SANTA CRUZ - Santa Cruz County can expect more part-time rather than full-time jobs to be created in the next 12 months, largely because of anticipated layoffs or cutbacks, according to a survey of more than 1,000 employers.
Conducted in the last two weeks of June by the Santa Cruz Chamber of Commerce for the Workforce Investment Board Santa Cruz County, the phone survey found:
- 183 employers plan to add a total of 695 full-time jobs.
- 77 employers plan to reduce 623 full-time jobs, either eliminating or reducing them to part time, for a net gain of 72.
- 135 employers plan to add 656 part-time jobs.
- 95 employers plan to cut 389 part-time jobs, for a net gain of 267.
Almost half of the new full-time jobs are expected in consumer services, which includes health care, social services, hotels, restaurants, arts, entertainment and recreation.
The strongest growth in part-time work is expected in finance, insurance and real estate and business services, but consumer services, the largest part-time employer, plans to grow as well.
More than 200 employers said their most significant challenge is the economy.
About 30 percent of employers asked for help with marketing and 15 percent asked for help with workforce training, which is a service provided by the federally funded Workforce Investment Board.
Those surveyed employed, on average, 26 full-time and eight part-time workers and represented more than a quarter of all jobs in Santa Cruz County. The sample aimed to exclude large governmental entities and businesses with fewer than five employees.
"Employers are still reducing costs by having part-time employees," said Workforce Investment Board director David Lundberg, noting the local situation matches the national trend. "It has happened and it's continuing to happen."
He pointed out it's "an easy way to check out an employee" when times are uncertain.
Significantly, Santa Cruz County has two major institutions of higher educations, UC Santa Cruz and Cabrillo College, enrolling thousands of students, with many of them looking for part-time work.
Lundberg was surprised so many local employers planned to reduce employment.
"My hope was the recovery was going well enough," he said.
Bill Tysseling, the chamber's executive director, was surprised by the number of part-time jobs.
"There's a lot of people who have multiple part-time jobs," he said. "They're essentially working on a contract. Some of those are quite well-paid but they have to keep the process going for their next project."
He said Cruzio's co-working space and the Makers Factory downtown are representative of how employment is changing.
Tysseling expected a lot of part-time work in sales but didn't expect it in hospitality/health care, where a third of the jobs are part-time.
He considers the increase in part-time jobs "a good sign," creating opportunities for young people to get into the workforce.
He was encouraged by anticipated growth of 6 percent in business services and 5 percent in finance, insurance and real estate.
Those two sectors are the smallest in the county, with each expecting to add about 30 full-time jobs.
"If you're a bank employee, it's a comfort knowing that it's growing," Tysseling said.
One worry employers cited is the impact of declining government funds, which means fewer purchases of goods and services.
Government is the largest source of jobs in Santa Cruz County, so government downsizing has a powerful impact with governments buying less and those laid-off government employees spending less.
Tysseling said more than 100 businesses asked the Workforce Investment Board to contact them for information about training or for services to help avoid layoffs and unemployment costs in the event of layoffs.
Slightly more than that were not familiar with the Workforce Investment Board, a public-private partnership that contracts with Cabrillo College and Goodwill's Shoreline Workforce Development Services to provide job training.
Tysseling said he expects the survey results will be used to tailor training programs to meet local needs.
"Training really is a driver (of the economy)," Tysseling said, adding that matching workforce skills and business needs is a huge issue. "We need students to be well prepared for careers that will be available in the community."
About 10 percent of those surveyed declined to answer if they plan to lay off employees.
Follow Sentinel reporter Jondi Gumz on Twitter: @jondigumz
HIRING PLANS
A new survey of 1,000 employers in Santa Cruz County found consumer services, which includes hospitality, leisure and health care, will create the most full-time and part-time jobs in the next 12 months with significant growth expected in finance, insurance, real estate and business services. Some of these job gains are expected to be erased by layoffs or cutbacks.
| Sector | No. full-time employees | Projected full-time jobs | % of current workforce |
| Consumer services* | 9,185 | 349 | 4% |
| Creation of goods & services | 6,736 | 106 | 2% |
| Sales of goods & resources | 3,765 | 94 | 2% |
| Public services | 5,066 | 83 | 2% |
| Finance, insurance, real estate | 701 | 32 | 5% |
| Business services | 558 | 31 | 6% |
| Total | 26,011 | 695 | |
| Sector | Part-time employees | Projected part-time jobs | % current workforce |
| Consumer services* | 5,180 | 429 | 8% |
| Sales of goods & resources | 1,596 | 98 | 6% |
| Public services | 894 | 43 | 5% |
| Business services | 136 | 37 | 27% |
| Finance, insurance, real estate | 115 | 34 | 30% |
| Creation of goods & services | 152 | 15 | 10% |
| Total | 8,073 | 656 | |
*Includes hospitality and health care
SOURCE: Santa Cruz Chamber of Commerce/Workforce Investment Board survey


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