What seems like ten years was only three short years ago. We are experiencing the beginning of the worst downturn in our economy that many of us will see again in our lifetime. I was told in the early 80’s that it was just as bad with losing a lot of jobs. Being a recent college graduate during that time, my experiences were quite different and I viewed employment differently. The impact of not having a job at age 22 was quite different from being jobless at age 50, married with a family and mortgaged.
If I remember correctly, the 1980s represented a period in which the United States was moving from an era of factories to an era of high technology. Growing up in Birmingham, we knew that labor-intensive factory jobs would always be in demand. Having a college education secured us well-paying white-collar and blue-collar jobs. Like most American cities, smokestacks defined our work ethic and our American pride in producing goods. Believe it or not, it felt like everyone who wanted to work was working. I know we can’t relive the past, but it was a great feeling when jobs were available if you were qualified and wanted to work. Those days are long gone and they only represent fond memories and great pride.
Unemployment today has the same impact on families as it did in the 1980s with several exceptions. The cause of this economic downturn was not due to technology and changing times. Rather it was the result of corporate greed and mismanagement of our financial systems. The devastation that resulted from this ineptitude affected loans, housing, savings, health care, and retirement. This resulted in a job supply that resembled the Great Depression. There were blue-collar, white-collar and corporate top managers unemployed for the first time in their careers. But Americans stand proud and are very hardworking and resilient; we will bounce back and be stronger and wiser in the future as a result of this experience.
Well, the sun is starting to shine again on the US economy. It was just reported that the unemployment rate is now at 8.8% and continues to improve. In the last two months, more jobs were created during this period than during any other period since 1983. That is something that those of us who were present during that period can appreciate. I remain bullish on four job sectors: education, government, technology and health care. If you are looking for employment opportunities, these sectors should be considered first. Smaller companies lead job creation in March with 102k jobs, medium-sized companies 82k and large companies 17k. The backbone of our country continues to be small business start-ups, and in tough times, you will see more people take a chance on starting their own business. For employment opportunities, start looking at smaller companies where you can bring a wealth of experience to help these companies grow.
One reality we will have to accept is that companies are really watching how they run their business. The goal is to be [lean and mean and profitable] and that means expecting more from us for a day’s pay. Higher-paid professionals may have a harder time finding a job that pays what they earned two years ago. It doesn’t mean you won’t find that job, but you will find that the competition will be tougher this time. I know there are some companies that won’t hire some candidates because they are overqualified. Did you know? Forget those companies and don’t waste a minute trying to rationalize their thinking. At the end of the day, you’re better off not working for them anyway. There are companies that will value your experience and welcome you as an employee to help grow their business. I am excited about this turnaround and see nothing but positive things ahead.