Help wanted – state battles unemployment
Published 5:37 am Wednesday, June 25, 2008
By By JESSICA SIEFF / Niles Daily Star
NILES – Opinions surrounding the current state of Michigan's workforce, as well as the future jobs for the jobless within the state seem to sharply differ lately.
Just last week, in a release paid for by the Michigan Republican Party, Governor Jennifer Granholm was criticized for what could be considered one of the roughest working atmospheres in the nation. The release claims 23,000 people have lost their jobs since October of this year – after "the largest tax increase in state history" took affect and "…the state reported the highest monthly jobless rate (8.5 percent) in 16 years."
Granholm tried to address those comments and concerns just a few days afterwards in her weekly radio address. "You may have heard [earlier this week] that Michigan's unemployment rate took a big jump in the month of May," she said. New, young job seekers, she said, entering the workforce and not finding the jobs they were looking for didn't help in pushing the unemployment rate to over eight percent.
"While any increase in unemployment is unacceptable," Granholm continued. "Michigan can't escape the effects of $4 [per] gallon gas, contraction in the automotive sector and the sub-prime lending crisis that's battering the national economy." The governor tried to add a measure of perspective. "The national jobless rate also soared in May," she added. "Increasing by more in a single month than any time in more than 20 years."
Those words may have rung rational – but not necessarily comforting. Graduating college students aren't the only ones trying to find their way within a tough job market. Many are losing jobs or seeing their industries changing with the times: both economical and technological.
Still, just a few days after Granholm's radio address, Michigan announced that the state would increase its minimum wage from $7.15 to $7.40 per hour starting July 1.
And being so close to the state line, Niles is poised in a unique position. Residents looking for work can spend a little more money on fuel to make a quick commute to a city with more opportunities and it would seem that many aren't just taking the current conditions sitting down – but working hard to combat them.
"(That is) a very fortunate position," said Diane Chaddock, executive vice president chief operating officer at Southwestern Michigan College (SMC). At SMC, Chaddock said programs offered by the school are designed to meet the needs of the community.
"There are two kinds of graduates for us," she explained. Those graduates include students who will achieve their associates degrees in order to transfer on to larger, four-year institutions elsewhere – effectively keeping them from the workforce for a few years yet at least. The second set of graduates includes those who acquire a degree or certification in specific areas of industries such as allied health care, welding of various forms of manufacturing. Those positions are in demand in the area, Chaddock says, making it easier for those graduates to find jobs.
Still, the employment rate for graduates of the college went down last year. For the spring of 2007, 93 percent of graduates received employment. That is down from 97 percent of graduates in the fall of 2006. "Now, that's not always a big deal," she added. Some students may be taking some time off to travel and explore their options. "I see that as a minor fluctuation."
States like North Carolina, South Carolina and Arkansas have gone through similar experiences, she added. "They recreated themselves," she said. "I expect that's what Michigan will have to do."
The news may also serve as a rude introduction to what high school students may have to face when looking for summer work. At Hacker's Golf and Games in Niles, where many high school or college students look for summer work, Manager Patrick Mead said they haven't had any problem hiring. They received 200 applications this season alone. But Hacker's only employs 12 to 15 kids, Mead said. And some of those employees have returned from the previous season. It's a pretty daunting perspective. While as an employer, Hacker's may not be hurting for work, has Mead heard from the kids he's around that they, in fact, are? "Oh yeah," he said. "A lot of them can't find jobs and can't even get interviewed."
For others, finding jobs may come down to where one might be looking – or even looking into new avenues and new industries. And that means job seekers need to make sure they're skilled. Candice Elders, Director of Community Relations at Michigan Works said though the unemployment rate for the state may be discouraging; "many employers are still having difficulty finding applicants who have the skills to meet their needs."
Michigan Works expects advanced manufacturing, healthcare and skilled-trades to be among those industries in need of employees as an aging baby boomer generation prepares to retire. And Elders quotes the Bureau of Labor Statistics as reporting that "more than 40 percent of the U.S. labor force will reach traditional retirement age by the end of the decade. At the same time, the number of workers between ages 35 and 44 is expected to shrink by 7 percent."
The workforce, as it would seem, is in a time of change and that change comes with its share of challenges. The inevitable retirement of what has been characterized as the hardworking generation, constant and rapid advances in technological achievement and lack of skills are all contributing to the issues workers are facing.
"What we want to do is predict where the jobs are," Elders said.
The organization does just that. A report prepared by Michigan Works in 2007 outlined in-demand occupations. Some of the occupations on the list are registered nurses, pharmacy technicians, carpenters, electricians, industrial engineers, tool and die makers, emergency medical technicians, retail sales people, waiters and waitresses.
Those looking for work in the retail or restaurant service industries may have quite a few opportunities to look forward to, with rapid implementations of new businesses at University Park Mall and in Granger's Toscana Park.
Even if people are finding themselves heading to South Bend, Mishawaka or Elkhart for work, Chaddock said, "they still pay state tax, they still pay property taxes, they still live here."
In her address, Granholm touched on other aspects that contribute to a successful workforce. She said energy legislation was needed to keep utility rates affordable, that alternative energy companies were needed to bring "tens of thousands new jobs to Michigan" and building projects at universities, colleges and airports were all in need of approval to boost construction jobs within the state.
Area residents may find relief in local opportunities and a growing city just across the state line. But the challenges don't look as though they'll be going away any time soon. In the meantime, it appears everyone educators to employers and employees will be hard at work trying to find work for those who need it. "It's hard you know," said Chaddock. "What comes first, the job or the worker?"