Layoffs Plague Northern New Jersey

From the Record/Herald:

Factory layoffs plague region

Bergen, Passaic and Hudson counties lost a combined 4,700 jobs from June 2005 to June 2006, the federal Bureau of Labor Statistics reported Wednesday.

It was the region’s biggest 12-month job loss since the period ended March 2004, and another sign that the employment picture in the Garden State is less promising than the national outlook. The Newark-Union area, which includes Morris County, lost 4,200 jobs in the 12-month period.

The North Jersey job losses are seen in factories and business services such as employment agencies, as well as in construction and mortgage finance, which have been hurt by the housing slowdown.

“The steam has gone out of the recovery,” said Martin Kohli, an economist with the BLS in New York. The BLS releases data on jobs in the nation’s largest metropolitan areas every quarter.

According to the BLS report, the overall New York metropolitan area, which includes 23 counties in New York, New Jersey and Pennsylvania, saw jobs grow at a rate of 0.9 percent from June 2005 to June 2006, lower than the national growth rate of 1.4 percent. More than 8.5 million people work in the metropolitan area.

The job picture has also affected the North Jersey office market. Vacancy rates for offices in northern New Jersey are around 18 percent, according to a recent report from the commercial brokerage firm Cushman & Wakefield.

That rate has shown little improvement since the recession of 2001, because hiring has been so sluggish.

Underperforming the U.S. average were Chicago, Los Angeles, Philadelphia, Boston, New York and Detroit. Detroit actually lost jobs in the period.

This entry was posted in General. Bookmark the permalink.

21 Responses to Layoffs Plague Northern New Jersey

  1. This post has been removed by the author.

  2. Anonymous says:

    But but but but immigrants will pick up the slack or will it be the all the newly rich mtg brokfers realtors and appraisors?

    The housing market is falling hard.

  3. grim says:

    Here is the BLS release:

    June Employment (PDF)

    grim

  4. Anonymous says:

    Vacancy rates for offices in northern New Jersey are around 18 percent, according to a recent report from the commercial brokerage firm Cushman & Wakefield.

    That rate has shown little improvement since the recession of 2001, because hiring has been so sluggish

    All those high paying jobs?

    where oh where are they going?

    NOT HERE!

    The trend for NNJ RE looks dismal for years to come.

  5. Anonymous says:

    dismal looking kind of like this one.
    http://finance.yahoo.com/q/bc?s=VZ&t=my&l=on&z=m&q=l&c=

    can’t keep living in the past glory days. NNJ RE is heading down for years to come.

  6. grim says:

    It’s worth your time to read the actual BLS release. There is no subsitute for looking at the actual numbers. Journalistic interpretation just doesn’t cut it for this kind of data..

    grim

  7. Anonymous says:

    So does that mean people will use credit cards to pay for ‘Back to School’ and the holiday shopping season??

    Will this year be another barn burner like the last three years in terms of retail sales??

  8. Anonymous says:

    just wait for pharma and consulting services to relocate out…

  9. Anonymous says:

    should we dim or turn off the lights on the way out.

    a will lower the ac to 80

  10. Anonymous says:

    Twenty years ago, people were flocking to NJ for high paid jobs in health care and pharm.

    Now, hospitals are closing and patients don’t seem to care.

    Medical Tourism
    http://tinyurl.com/nw8we

    “State hospital officials have told Corzine that New Jersey has 25 more hospitals than it needs…”
    http://tinyurl.com/pevy6

    Number of professional jobs to be lost:
    THOUSANDS

    Pat

  11. Anonymous says:

    Saw to cars today with magnetic ads placed on the side of their trucks/SUVs.
    BOTH were realtors. Must be new at the game. Lot of bodies entered the real estate game in last several years. Most are probably not making an income to live on. Probably be mass quittings in the next 1-2 years. Things never change.

  12. Anonymous says:

    AOL Cutting 5,000 Jobs

    More good news realtors. NNJ RE is in a bear market. Prices are going down. A decade of homebuyers underwater when they sell.

  13. I think it is telling that the biggest IPO of a NJ based firm in the last 5 years is Vonage.

  14. Anonymous says:

    http://articles.moneycentral.
    msn.com/Investing/
    ContrarianChronicles/
    TheEconomysNextTimeDown
    HasBegun.aspx

  15. Anonymous says:

    RE: “just wait for pharma and consulting services to relocate out…”

    i’m in pharma. your statement is partially untrue. pharma/mfg is closing down, but r&d is incoming. there are a few companies leaving west coast to enter “where the boys are”. pharma is not leaving nj any time soon.

  16. SoCalMtgGuy throws up a post at his blog(s) Another F’d Borrower and/or Housing Bubble Casualty after a LONG hiatus.

    A great site to learn about mortgages and the pitfalls.

  17. Anonymous says:

    I read this article a few times. It must be missing something!!! I did not notice any mention regarding how the 100k college/law/mba graduate and the close proximity to NY would help stem this tide and turn this downward trend around!!!!!!

    Grim,
    Am I missing half of this article????

    Remember when markets turn, they turn for a lot longer and a lot further than you can imagine.

    PATIENCE,PATIENCE,PATIENCE

    BC Bob

  18. pharma is not leaving nj any time soon.
    8/03/2006 03:02:58 PM

    Pharma is a damaged industry with a poor public perception and limited growth prospects. If you think that NJ can base their future prosperity on this industry, I would strongly voice disagreement.

    R&D is going to be outsourced in general to bio-techs, which have a greater likelihood to be located near research institutions, such as in New England, North Carolina, and California.

    The industry has had a history of hitting home runs with blockbuster drugs. In the future they will be content to hit solid singles and doubles.

    They will downsize their bureaucracies through attrition. Where is the opportunity for those under 35? the next wave of business leaders?

  19. Anonymous says:

    “pharma is not leaving nj any time soon.”

    I agree with ChiTown, I work in the Pharma industry as well. Some of the majors are adding R&D staff, but few new companies are moving to NJ. As Pharma continues to shed high risk med-Chem and early devleopement work, small bioventures will pick up this part of this business. These companies are located in primarily in RTP, San Diego, Boston, SF, DC, Vancouver, Montreal. Where would you rather live?

    NJ is such a mess right now, and we have nobody to blame but ourselves as we keep sending the same dolts to mamange the state.

  20. UnRealtor says:

    Thanks for the heads up on the update to housingbubblecasualty.com Rich.

    Been a long delay, hopefully this patest post is juicy.

  21. we are falling apart!?!?!

    3-Month 5.10
    2-Year 4.98
    10-Year 4.96

Comments are closed.