A brief update on the current Washington area PR employment scene based on the view from PRofessional Solutions, LLC, the Washington market’s only PR temporary staffing agency.
Last month (Feb’09): Bust (freelancers) ~ Fair (jobs filled)
Last year (Mar’08): Slow to Fair
Ratings:
Bust - virtually no hiring for jobs, freelancers or temps
Slow - a few, mostly low-level, positions being filled; fewer jobs for freelancers or temps
Fair - existing jobs are being filled and moderate work for freelancers and temps
Strong - organizations are hiring at all levels and good work for freelancers and temps
Boom! - virtually everyone who wants work is finding it
Kate’s Overview: What a strange time this is, unlike any other economic downturn in PRofessional Solutions,
LLC 15 years.
As always, the Washington area is more cushioned that the rest of the country. Despite all the news of layoffs and reduced spending this area has so far not seen deep cuts here in staffing, or huge decreases in use of PR firms. The PR agencies are not downsizing and there are still jobs to be had. This month several of our temporary associates left us for permanent positions. These were mostly younger/less experienced people, but a couple of more seasoned professionals also landed good positions.
But our application rate from those who want/need to temp is up significantly, about three times what it was this time last year. Many applicants were successful independents and freelancers for organizations that stopped outside contracts and dropped them. Some applicants are from smaller non-profits that have reduced staff or even in a few cases have dissolved most of their communications departments. A few others found that foundation or other outside funding has stopped the projects on which they worked and their employers have let them go.
Our clients, meanwhile, have smaller budgets this year but are attempting to do more (adding social media initiatives most prominently) with less (staff, contractors, dollars). It’s a good time to take on more responsibility, develop additional skills and, whenever possible, go the extra mile and demand fewer special accommodations at work.
Annenberg Survey Reports Relatively Modest Impact of Recession on PR/Communications Functions
As part of my promise to provide other sources of information that shed light on the job market I'm sharing information from a study conducted by the USC Annenberg
Strategic Communication and Public Relations Center (SCPRC). It reports that the economic impact of the recession on the PR/communication functions of U.S. organizations has been relatively modest to date. (
To obtain a copy of the results go to www.annenberg.usc.edu/sprc or write to sprc@usc.edu.)
In January nearly 200 senior level PR/communication professionals responded to the online survey: 61% work for companies, 27% for non-profit organizations, and 13% for government agencies. The survey found that the original 2009 communication budgets of the 200 organizations were on average 7.4% lower than what the organizations actually spent in Fiscal Year 2008 and that so far in 2009 the surveyed organizations have further reduced their spending by an average of 3.9% relative to their planned budgets for this fiscal year.
However, to address budget reductions these organizations have avoided major cuts in their internal communication staffs, instead reducing compensation paid to external agencies and/or freezing or reducing compensation paid to their own staffs.
“While the recession has certainly hurt, and there will undoubtedly be more pain in the future,
our survey respondents, who come from a wide swath of the economy, have experienced significant but not debilitating budget cuts and have been able to prevent, at least through today, widespread layoffs,” said
Jerry Swerling, director of the SCPRC. As he notes,
“This is a significant change from the historical pattern, which saw precipitous cuts, and sometimes near total elimination of PR/communication, in difficult economic times.”
While 63% indicated that their staffs did not change in size in 2008, 22% downsized their PR/communication staffs by about one-fifth (22%) last year. Another 15% (all of which have PR/communication staffs of 1–17 full time people) reported staff growth. And compensation has been greatly affected by the recession: nearly two-fifths (39%) reported they froze PR/communication salaries and 7% reduced employee compensation in 2008. For 2009, 56% anticipate compensation freezes, and 21% believe they will have to reduce compensation by an average of 11.7%.
Although the survey reports that of the 58% of responding organizations who work with one or more outside agencies, 69% indicated they’ve already reduced, or plan to reduce, the fees paid to those agencies, I haven’t seen much evidence of that yet in the DC area. Usually reductions in client fees at PR firms results in some downsizing of their staffs of people who then apply to become PR temps at PRofessional Solutions, LLC, and thus far that has not been the case.
Boa
sts and Toasts ~ Business Award for Event Planner One of our own contributors to
The Capital Buzz,
Jennifer Collins of The Event Planning Group, will receive the Outstanding Women's Business Enterprise Award for the DC Region in this Friday in New York City.
Those of us who know and have worked with Jennifer agree that she truly is outstanding and we're delighted she is being recognized for her talents, business acumen and the success of her business and the clients she assists.
Congratulations, Jennifer!