Unemployment Resembles 1975

            Unemployment can drastically affect the economy of a city, especially when it is that of 13.1 percent, the current unemployment rate for Tampa.  This is the highest unemployment rate since May of 1975, when the unemployment rate reached 11.9 percent.  The economy was in turmoil and tourism rates for the city were drastically declining.  Jobs were very scarce due to immediately surviving a recession the previous five years.  Another momentous event drastically affected the unemployment rate was the OPEC (Oil.Petroleum.Economic.Crisis) oil crisis lasting from late 1973 to spring time of 1974.  The crisis put a halt on the entire oil supply to North America until we ceased our support to Israel. This led to a diminishing tourism market and therefore fewer jobs for Tampa residents.

            The current unemployment rate has reached a tremendous high reflecting similar characteristic as that of the 1975 unemployment rate.  Florida is one of fifteen states with an unemployment rate with double digits.  Tampa Florida specifically is one of the highest unemployment rates of any city in the country.  Reasons for unemployment may not be the same as in the previous high of unemployment, but they still have a drastic affect on the economy.  The Florida citrus industry is a 9.3 billion dollar industry that was drastically affected when temperatures reached the low 20’s in early January.  Many of the citrus companies had damage to their crops, which led to large losses both in jobs and income.  The Story’s are just one example of this; they are a large citrus company who suffered 500,000 dollars in potential losses.

            Another reason for unemployment in the Tampa bay area would be one similar to that of the OPEC crisis and the Yom Kippur war.  The war in Afghanistan and the Middle East is contributing to a large portion of the unemployed from veterans returning from the war.  Since volunteering for the war is more prevalent in the south, a lot of the veterans will return to their homes, (some of which in the Tampa bay area), and not have jobs upon their return.

            Getting the unemployment rate back to an acceptable rate is a long process and is expected to be slow, although many economists believe that the unemployment rate in Florida as a state will increase over the next five years.  Without a city full of people employed and working, the city cannot be productive and it is very important for a major port city like Tampa to be productive and thrive.  Like the area did after the last unemployment spike, Tampa is expected to make a recovery back into single digits. 

-Ryan Lowe- 

Weekly Reflection 7

Review the "Game Plan for All-Star Sports Coverage" handout from class on April 6. Post a brief reflection here about key points or lessons learned. Even though the primary audience for this is high school students, what can you take away from the author's message that will enable you to cover sports effectively?

Post a response by 6 p.m. on April 13.

Seniors Heading Into A Bad Job Market

As the unemployment rate in the Tampa Bay area tops 13% for the first time in 30 years, college seniors, like everyone else, are having a harder and harder time finding jobs straight out of college. Add the pressure from the burden of student loans, and many are stuck having to settle into jobs for which they are way overqualified.

University of Tampa writing graduate TJ Shields says he is stuck working 50 hour weeks at an electronics store to pay for his loans, which means he doesn’t have time to look for a real career.

“In a perfect world I would get paid very well and could quit this job and pay my loans,” Shields said. “But right now I'm forced to work a crappy job like (the name of TJ’s current employer) while I pay my loans and try get my ideas for my future together.”

Many students are dealing with the same loans first, future later, problem as Shields. According to the New York Times, the average college student graduates with $23,000 in student loans, leaving many having to take menial jobs instead of moving toward the future they went to college to achieve.

Because they don’t want be forced to find a minimum wage job in a bad economy, many students are ignoring the job market and exploring other alternatives for their first several post undergraduate years. Graduate school has become an increasingly popular choice for seniors like UT English major Mary Kelley, who says that she feels bad for the people who are actually going to try to get a job.

“For me, it’s grad school all the way,” Kelly said. “I am going to get my Masters in Education here at UT. Good luck to those seniors trying to get a job right now. It is awful.”

English major Heather Gromley agrees.

“I have plenty of friends who graduated last year who are still looking for jobs around the nation. Gromley said. “Right now I'm planning on going back home and saving up money to attend grad school abroad the fall after next.”

But for college seniors, graduate school isn’t the only option out there. Some students turn to the military, see Chris Campo’s article on seniors in the military, and some look for alternatives that pay the bills and will be enjoyable, like UT graduate Shannon Grippando. In a few weeks, Grippando will head to Miami for a final interview to get into JET, the Japanese Exchange and Teaching program. Should he be accepted, Grippando will get paid fly out to a school in Japan and help teach English.

Grippando says that thanks to his plans with JET, he doesn’t have to worry about finding work.

“The dismal job market doesn't concern me right now,” Grippando said. “Of course it sucks trying to get a part-time job to cover expenses and to start paying back student loans, but it's not impossible to find one. A career is another thing, but thankfully I'm not looking for one at the moment.”

But despite the scary unemployment numbers and intimidating loans, some students are finding work. Cindy McCormick, an English Major at UT, says that she applied to the Tampa Tribune for an internship, and they offered her a full-time job.

“I guess perseverance pays off,” McCormick said. “You just have to keep trying, get yourself and your resume out there.”

McCormick’s positive outlook should be a reminder to students that finding a job is a full time job, so you’re only unemployed when you stop trying.

Florida Tourism Taking Hit

The downturn of our economy has had a huge impact on all industries across the nation and has put many such as the insurance industry in need of help. However tourism in central Florida seemed to be unaffected due to the fact that it was steadily rising over the past decade. This was all prior to 2008 though because since then Tourism has been declining in the past year due to abnormal weather patterns. The Associated Press reports that about 82.5 million visitors traveled to Florida in 2008 and this was up 2.3 percent from 2007. Canadian travelers alone increased by 14 percent in that year as well and many residents of Florida chose in-state vacations increasing by 23 percent.



Central Florida is regarded as the top area of the state when it comes to tourism due to the fact that it has the largest amusement park on earth with Disney World. and many others surround the area such as Universal Studios, Sea World and Busch Gardens. However, many reports are that these parks are taking a hit in the last year. Busch Entertainment Corp. who owns SeaWorld and Busch Gardens Tampa Bay estimates it will end the year down 7 percent in attendance.

The tourism industry is something this region of the state thrives on and in the past two years there has been a decline. Many analysts believe it’s been due to the threat of hurricanes and bad weather but one analyst, Abe Pizam Dean of the University of Central Florida's Rosen college, believes that foreigners have become bored with the region and that Florida now needs "new reasons for people to come".(1)

This definitely a clear sign of why our area is looking at one of the worst unemployment rates in the state. At 13.1 percent too many are finding it difficult to find work and support themselves. The tourism industry taking this type of hit only makes that situation worse and if the slump continues. The highest unemployment rate in the state may only get higher.













(1) http://www.sambaladevelopments.com/cape_verde_news.cfm?nid=183

Unemployment Compensation - Or Lack Thereof

Hillsborough County, or the Tampa-St. Petersburg-Clearwater area, reached a new high for unemployment: 13.1%.

The number of jobs in the region was once 1,136,512. Since the recession began in December 2007, 106,990 jobs have been lost, according to the Department of Numbers. Many Floridians rely on unemployment compensation during the economic slump.

Individuals must apply for compensation. Florida’s Agency for Workforce Innovation reviews claims. To qualify, citizens must be unemployed through no fault of their own. They must be on an active job search and ready to take a job that is offered to them.

 Unemployment insurance consists of what the agency calls “temporary wage replacement benefits.” The most a former employee in the state of Florida can receive is $275 per week. The weekly amount is based on previous earnings.

After a claim is filed, it must be verified every two weeks that the individual’s job search is still ongoing. The first check arrives after approximately three to four weeks. The agency works with individuals through local One-Stop Career Centers and the website www.employflorida.com.

Florida’s compensation system is not prepared for the 13.1% unemployment rate. The money originally came from Florida’s Unemployment Compensation Trust Fund (UCTF). At the end of 2008, the UCTF contained more than $1.3 billion. The fund was emptied by August 2009.

According to the Citrus County Chronicle, the UCTF cut funds during better economic times instead of saving for today’s recession. The state is forced to borrow approximately $300 million from the federal government each month. In September 2011 hundred of millions will be due in interest payments.

Florida employers are taxed to provide unemployment compensation. The Department of Revenue formulates the tax rate. A $1.2 billion increase was proposed last year to become effective January 1, 2010. The Sun Sentinel printed specific numbers. Employers formerly paid the compensation tax of $8.40 per employee. The suggested increase was $100.30 per employee.

This proposal did not go over well, especially with small businesses. Some organizations are against any tax increase. The Florida Chamber of Commerce encouraged employer protests.

The House of Representatives passed legislation in March to delay the employer tax increase. Miami Rep. Ronald Brise said, “Let’s do everything we can in our power to encourage businesses to open and employ Floridians.” The minimum compensation tax rate is now $25 per employee, a lot less than the suggested $100.30.

Employees pay an unemployment tax determined by their salary. The taxable wage base remains at $7,000, according to the American Payroll Association. Recent legislation denied the $8,500 wage base.

While Hillsborough County’s unemployment rate is 13.1%, the state of Florida’s is approximately 12%. Nationally, unemployment hovers around 9.7%. The alternative to increased employer and employee taxes is further debt with the federal government.

All Homes, No Jobs

Driving around the Tampa Bay area you will notice beautiful new condo complexes throughout the entire city. Filled with top of the line amenities and waterfront views, they are only lacking one thing, residents.


Tampa is a young up and coming city full of opportunity for prosperity on all levels. This is what investors saw when they decided to sink billions into constructing new luxury condos in prime areas of the city. Unfortunately plans were underway before the recession hit home, leaving investors and homeowners unable to pay their bills.

Currently Tampa-St. Pete-Clearwater unemployment rate plummeted to 13.1%, making them the highest percentage in the state. According to the Tampa Bay Daily Journal individuals are becoming so discouraged, some workers are giving up the hunt, relying on government benefits.

Many UT seniors are looking to relocate after college due to these gloom statistics. “Graduating within a month we are all weighing our options,” said Senior Christina Breaden. “Reality has set in. Most of us are forced to move back home up North where the jobs are.” Jobless and drowning in student debts, college graduates are not making it a priority to become a player in the real-estate market.

“We keep lowering our prices offering renters special deals, but still cannot get anyone to bite,” said Nicole Attridge, employer of Phillips International Drive. This brand new complex offers high quality amenities and spacious homes at very reasonable prices; unfortunately they are still looking to fill over half of their units. One of the luxurious condominiums created in Downtown Tampa were the twin 29 story Towers of Channelside. Only half the units have been sold, forcing the investors to go to bankruptcy court even before completion. “Unfortunately it’s the economy. It’s bigger than us. It’s bigger than any one person,” said Richard Sacchi, a principal of Towers of Channelside LLC according to the Tampa Real Estate Insider.

Tampa-St. Pete-Clearwater has landed 22 on the top foreclosure cities in the nation. Tampa Bay Daily Journal reports housing values down 29.2% from 2004. No income makes you unreliable to purchase a home. Banks have pulled back on lending on money, which is only contributing to this downward spiral. Out of work, owners are turning to renters as a last attempt to save their homes.

Predictions are the real-estate market and unemployment rates will begin to stabilize. Unfortunately, the recovery time for individuals to regain their investments on their homes is looking to be a very slow process. For now, Tampa’s homes are empty and the citizens remain unemployed.

Marketing Education in a Tough Economy

As our country staggers through the economic downturn, Floridians seem to have been hit the hardest. According to the Tampa department of growth management and development services, Hillsborough county employment fell 5.6% between July 2008 and July 2009. From there, estimates The Florida Agency for Workforce, unemployment jumped from 11.9 to now 13.1; an all time high for the Tampa-St. Pete-Clearwater area.



What are these 13.1% of jobless people to do? Well, statistics tell us that more are choosing to attend college. Adam Labonte, a University of Tampa Admissions Director, said that while the economy is likely to improve, “in the interim, as jobs are in very short supply, one is likely to use the time to further their education.” Many others, it appears nowadays, are sweet talked by sales-pitching recruiters or ensnared by those education commercials; the ones that feature stylish actors who boast about how secure their future has become.



In this cut throat, free-market society, where only the fittest businesses survive, and where businesses everywhere, including post-secondary schools, are under economic pressure, have educational institutions become less mission-oriented and more market-oriented?



For years Florida’s 11-university system has taken a toll due to the lack of state revenue. According to The Florida Board of Governors, public education funds have fallen 18% since 2005-06. From 2007-09, as Chancellor Mark Rosenberg predicted, university budget cuts amassed $285 million, causing universities to reduce spending by anywhere between $2-7 million. Enrollments have been frozen, positions left vacant, and classes enlarged.



The National Center for Education (NCES) holds that Florida is home to the third largest number of private, for-profit institutes in the nation, behind Pennsylvania and California. These private universities and community colleges have suffered from the economic situation as well. Ironically, though, enrollment at these fund-raiser schools has been on a constant rise. According to an Oct. 2009 study conducted by the Pew Research Center, the number of 18-24 year olds enrolled in for-profit universities, institutes, two-year, and even four-year colleges has been at its highest ever. This spike takes place almost entirely at two-year colleges and for-profit universities. In 2007 10.9% of 18-24 year olds were enrolled in a community college. That number has since risen well over 11.8% and is expected to continue growing as long as 2018, said NCES.



Community college and for-profit university enrollments tend to rise as the economy worsens, reported the Pew Research Center. One reason is that community colleges are less expensive than four-year institutions. “For-profits certainly have the convenience,” said Labonte, “they don’t have the affordability.”



To say that this increase in college enrollment is due to crafty marketing strategies is an overstatement. “Recruitment has changed drastically and tactics can be misleading, ” said Labonte, “at the end of the day every college is offering the same thing: a degree. What we’re really selling is an experience. Resort-like dorms, high-tech classrooms, etc.”

-Tillman