San Jose Mercury News, October 1, 2002
The Bay Area has a ‘‘highly unusual labor market’’ that produced
many more high-end jobs than low-level ones during the boom of the 1990s—and deteriorated
faster than the rest of the state when the downturn came, according to a report released
today.
‘‘All the boosters of the new economy at the time it was booming talked about
it as if this was happening everywhere,’’ said Ruth Milkman, director of the
Institute for Labor and Employment, a statewide research program of the University of California,
which funded and published the study. ‘‘Our analysis shows that it was happening,
but it was happening in a very limited geographical area.’’
By the end of the boom, when unemployment was very low, even workers at the bottom of the
economic ladder were benefiting, said Manuel Pastor, an economist and director of the Center
for Justice, Tolerance and Community at the University of California-Santa Cruz, who contributed
to the study. But the recession may erase those gains.
The speed of the downturn is related to the increased use of contingent workers, especially
in Silicon Valley. Statewide employment by temporary agencies grew significantly faster
than overall employment during the boom, then fell abruptly during the recession.
‘‘The markets are more volatile than they once were,’’ Pastor said.
The report said this recession is at least partly cyclical, which means the jobs are likely
to return.
‘‘I think the centers of innovation are still important as job generators,’’
said Carol Zabin, chairwoman of the Center for Labor Research and Education at the University
of California-Berkeley and a contributor to the study.
Still, ‘‘people thought California was going to come back quicker than it has,’’
Pastor said. And even if the economy recovers in a year or two, that may not be fast enough
for most unemployed workers.
The report also included data from a 2001-2002 survey of California workers that indicates
how much work has permeated Californians’ lives:
(box) Just under half the workers surveyed said they are either officially or unofficially
required to work overtime. But a majority of workers at all levels—from blue-collar
workers to managers—said they also work overtime because they enjoy their work and
enjoy being with their co-workers.
(box) Almost 40 percent of the respondents reported using a pager or cell phone on the
job. A majority of those who had pagers or cell phones—including 88 percent of managers
who had them—used them to keep in touch with work after hours.
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