This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Government Hiring Freeze Plagues Job Market

This commentary comes from an independent investor or market observer as part of TheStreet guest contributor program. The views expressed are those of the author and do not necessarily represent the views of TheStreet or its management.

NEW YORK ( TheStreet) -- It was not that long ago, when parents' most sagacious advice to their offspring was to play it safe and get a city job, a federal job, or a state job.

They espoused the great benefits that came along with government employment: Steady, almost guaranteed work, union benefits, early retirement and health benefits. "If you get in early, you'll be retired by 40," was a common argument.

Of course, turning 40 can sound pretty much like the end of the line to an 18-year old. I mean who cares about retirement at 40, aren't you pretty much too old to do anything of any relevance at that age?

Teens raised in the last few decades tended to model their futures after their cultural icons. Movies such as Wall Street, Glengarry Glen Ross, and even Working Girl had heroes and heroines who stormed into the corporate offices across America and took charge. In the ninety minutes it took for their stories to be told, they came, they saw, and they conquered the boardrooms.

So, most of us chose the corporate world over the government job route. We didn't get the movie glamour, of course, but we at least got a taste of trying to climb the corporate ladder.

Today, when corporations all over America are reducing the size of their workforces daily, some say out of necessity, some say to keep profit margins up in order to keep their stock prices from declining, these private sector jobs are becoming more difficult to come by.

Many of those who snickered at the idea of a federal job are now rethinking that hasty decision. Unfortunately, that ship may have already sailed.

Federal agencies are not far behind corporate America in the freezing of new hires. Many agencies are not only under a hiring freeze, but have also seen severe cutbacks in their current workforce. The trend shows no sign of slowing either. Daily there are reports of firehouses closing, police forces being reduced, and many municipal government offices are planning to cut their workforces, some by as much as 25 percent.
1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.05 -1.90%
FB $117.38 0.56%
GOOG $697.43 0.93%
TSLA $237.33 -4.20%
YHOO $36.60 0.03%


Chart of I:DJI
DOW 17,810.62 +36.98 0.21%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs