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    Temporary Workers in a Permanent Fix

    August 26th, 2010

    A few weeks ago I was at a meeting and across the table I glimpsed a smile I thought I recognized. Sure enough—an old friend I had lost track of years ago. She was working in our office as a temp, and this is the first time our paths had crossed. We chatted for a bit and caught up on things, and then she was gone.

    Photo credit: iStock

    Photo credit: iStock

    As temporary workers make up an increasingly larger share of our workforce (it’s not just the front desk anymore) and hold positions at companies for longer periods of time—sometimes for years, I got to wondering what it’s like to be a temp worker. Is it horrible and stressful because there are no benefits and no security? Or is it fun and fancy free with lots of variety and minimal commitment? So I decided to ask. Here is the perspective of one temp worker:

    Liz: How long have you been a temp worker?

    T.W.: I’ve been a temp worker for years.

    Liz: How many temp jobs have you had?

    T.W.: I’ve had 2 temp jobs and 5 other interviews for temp positions, but I have spent the majority of my time in one position.

    Liz: Do you get benefits? Ever?

    T.W.: The staffing company I work for didn’t offer benefits directly. They did recommend a short term coverage plan (180 days at a time, catastrophic coverage only) that I had to pay out-of-pocket.

    Liz: What’s the best thing about temp work?

    T.W.: The best thing about temping is having a job. Looking for jobs these days can be very depressing. There just isn’t a whole lot out there right now so it’s nice to earn some kind of income in the meantime.

    Liz: What’s the worst?

    T.W.: There are a lot of things that aren’t great about temping. Lack of benefits, lower pay, status in the company; but I think most temps would say the worst part is the uncertainty that the job brings. At anytime you could be let go. Most of the time the jobs have a defined time period so you are able to plan a little bit, but even then things can change and you can be gone pretty quickly.

    Liz: Why did you start temping? Was it more desperation or inspiration?

    T.W.: Definitely not inspiration. I was frustrated looking for work and didn’t think I had a lot of options. A friend of mine suggested I give temporary employment a shot, while I was still looking. The temp agency worked really fast for me so I stuck with it for a while. 

    Liz: What would you like employers to know—from the temp point of view?

    T.W.: Be very upfront with us about the expectations of us and the situation we are in. Don’t sugarcoat future employment status. If there is no chance of full-time employment in the future, make that clear. 

    Liz: What about your co-workers in the office(s) where you temp: Any message for them?

    tempworkers_blog 8.25.10T.W.: I think most temps are probably overqualified for the work they are doing. I think the reason someone temps may be a little misunderstood. It’s not like I aspired to be a temporary employee, it just kind of happened. All the other temps I’ve met are really smart and driven people. It’s understandable that there is a stigma to being a temp employee, but the reason I am temping is not because I’m unemployable, I just took a different route to get a foot in the door.

    I’ve actually really enjoyed most of my time as a temp. I’ve experienced a lot of different types of work and work environments. I would say, despite the challenges, in a transitional or emergency situation, temporary employment is a great alternative to no employment at all.


    The Future Is Now

    July 1st, 2010

    I just finished the July-August edition of The Futurist and learned many fascinating things as per usual. Here are a few items that were new to me:

    • “Unconsumption” describes the now savvy and respectable trend of reducing, reusing, and recycling.
    • Shopping 6.30.10Fashions are changing faster than ever because clothing is becoming relatively cheaper. In fact, 21st century clothes are 70% cheaper than the mod outfits of the Sixties. (This was further elaborated on in Plenitude, Juliet B. Schor’s new book, where she talks about ever cheaper clothes and our increasing propensity to buy—and discard—said new clothes. The average American bought 34 pieces of clothing in 1991; in 2007 the average person bought 67 pieces of clothing. That is a 97% increase!)
    • More than 80% of undergraduate students want more sustainability and corporate responsibility material in their curriculae. (Business majors are even more adamant.) Attention to sustainability has become an expectation of college students.
    • At least half of the estimated 10.6 million privately held firms in the U.S. are owned by women, employing 19.1 million people and generating $2.46 trillion in sales annually.
    • Workers under 30 would rather start their own company than advance through the corporate ranks. Most distrust large institutions and believe that jobs don’t provide a secure economic future.

    I always learn something new when I pick up The Futurist. And even though I don’t agree with everything they say, I’m never bored.


    The New Normal

    June 11th, 2010

    Tom StinsonWednesday morning I went to United Front 2010, sponsored by United Way and General Mills. The event was a half-day conference focused on the nonprofit sector in the new economy. Tom Stinson, the state economist, was the keynote speaker. The good news: The recession is over. But the Great Recession and demographic changes are going to change the economic landscape in Minnesota as far into the future as we can see. Stinson (and others) are calling this the New Normal.

    The demographic changes include the aging of our population (we are going to see large increases in the 55-75 age group in the next 10 years) and very slow growth on the part of the labor force. What this means for the near future:

    • More retirees
    • Less consumption, more saving
    • Slower economic growth
    • Higher interest rates
    • More uncertainty about the future

    In 2020, the number of Minnesotans age 65+ will outnumber school-age kids—this is a huge demographic shift which could lead to some challenging funding priorities between health care (age 65+) and education (ages 5-17). Overlay a $5.8 billion budget gap (expected for Minnesota in 2012-2013) on that challenge and it doesn’t take a crystal ball to see exceptionally rocky roads ahead.

    But all is not lost, and according to Stinson, this New Normal plays to Minnesota’s strengths. Education has been the key to Minnesota’s productivity and prosperity, and if we make the right decisions and investments now, they will help us weather—and perhaps even prosper in—the New Normal.

    You can view Dr. Stinson’s complete powerpoint or, if you’d rather see and hear the presentation, check out the video.

    UnitedFront2010_1


    Quarterly Pulse: Economic Difficulties Continue

    April 22nd, 2010
    Quarterly Economic Pulse - April 2010

    Quarterly Economic Pulse - April 2010

    The most recent edition of the Quarterly Economic Pulse has just been released.

    There are glimmers of hope. Unemployment has probably peaked (though all of those discouraged workers out there could re-enter the labor market—which is a good thing—and drive the unemployment rate up a bit further, which is generally viewed as not such a good thing). People are saving more (good for community stability) and they’re paying down their debt (good for individual stability).

    But we still have eight unemployed workers for each job opening, poverty is growing in the suburbs even faster than in the central cities, and the suburbs are now home to the lion’s share of low-income people. (See Brookings report for more detail on suburban poverty). Consumer confidence remains low, and will probably stay that way until the job market improves.

    Housing sales are increasing, and there are still a lot of foreclosed properties on the market, keeping housing prices low (which also makes housing more affordable). Median sales price for a Twin Cities house in February was $159,000. One in six Minnesotans owe more on their homes than they are worth. One in three Minnesota students are eligible for free or reduced price school lunch.

    So, we’re starting to emerge from the recession but we still have a long way to go, and a lot of people will be facing hard times for the foreseeable future.


    Job Vacancies in Minnesota

    April 2nd, 2010

    The Department of Employment and Economic Development (DEED) has released the results of their most recent Job Vacancy Survey, and the hits just keep coming. In the fourth quarter 2009, there were 8.2 job seekers for each vacant job in Minnesota. This is up from 7.7 in the second quarter and 5.6 one year ago. According to DEED,

    The fourth quarter 2009 labor market was the least favorable for job seekers during the history of the job vacancy series dating back to fourth quarter 2000.

    Here’s what it looks like:MN Job Vacancies 4Q 2009

    When DEED first started conducting this survey 10 years ago, there were actually more job vacancies than job seekers (nearly two jobs available for each unemployed person).

    Other highlights of the report:

    • 58% of the vacant jobs are in the seven-county Twin Cities Metro Area.
    • 45% of vacant jobs are part time.
    • 17% are temporary or seasonal.
    • 56% require no education beyond a high school diploma or GED.
    • The occupations with the most vacancies are sales, office and administrative support, and healthcare support.
    • The median wage (half pay more, half pay less) is $10.86/hour. (Note: A full-time job at $10.86/hour would give you an annual income of $22,589.)

    For more information, read the full report. You can also get detailed information for various regions.


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