So a friend of mine from Sweden made an interesting but valid point about the American dollar being weak: it is making him less money for the same amount of work. Thord Daniel Hedengren wrote on 901am about the problem in a post entitled “Get that dollar under control, please”
I lost equivalent of a grand (perhaps more when you read this, or less, depending on how the dollar moves compared to the Swedish crown) recently, just due to the dollar being down. That sucks.
The blogosphere is paying in dollars, but being a non-American blogger suddenly pays less. Will that change?
He is having the same issue that I am. I am Canadian, and our dollar is doing better and better against the U.S. dollar, and before I got my current job, I would have been happy to see our economy doing so well, but with my pay being in American dollars, the conversion to my local currency is creating a situation where I am getting less pay for the same amount of work.
There are some things that could be done, but they all mean charging more in the mind of an American employer for providing the same service. I could switch it so that I am paid in my currency, but as the U.S. dollar does worse, this will mean that their out of pocket expense to me would increase, and what if suddenly my local currency plummeted? Well, they’d be laughing to the bank.
While I haven’t lost as much in the conversion as Thord, I still notice the effect that the shifting exchange rates have. One month I can afford more groceries, and the next less.
It brings up some problems, that with my limited understanding of the global economy, I don’t have a good answer for. I just know that sometimes it pays better to be paid in the currency of another country, and other times in your own.
I also have to note that the U.S. dollar is still worth more than a Canadian one, so I am still bringing in more than if I set my rate in Canadian dollars at the same level as I am getting in American ones.