New York City: Looking for job answers in odd places

Are textbooks and squeegees the key to NYC’s economic future?

As New York City’s unemployment rate holds steady at nearly 9 percent, the city is making a grab for any project that could bring jobs to its increasingly hopeless residents – no matter how niche or obscure.

That’s the driving force for a new deal between the city and Pearson PLC, the British education and publishing giant that also – in a small twist of ironic fate – owns the Financial Times. Pearson will be putting down roots on Hudson Street, bringing an estimated 628 jobs to NYC. (Never mind that the building renovation alone will cost almost $135 million before those jobs ever even materialize.)

See Mayor Michael Bloomberg announce the Pearson deal here.

But some New Yorkers aren’t waiting around for the city’s fancy plans to come to fruition. The Daily News recently reported on the reappearance of so-called “squeegee men” in the city – guys who wander through traffic with a bucket of water and a squeegee, offering to clean car windows for a buck or two. It’s a job that had virtually disappeared since the early ‘90s – the last time city unemployment was as high as it is now.

Another city jobs plan that may not pan out so well: The upcoming “Wal-Martization” of NYC. New numbers show that if Wal-Mart reaches the same market share – 21 percent – in New York City that it has in the rest of the country, the city will lose nearly 4,000 jobs and more than 100 smaller local businesses. Maybe Wal-Mart doesn’t really have everything New Yorkers need.

But what, then, do New Yorkers need? What industry (or industries) holds the answer to the city’s unemployment crisis?

How Obama Can Invest in New York Again

In his much-anticipated jobs speech last week, President Obama pledged billions of dollars towards “shovel-ready” projects to put construction workers back on the job. The first round of federal stimulus, passed in 2009, provided $261 million dollars in aid to improve New York City’s infrastructure. Here is a list of projects within the city that would benefit from round two:

Hudson River Tunnel: In October of 2010, Chris Christie touted his cancellation of construction of another tunnel under the Hudson, which would have doubled the capacity of commuter train passengers traveling between New York and New Jersey. The estimated price tag of the project, split between the two states and the federal government, is estimated at about $10 billion.

Retrofitting commercial buildings: Cash-strapped labor unions and private enterprise have attempted to go further than what was pledged in Obama’s green initiatives last year, but would greatly benefit from public investment. Deutsche Bank has compiled a list of potential savings from retrofitting specific commercial buildings in NYC.

Fixing bridges: Although the Brooklyn Bridge received a much-needed enhancement from the America Recovery Act in 2009, bridges throughout the state of New York have been crumbling for years. Senator Schumer has called for federal aid to update over 2,000 structrually deficient bridges throughout the state.

Commuter trains: With New York being awarded a massive federal grant for high-speed rail projects, commuters throughout the region will find it easier to travel throughout the Northeastern Corridor. However, Metro North and NJ Transit are still vital routes for daily commuters throughout the area. Upgrading these networks can greatly improve efficiency.

The American Jobs Act Controversy

President Barack Obama delivers remarks on the American Jobs Act in the William Neal Reynolds Coliseum at North Carolina State University in Raleigh, N.C., Sept. 14, 2011 (Official White House Photo by Pete Souza)

President Barack Obama delivers remarks on the American Jobs Act in the William Neal Reynolds Coliseum at North Carolina State University in Raleigh, N.C., Sept. 14, 2011 (Official White House Photo by Pete Souza)


The American Jobs Act continues to raise debates in the American society.

  • Jobs Plan Approval and Disapproval: The Gallup Daily research on a three-day rolling average shows growing disenchantment with President Obama’s jobs plan.
  • President’s Plan: In the Jobs Act sent to Congress on Monday, President Obama wants high-income workers to assume a greater tax burden. Mr. Obama says taxes won’t go up for those earnings below $250,000.
  • Tax Hikes for Jobs Creators: The tax hikes plan would only affect large companies. Oil and gas companies’ tax subsidies would be cut. Besides, The Jobs Act would raise taxes on some hedge fund managers and on corporate job owners. Republicans, including House Majority Leader Eric Cantor, R-VA., insist the plan contains a tax increase on “job creators”. However, defenders of the plan say wealthy individuals, hedge fund managers and corporate jet owners do not create many jobs.
  • The Jobs Act and New York City: Mr. Obama’s plan is intended to help small businesses in New York City; 400, 000 state firms will receive a payroll tax cut. Besides, The Jobs Act will provide immediate investments of nearly $3 million. in New York highway and transit modernization projects. It could mean about 39,000 jobs in the city. The plan suggests considerable investments in education and construction projects. At the same time, Republicans say the victory of Bob Turner over a Democrat David Weprin in New York’s 9th congressional district is another sign of unhappiness with Obama’s job plan.

So you want to be a restaurant manager

The "Jobs Act" shall support small businesses. (Photo: meironke/flickr)

 

Since you first moved to New York City, you’ve been dreaming of your own little restaurant. Last week, Obama announced payroll tax cuts for small businesses as a part of his “Jobs Act” and you decided to take your chances. But before you start writing your menus now, there are some things you should know.

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New York’s Fashion Week Economic Stimulus Plan

For the past week, New York City’s streets have been crammed – even more than usual – with turned-out girls navigating subway grates on skinny stiletto heels and young fashion students smoking self-consciously outside of Parsons. Fashion Week seems like a la-la land of $1,000-a-yard fabrics and supermodels who won’t get out of bed for less than a hundred grand, but it has a surprisingly concrete and important effect on the city’s economy.

NYC Mayor Michael Bloomberg and fashion designer Diane von Furstenberg christen "The Fashion Line" - a.k.a. the 66th Street subway station - in honor of Fashion Week 2011

Here’s how:

  • ŸFashion is the second biggest industry in New York City. There are over 900 “fashion-related” businesses in NYC, from design houses to fabric stores to tailoring shops, adding up to a staggering $10 billion that funnels into the greater U.S. economy. And the annual Fashion’s Night Out shopping extravaganza – now in its fourth year – provides both a financial and a morale boost.
  • ŸRestaurants in Lincoln Square – where most of the runway shows are held – get a cash infusion to the tune of nearly $10 million during Fashion Week, according to a Fordham University Graduate School of Business study.
  • High-end brands have started creating lines at lower price points – like the recent Missoni for Target collaboration – to win back the consumers they’ve lost in these difficult economic times. The result: “Black Friday”-like mobs at stores and a crashed website. Guess that encouraged people to start shopping again!
  • In this video from Reuters, designers – including former “Project Runway” winner Christian Siriano, who has created several sellout accessory lines for Payless – explain how they’ve adjusted to the current economy. 

 

New York City Faces Tough Task In Creating New Jobs

Will the American Jobs Act create or preserve jobs in New York City? Photo courtesy of Marsmet48

In his address to Congress on September 8th, President Barack Obama touted the ability of his proposed American Jobs Act to create new jobs and put unemployed Americans back to work. The bill’s potential effect on New York City’s job market is part of a larger local debate among experts, politicians and columnists over how best to tackle the city’s struggling economy.

  • New York City Comptroller Sees Benefits to Jobs Act: The Office of New York City Comptroller John C. Liu released a preliminary analysis of the President’s jobs bill that estimates significant benefits for the city’s economy. Based on their calculations, this would include tax cuts and the preservation or creation of 25,000 jobs in 2012.
  • City Might Not See Long Term Benefits: The Daily News quotes experts who doubt that President Obama’s American Jobs Act will ultimately benefit the New York City’s economy long-term. Among the issues: tax cuts won’t spur small businesses to hire new employees and the plan lacks a focus on improving the city’s infrastructure.
  • Mayor Tackles Job Creation: New York City Mayor Michael Bloomberg announced grants to small businesses to fund employee training programs. According to the Epoch Times, the Mayor believes the grants will lead directly to new jobs and spur economic growth.
  • Packed Cities Lead to More Jobs: Ryan Avent, the economics correspondent for The Economist, argues in a New York Times editorial that denser cities breed more jobs and stronger growth. His view? The more tightly packed the city, the better.

Jobs, The Bloomberg Way

Bloomberg tours a Small Business Services incubator beneficiary, courtesy of NYC.gov

Last Thursday, President Obama introduced his jobs plan, but Mayor Bloomberg likely won’t be waiting for imported fixes.

The mayor is widely known for his belief in the city as the seat of solutions. Here’s a look at a few of his homegrown employment initiatives.

  • Entrepreneurship  New York Daily News writer Joanna Molloy is so smitten with Bloomberg’s Department of Small Business Services, she suggested Obama adopt the initiative. The department offers entrepreneurs a range of free services, grants, and assistance. Last year, it helped create or fill 31,000 jobs.
  • Outreach  A three-year plan aims to boost employment and reduce recidivism among young black and Latino men. It will place job recruitment centers in public housing and pair morning classes with paid afternoon internships.  Bloomberg and fellow billionaire George Soros will pay roughly $60 million of the program’s estimated $130 million cost.
  • Tech  In July, Bloomberg announced the city will give free land and incentives to the educational institution that presents the best plan for an NYC-based applied engineering university. In the long term, the project is intended to diversify Gotham’s economy. More immediately, it’s expected to produce jobs in construction and related sectors.
  • Hollywood  This fall season, a record 23 primetime shows will shoot in New York. Recognizing opportunity, the mayor’s Office of Media and Entertainment started the Made in NY Production Assistant Training Program. Over five years, the program has trained about 300 disadvantaged and unemployed New Yorkers —  people like James Adames — for entry-level film jobs.

What To Do if You’re Unemployed in NYC

Following President Barack Obama’s uplifting “American Jobs Act” speech on Thursday night, two things became clear. The first is the undeniable fact that the Obama 2012 re-election campaign has officially begun. The second, is that American’s need jobs. But what does that mean for nearly 8.9 percent of out of work laborers vying for jobs in New York City? With the recent statistics released last month of no jobs gained nor lost in August and the unemployment rate across the country remaining at a stagnant 9.1 percent, people are forced to go out of their comfort zone and explore their options. Below is an accumulative “To Do” list for the savvy out-of-work New Yorker looking to get by in their downtime.

  1. If you have been “released,” “fired,” “let go,” or told to “take a permanent vacation,” the first thing you should do, even before calling your mom, is file for unemployment. Do this immediately, do not even continue reading this blog post before doing so. It’s important. It is equally important to determine whether or not you qualify for unemployment. You can read that here.
  2. The next step is to wake up and smell the coffee. Or the strudel or whatever other clever expression you can think of that floats your boat. You’re unemployed now and that can be kind of awesome. It means you’re finally free to do the things you would normally spend your Saturday’s doing-but now you can do it all the time. Take advantage of it. If you find yourself sitting in your apartment desperate and with nothing to do, a good idea would be to sign up for a subscription to Time Out New York. This news daily provides a “Things To Do” list, siting all the best daily deals in arts, music, restaurants, and bars the city has to offer. You can even sign up without a subscription and have the list forwarded to your email each morning, so by the time you wake up around 11 or noon, there will be a list of activates waiting for you to fill your day up with.
  3. Read a book. Or if thats not your forte, go for a walk. You live in one of the most diverse cities in the world. Take advantage of it, or better yet, visit a near distant burrow you’ve been meaning to go to and sample some of the local cuisine.
  4. Travel. If you have the means, maybe a little money stashed away somewhere and you’ve always been meaning to plan a trip but never had the time, now’s your chance. Go for it! If thats not the case, and you aren’t planning on joining the workforce anytime soon, consider teaching english abroad. This is a solid option, and you won’t be the first (or the last) to do it, but the opportunities are endless and you are sure to return changed and for the better.
  5. Learn a new talent. It’s important to keep your senses sharp. Maybe try photography or learning a new language. Now is the time to try your hand at a new skill. Maybe that will develop into a new found career.
  6. Once you’ve had enough time off or you’re sick of your French tutor, begin updating your resume and revisit your rolodex. Start reaching out to colleagues and friends to see what else is out there. You can visit free resume building sites and begin plotting your future.
  7. Get A Job. By now, you’ve explored all five New York boroughs, rode the Cyclone on Coney Island, read Ayn Rands The Fountainhead cover to cover (ok maybe not, that book is a beast), traveled the world like Ferdinand Magellan, taught English to underprivileged youth in Bratislava, and are ready to put your skills to good use. Good for you, now get out there, show ‘em what you’ve got, and don’t take no for an answer. If you need inspiration for how to conduct yourself successfully in a job interview, view this clip here from one of the most memorable (in this bloggers opinion) Will Ferrell moments to date. For the record: Tuxedos were a good choice.

The Bronx has the highest unemployment rate in the state

 

 

In his Labor Day speech, President Obama addressed the recession the country is experiencing at the moment. According to the Employment Situation Summary of the Bureau of Labor Statistics, the number of non farm payroll employment in the US did not change in August. The unemployment rate is currently 9.1 percent. Continue reading