Need A Job? Head Out West!

Employers out West are struggling to fill jobs due to a record low unemployment rate. Unemployment rates have been as low as 2 percent this year in Montana and nearly as low in neighboring states. Businesses are being forced to pay more and to recruit workers more creatively.

A McDonalds in Montana advertised in the local newspaper offering $10 and hour to compete with higher paying oil field jobs. The only calls they received regarding the ad were from other business owners who were upset that they would have to also raise wages. Then the current workers at McDonalds complained because they felt they deserved a pay hike. The owner of another fast-food joint found himself outsourcing the drive-thru window to a Texas telemarketing firm, because he couldn't find workers.

The effects are everywhere. Logging equipment in Idaho sits idle as companies have a tough time finding workers. A shortage of lifeguards has forced Helena to shorten hours at children-only pools. A local paper in Jackson, Wyoming has page after page of help-wanted ads.

According to economists, there are a number of reasons why parts of the West are feeling the pinch. The biggest reason is that established baby boomers, including retirees, have been moving into Montana for the mountain views and recreation. Younger people have been moving away, searching for bigger paychecks as the state's wages still lag behind other areas.

Economist, Larry Swanson says, "We thought the labor force crunch wouldn't come until 2012, but it's already arrived in a lot of these fast-growth areas." As a result, he said, "you'll find older workers working longer. People will sort of linger in the work force. The employers will make it worth their time to."


-- L. Morse

Labels: baby boomers, employment, jobs, wages

posted by Financial Help Web at 11:13 AM |