- March 7, 2014
Key To More Jobs: Fuel Entrepreneurs!
According to today’s Bureau of Labor Statistics (BLS) report, the unemployment rate rose .1% to 6.7%. More alarmingly only 362,000 or an average of only 121,000 new jobs have been created during the last 3 months!
Some sectors did add employment including:
- Professional and business services gaining 79,000 last month for an average of 56,000 new jobs over the last 12 months.
- Food Services and Drinking Places added 21,000 new jobs last month, averaging 27,000 per month over the past year.
- Construction added 15,000 new workers last month and 152,000 over the last 12 months.
- Wholesale Trade employment grew by 15,000 in February.
On the negative side:
- Health Care, which had been a constant for mega jobs growth over the past decade, only increased by 10,000 jobs. Furthermore, health care employment has trended down over the past year averaging only 17,000 jobs created per month in 2013 versus 27,000 per month in 2012!
- Retail Trade lost 4,000 last month on top of the 12,000 jobs lost in January.
Therefore, it is time to fuel the real engine for jobs growth, entrepreneurs! This is the case since figures from the Small Business Administration (SBA) show that for the past several decades (prior this recent recession) small business owners created almost 70% of the net new jobs in the United States. Furthermore, our entire staff of R&D recruiters, engineering recruiters, IT recruiters, scientific recruiters and technical recruiters has found that these entrepreneurs have provided us over 50% of our job placements over the last 25 years of business! Unfortunately, many of these business risk takers complain about the lack of focus on their needs.
My experience as an executive recruiter shows that programs by the SBA and SCORE continue to help. Furthermore, the recently minted Digital Lab for Manufacturing program is a step in the right direction. However, as I wrote in my recent article on the subject, a lot more needs to be done, including providing more easy access to capital and additional mentorship. As I outlined in both a) “6 steps To Launching A Successful New Business” and b) “5 Entrepreneurial Traits Yield More Jobs!” there are many inexpensive offerings that local, state and the federal government can provide these captains of job creation.
Entrepreneurs do not require a lot and their payoff is enormous. Therefore, it is time we shift our focus from huge, dying industries like auto manufacturing to the real locomotive for jobs growth, entrepreneurs!
What is your opinion?