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Show D12 TheSalt Lake Tribune BUSINESS Saturday, February 27, 1999 Layoffs Grow as Economy Sizzles Employment: Newlyjobless face lots ofoptions as opportunities are created Growth: U.S. economy soared at fastest pace in almost 15 years in last quarter THE ASSOCIATED PRESS THE ASSOCIA RESS WASHINGTON — Despite the global financial y YORK — While the surging U.S. economy has pushedjobless ratesto stunningly low levels corporate downsizing continues unabated. This week, Levi Strauss said it would cut 5,900 First Union Corp. confirmed plansto cut upto 7,150 jobs, H.J, Heinz Co. saidit will pare 4,000 jobs, and NEC Corp., Japan’s biggest computer maker, will cut 15,000jobs, including 6,000outside Japan The robust economy means it’s not a bad time to be looking for work. But what does alaid-off em- ployee do?Doesheslideinto part-timeconsulting? Dona polyester hat and flip burgers? Go back to school? Or does hethrive in a new career? Anyof the above, economistssay A slowdown in manufacturing coupled with booming growth in nearly every other part of the economyhas knockedjob supply and demand way off kilter. While one company doles out thousands of pinkslips, anotheris dreaming up newwaysto attract andretain qualified employees. It’s a simple answer,” said David Wyss, chief rapid growth, low unemploymentandlowinflation in at least three decades Thenation’s gross domestic product, the total output of goods andservices, shot upat asizzling annualrate of 6.1 percent from October through December, the Commerce Department said Friday. That was even better than the 5.6 percent rate the government originally reported a month ago. Updatedstatistics pointed to more strength in trade and consumer spending thanoriginally be. lieved. Even with the newfound growth, inflation was nowhereto beseen. An inflation measurement tied to GDP wasupjust 1 percent for all of last year, the smallest increasein 49 years. “We had an incredibly good performancelast said David Wyss, chieffinancial economist ‘tandard & Poor’s DRI economist at Standard & Poor's DRI. ‘Someparts of the economy aredoing better thanothers. Forall of 1998, the economy grewby 3.9 per. cent, the third straight year of above 3 percent Indeed, while the U.S. economyhas shed 000 manufacturing jobs since last March, nearly 3 mil- growth, the strongest stretch since the mid-1980s. lion jobs have beencreated Plenty of those jobs have comein the booming technologyindustry. Take a peek at this week’s classified ads; you'll find a Bellevue, Wash., com- pany willing to pay $95,000for asenior database software engineer, and New York-areafirms seek- TheU.S. performance last year USS. stock prices went into a nosediveonly to rebound after the Federal Reserve cut interest rates threetimestoinoculate the Americanecono- my fromtroubleovers The Clinton administration, the Fed and many slow markedlythis year as pent-up consumerde- laid off fromoneindustry in linefor alucrative job in another. the globeis in recession Washingtonstateoffers oneof theclearest por- traits of the skewed labor market. Boeing Co. plans But recent reports have called that consensus view into question. Just this week, data showed that neworders for durable goods shot up in Janu- Yet analysts are predicting overall job growth for thearea, the computer softwareandservice industries keep expanding. Microsoftaloneis expected to add 2,000jobs a year, andretailers, hotels and restaurants are begging for new workers. Thestrange coexistenceof hiring andfiring often occurs within one company. AT&T Corp., for example, stunned employees in early 1996 with a promiseto cut 40,000jobs. It said it would trimits ranks from 127,000 to 110,000, while the newly spun-off Lucent Technologies Inc. would lay off 23,000to bring its work force to 108,000. Today, both companies have even moreworkers and start toraise $9995 $1995 Used Yamaha UI Kurzweil 5° Grand $2295 $6795 Korg C150 $31,000 New Kawai Decorator Console and more $2895 and more 230 Concert Petrof 9°3 $1795 SUMMERHAYS MUSIC CENTER 5450 S. Green St (410 W.) Murray, Utah 84123 801-268-4446 2540 E. Bengal Blvd (7800S.) Salt Lake City, Utah 84121 801-944-9292 interest rates becauseof fears the economy is overheating. ‘The bond market recovered someofthose losses Fridayas investors chosetofocus ontheexception ally lowinflation figurein the GDP report. Stocks, however, gave up further ground. Federal Reserve Chairman Alan Greenspan told Congress this week that Fed policy-makers believe the economywill slow to between 2.5 percent and3 casts. But he pointedly signaledthat if growth does not slow on its own, the Fedis preparedto start raisingrates to make it happen In December, the country’s economic expansion became thelongest in peacetime history = = . Twin ea.pe. Full ea.pe. Queen Set . KingSet.. WM = NewKawai Parlor Grand Kurzweil White $2195 aryat the fastest pace in 14 months andsales of percent growth this year, in linewith privatefore: jobsin fast-growingareas oftheir businesses. $7500 $2695 New Krakauer existing homes and consumer confidence both climbed into record territory Thosestronger-than-expected reports caused a sell-off on Wall Street on Thursday as investors became concernedthe Fed will soon reverse course 128,000. Lucent employs 130,000. bought out thousands of longtime employees and laid off others, but they also hired rapidlytofill New Kawai Baby Grand $1095 private economists believe economic growth will than they did three years ago. AT&T employs Theydidn’t mess up the math. The companies Kawai NewKawai Console $5500 was all the more mand is finally exhausted and as the U.S. trade deficit widens further, reflecting that one-third of to eliminates 48,000 jobs byyearend, andhalf the New BabyGrand remarkable given the severefinancial turbulence to Russia and threatened Latin America put a worker cuts are expected to hit workers in theSeattle region. Grand Pianos Upright Pianos Digital Pianos at midyearafter the Asian economic crisis spread ing data-entry clerks to work any time, at home or in an office, for more than $ n hour, There is a drastic shortage of technically trained, college educated workers,” V said Evena shortstint in night schoolcan 6 Months Same-As-Cash* Now, ExpressingYourself in The Sale Lake Tribune and Deseret Newsis easier than ever. 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