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War concerns aside, area employers are hiring
While war would change the outlook, employers appear to be making plans to add jobs in Jacksonville at a rate of 14,358 this year.
That outlook is based on just two months of data, however, and could change significantly -- one way or the other -- if the United States goes to war against Iraq.
Still, the trend so far indicates that employers want to add jobs at more than twice last year's rate of 7,830 in Jacksonville. The rate also is higher than the three years prior to that.
That 14,358 rate also falls in line with predictions by Wachovia Corp. senior economist Mark Vitner, who said in January that Northeast Florida payrolls could grow by 16,000 jobs this year.
During February, 31 organizations indicated they might create 1,263 jobs in Jacksonville if they follow through on expectations. Four more said they would cut 122 jobs, creating a net gain of 1,141 jobs. That, added to the January net gain of 1,252 jobs, generates the annual rate.
Our survey is unscientific and counts the jobs that employers say they might create or cut in Jacksonville. It doesn't include unannounced job cuts or gains, nor does it include plans in Clay, Nassau and St. Johns counties, which along with Duval make up the metro area.
Retailing jobs in stores and restaurants dominated February's projected gain, and those positions typically do not pay high wages. Nonetheless, such jobs indicate confidence among retailers that consumers will continue to spend money, and consumer spending accounts for two-thirds of economic activity.
"It's not surprising to see retailers showing the largest number of new jobs since the retail sector is enormous in its own right relative to other areas," said Lynn Reaser, chief economist for Banc of America Capital Markets.
Outside of retailing, companies appear to be holding back. "Overall, the attitude of most companies is to remain very cautious until we see some resolution of the Iraqi situation," she said.
Meanwhile, while companies may not be hiring, they also might not be cutting jobs to the extent they did the past few months. "It appears the worst of the layoffs is behind us, but companies are reluctant to increase staffing until they are more assured of a better performance in overall profits," she said.
Reaser said the Jacksonville metro area added an average 5,500 jobs last year, a gain of 1 percent, and she projects a gain of 10,300 jobs, or 1.8 percent, this year.
Jerry Mallot, executive vice president of the Jacksonville Regional Chamber of Commerce, said expansion announcements have been slow for "primary jobs," those that generate goods and services that can be sold outside the area and generate "new" money for the economy.
He expects those announcements "after we resolve the international issues that we face today."
Mallot said there is a "pretty good amount of activity behind the scenes, people looking, analyzing options, and I think many of these things will come to fruition for Jacksonville in the coming months."
He said that the retail job growth is "a response to basic economic activity."
In February, 31 organizations indicated plans to add jobs in Jacksonville.
Another four acknowledged they would cut 122 jobs: Bank of America let go 50 employees as part of a nationwide layoff; JM Family Enterprises will lay off 40 information technology services workers at its Baymeadows data center; Citibank laid off 20 technology employees; and Circuit City Stores Inc. said it would trim 12 jobs from its four Jacksonville stores.
We gather our information from employers or through announcements or filings with the chamber, the Jacksonville Economic Development Commission and its divisions, the Jacksonville Planning and Development Department and its Concurrency Management System Office and other sources.
Here are the 31 organizations that reported they might generate jobs and where, how many and the source of our information.
South Ortega Marketplace, featuring a SuperTarget, 6301 Roosevelt Blvd., 525 jobs, concurrency.
O'Charley's Inc. restaurant, Kernan Village in Southside, up to 125 jobs, company.
Wal-Mart Stores Inc. Neighborhood Market, Atlantic Boulevard and Bartram Road, up to 100 jobs, company representative.
Smokey Bones BBQ, Commerce Center Drive in the Regency area, about 100 jobs, company.
CitiStreet downtown and Southside, to hire 100 people more than expected, company.
Benny's Steak and Seafood, The Jacksonville Landing downtown, has hired 40 people and will need 15 more, company.
Fred's Inc., two stores in Dupont Station in Southside and an unannounced location in Westside, 30 jobs, company.
Wendy's, Merrill Road between Kingstree Drive and Wedgefield Blvd., 24 jobs, concurrency.
Exact Inc., 5285 Ramona Blvd., 21 jobs, concurrency.
Eight reported they would add 10 to 20 jobs. Those were: Beach Boulevard Medical Office, 6269 Beach Blvd., 20 jobs, concurrency; Brown Brothers Concrete Inc., 4151 Highway Ave., 15 jobs, economic development commission; Florida Rock Industries Inc., Garden Street and Old Kings Road, 14 jobs, concurrency; King Engineering Associates, Bowden Commerce Center, 13 jobs, company; King Solomon United Baptist Church, 2221 Forest St., 16 jobs, concurrency; Northlake Childcare, 3500 Newcomb Road, 10 jobs, concurrency; Ron Turner Cycles, Beach Boulevard, 18 jobs, concurrency; Sysco Food Services, truck maintenance center, 1501 Lewis Industrial Drive, 10 jobs, concurrency;
Thirteen reported they would add up to 10 jobs. Those were: Atlas Physical Therapy, 12421 San Jose blvd., nine jobs, concurrency; Dinsmore Baptist Church, 10500 Old Kings Road N., five jobs, concurrency; E'Clate Jazz Club and Cafe, 331 E. Bay St., seven jobs, economic development commission; Fisher Commercial Building, Ramona Boulevard, eight jobs, concurrency; Good Neighbor Food Mart addition, 2127 Fairfax St., four jobs, concurrency; Huntley Convenience Store, Pritchard Road, five jobs, concurrency; an addition to Iron Gate, 3544 Philips Highway, four jobs, concurrency; Library Road car wash, one job, concurrency; New Life Child Care Academy, 2016 Anniston Road, five jobs, concurrency; The Pantry, 4129 Sportsman Club Road, five jobs, concurrency; River of Life Full Gospel Fellowship, 2848 St. Johns Bluff Road S., two jobs, concurrency; Street Sweep facility, 11410 New Berlin Road, five jobs, concurrency; W.W. Gay Mechanical Contractor warehouse, 2200 McCoy Creek Blvd., five jobs, concurrency; and Sterling Classics Inc., 3414 N. Main St., two jobs, economic development commission.
The unofficial surveys found that employers said last year they might add 7,830 jobs; 10,528 jobs in 2001; 12,778 jobs in 2000; and 12,581 jobs in 1999.
King + Robinson move
The King + Robinson engineering group intends to expand into Bowden Commerce Center by the end of May, relocating from space it owns in Metro South Executive Park. Senior Vice President Jim Robinson said the firm will be called King Engineering Associates upon the move.
He said the company owns a 3,300-square-foot free-standing building that is under contract to a buyer. King Engineering will double in size when it moves into about 6,600 square feet in Bowden Commerce Center. Robinson said the staff, now at 13, also will double eventually.
Robinson started Robinson Engineering Group in 1990 and merged with King Engineering Associates of Tampa in 2002. The firm focuses on land development, public works and traffic and transportation planning.
Robinson said that broker Chip Skinner represented his group in the lease negotiations, while Ross Carrier of Trammell Crow Co. represented landlord. Robinson said he had considered 15 sites before choosing Bowden Commerce, at 6500 Bowden Road.
A renovation permit is pending for Dav-Lin Interior Contractors Inc. to renovate 6,627 square feet at Bowden, at a cost of $234,000, for King Engineering.
3: War concerns aside, area employers are hiring 03/03/03
Wednesday, January 22, 2003
Boeing to add jobs
$150 million contract will upgrade Navy planes By Christopher Calnan
Times-Union business writer
The Navy awarded Boeing a $150 million contract to change the cockpit instruments of E-6 Mercury planes from analog to digital during the next two years, Boeing spokesman Paul Guse said.
The first E-6 is expected to arrive at Cecil next month, and the 80 additional aircraft mechanics are expected to be working by June, Guse said. The jobs will pay $18-$20 an hour, he said.
About the E-6
The E-6 Mercury is a communications relay and strategic airborne command post aircraft that provides airborne command, control and communications between the National Command Authority and U.S. strategic and non-strategic forces.
Background: Boeing derived the E-6A from its commercial 707 to replace the aging EC-130Q in the performance of the Navy's TACAMO ("Take Charge and Move Out") mission.
The Navy accepted the first E-6A in August 1989.
GENERAL CHARACTERISTICS
Primary Function: Communications relay for fleet ballistic missile submarines and airborne command post.
Contractor: The Boeing Co.
Unit Cost: $141.7 million
Propulsion: Four CFM-56-2A-2 High bypass turbofans
Length: 150 feet, 4 inches
Wingspan: 148 feet, 4 inches
Height: 42 feet, 5 inches
Weight: Max gross, take-off. 342,000 lbs
Ceiling: Above 40,000 feet
Speed: 522 knots, 600 miles per hour
Crew: 14 (A model), 22 (B model)
Range: 6,600 nautical miles (7,590 statute miles) with six hours loiter time
Armament: None
Operational: October 1998
-- Source: The U.S. Navy
The new jobs will increase the number of Boeing jobs at Cecil to 280.
Converting the cockpits to digital is scheduled to be completed at the end of 2004.
The $141.7 million E-6s, which are the Navy's version of commercial 707s, were built in the 1980s. The E-6s relay communications to ballistic missile submarines and airborne command posts for U.S. forces, according to the Navy.
Chicago-based Boeing leases five buildings at Cecil, including two aircraft hangars. About 200 Boeing employees work at the site maintaining and modifying F/A-18 Hornets for the Navy and the Marines.
The 8,312-acre commerce center is part of the former 17,224-acre Cecil Field Naval Air Station that is south of Interstate 10, near Normandy Boulevard, on the Westside.
Expanding Boeing's military work at Cecil to include commercial aircraft is always a possibility, Guse said.
"We're continually seeking new business in a variety of areas, and we're looking forward to sustaining and growing that facility," he said.
Kirk Wendland, executive director of the Jacksonville Economic Development Commission, which is managing the center's development, said Boeing's expansion is an indication of its satisfaction with the facilities at Cecil.
The aviation industry may be cyclical, and the jobs may last only as long as the two-year contract, but Wendland said companies such as Boeing would continue to bring work to Jacksonville because of the facilities available at Cecil.
In April, an official for the TriLegacy Group LLC, the group developing the commerce center, confirmed that it had met with Boeing executives to let the aerospace company know Cecil was available for a future maintenance work site.
But Boeing insisted that no expansion plans were pending.
That changed Monday.
Guse said the company has added 95 jobs at Cecil during the intervening months and the expected 80 additional jobs marks a doubling of Boeing's Jacksonville workforce in a little more than a year.
The company has a five-year lease on its Cecil hangar. Under the lease agreement, which began in 1999, Boeing has the option to renew its lease three times for five years apiece.
In addition to Boeing, Cecil is home to a Northrop Grumman aviation maintenance facility and an avionics repair shop run by Jacksonville-based Logistics Services International.
Staff writer Christopher Calnan can be reached at (904) 359-4404 or via e-mail at ccalnanjacksonville.com.
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