If your teenager hasn’t already secured a summer job, he or she may find the employment possibilities limited this season.
The market for summer jobs nationwide is going to be dismal, according to a study released by the Center for Labor Market Studies at Northeastern University in Boston.
The deterioration of national labor market conditions has accelerated the collapse of the teen job market across the country, the center reported in April.
Teen employment rates have been declining sharply since the fall of 2006. The summer 2007 job market for teens was the worst on record in the post-World War II period as the seasonally adjusted employment rate for teens plummeted to 34.5 percent.
Job losses for teens over the past eight years have been severe for nearly all major demographic, socioeconomic and geographic subgroups.
Teens age 16 and 17, males, blacks and Hispanics, and those in low-income households are most at risk of joblessness this summer.
Teens will find it harder to find work because of a number of factors.
There’s the economy, of course. Nearly half (49 percent) of hiring managers at companies providing traditional hourly employment, such as retailers and restaurants, reported that they weren’t planning on adding any new seasonal workers in 2008, a consequence of the uncertain economy, according to a survey of more than 1,000 summer employers by SnagAJob.com, an online source of hourly jobs.
SnagAJob also found that managers who do plan on hiring are less than impressed with the work ethic that teens bring to the work place. More than half of those surveyed (56 percent) agreed with the statement that “today’s youth do not have the same work ethic as previous generations have had.”
Teens looking for work will also find a lot of competition, especially from recently displaced workers. For example, General Motors has announced it will close four of its truck and SUV plants in coming months.
Recently laid-off workers and college graduates are grabbing some of the jobs that would have gone to teens.
Joblessness among teens could have one bright side: Although teens may learn some valuable workplace skills on the job, they also often pick up some bad money habits.
If teens do find a job, parents need to use this early work experience to teach them about money management or the extra cash might be spent recklessly. Far too often summer paychecks allow teens to indulge in wanton consumerism. They get their paycheck and it is all play money to them.
If your teen is working, how much of the paycheck is earmarked for college savings, for example?
For many, summer work is key in paving the way for better employment in the future.
Whether you find your teen is ready to work or is able to get a summer job, follow these tips to help him or her better manage the income:
Consider setting up a joint bank account, or at least be sure you get a duplicate copy of your teen’s bank account statements. And review spending habits with your child when the statements arrive.
Make the teen do a budget, and review it.
Establish ground rules for how earnings will be used. For example, if your child is planning to attend college, make sure he or she is saving a significant percentage of their pay toward education expenses.
Talk to your child about how he or she is spending money not earmarked for savings. Here is where you can allow freedom to spend, but just discuss how to make smart shopping choices.
Don’t allow your employed teen to get a credit card (or use yours).
There’s plenty of time for a young person to learn to use credit. Instead let them figure out how to get what they want using cash.
You may get some pushback from some of these rules, but you’re the parent. Don’t miss an opportunity to show your teen the right way to manage money from summer earnings.
Washington Post Writers Group
Talk to us
> Give us your news tips.
> Send us a letter to the editor.
> More Herald contact information.
