Many of the news stories on job losses/job creation/unemployment state that small businesses, led by start-ups, generate over 50% of new jobs in the economy.  An article in the Wall Street Journal (9/15/2011) quotes the Small Business Administration as saying that 65% of new jobs over the last 17 years were due to small employers.
That same article “With New Technology, Start-ups Go Lean”, says that the number of workers needed to launch a new company has decreased by almost half in the past decade.  Start-ups are being launched with an average of 4.9 employees vs. the 7.5 workers in the 1990s.  At the same time, the number of start-ups has held steady, or even showed a slight increase since the recession, according to a study by the Kauffman Foundation.  This factor can have a huge impact on overall job recovery.
Efficiency is a good thing, but how do they do it?  As it turns out, using Web-based business tools, and working with contract developers/workers online has reduced the need for bodies in the company. The availability of web-based collaborative tools allows disparate groups to work together on projects, and eliminates the need for a large staff. 
One thing occurs to me – maybe the start-up or small business doesn’t add to its staff, but the work (managing the projects, ordering supplies, keeping financial records, etc) still needs to be done.   Someone outside the company is getting paid for providing these services in another setting.  Whereas the work may be done more efficiently, we still have a job opportunity for some bright soul.  It might be interesting to compare costs for outside services and support between today’s start-up and the earlier versions. 
Sadly there’s one part of this story that doesn’t help our jobs picture – the ease of collaboration with overseas talent.  Good for keeping costs down, but not so good for the job market either. 
In the meantime, the really good news is that start-ups are continuing to launch at a steady rate, and our innovative talent is still at work.  Keep up the good work!

Tags: change management, Hiring Trends, industry news, recruiting, technical jobs

The New Mexico Department of Workforce Solutions (NMDWS) received an individual State Labor Market Information Improvement Grant, in the amount of $1,250,000, to gather information on employers and opportunities in New Mexico in four key sectors:
* Renewable Energy;
* Green Clean Manufacturing;
* Energy Efficiency; and
* Research, Development, and Administration.

Research is being conducted by the Arrowhead Center at New Mexico State University. ER&A will conduct an educational inventory with the assistance of the New Mexico Public Education and Higher Education Departments. Ultimately, survey results and data will be provided to job seekers, educational institutions, business communities, and state agencies to help guide the State Energy Sector Partnership and Training grant efforts. (see below)
Another goal of the grant is development of the Mobile Green Jobs Workforce Center (MGJWC), whereby job seekers will have access to new computer workstations, software, and online services resulting from the Grant research utilizing this new resource. The MGJWC will be more responsive to the targeted population needs by making resources available to job seekers in all areas and communities with the most need, such as the state’s rural population, isolated Native American tribal areas, and other underserved communities. The MGJWC can also serve as a training center to promote workforce information and other topics at mass layoff rapid response locations around the state. All the data collected and outlined under this Grant will provide essential information to help stimulate the growth of New Mexico’s new green economy and help fill the job market void left by recent business contractions and closures.

State Energy Sector Partnership Program
The goal is to establish a statewide approach to job seeker training in renewable energy/energy efficiency occupations in solar, wind, green building/energy efficiency and biofuels.  These are identified as sectors active in the State with a potential for job opportunities in the future.  The oversight council, a subcommitte of the State Workforce Board will work to identify industry needs and job opportunities to make sure that training matches with the sector needs.
To be eligible for training candidates must be over 18 and 1) have a Social Security number, 2) have the right to work in the U.S., and 3) comply with Selective Service registration requirements (for males)
AND
Be included in one or more of the following groups:
1. An incumbent (currently employed) worker in need of skills upgrades for a solar, wind, biofuels, green building/energy efficiency green job;
2. A displaced (currently unemployed) worker ;
3. A woman;
4. A veteran or qualified spouses of a veteran;
5. A high school dropout; and/or
6. meet low-income eligibility guidelines.
To apply for this program complete the SESP training pre-application, available at the project website, www.greenjobs.state.nm.us,  and take it to your local Workforce Connection Center. Your nearest Workforce Connection Center can be found by visiting http://www.dws.state.nm.us/dws-offices.html.

Tags: industry news, job seeker, retraining, technical jobs

The National Labor Relations Board is entering new territory as workers across the country file complaints because they were fired over Facebook indiscretions.  Although the Board has taken up the cases of a number of workers, others have been told they have no one to blame but themselves.
There are few guidelines in place.  General Counsel for the  NLRB is currently drafting a report outlining certain Facebook scenarios and how the board has acted on the complaints.
According to an article in the online Huffington Post August 2, the NLRB has been inundated with worker complaints, and has been handling them on a case-by-case basis.  Employers, meantime, need some idea of what the guidelines will be for dealing with this issue.
Two cases in point:  a Walmart worker who referred to his manager using a rude Spanish term for a female  on the social networking site after they fought over store displays, and a frustrated Illinois bartender who took to Facebook to complain that he hoped the “redneck” patrons choked on glass as they drove home drunk. 
The latter worker was canned, and the former admonished for their respective outbursts.  When they appealed to the National Labor Relations Board, the board declined to intervene, saying the punishments were legitimate.
In another case where an employee criticized her boss on Facebook (categorizing him as a psychiatric case), the firing was based on a company policy forbidding employees to criticize the company online.  The NLRB held that this policy was too broad and took up the employee’s complaint.  The argument was that the posting was no different than gossiping around the water cooler – what we used to do in the old days!
A spokesperson for the NLRB had some advice for employers.  “You can’t stick your head in the sand and tell your  workers to abstain”.  We  know that won’t happen, so work with your leadership to come up with some reasonable guidelines.  The NLRB should be releasing its report on Facebook cases in the next few weeks, so stay tuned.  Such an interesting world!

Tags: industry news, performance management, social network

If you google “the new entrepreneur” you’ll get pages of references to entrepreneurs with a twist – a mission to give back to society through new business ideas.  These new companies with a social mission have a wide range of solutions, and are successful in the process.  This may be your next great business idea.
For example and article in Bloomberg Businessweek highlighted winners of a contest:  “America’s Most Promising Social Entrepreneurs”.  Profiles of 25 finalists were posted on the Businessweek website in June.
Businessweek.com readers voted for their choice, and the winner was a San Francisco print shop that hires recovering addicts and ex-offenders . The company, Social Imprints, garnered 15.7 percent of the nearly 3,000 votes cast by readers.  Co-founded by Jeff Sheinbein and Kevin McCracken, who overcame heroin and alcohol addiction himself, the 3-year-old company employs seven people and had $2 million in revenue last year.
Dalberg, a New York-based consultant focused on international social and environmental problems, was second. Founded by veterans of McKinsey in 2001, Dalberg has sales above $15 million and 120 employees in 10 global offices.
Other companies included Intuary, the maker of an iPad app that helps people who can’t speak communicate. The 5-employee startup is launched the app, called Verbally, in March and is projecting sales of $200,000 this year.
Nest Collective,which sells healthy children’s food under the Plum Organics baby food brand and Revolution Foods lunchbox snacks was another winner. The 26-employee company, founded in 2007, had $15 million in revenue last year.
The list also included StayClassy, an online fundraising platform for small nonprofits. The 6-year-old company had $250,000 in revenue last year and has helped 2,000 nonprofits raise more than $5 million.
There are more winners listed on the Bloomberg site, but those listed above show the wide variety of ideas, and the money to be made, in helping improve all aspects of our society.  What is your great idea?

Tags: entrepreneurs, industry news

As most economic writers will tell you, it is the small business sector in our country that adds the most jobs to our economy.  As a matter of fact large businesses (over 500 employees) have reduced the number of employees significantly in the last few years.  Thus job seekers are feeling the pinch as new business startup statistics are the lowest since the 1990s. 
An article in USA Today Small Business provided a summary from the Bureau of Labor Statistics.  For the 12 months ending in March 2010 there were 505,000 new business startups – the weakest growth since the bureau started tracking this stat in the 1990s.  Other publications have tracked current trends and say the outlook is not very rosy (National Federation of Independent Business).  After steady increases through early February, the optimism index dipped for March and April of this year. 
The lack of new business is attributed by many to the lack of consumer spending.  Sales trends are down, and there is a lot of uncertainty about what is next.  Also companies are worried about what will happen in the next year in U.S. Government. 
This news impacts our unemployment issues. National unemployment statistics hover at 9%, and an article in the Financial Times said that the “basic unemployment” percent (people between jobs or permanently unemployed) may not ever get back down to the 3% level we’ve held for years.  For every “opportunity” for growth in an industry there is a balancing economic factor that may dampen that growth. One example was the optimistic view that companies might move manufacturing jobs back to the U.S. because of rising costs overseas.  The pessimistic view is that these same companies will adopt more technologies that would replace these very jobs! 
There is an interesting factor in all this news.  Technology companies (mostly small businesses) and technology jobs continue to make gains, and there are jobs going begging.  The reason – the workforce lacks the skills to fill these positions.  One article talked about the loss of jobs in the construction sector, and the need for trained workers in the healthcare industry…and these skills don’t cross over.  There are also jobs to be had in IT, and even in skilled manufacturing. 
There is no easy answer to the problem.  There is hope for the job seeker with technology or IT skills, but it will require time and patience to find the best match.  Keep hunting!

Tags: hiring process, Hiring Trends, industry news, job seeker attitudes, retraining, technical jobs