Archive for February, 2012
Tools for success offered through NIC’s Career Services
‘Overview of the Job Search Process’
9 to 10 a.m. Wednesday, March 14 in the Edminster Student Union Building Blue Creek Bay Room
This free workshop provides an overview of the steps needed in making a career decision, deciding on an action plan and launching the search for job opportunities. Participants will receive information about what today’s employers want as well as how to access the NIC job listings. Common myths or misperceptions about the job search process will also be presented and debunked.
Free and open to the public. Sign up by calling NIC Career Services at (208) 769-3297.
‘Strong Interest Inventory’
Noon to 1 p.m. Wednesday, March 14 in the Molstead Library Computer Lab Bay 5
This inventory will compare your interests to those of individuals happily and successfully employed in a wide variety of occupations. The results will be interpreted and given to the participants at the workshop.
Cost is $15. Sign up by calling NIC Career Services at (208) 769-3297.
‘Interviewing Strategies’
2 to 3 p.m. Wednesday, March 21 in the Student Union Building Blue Creek Bay Room
This free workshop will introduce the three essential steps to interview preparation — know yourself, know the position, and know the company. Individuals will consider their responses to some typical interview questions and learn the STAR (Situation Task Action Result) framework for describing their accomplishments to employers.
Free and open to the public. Sign up by calling NIC Career Services at (208) 769-3297.
‘Preparing for a Job Fair’
9 to 10 a.m. Wednesday, April 11 in the Edminster Student Union Building Blue Creek Bay Room
This free workshop will address why job fairs are important, what to expect and how to prepare. Participants will receive information on job fair etiquette, how to get the most out of jobs fairs, appropriate attire, interviewing tips and more.
Free and open to the public. Sign up by calling NIC Career Services at (208) 769-3297.
‘Design Your Ideal Career’
2 to 3 p.m. Thursday, April 26 in the Edminster Student Union Building Career Center
This free workshop helps participants get a jump start on choosing a career direction. They will select the skills they would most like to use in a job if they could truly do anything they wanted. The MicroSKILLS program will then show which careers are the best match.
Free and open to the public. Sign up by calling NIC Career Services at (208) 769-3297.
Putting together a winning game plan for your small business
Drew Bledsoe
Turning lessons learned on the football field into small business success
The average career span for NFL players is less than four years, making “retirement” and career changes at a young age inevitable, and leading many into the business world. I was lucky enough to beat the odds, lasting 14 years in the league and retiring in 2007 when I was in my mid-30s. At that point, my career on the football field ended, but I had already begun a new one as the small business owner after buying a piece of vineyard land several years earlier in hopes of one day opening a winery.
My wife Maura and I have had a passion for wine for many years, so when planning for “retirement” became a reality in my early 30s, the wine business became a very attractive choice. We knew it would be a long and involved process (actually we barely knew the half of it), but with a lot of effort, patience and time, our dream is coming true, and we are now the proud owners of Doubleback Winery in my old hometown of Walla Walla, Wash. After seven long years of work, our first wine was finally released in January 2010, and we are now preparing to release our third vintage.
Starting a new business can be very challenging. I am learning new things almost every day. That is one of the reasons I have teamed up with FedEx to share my small business game plan. Even though I still feel like I’m a rookie in business, I have found that there are many important principles that carry over from my previous career to my new one. Here are a few.
Plan
Football teams spend months leading up to the season planning; they pick players, make coaching changes, design offenses and defenses and so on. The teams then spend each week during the season preparing for the upcoming game.
The same approach applies to any good business. You have to plan for the big picture, pick a talented team, anticipate challenges and work together to outline the day-to-day steps that will lead to success. The process of planning gives you a frame of reference for guidance and also makes things easier when it’s time to adapt.
Persevere
The process of taking an idea from concept to reality takes patience and perseverance. It took a full seven years from the time we planted our vineyards until the first bottle of Doubleback wine was produced. In football and in business, your character will be tested along the way as you face setbacks, experience delays, suffer losses and sometimes make bad decisions. Getting knocked down is part of it. If you don’t persevere, you will get tossed by the wayside.
Lead
You can be the best quarterback ever to play the game, but if you don’t have some big guys to block and some receivers you trust, you have no chance at winning. The same holds true in the business world. Without the right team, even the best idea, product or service in the world can easily fall short.
The “head coach and quarterback” of the Doubleback Winery team is my winemaker Chris Figgins. Chris knows wine, and I trust him to make the thousands of day-to-day decisions required to produce the very best wine we can. I also have a great team to handle all of the logistics of reporting, budgeting, customer service, and fulfillment. I even consider FedEx part of the team since delivering our wine to the customer safely and on time is a top priority.
As an entrepreneur, it is your job to build the right team and to lead that team effectively by setting a positive tone and knowing when to get involved and when to step out of the way.
If you start with a solid plan, react to challenges in a positive way, maintain a long-term outlook when times are tough and surround yourself with a great team, your business has a good chance of thriving.
This year, I’m working with FedEx to help support small business owners who are working hard every day to succeed. Visit FedEx.com/SmallBusiness for more advice, including videos, from former NFL pros like myself, and learn how your small business could win $5,000 and the chance to go to the Super Bowl as part of the FedEx Small Business of the Week program.
In September 2011, Drew Bledsoe was inducted into the New England Patriots Hall of Fame after a 13-season career in the NFL. Today, Drew and wife Maura live in Oregon with their four children. To find out more about Doubleback Winery, visit www.doubleback.com.
Coeur d’Alene Chamber Calendar
THURSDAY, MARCH 1
Come Celebrate the 50’s with Cash & Prizes at March’s 100-Minute Wine & Cheese Reception: Open to Members in good standing only, the 100-Minute Wine & Cheese Reception is one way the Chamber is celebrating its Centennial and 100 years of success! This reception is held the first Thursday of every month from 5-6:40 p.m. (100 minutes) at the Chamber building. Come celebrate the 1950s, Thursday, March 1 as we remember Chuck Berry, Buddy Holly, The Everly Brothers, Elvis, the soda fountain, fun ’50s food and much, much more! North Idaho College is sponsoring this event. Enter to win: (2) $50 ITunes gift cards, (2) $50 gift certificates toward an NIC Workforce Training class, (2) NIC season passes good for the 2012-2013 athletic season, $100 Cash. Call Marilee at (208) 415-0111 for more information.
TUESDAY, MARCH 13
March’s Upbeat Breakfast: Leadership Coeur d’Alene presents March’s Upbeat Breakfast, at 7 a.m. Tuesday, March 13 at The Coeur d’Alene Resort. North Idaho College’s Head Wrestling Coach, Pat Whitcomb will be speaking on “Community Service and Coaching.” With a reservation the cost is $14 or $19 at the door and includes breakfast and coffee. Reservations must be made by the Friday before the breakfast. For more information please call Brenda Young at (208) 415-0110 or email her at Brenda@CdAChamber.com.
WEDNESDAY, MARCH 14
Chamber Offering Three Awesome Trips to Members and Community! Informational Meetings: The Coeur d’Alene Chamber, together with Collette Vacations is offering three awesome trips to its Members and Community! To learn more about these trips the Chamber is holding three informational meetings at the Chamber building. Reservations are required. Call Ginger at (208) 415-0108 for more information.
THURSDAY, MARCH 22
March’s Business After Hours at BookWorks Connection/PayCheck Connection: Join us for March’s Business After Hours, March 22 at BookWorks Connections/PayCheck Connections located at 254 W. Hanley Ave. in Coeur d’Alene from 5-6:30 p.m. Food and beverages will be provided. For more information please call Brenda Young at (208) 415-0110.
Boost Attitude and Performance in Your Employees!
The Coeur d’Alene Chamber of Commerce, The Kroc Center and ActivatingPeople.com are combining forces to promote high performance in every workforce in the Coeur d’Alene area. Excellence in the Workplace is an employee performance training program designed to build upon and enhance individual business training platforms. For times please see www.CdAChamber.com for more information or call Diane at (208) 292-1635.
Looking forward to good things
I just got home from the Hayden Chamber Board of Directors meeting and I am just amazed at the group of dedicated and vibrant people that we have running this chamber. These are people that go above and beyond the call of duty because they truly care about the community they live in and the businesses that are a part of it. If you are not currently part of our chamber or are a member but haven’t got your hands dirty yet with all of its benefits it is time to do so. There are so many great things coming up in this chamber and I promise that you want to be a part of it.
On March 24 the Hayden Chamber of Commerce will hold its annual Banquet at the wonderful Hayden Lake Country Club. With that comes the great privilege of recognizing the recipients of the H.A.Y.D.E.N Awards. It is an opportunity to highlight some of the great people in our community who embody what the city of Hayden and the Hayden Chamber of Commerce stands for.
Kory Wilson
The six recipients are nominated in categories that come from each letter in the name “Hayden.” They are: History and Humanities, Arts, Contributions to Youth, Distinguished Service, Education and New Business. This always proves to be a fabulous night of celebration in one of the most premier spots in the area to dine. There will be entertainment as well as a keynote speaker. I won’t divulge who yet, as the details are still being worked out, but it won’t disappoint, I promise. We would love for you to send in a nomination for one of the awards. You can also reserve your banquet tickets now. Reach us at info@haydenchamber.org or 762-1185. I can’t wait to see all of you there!
Hayden is such a great place to live, and I hope you take the time to come and visit some of the great businesses that are part of the Hayden Chamber of Commerce this month. Whenever we can, if we all choose to “buy local” and support each other we will continue to grow and prosper in the place we love to call home.
I hope to see you at the “State of The City” Breakfast on Feb. 23. The Business After Hours is March 8 at America West Bank on Hayden Avenue.
Business at its best!
My favorite event of the whole year is in the month of March. There are no ticket sales, no entertainment to book, no dinner to serve and no items to buy. This event is organized and facilitated by business professionals and volunteers truly dedicated to the youth of this community. This month the Post Falls Chamber Business Education Committee will partner with Post Falls High School, to hold our 6th annual Reverse Job Fair.
The Reverse Job Fair is an annual event that started in 2007. Our first year we gave two $500 scholarships. In 2011 10 students earned scholarships ranging from $250 to $1,000. This event prepares high school seniors for marketing themselves to potential employers through classroom instruction and real-world interaction with local business professionals.
Pam Houser
Class time is provided for students to prepare materials and research their career interest fields. Business professionals are sometimes invited to the class to address issues, concerns and questions students may have about their particular area of expertise, or how to be better prepared for this event.
Up to 300 school students present themselves to business professionals at a two-hour event held in the auditorium at Real Life Ministries church. They come prepared to interview with a resume, portfolio and presentation board. Interview time is approximately 10 minutes. Each student experiences 4-5 interviews. Students are matched to business professionals based on their career interests. The business professionals evaluate each student and feedback is given to the instructors, who share with the students.
The Post Falls Chamber of Commerce will hold its Reverse Job Fair from 11:30 a.m. to 1:30 p.m. Wednesday, March 21 in the auditorium at Real Life Ministries church in Post Falls.
Our event will be held from 11:30 a.m. to 1:30 p.m. Wednesday, March 21 and we are seeking professionals to “interview” students. Everyone is invited to volunteer, but professionals in the medical/health care, arts/communications, engineering/industrial systems and human recourses are practically sought. If you have experience from your past or are currently serving in one of the above mentioned career sectors, please consider participating this year. I promise you an amazing experience. Brochures are available at the chamber, 201 E. Fourth Ave., Post Falls.
If you are looking for a fun night out, you won’t want to miss the 3rd annual “Shooting for Success” game night at Center Target Sports on Friday, March 30. CTS has partnered with Buck Knives and Cabela’s to bring you a great evening of sportsmanship and competition for the whole family. $2,500 in prizes will be given away throughout the evening. Proceeds from this event benefit tourism in Post Falls. Details can be found on our website at www.postfallschamber.com.
For a complete list of programs and events, visit our website or call us at (208) 773-5016.
Is your business location doing its job?
The Chambers Business Development Committee has been an extremely active group this first quarter. One of their missions is to focus on the positive elements in our community. Since the lead for this months’ North Idaho Business Journal is Real Estate, the challenge may seem to have been large; yet our guest writer Rob Hurst has found a way to touch on reasons why a business may want to engage one of our Chambers Shining Star Commercial Realtors. Thank you Rob and the Business Development Team.
By ROBERT HUST
Few businesses get their start in the perfect geography, even though we all know the old real estate adage, “location, location, location.”
Most small businesses, unless their startup funding was very substantial, are located based on affordability. Business owners generally make-do with their facilities for economic reasons, rather than choosing optimal digs. It’s not the preferred business practice, but it is the most prominent one, especially when the startup is self-funded.
This decision usually flows from a strategy of frugality. Certainly, saving money, especially when you’re facing a litany of other startup costs, makes sense, right?
Fortunately for us, now is an incredibly good time to rectify this mistake. One of the few advantages of this flat economy, in fact, is that there has never been a better time to relocate your business to the property you’ve always dreamed of. The property that can help you be an over-the-top success.
“Relocate right now, when I’m spending more money to make less?”
It might sound counter intuitive, but it’s not. Right now, to keep your business afloat, you’ve either increased advertising, reduced costs, reduced workforce, or all three. By relocating right now, with a likelihood of spending even less money per square foot than you are presently, you can actually reduce costs while increasing your visibility.
If relocating to a better site appeals to you, but you don’t have a “dream location” in mind there are some important considerations:
• Make sure the location works for what you do. If you’re a manufacturer that depends on raw materials being delivered, truck access and dock facilities may be important. If you’re a service provider with lots of employees, parking will be important. Make sure that the location is conducive to your business flow and practice.
• Accessibility is important. How easy is it for your customers to get to you? Is traffic a hassle? Is the route convoluted? Is it pedestrian friendly? A location that meets these criteria is more important to some businesses than others, make sure to evaluate these based on your needs.
• Visibility can make or break a business. Whether you have customers coming to you, or you send representatives into the field, good signage and storefront visibility will be important, if not from a advertising standpoint, certainly from a branding aspect. If the location looks shabby, so will you. Also, be sure that the location allows the kind of signage your business needs.
• Zoning. There’s nothing worse than reestablishing your business in a new location than finding out that you don’t comply with state or local ordinances.
So now that we’ve gotten you thinking about relocating to a more successful environment, we’d advise you to seek professional help. No, not a therapist, relocating isn’t crazy. We mean a Realtor that specializes in commercial properties. Someone intimately familiar with zoning laws, local traffic patterns and the regional inventory. In the Coeur d’Alene chamber, there are a number of firms that are beacons of professionalism and can give you an unfair advantage when choosing a new home for your enterprise.
BUILDING PERMITS City of Coeur d’Alene
Cafe Rio Mexican Grill, commercial tenant improvement, $300,000, contractor Beeco Construction, issued Jan. 9
Meredith Mitchell, commercial-convert SFD to day care use, 1402 N. Third, value $10,358, issued Jan. 17
Pyramid Printing, commercial-tenant improvement-dryer & venting, 1006 N. Fourth, value $195, contractor ACI Northwest Inc., issued Jan. 20
Lakeside Capital Group, commercial demolition, 1859 N. Lakewood Drive, contractor Meridian Construction Management, issued Jan. 26
Bank CDA, commercial-interior improvements, 912 Northwest Blvd., value $15,000, contractor Polin & Young Construction Inc., issued Jan. 25
Ted Matelich, duplex (demolition of SFD) 1115 N. “B” Street, value $216,666, contractor Benway Quality Homes, issued Jan. 25
Parkwood Properties, commercial-tenant improvement-urgent care office space, 700 W. Ironwood Drive, value $25,000, issued Jan. 23
Steve Widmeyer, commercial-tenant improvement-ultimate athlete, 1116 E. Sherman, value $15,000, contractor Dean Kelly/Home Renovations. Issued Jan. 30
The Sleep Train Inc., commercial-tenant improvement, 405 W. Neider, value $55,000, contractor Frans Construction Inc., issued Jan. 31
Viking Construction Inc., SFD with garage, 7119 N. Caracara Lane, value $225,618, issued Feb. 7
Viking Construction Inc., SFD with garage, 7193 N. Caracara Lane, value $228,504, issued Feb. 7
NP Depot L. L. C., commercial demolition, 201 N. Third, contractor Johnson Construction, issued Feb. 9
Real Estate Forum recap
Alivia Metts
In just two years the unemployment rate jumped from 3.3 percent to double digits in 2009, the first time since 1986. While the Great Recession ended in June 2009 after 18 months, the county is still feeling the effects on many fronts including high unemployment.
There were 5,600 more people unemployed in 2011 than in 2007. Nearly four years after the recession settled in, Kootenai County’s unemployment more than tripled to nearly 11 percent in 2011. Today, the unemployment rate stands at 9.8 percent, the 14th highest in the state.
Approximately 4,700 jobs were lost from 2007 to third quarter of 2011 — nearly 4,000 in 2009 alone. The industries hit hardest were directly related to the housing collapse. More than half of the losses were in construction in specialty trades — directly affecting the materials manufactured and sold in the wood products and retail sectors. Health care was one of the select few industries that breathed life into the economy during the recession and its aftermath, generating more than 700 jobs to become the No. 1 employment sector in the county.
Kootenai County is still showing signs of high unemployment but at less significant levels — 700 jobs lost in 2010, but 200 gained by the third quarter of 2011. The trend is moving upward and is projected to hover slightly around a half percent, over the next year, according to data obtained from Avista Corp.
There was an obvious disparity between job applicants and openings. During the depths of the recession in 2009, there were 8.7 job applicants for every job opening registered through the Idaho Department of Labor. By 2011, that was cut significantly to 3.6. Just over the past year, the number of job openings increased 27 percent. This signifies a brighter outlook for job seekers as more employers gain confidence in the market.
Using initial claims data to detect emerging employment trends, outsized gains garner attention because they suggest looming employment weakness, which can spread through the rest of the economy. Outsized decreases imply impending employment strength. Initial claims increased 50 percent from 2008 to 2009, which indicated the employment weakness that was seen in 2009. From 2009 to 2011, initial claims decreased 23 percent, which is reflected in the less significant decreases in employment the county has been experiencing.
Although in-migration slowed through the recession, it picked up over the past two years. Large influxes of people tend to push wages upward due to job growth opportunities. However, that has not been the case. The job opportunities are not as plentiful, and in-migration is less than stellar. But the figures show signs of retirees still moving to the area although at a less significant rate. More than 50 percent of the people moving into Kootenai County were from Washington and California in 2011. Since 2007, the number of people migrating from California has slowed significantly with fewer people riding the coattails of the housing bubble, purchasing fewer second homes.
Demographic projections over the next decade provided by EMSI show large shifts to the 65 and over age group. This is largely due to aging resident baby boomers combined with the projected influx of older people from other states. Most staggering, is the projected loss of the 45- to 49-year-olds — primary wage earners. This could be attributed to the continued weakness in the economy, forcing dislocated workers to seek jobs elsewhere.
Housing is still trying to climb out of the depths of 2010. There were only 600 housing starts in Kootenai County in 2010, the fewest since 1990. That number increased 36 percent in 2011 to just over 800. According to Avista, housing starts are projected to rise almost 6 percent in 2012.
The next decade will be different. Population growth outpaced job growth over the past decade. Putting the recession behind, Kootenai County will continue to feel the effects over the next decade as job growth is projected to keep pace with population growth over the next 10 years.
Manufacturers have been hiring more as their backlogs grow. Health-care providers are seeing more strains on their services, pushing those employers to seek more workers with higher qualifications. And more businesses are hiring temporary workers until they feel confident the economy is recovering. All industries are faced with an aging workforce, providing plenty of opportunities over the years to come.
Alivia Metts is the Regional Economist for the Idaho Department of Labor.
There’s always room for another Hague
Three generations of Hagues have worked at Harris-Dean Insurance in Coeur d’Alene beginning with Denny Hague, seated, his son Scott, who passed away in 2005, and his grandson Matt.
COEUR d’ALENE — Young Matt Hague could only watch as illness took his father’s life in 2005. Scott Dennis Hague died at the age of 40.
But Matt, now 24, saw something else that stayed with him.
“He had clients from Harris-Dean who came to visit him in the hospital,” Matt recalled. “That’s not something that comes from just selling someone an insurance policy.”
So when the opportunity arose for Matt to join the local company his father and his grandfather had worked for — Harris/Dean is now Western States Insurance Agency — he knew it was the right place for him.
Matt started work there on Feb. 6. Scott had joined Harris/Dean in February 1996 and stayed on until his death. Denny Hague, the decorated general and pilot, had worked side by side with Fred Harris, Ken Koep and others at Harris/Dean from June 1984 until February 2000.
Harris, who founded the company in 1980 with Spencer Dean, didn’t need to do much of a sales job on Western States branch manager Dan Antonietti to hire Matt from a field of candidates.
“We pretty much told Dan, ‘You give him the job and we’ll make sure he succeeds,’” Harris said.
Matt Hague is eager to prove himself, offering auto and home insurance, but the Lewis Clark State College graduate is also realistic. Those other Hagues wore some pretty big shoes.
“I feel there’s something I have to work up to because they were both so successful,” he said. “I’ve talked to Grandpa many times about it. His advice is always, ‘Just be fair and honest.’”
Grandpa — the affable senior Hague, who quips to his grandson “Don’t call me Grandpa; call me something like Fast Jack!” — learned firsthand how much of a family operation Harris’s crew created. Denny Hague was a pilot with the Air National Guard while working at Harris/Dean and had the luxury of juggling those two huge responsibilities with compassionate employers.
Matt Hague front left, and his grandfather Denny Hague are photographed with Ken Koep, back left, Dan Antonietti and Fred Harris.
“If something popped in the Air Force, we went,” Hague said. “We had excellent times here though because of the generosity of these people and the generosity of the city.”
Matt experienced some of that generosity himself.
“When Dad got sick this company bent over backwards to take care of us,” he said.
One family tradition Matt might not be able to live up to? His grandfather’s rigorous routine of enjoying an early lunch every Monday through Thursday — Fridays are for Rotary — at Hudson’s Hamburgers.
“I’m not a frequent flier,” Matt said. “I only go there once or twice a week.”
Find out more:
Western States Insurance Agency
703 Lakeside Ave.
(208) 664-9406
http://www.harrisdeancda.com
Are jobs coming home?
Sholeh Patrick
Maybe the better question is, “Are American jobs leaving foreign shores?” That’s an easier “yes,” at least in leading industries such as manufacturing. Answering the question more relevant to domestic workers, whether or not that means more available jobs is a little more complex. The actual number of new jobs is rather modest, but productivity is higher.
President Obama emphasized the overseas job issue with an emphatically articulated pledge to help American companies bring back jobs from overseas. This he proposes to do with more tax and investment incentives, such as eliminating the tax deduction for overseas moving costs and adding tax benefits for new business in depressed communities, assuming he can convince Congress to pass such legislation. So far, he’s had little luck with that.
Last year the administration also launched SelectUSA — a national program aimed at state governments and promoting business investment — whose budget he wants to increase by $12 million in fiscal 2013. SelectUSA represents a change in approach. Although many countries’ governments solicit business investment at the national level, the U.S. has traditionally left it to the states. This administration is trying to get more involved and attempting to “insource” more, hiring more government employees rather than contracting out.
Politics aside, a decades-old trend of job exports is beginning to reverse, but not across the board and for reasons which vary. In many cases it is a simple cost-benefit analysis; it’s no longer as efficient to manufacture or work overseas as it was in the 1990s. Fifty years ago, one third of U.S. jobs were in manufacturing; now they account for just 9 percent, according to the U.S. Bureau of Labor Statistics.
Costs are up worldwide as other economies struggle as much or more than ours has. The biggest factor seems to be transportation. As fuel costs rise it makes less sense to manufacture or assemble elsewhere when transportation costs negate savings in cheaper labor.
Speaking of labor, neither is the wage differential what it used to be. In countries such as China, labor costs are also increasing, as nations further modernize and development elevates former “third world” nations to higher standards of living, along with commonly accompanying progress in human rights. While wages and workers’ rights are still much lower on average than they are here, the increases nevertheless change the total cost balance for U.S. companies operating overseas. It doesn’t hurt domestic manufacturing that the value of the dollar is down 23 percent since 2002, lessening American buying power overseas and making imports more expensive.
On the other hand, the biggest projected increase in U.S. manufacturing is more at the Ph.D. level than cheap labor. High-tech proliferations make the United States’ high intellectual property protections even more attractive, and U.S. on-the-job (OJT), technical, and worker retraining groups are attracting steady business. According to economist Dan Meckstroth of the Manufacturers Alliance for Productivity and Innovation, aerospace will the see the most growth at a projected 18 percent increase in 2012, followed by motor vehicles at 11 percent. Machinery, computers and electronics, and medical equipment manufacturing are projected to grow 6 to 7 percent in 2012.
In 2011, according to the Bureau of Labor Statistics, the economy added about 330,000 manufacturing-based jobs. When the recession officially ended in 2009, manufacturing had lost 2.3 million jobs. Meckstroth told the Christian Science Monitor in February this year that no more than half of those lost jobs will ever return. So far since the recession, manufacturing production has increased 15 percent.
Nigel Gault, chief U.S. economist for the consulting firm IHS Global Insight, told The Associated Press that despite the administration’s incentive program, it’s misleading to focus on manufacturing. Like others, he believes the majority of jobs gained won’t be in manufacturing, but in the service sector, which has dominated the U.S. economy in recent decades. Perhaps that’s also because even with relative changes worldwide, it still costs 20 percent more to manufacture here than it does abroad, according to the president of the U.S. Association of Manufacturers, Jay Timmons.
Still, even the most modest increases have benefits. Every job added brings with it a multiplier effect — other jobs in support such as suppliers, and added business for grocery stores and restaurants. So far the evidence that jobs are returning is on a case-by-case basis, stories of manufacturers or the occasional call center relocated back home. Many still remain located overseas, but if the optimism of Harold Sirkin, Michael Zinser, and Douglas Hohner of the prestigious Boston Consulting Group are to be believed, by 2015 that China-U.S. cost gap will be narrowed to 10 percent and Americans will be enjoying three million new jobs.