Soft job market expected for LA area

Los Angeles-area employers expect to hire at a slow pace during the first quarter of 2007, according to the Manpower Employment Outlook Survey.

From January to March, 18 percent of the companies interviewed plan to hire more employees, while 18 percent expect to reduce their payrolls, according to Manpower spokesperson Shane Lamb. Another 54 percent expect to maintain their current staff levels and 10 percent are not certain of their hiring plans.

“In the Los Angeles area, employers expect more hiring activity than in the fourth quarter, when 14 percent of the companies interviewed intended to increase headcount, and 25 percent planned to decrease it,” said Lamb.

For the coming quarter, job prospects appear best in construction, transportation/public utilities and services. Employers in whole/retail trade plan to reduce staffing levels, while those in durable and non-durable goods manufacturing, finance/insurance/real estate and education voice mixed hiring intentions. Hiring in public administration is expected to remain unchanged.

DP



Re-evaluating careers and futures

With the new year upon us, millions of people examine what is important in their lives and set about making fresh starts and amends. Sometimes these evaluations are about relationships or personal habits, but thousands of people also tend to re-evaluate their careers and futures.

For many workers, taking the plunge into owning their own business seems like an unattainable goal, but franchising has made it easier than ever to make this dream a reality. Currently, franchising spans 75 different industries provides 18 million American jobs and generates an overall economic output of $1.53 trillion, according to a study conducted by PricewaterhouseCoopers for the International Franchise Association.

A study by FranData recently found that all industries, with the exception of travel, are experiencing an increase in the number of franchise concepts, ranging from 4 percent in personnel services to 67 percent in retail food. New concepts are being added with increasing frequency. Over the past three years, almost 900 concepts began franchising.

With thousands of possible businesses to go into, how do you pick one? How do you know if the business you choose is a good investment? How do you know if the concept is the right fit for you and your market? Essentially, where do you start?

Los Angeles-based FranNet owner, Neil McMillan, works with would-be entrepreneurs to help them find the franchise that meets their needs, goals and personality. McMillan identified some of the hot franchising trends and concepts for 2007 in Los Angeles to help local entrepreneurs in their search for the perfect business.



Hot trends

• Baby Boomers and Franchising: It’s growing increasingly more common for this generation to opt for the working rather than retirement route. According to HRMS.net, while 76 percent of boomers intend to keep working and earning in retirement, on average they expect to “retire” from their current jobs/careers at around 64 and launch into an entirely new job or career.

• Buying out from distressed industries: Distressed industries like automotive and airlines offer “buyout” packages and employees are able to seize the opportunity to transition it into their own business by using the funds from the buyout to finance all or a portion of their franchise.

• The “Semi-Absentee” Owner: Running a franchise as a business on the side is becoming very popular. With the use of technology like online real-time tracking of store activity, absentee owners are able to have a business that doesn’t tie them down.

• Female Business Owners: Nationwide, female entrepreneurs have found increasing fortunes. The Center for Women’s Business Research estimates that between 1997 and 2004, women-owned firms with no employees grew at 18 percent, twice the rate of all non-employer firms.

With more than 767,483 operating in America, there is something for everyone looking to go into business for themselves.

For more information, contact Neil McMillan at (805) 267-1230 or visit www.frannet.com.

DP