Tough decisions

We’ve been writing for the past couple of years that tough times require tough decisions, and Governor Fital has jumped into the leadership role to do what he feels is best for the CNMI. Most people realize that the government cannot operate with a budget that is not in line with realistic revenue projects; however, few seem to be standing in line to accept the necessary cuts. Some concessions have already been made. The number wanting exemption seems to be growing, and the proposed pay cut has been cut even more. Many hope the “Grim Reaper” will pass by their department so its fund-cutting scythe will not slash their already paltry budget.

What kind of fallout can we expect from these decisions? For one thing, there will be less discretionary income in the pockets of those that spend most of their money on island. This will affect those businesses that are already struggling. Church’s Chicken has already flown south to nest on Guam where the newly stationed troops will help sales soar. We can expect more businesses to fly the coop in the coming months.

The government may not need to downsize because there may be a natural selection process going on this summer as children get out of school and parents weigh their options and decide to try their luck in the land of milk and honey. Less people on the payroll will mean less contributions into the Retirement Fund; therefore affecting the retirees.

Yes, we can expect times to get worse before they get better. They will get better though, right? The flurry of activity seems to divide people into one of three groups. One can react to what is happening by ignoring it, leaving, or making the best of it.

Option one is the old “stick your heads in the sand and hope it goes away” tactic that seems to be popular in good times and bad. The problem doesn’t usually go away and it tends to get more complicated over time. The souls that pick this option are usually the same ones that kick and scream for exemptions, shout it’s not fair, and threaten a lawsuit if their status quo is upset. They believe that when the going gets tough, ignore it—or others need to get going.

The option to leave has already been discussed. These people feel it is better to wait out the storm somewhere else until things get better. They may already be struggling on a meager paycheck, up to their necks in debt, or have some marketable skills that will allow them to easily find a job elsewhere. They believe that when the going gets tough, it’s time to go.

The last reaction is to make the best of the situation. Those who are part of this group believe when the going gets tough, they need to get going. They hunker down, look at their options and decide that it is better to stay and pitch in to get through the storm. They believe that the sun will come out and we will someday experience smooth sailing with the wind at our backs. These individuals are in for the long haul, and they have the means, might, and mettle to make it happen.

So far the Governor has demonstrated that he is in the last group. His no-nonsense, get-it-done attitude has upset the people in the first category, scared those in the second group, and caused those in the third category to cheer because something is finally being done to thwart what once seemed to be the inevitable.

If you are in a leadership position, hopefully you are also in the third group. Your people will be looking to you for the confidence and courage to make it through these times. Your resources and options may be limited to help your people financially, so you will need to be more innovative so you can bring your team together and keep them focused on the brighter outcome.

Instead of breaking into factions and trying to advance a special interest, it is important to work together to keep the economy as stable as possible. These are tough times and they do require tough decisions. It could cause everyone to hurt a little so that a few won’t have to hurt a lot. Maybe it’s time to revisit a twist on the old Kennedy adage, and ask not what the CNMI can do for you, but ask what you can do for the CNMI.

(Rik is a business instructor at NMC and Janel is the owner of Positively Outrageous Results. They can be contacted at: biz_results@yahoo.com)