Finding the Funds to Finance Jobs and Spur Economy

By Rhonda Campbell

Even as we are starting to come out of the recession, investors continue to keep a close eye on employment statistics produced by the United States Department of Labor’s Bureau of Labor Statistics.

An upswing in hiring could take the already robust stock market higher. Investors love knowing more people have more money to spend, pumping revenues into the economy. Business owners, on the other hand, aren’t always confident that they can afford to take on additional long-term payroll expenses.

Positive Economic Strategies

For many of these business owners, it’s the cost of recruiting, hiring, training and managing employees that causes them to put the brakes on beefing up their workforce. The same innovation entrepreneurs used to start their companies may be needed to grow their workforce. Hiring temporary workers through an agency, inking employment deals with independent contractors and beefing up the numbers of part-timers on payroll are some ways business owners can gain the workforce strength to meet their clients’ demands.

Employers could also start learning about economic development programs offered by city or state governments. For example, in its July 21, 2011 “Give Employers Money to Train, Hire Workers for a Trial Period” article, the Atlantic Monthly suggest offering financing (e.g. $10,000) to employers who hire unemployed workers on a trial period. As noted in the article Georgia Work Ready is a program that’s already implementing the idea. The program is, “the only program of its kind to be conducted through a partnership between a state government and a state chamber of commerce. Work Ready provides a skills assessment and certification for job seekers and a job-profiling system for businesses.”

Louisiana’s Enterprise Zone Program, Texas Taxpayers and Research Association, Economic Development for a Growing Economy and the Institute for Economic Development are a few programs and/or organizations that work with businesses, helping them locate funds to do more hiring. Again, to reduce risks, employers who qualify to participate in these and similar  programs could hire workers on a temporary basis, giving themselves the opportunity to measure workers’ leadership, critical thinking and team building skills without having to take on employee benefits costs.

Sources: (The Atlantic: Give Employers Money to Train, Hire Workers for a Trial Period)

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