Recession Hits Hard at Still-Employed Too : Times O.C. Poll: Workers increasingly disgruntled and dissatisfied with pay and prospects for future.

The national economic downturn has worked its way into the minds and pocketbooks of the average Orange County wage earner, with only one in four saying they are “very satisfied” with their take-home pay and three in 10 expecting a promotion, a recent Times Orange County Poll has found.

Faced with gloomy predictions that any local recovery from the recession will not materialize until at least late fall, Orange County workers seem to be increasingly disgruntled and worried about what they consider a lack of future job opportunities and security.

That pessimistic attitude is a striking departure from two years ago, when the recession was not widely felt and 85% of Orange County workers considered the career opportunities here either “good” or “excellent.”

But the persistence of the recession--now into its 22nd month--has taken its toll on the psyches of Orange County workers, 37% of whom are concerned that they or someone in their family will be laid off; an additional 7% said they or a family member had already lost a job.

“There’s been a great change in the mind-set of workers,” said pollster Mark Baldassare. The Times Orange County Poll was conducted by telephone April 2 through 5 by Mark Baldassare & Associates of Irvine.

“This represents a move in thinking that (the recession) was a relatively short ordeal . . . to one in which they expect it to last into next year,” Baldassare said. “For many people, it has taken a personal toll.”

As a result of the recession, Orange County workers are now more likely to be less satisfied than they were two years ago about such job-related issues as wages, promotional opportunities and job security, the poll shows.

Compared to a 1990 Times Orange County Poll, this year’s survey of 600 Orange County adults showed a 16 percentage-point drop in the number of workers--from 40% to 24%--who are “very satisfied” with their wages. The survey, conducted in English and Spanish, has a margin of error of 4%.

The results also show a 10-point slide in the number of workers who are “very satisfied” with their chances of promotion--31% today, down from 41% two years ago. There was a corresponding 10-point increase in the number of people not satisfied with their promotion prospects--to 30% from 20% in 1990.

Stephen Fusco, 39, of Westminster has been a Northwest Airlines mechanic for 16 years. He brings home $42,000 a year and is the sole support for his wife and two small children.

Although he said he is “somewhat satisfied” with the money he earns, he said he sees no immediate chance for promotion into management, especially considering he does not have a college degree.

Fusco realizes that other, larger, airlines have gone broke. The prospect that Northwest may go the way of erstwhile competitors, such as Eastern, TWA and Pan Am, creates an underlying wariness about his future and the opportunities it affords him.

“The owners, they can do whatever they wish,” Fusco said. “They can say they have an offer to sell the airline. They can take the money and run.”

But, he says, he is far more fortunate than his two brothers who work in construction--they have been working fewer hours and have had to stand in unemployment lines. Fusco appreciates having had steady employment during the recession.

“I thank God every day that I have a job,” he said, “I have my health, I have a house over my head and am able to put food on the table for my wife and my kids.”

In fact, about 52% of Orange County adults this year indicated they are “very satisfied” with their job’s security. But that still is a steep 13-point drop from 1990, when 65% said they did not worry about losing their jobs.

Further, twice as many Orange County residents--22% versus 11% in 1990--are now dissatisfied with their wages.

Dissatisfied wage earners come from all rungs of the economic ladder.

Newport Beach resident Linda Rice, 40, who runs a small medical laboratory, said that she and her physician husband have been feeling the pinch for the past two years, despite an annual household income of $150,000.

Last year, she did not believe the economy was in trouble. But as time has gone by, and the recession becomes increasingly a topic of conversation among her and her friends, she has reassessed her opinions, believing that the national economy will continue to suffer for the next five years.

“We are getting along,” Rice said. “But our quality of life is not getting any better. We really have to think about the money we spend.”

A drop in the couple’s income, as much as 20%, occurred in the past two years as Medicare payments to her Newport Beach laboratory began to shrink. The bulk of patients she and her husband treat are older patients who rely on government subsidies.

The income decline has caused Rice to consider her accountant’s advice to re-evaluate her occupation.

“I really love my job, I enjoy it,” Rice said, who has a background in nursing, “but I don’t think I will be in it in the next five years. I will probably go back to school.”

Rice is not alone in being torn between loving one’s work and becoming increasingly disenchanted with the financial security and stability it provides.

About 56% of Orange County adults are “very satisfied” with the work they do, down two points from the 1990 poll. The margin of error, however, means the figure is virtually unchanged.

And 39% of the county said they were “moderately satisfied” with the work they do, up five points from 1990, while the percentage of those dissatisfied fell to 5% from 8% two years ago.

This level of job satisfaction, despite an increased disenchantment with pay, security and chances for promotion, may be attributed to a widespread feeling that “having a job is gratifying enough in these difficult times,” Baldassare said.

Workplace expert Bob Pugliano, president of the California Assn. of Personnel Consultants, agreed.

“A lot of people are grateful they have a job to go to today,” he said.

Further, perceptions and expectations about job satisfaction are directly related to workers’ feelings about the overall economy, Pugliano said. He predicted that if the recovery does not materialize this year, even workers’ satisfaction about the jobs they do will begin to sag.

“It is reflective in the confidence level of the person,” Pugliano said. If you ask any normal American person (about job satisfaction) their answer is tainted by the economic condition.”

Yorba Linda resident Elena Jackson, 38, sees firsthand the effects of the recession. A referee in Norwalk Superior Court, she gives final approval for worker’s compensation requests.

“We see all kinds,” Jackson said. “When things are bad, we see more cases that tend to be filed by people who are laid off. It’s very busy here.”

Jackson also feels the effects of the recession at home, where she and her husband, Carl, an ethnic studies professor at Cal State Fullerton, have hunkered down to a relatively austere lifestyle, paying down credit cards and postponing purchase of large household items.

Although the two earn about $130,000 together, Jackson said rising costs of child care--she pays $1,500 a month for day care for her four children--and other household debts have hurt their finances.

As a state employee, she has been under a salary freeze for the past 12 months, and there was even the threat of job losses as the state fought to balance its own budgets.

And as long as the economy continues to lag, Jackson said she and her husband will remain frugal, saving what they can and lowering their debt.

“I don’t know when anything is going to change,” she said. “We’re not even close to thinking about starting to buy anything again.”

The recession has also caused many adults to re-evaluate their opinion of Orange County in terms of the opportunities it has for them in their line of work. When asked to rate Orange County as a place to work, three in 10 gave Orange County an “excellent” rating.

That is a sharp drop from two years ago, when half of Orange County adults believed Orange County afforded excellent career opportunities.

The downward shift caused an increase in the other corresponding categories, with 39% of residents now rating the county’s career opportunities as “good”--up from 35% in 1990--22% rating the county as “fair”--up from 11% in 1990, and 8% who rated the county as a “poor” place to work--up from 4% two years ago.

But some workplace consultants disagree that the increased discontent is wholly recession-related.

Fred E. Whittlesey, head of Compensation and Performance Management Inc. in Laguna Niguel, said that there have been some “fundamental changes” in local industries that have occurred at the same time as the recession.

For instance, the defense industry has shrunk because of a decreased threat, while the failure of many banks and savings and loans has shaken the financial services industry.

In both examples, Whittlesey said, thousands of employees have been laid off or suffered salary cuts.

In addition, overall competition for market share has become stiffer and many industries, such as real estate, have experienced losses due to lowered demand.

Job Satisfaction Fewer Orange County residents say the county is an excellent place to work compared to 1990, but a majority say they are very satisfied with the work they do. How would you rate Orange County as a place to work, in terms of the opportunities for you in your line of work? 1990:

Excellent: 50%

Good: 35%

Fair: 11%

Poor: 4%

1992: Excellent: 31% Good: 39% Fair: 22% Poor: 8% Overall, how satisfied are you with the work you do? Orange County 1990 Very satisfied: 58% Moderately satisfied: 34% Dissatisfied: 8% Orange County 1992 Very satisfied: 56% Moderately satisfied: 39% Dissatisfied: 5% U.S. 1991 Very satisfied: 44% Moderately satisfied: 42% Dissatisfied: 14% Source: Times Orange County Poll, 1990 and 1992; 1991 General Social Survey, National Opinion Research Center

Recession’s Toll on O.C. Workers The percentage of Orange County adults who say they are very satisfied with certain aspects of their jobs has dropped since 1990. How satisfied are you with these aspects of your current job? 1990

Wages or pay Very satisfied: 40%

Somewhat satisfied: 49

Not satisfied: 11 Chances of being promoted Very satisfied: 41% Somewhat satisfied: 39 Not satisfied: 20 Job security Very satisfied: 65% Somewhat satisfied: 26 Not satisfied: 9 1992 Wages or pay Very satisfied: 24% Somewhat satisfied: 54 Not satisfied: 22 Chances of being promoted Very satisfied: 31% Somewhat satisfied 39 Not satisfied: 30 Job security Very satisfied: 52% Somewhat satisfied 35 Not satisfied: 13 Those Who Are Very Satisfied Percentage of people--grouped by job classification, household income and age--who said they were very satisfied with their jobs in terms of their wages, promotions and job security:

Job Classification Wages Promotions Security Management and professional 28% 34% 58% Clerical and sales 16 28 40 Blue collar 20 24 44

Household Income Wages Promotions Security Under $35,000 17% 21% 42% $35,000 to $49,999 16 28 54 $50,000 to $75,999 27 30 53 More than $75,000 35 44 58

Age Wages Promotions Security 18 to 34 25% 33% 53% 35 to 54 24 30 51 55 or older 17 23 51

Source: Times Orange County Poll, 1990 and 1992 * ANGST IN RANKS: Times O.C. Poll finds growing discontent in the workplace; boosting morale can boost the bottom line too. D5

* WORKPLACE STRESS: Some O.C. employers help workers deal with concerns about personal finances and career opportunities. D5