| In The News #2 >> | ||
>> TITLE Workers Confront Downward Mobility Lead Story-Dateline: >> SUMMARY James Richter was flying high at Nortel Networks. By age 30 he had been promoted several times and was reeling in a $94,000 annual salary. In March 2002 he was terminated, a casualty of a declining industry in a stale economy. Six months of unemployment later he accepted a supervisor’s position at a cable company for half the pay. Richter’s case highlights a growing number of the unemployed who are eventually settling for much lower positions. The current unemployment rate of 6.2%, although down slightly from last month’s rate, illustrates the difficulty severed workers face in finding new jobs. At least 39.8% of the currently unemployed have been looking for work for 15 weeks or longer, a twenty year high. In fact, many of these job seekers have become so discouraged that they simply quit looking for work. The recent drop in the U.S. unemployment rate is largely attributed to approximately 500,000 of these workers simply ceasing their search. Still others lucky enough to find work, like Mr. Richter, are just happy to be employed again. The new downwardly mobile class, working at jobs with much lower levels of responsibility and pay than they once held, reassess their career goals and plod ahead. When asked about the changes, emotions run from bitterness to relief. A quote from the previously mentioned Mr. Richter sums it up. “I feel lucky. Even though I’ve lost ground, I know people out there who have no ground at all, any more.” >> Talking it Over and Thinking it Through
>> Thinking About the Future One of the major challenges facing the current political administration is reducing the level of unemployment. The lack of job opportunities contributes to our overall satisfaction and obviously our spending habits. Fear of losing my job (or not finding one at all) tends to curb my optimism and overall willingness to part with my cash. Long-term economic health for the U.S. depends on job creation and subsequent consumer spending. The entire issue is something that may turn into a political lead-balloon for President Bush as he faces re-election. Former President Clinton recognized the importance of this same issue when he defeated the senior George Bush. Will history repeat itself and the current President Bush die by the same sword? Time will tell.
|
