Temp jobs are plentiful in Lancaster County, but where are the full-time careers?

Posted: Sunday, July 28, 2013 6:00 am | Updated: 6:01 pm, Thu Oct 3, 2013.

Finding a steady job can be a tough task in the current economy.

Many here are changing their job-seeking approach, searching for temporary positions they hope will turn into permanent opportunities.

Between 2009 and 2013, the number of temporary jobs available in Lancaster County grew by 50 percent. That’s four times the national average, and large enough to rank Lancaster ninth among the 100 largest metropolitan areas in the nation for its share of temporary jobs.

With 2,253 out of the 3,755 total positions created during that period being labeled as temporary, 60 percent of the region’s new jobs fall into that category.

Antonio Callari, chairman of the economics department and director of the Local Economy Center at Franklin & Marshall College, says the trend could become problematic.

It could be an issue because the research, published by labor market data company Economic Modeling Specialists International, shows few of these low-paying temporary positions are turning into full-time employment offers with benefits.

Callari said the trend reflects the fact that employers lack confidence in the recovery after the Great Recession.

The reasons may include concern about impending changes in federal health care laws as well as a move toward outsourcing some functions to staffing firms.

Whatever the reasons, Callari said it’s just another example of the long-term shift in the level of commitment employers are willing to extend to workers — contributing to the disappearance of the middle class.

The loss of benefits, lower pay and lack of job security show that workers are becoming more disposable, he said, adding that the social and moral consequences of this will be felt by all.

The fact that Lancaster County is leading the trend is disturbing, Callari said, but not shocking.

Employers and political leaders have not been investing in education and promoting (or able to attract) high-skill jobs, he said. These lower wages and general skills dominate the temporary sector, and so it’s not surprising to see Lancaster go this route.

The county’s average yearly earnings for temporary workers is $25,748 — a fraction of what permanent workers in the area make doing the same jobs.

Scott Sheely, executive director of the Lancaster County Workforce Investment Board, said the most common temporary jobs can be found in manufacturing, health care and administrative support.

The average annual salary is significantly more for permanent positions in manufacturing and health care, according to data from the U.S. Bureau of Labor Statistics. A full-time position in manufacturing, on average, paid $51,190 in 2012, while those in the health care field made $41,667.

The swing toward a more temporary workforce raises issues for people looking for work and the people who are helping them. Sheely said CareerLink is increasingly working with staffing agencies to place people.

It’s inevitable given that temp-to-hire is now the predominant way that businesses fill their human capital needs, he said.

The ultimate goal, however, is finding people positions that are full time and include benefits.

We’ll have to see where this trend takes us. If it continues, it probably does not bode well for the overall economic well-being of people in the Lancaster area, Sheely said.

Tom Baldrige, president of the Lancaster Chamber of Commerce & Industry, isn’t ready to sound the alarm just yet.

There are no statistics that tell us how many temporary jobs are turning into permanent positions here in Lancaster, he said, pointing out that the county may have a higher percentage than the national average.

Baldrige said there is no doubt that businesses have been slower to fill positions because of the recession and he believes it may be linked to Lancaster’s large manufacturing industry.

It’s not unusual for manufacturers to hire people this way to test the workforce, he said.

The study, Baldrige said, lacks important information that indicates whether the trend is a positive or negative for the county.

Knowing how many temp jobs turn into permanent employment becomes the difference between good news or bad news, he said.

While uncertain what long-term impact the trend will have on the local job market, it is clear that the surge has helped the county’s stellar unemployment rate.

The rate here has been one of the lowest in Pennsylvania for years.

Since January 2003, Lancaster County’s monthly jobless rate has been among the three best in the state in 116 out of 125 months.

That’s comparing the local rate to the rates of the other 13 metropolitan areas in the state.

The most recent data from the state Department of Labor & Industry shows the county jobless rate was 6.2 percent in May, which tied with Lebanon for second-best among the state’s metro areas.

The latest rate represents a significant improvement from the post-recession peak of 7.9 percent, set in February 2010.

But it remains far worse than the 3.7 percent seen in December 2007, the month the recession started.

Business editor Tim Mekeel contributed to this article.