(Courtesy by AP)
RETAIL:
Retailers have lost 1.2 million, or 7.5 percent, of jobs that existed before the recession, according to Labor Department data. Robert Yerex, an economist at Kronos, a work force management company, estimates 20 percent of those jobs are never coming back.

 

(Courtesy by AP)

RETAIL:
Retailers have lost 1.2 million, or 7.5 percent, of jobs that existed before the recession, according to Labor Department data. Robert Yerex, an economist at Kronos, a work force management company, estimates 20 percent of those jobs are never coming back.

Circuit City and Linens & Things have collapsed. Starbucks closed nearly 800 U.S. stores. Retailers closed a net total of 52,000 stores in 2008 and 2009, estimates CoStar Group, a research firm.

Remaining retailers are shifting more business online to save on costs, said Michael O’Hara of Consensus Advisors, an investment bank. Rather than stock goods at hundreds of stores, retailers can consolidate inventories in warehouses for online sales. That reduces the need for retail jobs.

“There is a real chance we will have a ‘storeless recovery,’” O’Hara said.

At the same time, companies like the Gap Inc., Crate & Barrel and Saks Inc. have recently installed robots made by Kiva Systems that can make warehouse operators more productive, Kiva says.

MANUFACTURING:
Manufacturing lost 2.2 million jobs, or 16 percent of its total, in the recession. And as Americans buy fewer cars and homes than during the boom, more than 1 million jobs in the auto, steel, furniture and other manufacturing industries won’t return, according to estimates by Moody’s Analytics.

Lehigh Hanson, a building materials company in Irving, Texas, responded to a drop in orders by turning to Siemens AG to help it cut costs. At a Lehigh plant in Union Bridge, Maryland, Siemens installed power monitoring devices to cut energy costs and found ways to expand production while cutting electricity costs and reducing work hours.

“We’ve learned to run on a leaner work force,” said Jeff Sieg, a Lehigh spokesman.

ADVERTISING:
Advertising and PR agencies have lost 65,000 jobs, or about 14 percent of the pre-recession total. Moody’s Analytics estimates those industries will lose even more within five years.

As automakers retrenched last year, the ad industry suffered with them. Consumer goods makers and retailers also cut back on ads.

“Just because some of the (advertising) spending comes back … doesn’t mean that head count will come back in the same proportion,” said Tom Finneran of the American Association of Advertising Agencies.

 

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