Last summer, Andi Melick was making $36,000 a year working for
an event-management company in Louisville, and the 25-year-old
Cherry Creek High School graduate was excited by the
opportunity.
“I helped manage programs that went all over the world,” she
said. “I went to Argentina and Uruguay a few times. It was a
phenomenal experience.”
Then in the face of a financial slowdown, Melick’s employer
began cutting corners — and she was one of them. The event planner
was laid off on Sept. 11, 2008.
“At first, there was that initial excitement of, OK, I get to
start a new job and find something new,” she said. “I wasn’t
terribly panicked about it. And then everything started going
downhill.”
The economy, that is — not to mention home prices, the stock
market and the number of businesses seeking workers in the Denver
metro area.
Unable to land another full-time position or make the monthly
payments to maintain her group health insurance coverage, the Fort
Lewis College graduate put off plans to move out of her parents’
Centennial home. Then she began the humbling experience of
competing for jobs she would not have even considered six months
earlier.
“Fortunately, I’m not in a position where I have a mortgage,
thank goodness,” she said. “So of all times to get laid off, this
was it.”
Melick is one of thousands of Coloradans who have lost their
jobs in recent months as businesses continue to feel the pinch of a
national recession, the credit and housing crises and an unstable
Wall Street.
The national unemployment rate was 6.7 percent in November and
Colorado is catching up at 5.8 percent, according to the latest
figures available from the state Department of Labor and
Employment.
The slowdown comes despite a diverse state economy that includes
a burgeoning alternative energy industry. About 8,900 Coloradans
lost their jobs in November. More than 533,000 jobs were cut
nationwide during the same month.
November marked the third straight monthly decline in Colorado
jobs and continued the state’s longest period of job losses since
early 2003.
According to the labor department, state residents filed about
25,000 new unemployment claims in December, topping the previous
record of about 21,000 set in October 2001.
The less-then-favorable job climate has upped the competition
for the employment opportunities that remain. Unable to find
full-time work in her field, Melick is eking out a part-time living
as an administrative temp while continuing to network and send out
resumes.
“I didn’t see a career for myself in reception and
administrative work, so that’s very hard” Melick said of her daily
routine. “You go through college thinking I’m getting a college
degree, therefore, I’m going to find work. And that’s not
necessarily the case.”
Many economic observers expect the health of the job market to
get worse before it gets better. A forecast released in December by
the University of Colorado Leeds School of Business says the state
will lose jobs again this year. It would be only the seventh time
the state has seen a net annual job loss since such records were
established in 1939.
The C.U. forecast predicts Colorado’s unemployment rate will
rise to 6.5 percent in 2009 — the state will see more than 11,000
job losses in the construction industry alone.
Taking lemons and making lemonade
Although the job market may ebb and flow in the coming months
and years, a Colorado employment consultant says job seekers should
not pine for the good old days of long-term job security, but
should instead proactively seize new opportunities in today’s
changing climate.
According to Karen Armon, the Golden-based author of the new
book “Market Your Potential, Not Your Past,” job seekers and those
settling for temporary jobs should get used to new realities.
“The idea of an employee working for a big company is a World
War II construct. It’s an anomaly that we never had before in human
history,” she said. “If I’m going to be a sales rep, I need to
start handling the ambiguity of working for companies for a short
period of time and moving on.”
Other observers think many workers will need new training to
meet the challenges of new employment sectors. For example, as part
of a plan to resuscitate the economy, President Obama has promised
to “create millions of jobs” in the largest public works
construction program since the launch of the interstate highway
system.
According to Kim Long, a Denver-based trend watcher and the
author of “The American Forecaster Almanac,” today’s underemployed
workers are woefully unprepared to contribute to such a
wide-reaching program.
“We don’t have anybody left that has experience with that kind
of thing,” he said. “Our elderly parents or grandparents would have
been the last generation to have seen it during the 1930s. One of
the myths of the Great Depression is that these programs put the
country back to work. They put a small number of people to work.
This whole thing is fascinating. I don’t know that you can prepare
for it.”
Unemployed for the holidays
The holiday season is never a very good time to look for work,
but that is especially true when toys, appliances and other
potential gifts are gathering dust on retailers’ shelves or are
unloaded in pre-Christmas sales.
Such was the unfortunate reality learned by Englewood resident
Eleanor Womack in late November when the unemployed sales
professional donned her power suit and strolled into the Cherry
Creek Shopping Center determined to come home with a retail sales
job.
“I knew I was going to get some job that day,” she said. “I went
into about 15 different stores, but everyone I talked to basically
responded with ‘We’re not hiring now.’”
Retail sales had not been Womack’s first choice, but any port in
a storm, she figured. Her sales background had included stints in
the insurance and business development industries. She had lost her
sales job with a Denver staffing firm in early October and was
confident that she could sell clothing and bedware as easily as
anything else.
After about four hours of fruitlessly walking the mall, Womack
was finally offered a job — a sales position of sorts. She was to
greet children and their families as they lined up to meet Santa
Claus. Womack would outline the various photo packages being
offered and sometimes perform such tasks as coaching kids onto St.
Nick’s lap.
She would be a Santa’s helper.
“I’m an elf,” Womack wrote that evening in a text message to a
friend.
The $8.75 hourly wage that the longtime saleswoman would earn
for the three-week stint was a far cry from the $60,000 annual
salary she had received in the staffing industry. But the single
mother of a 12-year-old son says she knew this was no time for her
ego to get in the way of making a living — any living — during
economically challenging times.
“I guess my first reaction was I can’t believe I’m doing this,
but at the same time, I needed a job,” she said. “I could be
cleaning sewers. It was a humbling experience.”
According to Armon, Womack’s story has become an increasingly
common one during this economic downturn as more qualified
candidates compete for a limited number of positions and oftentimes
settle for temporary low-paying jobs.
“I really feel for this story,” the employment coach said. “It’s
OK to get a stop-gap job. We have to go back to the 1980s playbook
to handle this kind of economy. There’s nothing wrong with stepping
back and taking care of yourself.”
Even author Long has had to move beyond his longtime role as a
professional trend watcher to make a living. The writer has cut his
losses by accepting what he considers uninteresting freelance
writing opportunities.
“For the first time in 30 years, the bottom fell out of the book
industry,” he said. “I’m doing projects that I didn’t want anything
to do with before. I’m not turning anything down.”
What’s next?
With the holiday season over, Womack is back to the daily grind
of seeking a full-time sales position. Selling herself during an
economically lean period has been among the most difficult sales
she has tried to make.
“The lack of opportunities and the lack of callbacks have been
frustrating,” she said. “When you apply for a job, you’re competing
with several hundred other people. I send out between 25 and 30
resumes a week and haven’t gotten callbacks.”
According to Armon, instead of getting frustrated, job seekers
in this climate need to redouble their efforts and play a
consistent offense by building a strong network, engaging in a
diverse outreach and thinking out of the box at every step of their
job search.
“We’ve got to get tougher about it,” she said. “We can’t simply
post to a job online and hope that it’s going to come through.
Opportunities come through people, not job postings. You need to be
prepared for what’s happening and create a value proposition,
rather than just say, ‘Here I am. Hire me.’”
As unemployment grows in Colorado, so will the population of job
seekers trying to pull from an ever shrinking well of job
opportunities. The demand for unemployment benefits could even
result in the drying up of the state’s unemployment benefits,
according to the National Association of State Workforce
Agencies.
While there is no fun in long-term unemployment, by Long’s
reasoning there may be an ever-so-slight silver lining for the job
seekers who are suffering through this economic downturn — simply
because the struggle has become so widespread.
“The biggest problem people will have, as long as you’re not
having a direct physical issue with starvation, is how do you fit
in? What about your peers? What are other people doing?” he said.
“I think the benefit of the depth and breadth of this [recession]
is that people aren’t going to be feeling singled out.”