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SALT LAKE CITY (AP/KSL News) - Utah's strong job market is making it tough for some industries in the state to fill their needs. Health care, technology and construction are all industries in Utah that have jobs available, but not enough skilled workers to fill them.
"It's going to continue. There's very little motivation, no apprenticeship programs," says general contractor Davido Biesinger.
Biesinger says many construction companies can't find all the skilled workers they need. But he says, one way or the other, they have to get the work done.
"Do a lot of my own work still," Biesinger continued. "That's how I get around the problem of unskilled labor - do it myself."
Biesinger says the problem is causing more companies to hire undocumented workers.
Where the Utah Transit Authority used to turn away many applicants for every driver opening, it now is having to offer $1,000 bonuses to fill vacant positions.
"Even with the signing bonus, we're still having a hard time getting anyone to apply," said UTA human resources manager Nancy Malecker, who said hiring efforts became more difficult last summer and have become even worse in recent weeks.
Economist Mark Knold of the Utah Department of Workforce Services said the state's strong job growth is making it difficult for a number of employers to fill positions, especially in industries already plagued by shortages, including high technology, health care and construction.
Employers say attendance at job fairs is down and responses to online or print "help wanted" ads have plummeted.
Not only is recruitment an issue, employers also are struggling to retain workers, who are finding it easier to find jobs offering better pay or more attractive benefits.
Knold said retention may become a real problem for some employers in the coming months if job growth remains high and unemployment remains low.
Julie Gandy, human resources director for Utah decorative stamp and scrapbooking supply company Stampin' Up!, said she is getting few rDesumDes from unemployed people. "Nearly all are employed at other companies and are looking for something different, a step up from what they have now," she said.
High levels of employment growth also help people who are laid off find new jobs.
Web developer Paul Ellsworth of Lehi, who was laid off in early January, found a new job by the end of the month at an Orem high-tech company. Since then, he has received a number of calls from employers trying to fill available positions.
"When I tell them I'm happy where I'm at, they ask if I know of anybody who may be looking for a job," he said. "That makes me feel pretty confident that if this job doesn't work out, something else would come along pretty quickly."
JoAnn Wagner, SOS Staffing chief executive officer, said the tight labor market is pushing salaries higher. "We're seeing starting wages go up by 8 percent to 10 percent -- in some cases by 12 percent -- particularly with hourly positions," she said.
Not surprisingly, employers are not happy with that.
"Employers say 'I was able to fill that position by paying $10 an hour last year, why can't I pay $10 now?' " said Christine Kronkow, SOS Staffing area manager and a member of a private-sector board that advises the Utah Department of Workforce Services. "Times have changed."
A Workforce Services report released last week shows employers in a variety of industries are being forced to pay higher wages this year.
The department, which surveyed 4,500 employers throughout Utah in the fourth quarter of 2005, found that the average advertised wage for job openings was $12.20 an hour at the end of 2005, up nearly 9 percent from $11.20 at the same time in 2004.
Ned Callister, co-owner of A.A. Callister Corp., a 40-employee Western wear and feed store, said the higher labor costs are hurting the bottom line.
"It affects your margins, it affects your profitability," he said.
(Copyright 2006 by The Associated Press. All Rights Reserved.)
