Friday, February 20, 2009

The morning after

Now that we have a federal stimulus package and a California budget, what will be the reaction from business?

The Dow Jones falls before 7500, or nearly half of its value from just 16 months ago.

And predictions are that the Dow will continue to drop. More selling is ahead, according to today's WSJ.

For public relations professionals, we're no longer a "recession-proof" industry. Major cuts have occurred at PR agencies, in government and other sectors in California and across the country.

Sure, a few of us who are doing well. It depends upon the sector you are working in.

In a few weeks, we'll see "agency report cards"and similar rankings from those who cover this industry. It will be intriguing to analyze the numbers, but the expectation is that almost everyone will be done in income.

The financial, corporate and investor relations areas are stable because business needs to communicate with shareholders, mergers are occurring and CEOs are under scrutiny. Marketing communications are in demand to keep brands strong so sales don't dip further. Technology appears stable for now. Healthcare seems to be slipping a bit as hospital expansion stalls.

Many independent practitioners report steady work, perhaps because in-house staffs have been trimmed to the bone and the work still needs to be done.

It would seem on the government side, the federal and state jobs are mostly stable, but city and county employment is shaky, at best. Military public affairs is very stable.

Keep sending me your insights and reports.

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