Layoffs, reductions don't dent strong tech job market

By: BRADLEY J. FIKES - Staff Writer | Saturday, August 6, 2005 8:25 PM PDT ∞

For someone who's between jobs, Amy Oilman seems amazingly content. A former project manager at Hewlett-Packard's Rancho Bernardo facility, Oilman took a buyout offer this spring, then worked three weeks at a start-up that didn't match her skills.

"We surf, I do yoga," said the La Jolla resident, listing some of her summer activities. "This is one of the greatest times of my life."

There's reason for Oilman's optimism. Despite headlines of layoffs and reductions at large technology companies in Rancho Bernardo and elsewhere, the North County job market remains strong, local employers and business officials say. For every company that reduces its work force, another seems to be hiring.

So despite the HP reductions, Gateway's departure from Poway last year, and the recent announcement that Unisys would leave next year, the word from employers is that they're hungry for qualified employees.

Qualified is a dicey word: There are still many people looking for work, but their skills don't match the increasingly specialized needs of San Diego employers, who are looking for technological skills. Moreover, the competition to find jobs in such a desirable and expensive part of the country drives some away.

Scott Sipe is one of those economic refugees. He was listed in a July 24 North County Times "Available for Hire" ad.

"I wasn't able to find the type of position I was looking for in San Diego, and I couldn't afford San Diego any longer," said Sipe, a former Ramona resident who was looking for human resources, recruiting or sales work. He moved to Roy, Wash.

"I just got here last night," Sipe said Thursday. "I have an opportunity with Boeing and another with Microsoft. When I was at the Escondido Career Center, I knew of five or six other people who were planning to leave."

Tech hunger

Sony Electronics, one of North County's biggest employers, is cutting a few jobs but adding even more, spokesman Rick Clancy said. Like Hewlett-Packard and others in consumer electronics, Sony has been struggling to reduce expenses. But Sony Electronics' reductions have mainly occurred at its East Coast facilities ---- its headquarters moved last year from Park Ridge, N.J., to Rancho Bernardo.

A year ago, Sony Electronics employed 2,500 people in San Diego. It now employs 2,600, Clancy said, and employment is expected to be equal to that number or slightly higher by year's end. Information on jobs available at Sony Electronics is posted at sonyjobs.com.

The Rancho Bernardo area in particular is hungry for more workers because of demand from defense contractors, said Gary Powers, president and chief executive of the San Diego North Chamber of Commerce.

People with security clearances are especially in demand, Powers said.

"There are over 250 positions open at Northrop Grumman because they cannot find enough engineers with security clearances," Powers said. "BAE Systems has about 50 positions open."

To find people with security clearances, Northrop Grumman has turned to recruiting military officers preparing to return to civilian life, Powers said.

Countywide, unemployment remains low. June's unadjusted rate of 4.4 percent rose from an adjusted 3.8 percent in May, but dropped from an adjusted 5.1 percent in June of last year.

Control and solidarity

Oilman, leader of an unofficial HP alumni group in San Diego, concedes that her positive attitude isn't shared by everyone seeking work. Yet she said most of those in her group of slightly more than 20 who recently left the Rancho Bernardo branch were happy and confident that they could find good jobs in San Diego.

"I haven't heard from anyone who is really panicked," Oilman said, who has two boys, a newborn and one who is 9. Her husband, Jeff, is a magazine editor.

Right now, Oilman is content to enjoy the summer living at her home next to the beach.

"A lot of us who have kids didn't really want to work over the summer. Camp is expensive. It is a blessing to be home with our kids," Oilman said. "We were in some cases working 70 or 80 hours a week for years, and wanted to take a break and reflect on what our priorities are."

Oilman gives two main reasons for her optimism: One, she left HP on her own terms, with a severance package. (HP requires those taking the package not to talk about its terms, although they are reportedly generous.) Two, she enjoyed her time at Hewlett-Packard, especially her former employees.

Oilman fondly speaks of the legendary "HP Way" of running a company cooperatively as a strong motivating force. Although the company has suffered through executive turmoil, including the recent ousting of Carly Fiorina as chief executive, Oilman said the boardroom struggles didn't affect the way employees felt about one another.

Former HP workers who wish to get involved with Oilman's unofficial group should send an e-mail to hpsandiegoalums-subscribe@yahoogroups.com. For information on the official Hewlett-Packard Alumni Association, visit www.hpalumni.org.

A new challenge

Mike Rook, another HP employee who took the buyout, admits to being "a little bit nervous," but not enough to prevent the Rancho Penasquitos resident from taking a road trip and planning an even longer one once his 27-year career with the company officially ends later this month.

"I just returned this afternoon from a 10-day, 3,500-mile journey on my Harley up to the Canadian border," Rook wrote in a Wednesday e-mail to the North County Times

Reached by phone Thursday, Rook said that was just a warm-up for an 8,000-mile ride to the East Coast, south through the Florida Keys and passing along the Gulf of Mexico on his return. Rook said he had already planned his trips before taking the buyout.

"I may not have the chance to do this again," because the next trip would take about a month, Rook said.

Rook, 47, said he enjoyed his HP job coordinating manufacturing and sales plans for the company's all-in-one printer-copier-scanner-fax devices. And he worries that his age may count against him. But he's still looking ahead to a new career, perhaps working for a nonprofit organization or for the government.

"I have no illusions that in a week I'm going to land the perfect job, making the same or more money," Rook said.

Operation Enduring competition

San Diego County is still having difficulty keeping cost-conscious companies here because of the relatively high cost of living, said Ryan T. Singer, a research analyst at the San Diego Regional Chamber of Commerce.

Singer pointed to Capital One Auto Finance Group as an example. The company recently announced that it would shut down its call center in downtown San Diego and relocate to cheaper space in Texas, removing nearly 300 jobs from the county.

"One big theme is that most of the companies who are moving are larger companies," Singer said. "This is a concern because large companies tend to be stable employers. When they leave, the region loses the opportunities they provide."

While some companies leave, people such as Oilman swim upstream to stay in San Diego. Oilman fell in love with Southern California after attending college in Los Angeles, and decided to move back after getting a job with HP in Washington, D.C.

"I dragged Jeff with me," Oilman joked. Not that her husband minds now, after getting a taste of San Diego beach life, she said.

Education key

To improve her hiring prospects, Oilman, who already has an MBA in information systems and completed more courses in education, is looking to get still more education. She is considering going back to school again to get certified as a project management professional.

In short, Oilman refuses to make a choice between having a good job and living in a good part of the country. She wants both.

"I constantly get job offers from other parts of the country, but if you want to stay in San Diego, or want to have a job that has benefits, that's a little different," Oilman said.

Contact staff writer Bradley J. Fikes at (760) 739-6641 or bfikes@nctimes.com.

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