In recent weeks, the media has been bombarded with stories of massive layoffs at many of the nation's most prominent and largest firms.
The numbers speak for themselves: Daimler Chrysler said it will cut 26,000 jobs; MCI Worldcom -- 11,500; Lucent Technologies -- 10,000; Boeing -- 8,000; Sara Lee -- 7,000; Xerox -- 5,200; and AOL -- 2,000. The list goes on and on.
According to the employment consulting firm of Challenger, Gray and Christmas, American companies announced a total of 142,208 job cuts this January, compared to only 50,665 in January, 2000. The manufacturing sector and dot-com retailers were affected the most.
Nevertheless, the national unemployment rate has increased to only 4.2 percent, traditionally regarded as a very low figure.
The economy may be flat, but it is stuck at a plateau of the highest employment and wage levels in recent history. So jobs may be harder to find than they were six months ago, but a lot easier to find than they were 10 years ago.
Locally, economic news is also somewhat mixed. Memphis has lost some jobs as the online pharmacy PlanetRx.com shut down and Dillard's announced the closure of its Mall of Memphis store.
At the same time, however, the city's most prominent corporate citizens, Federal Express and International Paper, are both planning significant new job creation in the coming months.
The unemployment rate in Memphis decreased from 3.9 percent to 3.6 percent in December, 2000, staying far below the national average.
"Areas like Memphis, where the manufacturing base has been stable for the last 25 years, any cutback in manufacturing will have less of an impact," said John Gnuschke, director of the Bureau of Business and Economic Research at The University of Memphis.
On the other hand, Hayes said, Jackson, Tenn., and the rural counties of West Tennessee -- which rely heavily on manufacturing -- will be hard-hit.
Some college seniors are worried about their job prospects in light of the economic downturn and the influx into the job market of many experienced, laid-off workers.
University of Memphis senior Tasha Clark once considered a career as a corporate trainer after graduation, but has now decided to pursue a graduate degree directly after college.
"The competition for jobs is really tough out there. An undergraduate degree is necessary, but no longer sufficient, to get a stellar job," said Clark.
For those seniors who are looking for full-time jobs after graduation, the Career and Employment Services Office at 315 Scates Hall provides wide-ranging assistance -- from scheduling on-campus interviews to help with resumes. Employers recruiting on campus this year include the Tennessee Valley Authority, Smith and Nephew, Walgreens and International Paper.
The office is co-sponsoring the 2001 Mid-South Education Fair, to be held on February 28, 2001 in the University Center Ballroom at 11:00 a.m. to 3:00 p.m., for those interested in pursuing teaching careers.
Representatives from various school districts, including Memphis, Atlanta, Jacksonville, Fla., Little Rock, Charlotte and even New York City will be present to answer questions and entice students to submit employment applications.
Based on a study by the National Association of Colleges and Employers, the starting salaries for college graduates have risen significantly over the past few years, reflecting the tight labor market.
For 2000 graduates, the national averages ranged from $28,811 for a psychology degree to $50,182 for a computer engineering degree.
Starting salaries in many industries are expected to be flat or even decrease this year, because of the changing nature of the job market.
But with an expected average starting salary of over $34,000, 2001 college graduates will certainly be better off than unskilled manufacturing workers or others without a college degree.
