Fall 2009 Feature Article
Adrift
Navigating the Economy of Joblessness
By Sarah Libbon
Photography by John Linn
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| Kathy Zavala: "Most of the people who come through our doors want to quickly find another job like the one they just lost. Unfortunately, that's not an option for many of them." | ||
"What we started seeing last fall was completely different than what we've ever seen before," said Craig Nathan, area manager for Rural Minnesota Concentrated Employment Program (CEP) in Brainerd.
"All of a sudden, more and more people were walking through our doors. We started seeing people who wouldn't normally be laid off-those who've been with their company for 15 to 20 years and some in mid- to high-level management positions."
According to the Minnesota Department of Employment and Economic Development, employers added 10,300 jobs in July, the state's first employment gains since August 2008. In September, the state unemployment rate fell to a seasonally adjusted 7.3 percent, which compares favorably to the nation's unemployment rate of 9.8 percent in the same month.
Although there is reason for economic optimism, don't try sharing the good news with the thousands who are still unemployed. With more than 109,000 Minnesota jobs lost in manufacturing, construction, and professional services alone, a full recovery may take several more years.
Such a dark outlook, even with a silver lining, has taken a financial and psychological toll on thousands of displaced workers. In September, Rutgers University surveyed about 1,200 U.S. workers who became unemployed in the last 12 months.
Overwhelming majorities of the survey's respondents said they have experienced anxiety, helplessness, depression, and stress after being without a job. Many said they've experienced sleeping problems and strained relationships and have avoided social situations. Others described diminished hopes of finding employment at older ages, and feelings that advanced degrees are useless. Some said they have questioned their self-identity after they had allowed their professional careers to define them.
"Most of the people who come through our doors want to quickly find another job like the one they just lost," said Kathy Zavala, executive director of the Stearns-Benton Employment & Training Council. "Unfortunately, that's not an option for many of them."
Zavala added that there are career opportunities in the healthcare, technology, and renewable energy sectors, among others, but they require drastically different skill sets than those of declining industries. In order to acquire those skills through retraining and education, she said, workers must have core reading, math, and science proficiency. For many, that means taking remedial courses before they can succeed in career retraining.
"A lot of us haven't taken a math or science course since we were in high school," Zavala said. "We've simply let those skills lapse, and the amount of time since we've been in a classroom impacts our ability to successfully transition to in-demand jobs."
Leaders of three of central Minnesota's most prominent workforce and employment agencies agree that a lingering recession may be a self-fulfilling prophecy. For every worker who has endured the strain of lost employment, there exists an opportunity for personal and professional transformation.
"The picture isn't the brightest just yet, but I know there are jobs out there and companies are working hard to grow."
- Tim Zipoy, Central Minnesota Jobs and Training Services in Monticello
"There is hope. People aren't just sitting and waiting for things to turn around-they're moving forward toward brighter times ahead."
Silver Linings
Patty Carruth of St. Michael advises other displaced workers to keep a positive attitude, even when the future looks bleak. Carruth was laid off from her job as an event planner, specializing in corporate travel and business meetings. When the economy faltered, corporate events came to a screeching halt and so did the event planning division at her former company.
"In between the tears, I had already made up my mind to look forward," said Carruth. "I was not bitter and I had no regrets. The company had made a business decision in order to survive and I could accept that."
Carruth, who has a bachelor's degree and fits the profile of the mature, highly
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| Patty Caruth: "Unemployment is not something I would wish on anyone, but it turned out to be a blessing in disguise." |
"I was fortunate that my former company paid for two months of transition services at a company called Right Management," said Carruth. "I enrolled in this service the same day I was laid off, along with notifying the unemployment office and contacting the Monticello WorkForce Center."
Carruth said the support of her family was key in helping her keep a positive outlook as she maneuvered through the maze of options and resources. She said her unemployment insurance and the federal economic stimulus program that reduces COBRA health insurance payments for dislocated workers were keys to stretching her family's budget.
"Our family's healthcare insurance would have cost $1,000 per month, but through this program it was only $335. That was a huge blessing for us.
- Patty Carruth
The people at Right Management, along with her job counselor at the WorkForce Center, helped Carruth repackage her skills, attain additional education in project management, and gain new skills to market herself for a variety of new career options. After five months, she found a job through the WorkForce Center's Minnesota Works online job bank. Today, she is the builder relations manager for Becker Home Center, an ideal match for her skills and interests and one she said she never expected to find.
"Unemployment is not something I would wish upon anyone, but it turned out to be a blessing in disguise," said Carruth. "I eagerly awake each day, not just because I have a job, but because I'm working at my dream job." IQ
The College Stampede
Mass layoffs have have spurred thousands of displaced workers like Schmidt to return to central Minnesota colleges for career retraining. Most area colleges reported enrollment increases of 5 to 10 percent during the 2009 fall semester. Topping the list is Pine Technical College in Pine City, with a whopping 22.6 percent upsurge in students.
St. Cloud Technical College enrolled more than 4,000 students for the first time in history, which represented a 15 percent increase. SCTC President Joyce Helens said the college has rebundled many of their course offerings to make them more accessible.
"We advise people to go to the WorkForce Center first, which is co-located at our campus to find about funding assistance and to assess their interests," she said. "Then, they can walk through our doors and find out about everything from obtaining an entirely new degree to programs that will sharpen their skills and build their resume."
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| Joyce Helens: St. Cloud Technical College enrollment jumped 15 percent. | |
"My own dad was dislocated years and years ago, and I remember that he felt like he had failed," she said. "He finally found a new job and career path by becoming a truck driver. His experience is a big part of the reason I went into education."
Even St. Cloud State University, which offers a broad spectrum of bachelor's and master's programs that require a long-term academic commitment, recorded a noticeable spike in enrollment. SCSU President and Initiative Foundation Trustee Earl Potter said that the university is responding to the rapidly changing job market.
"We had an enrollment increase of almost 5 percent fall semester, which is likely due in part to the number of displaced workers seeking education for new careers," Potter said. "Our curriculum will always be focused on core skills, but we're also constantly surveying the business landscape to meet regional workforce needs. The challenge, in the words of hockey great Gordie Howe, is skating to where the puck is going to be, not where it is."
Square One
Zavala believes that every displaced worker, regardless of their past position or education level, should contact their local WorkForce Center immediately after losing employment. "We are a one-stop shop for job services and training," she said. "We serve both the employer and the employee, and we get to know each person who walks through the door so we can customize our services and programs to help."
In addition to connecting with the WorkForce Center, Zavala recommends three initial steps.
- Apply for unemployment insurance online or on the telephone.
- Have an open and honest conversation with your family, and make necessary adjustments to your family's finances.
- Start developing your reemployment plan and assume it will take longer to find a job than you initially think.
"People also need to know to dial 211, which is an information referral service operated by the United Way," she said. "They can find help with everything from food, clothing, financial counseling, childcare, and so much more."
Based in Little Falls, the Initiative Foundation responded to the economic crisis by tabbing 60 percent of its 2009 nonprofit grants to fund displaced worker training, emergency services, and small business consulting.
"Central Minnesota is fortunate to have a host of resources available to help people in need," said Kathy Gaalswyk, Initiative Foundation president. "We repurposed our grants because the economy depends on business growth, employment opportunities, and confidence in the future. Basically, we're investing in hope."
Many displaced workers have also found help at www.minnesotaunemployed.com, a clearinghouse website that was recently launched with funding from the Jobs NOW Coalition and Goodwill/Easter Seals. The site has links and descriptions of Minnesota WorkForce Centers, career resources, nonprofit services, and ways to stretch savings.
Extreme Makeover
For Doreen Schmidt, it was the Minnesota WorkForce Center in St. Cloud that helped her transform the devastation of losing her job into the opportunity to pursue a lifelong dream. Schmidt visited the center after being laid off from her job in quality assurance at Stearns, Inc. in Sauk Rapids when the company was purchased by Coleman in 2007.
"I was scheduled to have surgery so my layoff was postponed, but the day I returned from my surgery, I was immediately laid off. I'm 56 years old and I was thinking, ‘Who is going to hire me?'"
- Doreen Schmidt
Schmidt decided to take advantage of services offered at the WorkForce Center. She participated in several group informational meetings and skill-building programs, but found one-on-one meetings with her career counselor to be the most help.
"My counselor, Linda, helped me think about what I really like to do and what career would be best for me. I realized that I have always wanted a career in healthcare, but I didn't think it would ever be possible," she said.
She took classes at St. Cloud Technical College to become a Certified Nursing Assistant (CNA) through the WorkForce Center's Dislocated Worker Program, which paid for all of her coursework. A CNA certification is the first stepping stone to a lucrative career in nursing.
Schmidt also learned job search techniques and took a computer refresher course at the WorkForce Center, which helped her land a job at St. Benedict's Senior Community. "I'm making a little less than I was before, but it's not just about the money," said Schmidt. "I absolutely love what I'm doing and the people I work with. I'm so grateful I got this opportunity."
Initiative foundation | 405 First Street Southeast | Little Falls, MN 56345 | (320) 632-9255
