Most of the jobs market news this past month has been negative . . . which is about par for the course this year. Hundreds of thousands of jobs have been cut from major companies looking to reduce their losses and return to profitability.
In October the Bureau of Labor Statistics released a report stating 1.2 million jobs had been "lost" since the beginning of 2008, with more than 516,000 of those just in the last two months.
According to American Progress, a Washington, D.C. group that reports on the nation's economy, the unemployment rate is even higher for minorities. The jobless count for Hispanics currently is at its highest level in 12 years, at 8.8 percent, while unemployment for African-Americans is listed at 11.1 percent, almost twice as much as the national rate of 6.5 percent--itself a 14-year high.
While private businesses, small and large, tend to create jobs, tough times like these may prompt job seekers to take advantage of government employment opportunities.
The federal government today (Nov. 13) released its annual Plum Book, technically known as the United States Government Policy and Support Positions manual, detailing thousands of government jobs. Senate and congressional leaders have said "it is essential reading for anyone interested in pursing public service in the executive branch of government."
In fact, the federal government claims there will be more than 8,000 job openings in Washington, D.C., when the new administration, overseen by President-elect Barack Obama, takes charge in January.
In many communities away from D.C., the federal government is also hiring. For example, currently the U.S. Census Bureau, preparing for the 2010 Census, is looking for temporary part time workers.
In Some Areas, Government Jobs Boom
In some areas, such as Denver and Houston, the only sector experiencing job growth for fiscal 2008 was in government. Denver showed a 0.9 percent gain in local government and education employment. Houston's government employment, on the other hand, had a 4.2 percent increase for the past year and cut its tax rates for the fifth year in a row, in spite of recent damage from Hurricane Ike. The hurricane did cause major job losses in Galveston, however. A third of the work force -- 3,800 employees -- at the University of Texas Medical Branch, Galveston County's largest employer, will be looking for new jobs next month.
In Iowa, where there are 610 state and local government workers for every 10,000 Iowans (compared to the national average of 544), more than 32,000 jobs have been added in education and at local government levels. However, Alan Kemp, Iowa League of Cities executive director, said he expects administrative services, including rural water, to be trimmed as Iowa counties and communities begin looking for ways to share technology and resources in order to cut costs.
In Louisiana, the U.S. Department of Labor announced Nov. 13 that it will give a $7.5 million grant to the Louisiana Workforce Commission to create skills training programs for 1,500 workers dislocated and displaced by various factors, including previous hurricanes.
Helping Hands Are Out Of Reach
But elsewhere, prospects for government jobs are not as rosy. States, counties and cities, because of less revenue, have reported layoffs and expect that more are in the works.
Perhaps most prominently, Mayor Michael Bloomberg, New York City, forecasts that as many as 140,000 of that city's 300,000-member work force, could be cut by July, 2009, as that metropolis looks to find more revenue in the face of a failing economy. Mr. Bloomberg already has sent out notices to more than 4,000 city staffers, including 1,000 police, effective immediately.
This dire news comes amid reports that as many as 30,000 workers from Wall Street – approximately 35 percent of New York's wage base, could lose their jobs in the next few weeks. In addition, some reports show hundreds of applicants are trying to land jobs at outlet stores, convenience chains, call centers, and small retailers, just to try and bring in some income.
Philadelphia, facing a $108 million shortfall and a $1 billion deficit by the end of the fiscal year, has closed libraries and swimming pools and cut 800 city jobs.
In California, where the state's income is mainly from capital gains taxes, Gov. Arnold Schwarzenegger has forced state employees to take one day off each month without pay in order to help with $4.5 billion in government cuts.
Both he and Mayor Bloomberg have proposed raising taxes as well – in California it would be a 1.5-percentage-point increase in the sales tax over three years, and in New York it would be either a 7.5 or a 15 percent increase in income tax, depending upon personal income, and also a 7 percent increase in property taxes.
In other areas, large and small, municipal and county groups are cutting back and that means fewer jobs. For example, in Springfield, Massachusetts, Mayor Domenic J. Sarno expects to lay off between 7 and 13 percent of its 60,000 work force, with details still to come; in San Diego, Mayor Jerry Sanders, working with a $143 million spending shortfall, expects to cut 217 jobs, including four of seven deputy chief operating officers; and the word in Seattle is that since July, 30,000-plus jobs were lost statewide, with more than 11,600 of those in the "government sector."
In Ohio, where the jobless rate at 7.2 percent is higher than the national average, many regions are reporting cuts, such as Hamilton County, which is eliminating 350 jobs from its list. Ohio's Governor Ted Strickland also reported that his state was running out of funds to pay unemployment claims, which have been about $100 million a month so far.
In Chicago, ironically known as "The City That Works," Mayor Richard M. Daley will present a budget on Nov. 19 that includes job cuts as well as new taxes. Mayor Daley adds that corporations are warning him to expect huge layoffs in November and December, especially if the big three automakers are forced into bankruptcy.
In Detroit, the city passed a resolution Nov. 13 asking the federal government for a $10 billion "bailout" for the city, which is experiencing record unemployment. Mayor Ken Cockrel Jr., expects to meet with Michigan governor Jennifer Granholm, as well as the Michigan state congressional representatives, when they take their petition to the House of Representatives in the next few days.
While the headlines about corporate layoffs continue to get above-the-fold treatment, the woes of states and local governments, perhaps excepting New York City and California, aren't getting quite as much play.
Indeed, those who are paying close attention to the recessionary trends will see signs of it on every economic level, whether public or private. Even so, finances of cities and states rarely fail outright. Which means that government opportunities may well present a healthier, if only slightly, alternative to a corporate position in the current climate.
