Florida loses 76,400 construction jobs in one year

If you doubted the economic slump was other than real-estate-related, guess again.

Almost half the state's job losses the past year were in construction, most of that housing-related. Between August 2007 and August 2008, 76,400 construction jobs melted away.

"Professional and business services" shed 31,200 jobs the past year. That's a broad category that includes accounting, architecture, engineering, information technology, secretarial, etc.

And for the not-so-bad: "Real estate, rental and leasing" actually gained jobs the past year. Seems the purge that began in early 2006 has ebbed. And, of course, hospitals kept hiring in droves. What would we do without the health care industry?

Here's the state's employment report released Friday: Download augempl.pdf

Several explanations why we're feeling the higher unemployment now and not a year ago when the housing industry was already in full retreat:

• Many of the first to be let go were undocumented workers able to migrate with ease. Their positions weren't always reflected on the employment/unemployment rolls
• Though sales were suffering a year ago, many projects continued on autopilot in 2007, their developers hoping for a fast turnaround.
• The credit crunch that unofficially began in August 2007 with the subprime meltdown was the start of a period of deeper unemployment. No loan, no project, no workers needed.

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Comments

Real estate licensees in Florida aren't able to renew their licenses for $5.00 any more. Tons of real estate licensees will non-renew at two year renewal cycle date.

[David]

Good thing for healthcare jobs, many retired nurses are going back to work because they need the money. Unfortunately Florida remains one of the lowest paying States for nurses with high patient to nurse ratios.

[Fuzzy Bear]

What would we do without the healthcare industry?

I would imagine in due time, the healthcare industry will begin to feel the impact of the downturn. Hospitals in parts of Florida are already seeing a decline in patient census and more patients without insurance.

[Grant]

Construction jobs are a flimsy and unsustainable basis for our State's economy. FL politicians need to focus on attracting jobs that pay greater long term dividends and don't contribute to sprawl and congestion.

[James Thorner]

I don't know, Fuzz. I see lots of growth here. Baby boomer retirees will want to stay youthful, or merely stay alive. Medical research bizes are starting to cluster here, the latest being Merck and Moffitt Cancer Center trying to develop cancer drugs. Having spent quite a bit of time recently in local cancer hospitals (as a visitor) it's unbelievable, and unbelievably sad, how busy they are. We're the cancer treatment center for most of Florida and south Georgia.

[Tino]

12:43 pm: so you are saying that people are going to give up their jobs over an $85 renewal fee?

That makes no sense.

[Steve Simon]

A few thoughts:
Not many licensees would give up a license because of a fee ( from $5 to $150 ) but what will cause a lot of decline in the industry is the post-license requirement for initial renewal.
The rule requires those first time renewals to have completed a post-license course and that is not only the cost of the course, it's the time.
For sales associates it's a 45 hour course, my school charges $129 (pretty fairly priced if I do say so); for brokers the rule requires 60 hours of post-license education for the first renewal. Most schools have two 30 hour courses to meet this need. My school's offerings are $99 each for the Management course and the Investment course. As I said it's not the license fee that will cause folks to walk away from a previously hard earned license; but the requirement of another course with tuition and time... that will effect the ranks of the newly licensed.
Licensees that have already renewed once before are only required to take the 14 hour continuing education course, this can be had for as low as $10 (not from me!).
So I do see associates and brokers that were just licensed in the previous cycle having to decide. The cycles by the way are up March 31st and Sept. 30th. This way all licensees don't come due at the same time. Intital licenses are issued for a period of 18 months to 2 years...

But there will be other employment effected in addition to licensees! All peripheral industry is suffering and while there may not be total extinction for many, there will be slow down for most, and fiscal demise for the unfortunate. The toll on the job market in general will be high and it will be long lasting...
That doesn't mean you should fold up your tent, but it should be factored into your planning.
"If someone gives you a simple answer to a complex problem, it (the answer) is usually incomplete" Just my thoughts:)

[Fuzzy Bear]

I see lots of growth here.

James:

I would have to agree with you on Moffitt. Specialty hospitals like Moffitt have in the past suffered as their census declined as the economy declined. Moffitt receives funding from the state and that funding helps smooth out their decline in the census and reimbursments.

The non-specialty hospitals are the ones feeling the pinch as they treat patients with no insurance at a time when their census is dropping and reimbursments are on a decline.

I agree, it is "unbelievably sad" to see the number of patients being treated for cancer. Institutions like Moffitt are doing a fine job in the battle against cancer!

[Tino]

Nope, I still can't see why someone would give up their career over a couple hundred bucks.

Besides, getting a real estate license is just slightly more difficult than getting a membership at Sam's Club.

If ANYONE is planning on buying or selling a home in the next several years, it it extremely beneficial to get the license. You can save a lot of money doing the buying/selling, or even using it as a negotiating tactic. My current agent does all the work and kicks back most of the commissions because he knows I have the license and I could do it myself.

10's of thousands of Florida real estate licensees don't earn $200 annually with their real estate license. There is a big difference between licensees and those that depend on real estate as a livelihood. People shouldn't be allowed to get licenses just so they can get a kick back or a couple of bucks for a referral lead. These types of licensees overall do nothing but create headaches for consumers and "real" real estate professionals.

[Tino]

You must be a realtor.

An uneducated consumer is an easy mark, huh?

"My current agent does all the work and kicks back most of the commissions because he knows I have the license and I could do it myself".

Posted by: Tino | September 23, 2008 at 11:52 AM

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Tino you're a jerk.

You expect real estate agents to do your work for nothing? And if they don't pay you your kickback soon enough, you want them in debtor's prison? Ha Ha Ha!