Indeed, many economists expect an extremely tight labor market this year as the economy sheds more and more jobs.
“Another 2.5 million jobs will be lost in 2009,” says John Stapleford, an economist with Economy.com. That is on top of 1.9 million jobs lost in the first 11 months of 2008. (Preliminary figures for the full year will be published Friday.)
Stapleford he projects the jobless rate to peak at 8.7 percent by the end of the year, up from 6.7 percent currently, while some experts predict the rate could rise to 9 percent or more.
And unlike past recessions, when there were certain parts of the country that did better than others, this downturn is hitting almost every corner of the nation, with almost every region in recession or at risk of falling into a recession, Stapleford says.
But there are tiny pockets of hope in a handful of towns and a handful of sectors.
Only 13 out of 381 metropolitan areas are actually growing, he says. According to Economy.com they are Boulder, Colo.; Lafayette and Louisiana, La.; Bethesda, Md.; Jacksonville, N.C.; Binghamton, N.Y.; Oklahoma City; Okla.; State College, Pa.; and Brownsville, El Paso, Laredo, McAllen, and San Antonio, Texas.
The growth industries of health care, government and education show no signs of slowing so far, he adds. But even among government and education employment, Stapleford expects tightening this year.
I got this one right.