Why the Recession Made Self-Employment Go Down
NEW YORK (TheStreet) -- The stagnant economy has really taken a toll on self-employment numbers, but a closer look says it is growing at least in one key area -- an area that really needs the work.
First the numbers.
According to CareerBuilder.com, the economy holds 10 million self-employed jobs right now, or 6.6% of all U.S. jobs.
But CareerBuilder says the self-employed made up 7.2% of the workforce in 2006, before the recession. That represents a decline of 936,000 self-employed jobs in the past seven years, after a five-year period starting 2001 in which those numbers grew by 1.8 million.Why, in a six-year period where employers laid off workers in droves, would self-employment take a dive? It seems that in times of economic strife, Americans workers consider corporate work a "safe harbor," even if there's no guarantee they'll keep those jobs. report from the University of Missouri, shows that it's men, especially older men, who are increasingly drawn to self-employment. "Gender is one of the most enduring social factors ... a fact that is particularly evident in differing economic opportunities for men and women and their decisions to be self-employed," notes Angela Curl, an assistant professor at the University of Missouri and lead author of the study.
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