Albany Times Union (Sunday)

A shortage of employees is paralyzing industries

Employers say pandemic has accelerate­d changing attitudes toward jobs, careers

- By Brendan J. Lyons and Rick Karlin

Struggling business owners say many people are apparently choosing to continue collecting unemployme­nt rather than returning to work, including some who may be exploiting loopholes and cashing in on state benefits and federal pandemic assistance scheduled to end on Monday.

The situation is devastatin­g many businesses, from private law firms to contractor­s and the hospitalit­y industry.

But as several federal pandemic unemployme­nt benefits are set to expire, business owners also hope workers will return — something that has happened in states that declined to administer the federal aid.

Restaurant­s across the Capital Region and beyond have cut their hours or days of operation due to staff shortages. Other businesses such as the Great Escape amusement park also were closed for more days than normal. Signs offering to hire people for at least $15 were seemingly everywhere.

“This is the biggest thing that we are hearing out there, is the inability to staff up,” said Greg Biryla, New York state director for the National Federation of Independen­t Business.

Indeed, business operators like Anthony Commisso, who runs Latham’s Tuxego formal wear rental shop, said he understood why some people stayed home. As the pandemic raged last year and he cut hours, one of his top employees had to move on, although he has since returned as Commisso’s business has picked up again.

“I have to match way more than $15 an hour” in order to attract employees, he said.

Jimmy Vann, who owns Bombers Burrito Bar restaurant­s in Albany and Schenectad­y, said that before the pandemic it was not uncommon for him to have 30 people apply for a job within six hours of a Craigslist posting.

Now, when he posts a job, including on platforms that he’d never needed to use such as Facebook, Vann said, “I’ll get zero applicants, or one. There’s no pool of people.”

Recently, a person filled out an applicatio­n but did not write down their cellphone number so Vann had no way to contact the person for an interview or offer. Other times, people agree to take a job, but don’t show up for their first shift and are never heard from again.

Employers also say the pandemic, which kept many people at home, simply accelerate­d what’s been a changing attitude toward careers by many people.

“There are a number of reasons why people are not showing up for their appointmen­ts or their interviews or who don’t show up for their jobs,” said Dora Swan who with a partner runs Fin — Your Fishmonger, a seafood store and eatery in Guilderlan­d.

They have had to cut their hours since the pandemic started and have discontinu­ed the in-house seating for cooked seafood in favor of takeout in part because of a lack of staff.

People also have different expectatio­ns.

Workers at Lucia Specialize­d Hauling in Delanson pack and move large equipment such as machine parts or power generators. They load them onto semitrucks and transport them either a few miles to a rail siding or cross country. The work is hard with long hours but it pays well.

But Laura Lucia, who helps run the family-owned firm, said they are struggling to get people. One recent interviewe­e, for instance, said he wanted regular 9-to-5 hours and no weekends.

“People have changed their outlook and I think COVID has

had something to do with that,” she said. “It doesn’t have a lot to do with the money.”

The shortage of truck drivers has been particular­ly acute as many veterans of the industry have retired rather than dealing with ever-tougher rules about work hours and the hassle of using electronic log books to document their trips, Lucia said.

The Empire State is among the 19 states that didn’t stop the $300 payments in the spring and waited until the federal program was set to end.

But Lucia, who also has an office in Virginia and who has traveled this year to visit her children in Washington state and Pennsylvan­ia, said the “Help Wanted” signs are everywhere. “I can’t tell you the number of signs that you see.”

SUNY students have complained about long lines and limited food options during the first weeks of classes.

Sodexo, the food service company that contracts with UAlbany, is experienci­ng shortages in both its supply chain and in staffing, a spokesman said. As a result, some food locations at the UAlbany dining hall remain closed resulting in long lines during the first weeks of classes.

Job ‘refusals’

In other instances, business owners acknowledg­ed, there appears to be a pattern of ablebodied workers applying for jobs — a requiremen­t of receiving unemployme­nt benefits is that someone actively seeks employment — but then declining to show up for interviews or accept jobs that have been offered.

Under rules outlined by the state Labor Department, those collecting unemployme­nt must keep a log of job applicatio­ns and efforts to find work. But the rules don’t specifical­ly state someone must follow through by showing up for an interview or taking a job that is offered.

“The correlatio­n between someone not showing up for a scheduled interview and collecting of benefits is a misguided narrative. Often someone may have found another job or decided they are not a qualified candidate for a job,” Peter Brancato, a Department of Labor spokesman, said in a statement. “DOL will investigat­e case referrals where definite offers of work have been made and refused. Refusing a job interview, where a person must still interview for a job, in and of itself is not disqualify­ing for benefits.”

But there have been complaints. In July, according to records filed with the department that were shared with the Times Union, there was a formal complaint made by an Albany-area attorney who wrote a letter to the agency listing four people who were apparently receiving benefits but had either declined to show up for interviews or rejected positions that were offered.

In one instance, a woman who was offered a full-time job declined, saying she could only work 20 hours a week because that would enable her to continue collecting benefits.

Although unemployme­nt numbers have improved since the height of the pandemic, the lack of workers has hobbled many industries and also hampered supply chains globally. For some, the decision to collect unemployme­nt benefits may also be a balance: When factoring in expenses such as mileage, parking or child care, someone may make more or nearly as much income by staying home and collecting government aid.

Mark Eagan, president and CEO of the Capital Region Chamber, said the federal pandemic benefits approved by Congress that have been extended and paid out to millions of people have exacerbate­d the worker shortage.

“I’ve heard it almost daily since the spring, that it’s an impediment to bringing people back,” Eagan said. “For an entrylevel position, because of the extra $300, they’re making the same or in some cases more (by not working). And if they can make the same or in some cases more not to work … that’s why you’re probably even seeing some restaurant­s right now that are not open for lunch, or they’re not open every day.”

Eagan said the lack of workers has also been challengin­g for nonprofits that are unable to hire staff members.

According to the regulation­s, if applicants do not search for work, document their work search, and submit proof if asked, they could lose their benefits and have to pay back benefits they received.

“The (Department of Labor) looks into all complaints filed by employers about people declining work while collecting benefits,” said Brancato, the department’s spokesman. But it’s unclear how many people — if any — have been penalized since March 2020, when New York documented its first coronaviru­s case, for either failing to document their efforts to find work or to accept a job offer.

“During the pandemic (Department of Labor) staff was focused on getting benefits to the more than 4 million unemployed New Yorkers while simultaneo­usly reviewing eligibilit­y requiremen­ts,” he said.

In December, Democrats and Republican­s in Congress debated

“The correlatio­n between someone not showing up for a scheduled interview and collecting of benefits is a misguided narrative. Often someone may have found another job or decided they are not a qualified candidate for a job.”

— Peter Brancato, a Department of Labor spokesman

the need to extend the federal benefits, which initially were providing $600 per week to unemployed individual­s on top of their state unemployme­nt benefits. The temporary benefit was eventually reduced to $300 per week, but the legislatio­n also extended the Pandemic Unemployme­nt Assistance program to provide eligibilit­y for the “self-employed, gig workers, freelancer­s and others in nontraditi­onal employment who do not qualify for regular unemployme­nt insurance.”

In March, facing a weak jobs report, many Democrats in Congress began to join Republican­s in questionin­g the impact of the benefits and signaled they may not support another extension beyond this month.

The office of Senate Majority Leader Charles Schumer, who has said there was overwhelmi­ng supportamo­ng Democrats to provide the additional federal aid, did not immediatel­y respond to a request for comment on Friday.

More than 7 million people are expected to lose unemployme­nt benefits next week. Many states have rejected calls from the Biden administra­tion to use emergency coronaviru­s funds to provide additional aid to those without jobs.

Nicholas Porreca, who has owned Pasta Pane in Clifton Park since 2015, said he has had a record level of business this summer but still had to close his restaurant on Sundays and Mondays because of the lack of available workers.

Porreca said some restaurant operators are being forced to pick up their own food and other supplies because delivery drivers are not available.

Porreca has openings for cooks and received more than 15 responses, but “only two have gotten to the point where we’re communicat­ing.”

“That’s not what unemployme­nt is for,” Porreca said, referring to those who have chosen unemployme­nt benefits over work. “You have to check a box that says you are ready, willing and able to work — and all these people are not.”

Vann remains desperate for help. He had hoped to begin reopening restaurant­s in the Empire State and Harriman plazas frequented by state government workers.

“I was always taught by my parents to work hard and they instilled that into me, and I don’t know if that philosophy is dwindling,” Vann said. “There are still shining stars that are young and willing to work but it just seems like especially after this whole pandemic thing, people’s outlook on work has completely changed.”

 ?? Paul Buckowski / Times Union ?? Anthony Commisso is the owner of Tuxego, a formal wear rental shop, in Latham. “I have to match way more than $15 an hour” in order to attract employees, he says.
Paul Buckowski / Times Union Anthony Commisso is the owner of Tuxego, a formal wear rental shop, in Latham. “I have to match way more than $15 an hour” in order to attract employees, he says.
 ??  ?? Anthony Commisso makes alteration­s to a pair of pants at his formal wear shop, Tuxego, in Latham.
Anthony Commisso makes alteration­s to a pair of pants at his formal wear shop, Tuxego, in Latham.
 ?? Will Waldron / Times Union archive ?? During the pandemic, the labor department focused on getting benefits to more than 4 million New Yorkers while also reviewing eligibilit­y rules.
Will Waldron / Times Union archive During the pandemic, the labor department focused on getting benefits to more than 4 million New Yorkers while also reviewing eligibilit­y rules.

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