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Stuart Gentle Publisher at Onrec

Challenger Annual Teen Summer Job Outlook

Modest Gains Seen In Teen Job Market

With the economic recovery gaining momentum, a new summer employment outlook predicts that teenage job seekers could find a more welcoming environment this year. However, teens looking for traditional summer positions in malls, restaurants and movie theaters could face stiff competition from older and more experienced job seekers, leaving the best opportunities for those who take a more entrepreneurial approach to summer employment.


The outlook released Monday by global outplacement consultancy Challenger, Gray & Christmas, Inc., estimates that hiring will improve over last year, when employment among 16- to 19-year-olds grew by less than 1.2 million jobs from May through July, according to data from the Bureau of Labor Statistics (BLS).


“It is unlikely that summer employment gains among teens will reach pre-recession levels, but we should definitely see increased hiring compared to 2008 and 2009, which experienced the weakest summer teen job growth since the 1950s,” said John A. Challenger, chief executive officer of Challenger, Gray & Christmas.


Last year, BLS data show that summer employment among teens grew by 1,163,000. That was slightly better than 2008, when employers added 1,154,000 teen workers between May and July, the fewest since 1954. In contrast, employers added 1,736,000 16- to19-year olds to their summer payrolls in 2005 and 1,734,000 in 2006. In 1999, at the height of the dot.com job boom, summer employment among teens grew by 2,017,000.


While 2009 summer employment improved over 2008, overall employment among teens was significantly lower. Last July, at the peak of summer employment, there were 5,962,000 16- to 19-year-olds employed. That was 11 percent lower that July 2008, when teen employment reached 6,698,000. This year, teen employment is starting at an even lower level, with 4,496,000 16- to 19-year-olds employed in March, compared to 5,077,000 in March 2009.


“Teen employment is at its lowest levels since the early 1960s. However, this does not mean that jobs won’t be created this summer. We are beginning to see increased retail sales. People are starting to go to more movies and going out for dinner a little more often. This summer, families may still skip on the extravagant vacations, but are more likely to visit nearby attractions, such as amusement parks and water parks. All of these businesses will offer opportunities for job seekers,” said Challenger.


“But make no mistake; the competition for these jobs will be significant. Young job seekers will not compete with other teenagers, but in certain types of jobs like retail and food service, they may compete with recent college graduates or older workers who need to supplement retirement income. Teens are less likely to face older competition in more traditional summer job areas, such as day camps, neighborhood pools and amusement parks,” he said.


Websites specializing in teen job searching also see modest gains in summer employment this year. According to a March survey by hourly job website SnagAJob.com, 29 percent of managers responsible for summer hiring said they intend to add the same number of seasonal workers as last year. Six percent plan to hire more summer workers. However, 47 percent of companies are not planning any seasonal hires and 18 percent said they plan to hire fewer workers (though, that was down from 23 percent who said the same in 2009).


Teens4Hire.org expects only a slight improvement in teen employment this summer. It notes that there are fewer jobs available that teens could fill and more competition from older job seekers. It does see some promise in a $1.5 billion Youth Jobs Act of 2010 that, if passed, intends to create 450,000 jobs and training opportunities for economically disadvantaged youth.


“However, the bill, which was introduced in December of 2009, still has not passed. Unfortunately, teenagers cannot wait for Congress to act. The prime season for finding a summer job is now, so it is important to get out there after school and on weekends to seek out opportunities,” said Challenger.


“Today’s tech-savvy teenagers are apt to conduct 90 percent of their job search on the Internet and submit applications online. While job search sites like Teens4Hire and SnagAJob are good places to start, nothing beats actually walking into a business, introducing yourself to the manager and asking about job opportunities. The personal touch sets the groundwork in building a rapport that will separate you from electronic candidates,” he said.


“By getting out from behind the computer, young job seekers may also find opportunities that don’t exist in the digital realm. Many mom-and-pop stores do not advertise job openings on the Internet. Nor do families looking for babysitters, lawnmowers or housecleaners. Some of the best opportunities this year may be for the odd-jobs entrepreneur.


“Many families are eliminating monthly expenses such as lawn care and home cleaning. However, these tasks still need to be completed and families, while strapped for cash, are no less strapped for time. A teenager who can provide these services at a fraction of what professional services charge may be able to drum up enough business to earn a steady income. Teenagers won’t find these opportunities in the classified ads or on the Internet; they will have to go out and sell their services to their neighbors,” said Challenger.


“For those opting to find more traditional employment opportunities, it is important to remember that finding a job as a teenager is just like finding a job as an adult. It requires constant attention and depends significantly on the strength of your network. Use your parents, friends and your friends’ parents as sources for job leads. Try to meet with hiring managers face-to-face, as opposed to simply dropping off a completed application form with a random clerk at the sales counter,” he added.


“Newspapers, both print and online, are also a good source for job leads. The classified ad section will contain some help wanted advertisements, but do not forget to read the local and business news sections, where you might find stories about new local businesses or ones that are struggling to find workers.


“Most importantly, do not get frustrated by failure. Many teens give up after applying to 10 or 12 jobs, concluding that ‘no one is hiring teens this summer.’ Chances are good that there are more than 10 or 12 employers in your city or town, so it is necessary to cast a wider net. There are many summer job opportunities outside the confines of the local mall,” advised Challenger.