs a stable wellfare system;

    I am not talking about foodstamps but cash, payments, to the ones who don’t find a job or can’t work for other reasons like bringing up kids.

    That is not communism !

    Instead it stabilises a capitalistic system as it supports everyone until he or she is willing and in the position to take on a job again.

    THE LEAST PEOPLE ARE WILLING TO LIVE OF WELLFARE – thats a very important fact!

    As soon as you have enough food, can pay the rent and support your telefon and carbills, you lean back releax AND !!! start to think how you can enrich your life with a responsible and fullfilling occupancy.

    I know – for the midintelligent US citizen that sounds untrue, but having lived in europe I know what I am talking about, there is nothing worse than hanging on the governments IV and have nothing to do.. you are willing to work after a while as that makes you feel damn worthless ..

    AND now the benefit for all the ones who get upset:

    LESS drugaddicts, LESS cirminals (its not paying off to steal, if you get your toiletpaper for free) AND again for the ones who work in the end more cash.

    Why is that ?

    If money is spread more evenly, it increases consume (a millionaire who has already 5 cars hardly will buy a sixth ..), more consume means more production, more production means more jobs AND more jobs ha .. less payments for wellfare, criminals, increasing of overrall live experince and more happy and better working people … working in panic is not producing good results ..

    Think about that, I’ll be back home soon (in Europe) start with nothing again.. but knowing there is someone who helps me (Government and I have a right for that help) first and I can search a job (with a good payment!) without hasle.

    Good luck and stay away from that priests that try to use your needs for their success! (there is no god to help you – that is a fact think about it)

  3. Miranda says:

    It is getting rough out there. My uncle is in a similar position. I feel blessed because I am lucky enough to work from home, but sometimes I worry about what happens when my client succumb to the economy. We’ve been trying to prepare and shore up — just in case.

  4. David says:

    Yea, I am glad I work for myself too – and why I try to keep many things going at the same time, in case one (or a few) slow down. Truth is, you can lose a job just as easily at a “job” as you can at home – but I trust myself to make it work more than I trust an employer!

  5. Reality says:

    I earn six figures. My cash compensation packages is $135K. But here’s the deal, ladies and gentlemen: I’m 51 years of age and my salary only went over $100K five years ago. It is the result of a superior and self-acquired education, the accumulation of a large set of valuable skills and almost 30 years of hard, hard work and dedication. This is the way it should be. I am paid so much because I return at least 10 times that value to my employer. I find it incredible that so many of the 20-something people I interview for positions in my department truly believe that they are *entitled* to a six figure salary almost from the starting gate based solely on the strength that they have a bachelor’s degree and have been in the workforce for more than two years. I’m even more astounded that those who get a MBA, which in reality is a reward for just showing up in a classroom for a few months these days, actually get a six figure salary, when in reality they have nothing of value to offer.

    The number of people losing six figure jobs and having to come down several pegs is disproportionate when compared to past recessions. This is understandable because the truth is one of the reasons we’re in a recession is that everyone in the business sector has been operating on false assumptions and unrealistic expectations for several years now. We’ve been living large and it never was sustainable. Irresponsible senior managers, many of whom are too young and inexperienced for their jobs, and who grew up with a
    their sense of entitlement being reinforced by everyone around them, made bad decisions in who they hired and how much they paid. The result was that when the value accumulated by their predecessors was no longer sufficient to compensate for their errors, it all came crashing down around them.

    Everyone must accept that when this recession ends (and that won’t be anytime soon), our economy is going to be significantly deflated. Gone are the days of a 32 year old being able to buy a $750K McMansion, drive a $60K BMW, spew about his extensive portfolio of worthless investments. We’ll get back to where we should be: those who earn six figure salaries and obtain executive positions will be those who have worked hard, have consistently produced measurable results and have sound, seasoned judgement. Their hair will be graying and they will be beginning to feel tired. The ones coming behind them will be looking to them for advice, trying to learn from them, and emulating their behavior — the way it once was and should always have been.

  6. james says:

    Did you people read what she did before? She was one of the pioneers that got the economy the way it is now. All she was doing was getting commissions from moving people from 30 year fix rates to ARM loans that they ended up defaulting on. Those Mortgage broker people weren’t smart they had people calling them all day long to get in ARM loans…..And what did she do with all the money she was making?? 100K+ is a lot of money 90% of American’s don’t make that.
    Also I bet the year before she made 100K she made maybe 30K…..lets not feel so sorry for her most people will never make that in a year ever.

  7. Travis @ CMM says:

    I make no where near that much in my job but I still can’t imagine how hard it would be to go back to working for seven or eight dollars an hour. How do people survive on that?

    Our business is really slow now and they’ve asked me to start doing some things that aren’t in my job description and I have no desire to do, but given the option between losing my job and facing this economy or doing something I hate, right now I’ll have to just suck it up and do it even if I hate it. I’m sure a lot of people are in the same situation.

  8. David says:

    Good point Travis – it is all about how everyone is affected; not just those making $100K or more. If you make $25K and lose your job, it’s just as damaging!

  9. El says:

    This happened to me when the dot.com bubble burst – I went from $80k/year as a pioneer in the web market, to literally begging for $8/hr temp jobs, within a few months. As a self employed person, working a 1 year contract for an out of state corporation, I was not entitled to any unemployment benefits, which really hurt. And I had to come up with my own health insurance, too. The hard part, besides being deeply and rapidly humbled about myself, and my skill set, was that 9 out of 10 employers were telling me I was “overqualified (sheesh, no kidding) for the part time or temp jobs I was trying to get, there were NO jobs in my field (interface designer) to even apply for as an alternative, and the temp jobs were really all temp-to-perm and they didn’t want to even give me a chance since I’d been self employed. What was to stop me from starting a new business after I got on my feet, they asked?

    It was a nightmare that is in my memory still. I make about $55k today, in a full time job with benefits, and I am hanging onto that job with all my might. Its not clear if our industry will be hit or hurt by what is going on but its likely and I’m scared witless about having to go back “out there” again. It took me ELEVEN months to land this job. So I’m working like a crazy woman, living frugally, paying off debt, stockpiling food, medicine and household items “just in case” I need to. And hoping for the best.

  10. jaynee says:

    I just got laid off last week. I wasn’t making six figures, but I had a nice salary as a secretary. Unfortunately, there have been so many layoffs in my area over the past 4-5 months that employers are now offering 1/3rd of what I was making for the same secretarial position. This doesn’t even cover the cost of daycare that I’d need to work full-time, and so I’ll wait it out and try to find freelance jobs here and there until the market improves. My youngest enters kindergarten in the fall, and with any luck I’ll be able to secure a PT job during school hours at that point.

  11. Paraic says:

    She is one of many brokers that caused this mess!!! An industry that has no ethics at all. See James response above.

  12. Kay says:

    I noticed the single lady who went from 6 figures to possible $7 an hour job is getting same amount of benefits as the single mom of three?! $1400. Unless they didn’t mention the 29 year old having kids but I thought given what the article says, the single mom of three needs to show that to her unemployment office. That doesn’t make sense. I thought $1400 was a lot a month for a single person.

  13. Jim Rousch says:

    I have to say that I laugh at people like her all the time.

    Due to a brain injury that I suffered in infanthood, I was unable to perform higher mathematics and kept out of four-year universities due to that fact. I’m studying French, Russian and German, but that doesn’t matter…I couldn’t do their little song and dance. I have struggled for twenty years while these people breezed their way through life…and people like her feel this is degrading?

    I have as much sympathy for their “struggles” as they did for mine. I admit that I laugh at them, insult them and think less of them.

    So, you who thought we were all losers….how’s it going?! Welcome to minimum wage! Do you think it should be raised now?

    Ha! Ha!

  14. Tim Brown says:

    From earning six figures to hoping for $7 an hour….
    I can relate to her story, as I was making 5 figures a year, and am happy to find something that pays $7 an hour in today’s job market. I have been unemployed, since the beginning of May 2008 after 10 years as a loyal employee and was let go. I have swallowed all my pride and applied to every job out available, and can’t even get hired by a pizza chain!! Laura stated she is barely getting buy on unemployment of $1400.00 a month??Try doing that with a family of 4 and no Assistance other than Medicaid. I am grateful for medicaid for my kids, for they need insurance far more than their parents.First time in 17 years I have been unemployed and it is real bad out there. I pray for all of us in this situation, that the right doors open soon.

  15. Tim Brown says:

    6 Figures to $7 an hour…
    One thing I noticed as well, how can Laura only be pulling down $1400 a month in unemployment, when I was making below 40k and manage to get $1400 a month in unemployment??Her figures are a tad off….
    I have to feed a family of 4, make the rent and all the utilities,plus a car payment and insurance, and she is “barely” making it???
    I must be “minimally making it”…then!!

  16. milehigh says:

    If losing a 100K job meant she stopped smoking, it’s well worth the sacrifice. Best thing that could have ever happened to her.

  17. Mark says:

    I too was in the loan industry but left in 1999, I couldn’t handle the “Twisting of truth or facts” which was required to succeed in the mortgage industry. In short, she was lucky to have reached that income level. A college degree was not a prerequisite for a Loan Originator or a Processor position at most mortgage broker or even mortgage banking firms. It doesn’t negate the pain she now has to deal with and I truly feel sorry for her. However, I feel that, as Mr. “Reality” wrote earlier, “We’re in a recession”¦because”¦everyone in the business sector has been operating on false assumptions and unrealistic expectations for several years now. We’ve been living large and it never was sustainable.”

  18. robroszk says:

    This post is dead RIGHT ON and most of these lame brains being hired by corporations are SO INCOMPETENT and not worthy of even $30k per year jobs! There is so much NEPITISM and hiring based on who you know or where you went to college that the whole concept of having something of value to offer the company has gone out the window! I have known many young managers who went to Northwestern or Depaul Universities that have literally driven companies into the ground with their very inexpericed and brash decision making! I am so glad to see these putz’s get what they deserve now whining and crying about not being able to buy their $5 cup of late! It starts from the top up and includes this lamebrain duck of a president who was also unworthy to steer this great country into a properous direction! Him and his father are two of the worst leaders this country has ever had and it sickens my stomach to think that we may never see a pre-2000 economy in our lifetimes! This is what happens when you have greed, incompentence, inexperience, nepitism, and unyielding power that is used irresponsibly!

  19. SP says:

    Why should I feel sorry for these people? There are people out there like doctors, engineers, technicians, mechanics, scientists with excellent technical skills creating wealth for the society but are being treated like crap. Being a mortgage broker does not require one to toil years of education and training without pay, does not require one to spend long hours of one’s time to master difficult technical skills. These mortgage brokers made huge amount of money at the expense of those who created and produced the wealth. All they do is lawyer’s crap, paper shoveling and flipping properties looking for a greater fool. That is why American is going down because it pays more to the non-producers than to the producers who actually create wealth. This phony wealth will never come back as it was created based on credit expansion not on actual production that earn an income stream. After all, what is the point of spending years studying and mastering engineering when the pay is not even half of what she earned?

  20. Owen says:

    Interesting comments about the lady that lost her job. Apparently it’s all her fault. I guess none of the posters of comments were tempted but the lure of instant riches at the banks’ expense? I learned my lesson from the South Seas Bubble of the eighteenth century and more recently the excesses of the late 80’s. Don’t even get me started on the “Dot Com” era. It seems that the majority of humankind are doomed to repeat the same mistakes over and over again. Greed is just too ingrained into our psyche’s, I guess.

  21. Roland Olsen says:

    MHWSE: Enjoy your trip back to Europe. I’m sure they are waiting for you with open cash!! Your proposal may not be communism but it sure is socialism. And from personal experience, once people are on welfare it takes a mighty pull to get them off because its just too damn addicting. From experience in the temporary labor market, it is hard to get professional nurses to work more hours because they are afraid that it will move them off the welfare roles. Take an unskilled person and they will be on welfare forever if allowed.

    Also, crime statistics from Interpol show that socialist Europe actually has a higher crime rate than the US:

    Here are Interpol 2001 crime statistics (rate per 100,000):

    * 4161 – US
    * 7736 – Germany
    * 6941 – France
    * 9927 – England and Wales

    Here are the Interpol 1995 crime statistics (rate per 100,000):

    * 5278 – US
    * 8179 – Germany
    * 6316 – France
    * 7206 – England & Wales

    And drug use is increasing in Europe across the spectrum from maryjane to cocaine and heroine.
    http://ec.europa.eu/news/environment/081106_1_en.htm

    Enjoy your government IV back in the old country.

  22. David says:

    Ah yes, the socialism argument once again. So scary and evil! Never mind that we are, in fact, a socialist country have been since the Depression, and we definitely are once again with all the money the government is giving away right now.

    That argument does not hold any water anymore with what this government has done.

  23. Stinky Boy says:

    I feel her pain, I was an attorney for several national retailers, and when their business went south, it trickled down all and our business became non-existent. Now, even with a law degree and 2 masters degrees, I have yet to have a single interview in 4 months!

  24. Pigbitin Mad says:

    My pay sucked the moment Bush took office. I finally got above $30,000 for the first time since 1994 and BAM!! Back to the bottom of the loser pile probably because I am not as good at sucking up as the “successful” people who haven’t got a clue.

    Those of you out there (you know who you are) who are screaming because you think all of us out here in “Jew York” sit around thinking up ways to come out there and take away your guns and teach your children about gay marriage better realize how easily fooled you are by the big Wall Street Tycoons. They have you jumping to their tune alright. Meanwhile, you are just helping them to ship your job to China. At least out here, the tax revenue generated by Wall Street helps to fund some of our “Socialist” services. But I guess seeing them every day makes us appreciate that they are not on your side or the side of any “small” business owner.

    And I am sorry, what small business owner pays him/herself a salary higher than $250,000? You gotta be kidding? Corporate interests exist solely to put small business out of the way and to get cheap labor in third world countries (so they can pay the salary that formerly went to you to THEMSELVES).

    I know not everyone in Middle America is a Tea Bagger dolt (I guess that’s why they have the Cojones) but it makes me Pigbitin Mad to hear dirt farmers defending tax breaks for the super billionaires.

    You voted for it with all your worry about things that have no impact on your wallet like Gay Marriage, The Mosque at Ground Zero, The fear that Saddam had WMD (he didn’t and any moron could see that because it was obvious Bush was a LIAR).

    The same guy who opposed reforming the auto industry because he thought driving gas gluzzling SUVs was “a blessed way of life.”

    You voted for the party of greed when you voted for Bush and I would like to say I am glad you got what you deserved, except that I have to live in this shit hole too.

  25. Rob says:

    I was making six figures when my company decided to eliminate the position. I too will be interviewing for a part time cashier job at a local home improvement store. Those that have jobs feel lucky. You are not that far away from being just like me. Just ask yourself what would you do if you are let go tomorrow? How long could you last? How would your life need to be instantly different? How long can you afford to pay your mortgage, your car payment, gas, food, electricity, healthcare?

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