BLS DAILY REPORT, TUESDAY, SEPTEMBER 19, 2000: Today's News Release: "REGIONAL AND STATE EMPLOYMENT AND UNEMPLOYMENT: AUGUST 2000" indicates that regional and state unemployment rates were stable in August. All four regions registered little or no change over the month, and 46 states recorded shifts of 0.3 percentage point or less. The national jobless rate was essentially unchanged at 4.1 percent. Nonfarm employment increased in 31 states and the District of Columbia. Moonlighting is on the wane, the Bureau of Labor Statistics reports. Since 1995, the number of workers holding second jobs has dropped to 5.7 percent of the work force from 6.4 percent. Fewer than half do so to make ends meet or pay off debts, BLS says. Many hold second jobs because they enjoy the work, want the experience, or hope to save for the future (The Wall Street Journal's Work Week feature, page 1). Hiring moms is into vogue, especially for small business owners who find that flexibility on hours is a relatively cheap benefit that allows them to compete with large companies whose schedules may be more rigid, says The Wall Street Journal (page B2). The past 2 decades have seen moms go to work in record numbers. According to the Bureau of Labor Statistics, the number of working mothers with children under 3 years of age rose 9.5 percent to 5.3 million between 1990 and 1999. During the 1980s, the number rose 47 percent. The slowed growth has occurred despite a federally mandated welfare to work program that has moved about 2 million families -- many headed by women -- off the public assistance rolls since 1996. Now, at a time when employers are doing more than ever to lure working moms, the pool of such workers is getting almost as dry as the rest of the market. The unemployment rate among working moms -- as among other workers -- is also at a 30-year low -- about 6 percent -- compared with double digits early in the 90s. "A lot of this is attributable to employers offering more flexible work schedules," says Steve Hipple, a Labor Department economist in Washington, D.C. In fact, federal figures show that 28 percent of all workers had flexible schedules in 1997, the most recent data available, compared with 15 percent in 1991. "That makes working a lot easier and more attractive to mothers," he says. With overtime on the rise, fatigue is becoming an issue for workers, says Mary Williams Walsh writing in The New York Times (September 17, page 1). The average American employee works just 2 more hours a week than in 1982, according to the Bureau of Labor Statistics. But Randy E. Ilg, a senior economist at the Bureau, says that figure probably understated the problem because women have been surging into the work force, and their generally shorter hours appear to have pulled down the average. Only in the workweek statistics by households does the increase jump off the page, Mr. Ilg said. "Twenty years ago, you had one person in the household working," he said. "Today you've got two. And who goes to the grocery store now? Who takes the check to the bank on the weekend? Who does the dishes after dinner?" The increased use of cellular phones, laptops and beepers also make Americans feel like they are working more, Mr. Ilg said. So do today's longer commutes. For all the travails of blue-collar workers, the people putting in the longest hours these days are white-collar workers on salary, Mr. Ilg said. Their ranks have been swelled by the information economy: 60 percent of the jobs created in the last 10 years are managerial and professional positions. Many of these people toil in a legal twilight zone, often performing duties that did not exist in 1938, when Congress drew clear cut distinctions between workers and managers. The law is silent on how such worker should be compensated for their long hours, if at all. The percentage of young Americans holding summer jobs fell again this year, due to the strong economy, expanded summer-school programs and the growing popularity of unpaid internships, the Labor Department said (The Wall Street Journal's Work Week feature, page 1). World oil prices soared again yesterday, amid fears that increased tensions between Iraq and Kuwait might disrupt production in the Persian Gulf region. The price of crude oil contracts on the futures market at the New York Mercantile Exchange rose above $37 a barrel for the first time in a decade before closing at $36.88, up 96 cents for the day (The Washington Post, page E1; The New York Times, page C4). __As utilities warn residential customers to expect higher heating costs this winter, commercial natural-gas users also are bracing for a tough winter. In addition to hotel chains and other real-estate companies, steelmakers which have to use clean-burning natural gas for much of their production are changing buying procedures to cope with today's high prices (The Wall Street Journal, page A2). Throughout the high-tech era, government research laboratories have been seedbeds for some of the most important advances in computing, detecting nuclear weapons, robotics, gene sequencing, and other fields. And for engineers and computer scientists, the laboratories have been havens of job permanence. Now the technology boom in Silicon Valley and across the nation has changed all that. The lure of the private sector and its many start-up companies is so strong that national research laboratories are losing their best and brightest in growing numbers. Senior scientists making $90,000 a year at a government laboratory can go to private companies and increase their salaries by 50 percent. Add a lucrative stock-option package and the appeal can be irresistible (The New York Times, page 1). The labor market is so tight, at least in most urban areas, that many employers are already paying more than the prevailing $5.15 minimum wage to attract workers, writes Robert D. Hershey, Jr., in The New York Times (page C1). In many cases, companies are already paying more than the proposed higher minimum. For example, except for high school students, unskilled help gets an average starting wage of about $7 an hour in the suburban stretch between Baltimore and Washington, D.C. Nevertheless, today's prosperity seems likely to blunt only temporarily, not block, the economic forces that a higher minimum wage tends to unleash. Many companies may find profits eroded, in some cases to the point of failure, while hours are cut and prices are pushed up. Jobs may arguably be lost or the creation of new jobs slowed. The significance of these effects following previous increases in the minimum wage is a matter of debate, especially the effect on employment. "The impact is very different, depending on who you talk to, says the senior vice president of the National Restaurant Association and leader of a multi-industry alliance devoted to minimum wage issues. Among the variables are whether a business is in a high-cost urban area or a low-cost rural one, whether workers are tipped or rely solely on wages, and whether the enterprise is in one of the 10 states -- Washington, Oregon, California, Alaska, Hawaii, Vermont, Massachusetts, Connecticut, Rhode Island, and Delaware -- plus the District of Columbia, that have their own minimums set higher than the federal one. In low-cost areas, employees are more likely to be earning the minimum than elsewhere, meaning that a mandated increase has greater impact. A good job and salary often aren't enough to attract potential hires to cities with high real estate and living costs. Firms, particularly those in booming Northern California, New York, Boston, and Washington, D.C. must offer recruitment packages featuring housing allowances, spousal assistance, stock options, and signing bonuses to attract talent. "Candidates today aren't willing to take a step backwards in their standard of living," says the president of Management Recruiters International, Inc., Cleveland (The Wall Street Journal "Work Week" feature, page 1). Los Angeles may be famous for its car culture, but the strike by 4,000 bus and train drivers is expected to hit its underground economy and low-wage service industries hard. Hospitals, hotels, office buildings and apparel companies are expected to suffer when low-paid workers can't cross L.A.'s sprawl. Workers of the city's Metropolitan Transportation Authority went on strike Saturday in a dispute over wages, work hours, and health care benefits (The Wall Street Journal, page A4). About 49 percent of 631 employees from big and small companies surveyed by New York's Fortune Personnel Consultants say they have been with the same company for more than 10 years. Of those, 19 percent report they've been with the same company for more than 20 years. Why do employees stay so long? Challenging work ranked tops for 25 percent of respondents, with "ability to balance work and family" next at 24 percent. Pay ranked a mere third, at 17 percent. For those under 35, pay ranked even lower (The Wall Street Journal, page B16).
<<application/ms-tnef>>
- BLS Daily Report, (continued)
- BLS Daily Report, Richardson_D Mon 18 Sep 2000, 19:53 GMT
- Re: BLS Daily Report, Charles Brown Mon 18 Sep 2000, 20:05 GMT
- RE: Re: BLS Daily Report, Lisa & Ian Murray Mon 18 Sep 2000, 21:23 GMT
- BLS Daily Report, Richardson_D Tue 19 Sep 2000, 14:23 GMT
- BLS Daily Report, Richardson_D Wed 20 Sep 2000, 16:26 GMT
- Re: BLS Daily Report, Charles Brown Wed 20 Sep 2000, 16:43 GMT
- RE: Re: BLS Daily Report, Max Sawicky Wed 20 Sep 2000, 17:08 GMT
- RE: Re: BLS Daily Report, Max Sawicky Wed 20 Sep 2000, 17:13 GMT
- Re: BLS Daily Report, Timework Web Wed 20 Sep 2000, 23:32 GMT