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I  Occupational Outlook Handbook  2002-03 Edition  W#  U.S. Department of Labor Elaine L. Chao, Secretary Bureau of Labor Statistics Lois L. Orr, Acting Commissioner January 2002 Bulletin 2540   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  S.M.S.U. L/bPARy  m s o» U.S. DEPOSITORY  ISBN 0-16-051025-2  90000  9 7801 60 5 0250  For sale by the Superintendent of Documents, U.S. Government Printing Office Internet: bookstore.gpo.gov Phone: toll free (866) 512-1800; DC area (202) 512-1800 Fax: (202) 512-2250 Mail: Stop SSOP, Washington, DC 20402-0001  ISBN 0-16-051025-2  Suggested citation: Bureau of Labor Statistics, U.S. Department of Labor, Occupational Outlook Handbook 2002-03 Edition, Bulletin 2540. Superintendent of Documents, U.S. Government Printing Office, Washington, DC, 2002._______   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Message from the Secretary  In both prosperous and challenging times, the mission of the U.S. Department of Labor remains the same: to help Americans pursue safe, successful and satisfying careers. In doing so, we are also strengthening America’s 215' Century Workforce, which is the key to our nation’s future economic growth and vitality. Workers need comprehensive, accessible and reliable information on the labor market, in order to adapt to changes in our economy. Providing such valuable information is part of the Department of Labor’s responsibility to workers. As technologies advance, mar­ kets become more globally-oriented, and business organizations change, job-seekers need new skills to find and hold good jobs. To help workers succeed in an economy that is continuously changing, we offer the Occupational Outlook Handbook, the Gov­ ernment's premier career guidance publication. This Handbook provides vital information on job trends in a wide range of occu­ pations, and the skills and qualifications that will be needed by workers in the future. We hope the Handbook will be of value to all American workers!  ELAINE L. CHAO   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  mix   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Foreword Since the late 1940s, the Bureau’s Occupational Outlook Handbook has been a nationally recognized source of career information. Revised every 2 years, the Handbook describes job duties, working conditions, training and educational requirements, earnings, and job prospects in a wide range of occupations. Employment in the hundreds of occupations discussed in detail in the 2002-03 Handbook accounts for 7 of every 8 jobs in the economy. Combined with the updated special features of the Handbook, the occupational information presented in this new edition provides invaluable assistance to individuals making decisions about their future work lives. Lois L. Orr Acting Commissioner Bureau ofLabor Statistics   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  MW!  LJ'   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Acknowledgments The Bureau of Labor Statistics produced the Handbook under the general guidance and direction of Mike Pilot, Chief, Division of Occupational Outlook, Office of Occupational Statistics and Employment Projections. Chester C. Levine and Jon Q. Sargent, Managers of Occupational Outlook Studies, provided planning and dayto-day direction. Supervisors overseeing the research and preparation of material were Douglas Braddock, Theresa Cosca, Kristina Shelley, and Carolyn Veneri. Occupational analysts who contributed material were Andrew D. Alpert, Jill Auyer, Hall Dillon, Tamara Dillon, Arlene Dohm, Henry Kasper, Jonathan Kelinson, R. Sean Kirby, T. Alan Lacey, Kevin M. McCarron, Roger Moncarz, Andrew J. Nelson, Azure Reaser, Terry Schau, Lynn Shniper, Tiffany T. Stringer, Patricia A. Tate, and Ian Wyatt. Word processing support was provided by Beverly A. Williams. Cover and other art-work were designed by Keith Tapscott.  Note Many trade associations, professional societies, unions, industrial organizations, and government agencies provide career information that is valuable to counselors and jobseekers. For the convenience of Handbook users, some of these organizations and, in some cases, their Internet addresses are listed at the end of each occupational statement. Although these references were carefully compiled, the Bureau of Labor Statistics has neither authority nor facilities for investigating the organizations or the information or publications that may be sent in response to a request and cannot guarantee the accuracy of such information. The listing of an organization, therefore, does not constitute in any way an endorsement or recommendation by the Bureau either ofthe organization and its activities or of the information it may supply. Each organization has sole responsibility for whatever information it may issue. The Handbook describes the job outlook over a projected 10year period for occupations across the Nation; consequently, short­ term labor market fluctuations and regional differences in job outlook generally are not discussed. Similarly, the Handbook provides a general, composite description of jobs and cannot be expected to reflect work situations in specific establishments or localities. The Handbook, therefore, is not intended and should not be used as a guide for determining wages, hours of work, the right of a particular union to represent workers, appropriate bargaining units, or formal job evaluation systems. Nor should earnings data in the Handbook be used to compute future loss of earnings in adjudication proceedings involving work injuries or accidental deaths. Material in this publication is in the public domain and, with appropriate credit, may be reproduced without permission. Comments about the contents of this publication and suggestions for improving it are welcome. Please address them to Chief, Division of Occupational Outlook, Office of Occupational Statistics and Employment Projections, Bureau of Labor Statistics, U.S. Department of Labor, 2 Massachusetts Ave. NE, Room 2135, Washington, DC 20212. Phone: (202) 691-5700. FAX: (202) 691-5745. E-mail: oohinfo@bls.gov. Additional information is available on the Internet: http ://www.bls.gov/oco/  vii  Photograph Credits The Bureau of Labor Statistics wishes to express its appreciation for the cooperation and assistance of the many government and private sources—listed below—that either contributed photographs or made their facilities available to photographers working under contract to the U.S. Department of Labor. Situations portrayed in the photographs may not be free of every possible safety or health hazard. Depiction of company or trade name in no way constitutes endorsement by the Department of Labor. Abacus Technology Corporation; Accutech Security Systems, Rockville, MD; Allen-Mitchell Machine Shop, Washington, DC; Amaco Refining Plant, Yorktown, VA; American Association of Flight Attendants; American Association of Retired Persons, Legal Services for the Elderly; American University, Washington, DC; Andrews Air Force Base, Washington, DC; Arlington Cultural Affairs Program, Arlington, VA; Barbara Appseloff, George Washington University Hospital and Medical Associates; Behnke’s Nursery, Beltsville, MD; Ben Woodward, Manager, University of Maryland, Bioprocess Scale-Up Facility; Berry, Barlow, & Warrington, LLP, Certified Public Accountants; Burlington and Northern Railroad; C. Yvette Willis, At Your Fingertips, Washington, DC; Cape May-Lewes Ferry; Carlo Perlo of Dance Place; City Paper, Washington, DC; Civil Engineer Rosanna Alcantara, Army Corps of Engineers; Corcoran School of Art Alumni Association; Comeal Design, Gaithersburg, MD; Cornelia Ashby, General Accounting Office, U.S. Government; County Bank of Rehoboth Beach, DE; Cynthia K. Reeser, Nutritionist, Women’s Health Initiative; D.C. Vending Company; Dana A. Brown, Women’s Exercise Research Center, George Washington University, Washington, DC; Darrell L. Jackson, Food Services Manager, The Wash­ ington Court Hotel; David Hrupsa of First State Aerial Applicators, Felton, DE; Delaware Electric Cooperative; Department of Anthropology, Howard University; Department of Marine Sciences, University of Delaware, Lewes, DE; Dixon Pest Control Service; Dorrie Smith & Gerald Reese, Grace Davison, Technical Services Department; Dr. David Hawthorne, De­ partment of Entomology, University of Maryland; Dr. Gary Felton, Agricultural Engineering Department, University of Maryland; Dr. Larry Brown of Dupont Circle Chiropractic; Dulles Airport; Easter Seal Rehabilitation Center—Georgetown, DE; Ecologist and Wetland Specialist Evelyn Maurmeyer, Lewes, DE; EKG Technician Dorothy Baskin, Children’s National Medical Center; Fannie Mae Computer Department, Washington, DC; Father Everett Pearson of Holy Name School, Wash­ ington, DC; Federal Express; Ferris, Baker, Watts, Inc.; Fire Department Dispatchers, D.C. Government; Fitzgerald Pontiac; Gail Schneider, Volunteers for the Visually Handicapped; George Meany Labor Studies Center, Silver Spring, MD; George Washington University Health Library; George Washington University Hospital and Ambulatory Care Center; Giant Super­ market, Silver Spring, MD; Glenn Maurer and Associates; Hank Prensky, Weichert Realtors; Harrah’s Entertainment, Inc., Las Vegas, NV; Henlopen Electronics, Lewes, DE; Herb Gordon Dodge; Holland Jewelers, Inc. of Rehoboth Beach, DE; Information Technology Department of the American Federation of Teachers, AFL-CIO; Institute of Textile Technology, Charlottesburg, VA; Iona House, Washington, DC; J. Ross Harris, Jr., P.E. of Environmental Consultants International Cor­ poration, Rehoboth Beach, DE; James River Corporation, Clatskamie, OR; Jason Floyd, Nuclear Engineer, University of Maryland; Jeffrey L. Ward, Administrative Clerk, District Court of Maryland, District #6; John Edghill of Ikon Office Solu­ tions; Jordana Romeroy, Curator, National Museum of Women in the Arts; June Linowitz, Artist; Kane County Cougars; Kathryn Morgan Lightcap, D.P.M. of Lewes, DE; Kop-Flex, Inc., Baltimore, MD; Legal Services of Washington, DC; Legg, Mason, Wood, Walker, Inc.; Leslie Brown, Johns Hopkins School of Medicine; Little Angels Day Care Center and Learning Center, Inc., Lewes, DE; Litton Industries, College Park, MD; Marilyn Goldman, Horizons Unlimited; Martha Tabor, Work­ ing Images Prints, Photographs, and Sculpture, Washington, DC; Maryland Semiconductor, Inc.; Mathematics Department, University of Maryland; McAllister Towing of Baltimore, MD; McCutcheon’s Apple Products, Inc.; Melvin M. Shapiro of Capitol Process Services; Midway Slots in Harrington, DE; Monilsen Animal Clinic, Madison Heights, VA; Montgomery County Jail, Montgomery County, MD; Mt. Ranier Police Department; National Weather Services, Camp Springs, MD; National Zoo—Smithsonian; Office of Personnel Management, U.S. Government; Patricia Horman, American Arbitration Association; Paulette Moss Washington, Travel the World; Pierre L. Palian, D.D.S., and staff -Heidi Bradshaw, Leslie Felix, and Josefa Duran; Political Science Department of American University; Port of Seattle; Proctor S. Harvey, American Soci­ ety of Landscape Architects, Lynchburg, VA; Professor Michael Harris, Chemical Engineering Department, University of Maryland; Public Production Group of Washington, DC; Rabbi Avis Miller; Rapp Funeral and Cremation Services; Rev. Ruth Hamilton of Westminster Presbyterian Church, Washington, DC; Riggs National Bank of Washington, DC; Robbie Murray, Connie Rogers, Brandon Donaway of the Sussex County Emergency Medical Services (Delaware); Robert Schwartz and Keith Peoples, Architects; Rock Terrace High School, Montgomery County, MD; Roush & Averill, Interior Designers, Gaithersburg, MD; San Francisco Mime Troupe; Sandy Springs Friends School, Sandy Springs, MD; Seaport Transportation of Rehoboth Beach, DE; Shawn Mead, International Union of Bricklayers and Allied Craft Workers; Sheraton Washington Hotel, Washington, DC; Silver Spring Library of Montgomery County, MD; Southern State Grain Elevator, Lothian, MD; Staff at the Days Inn, Keene, NH; State Farm Insurance Company; Strasburger & Siegel, Inc., Hanover, MD; Superior Court, Sussex County, Georgetown, DE; Surgery Department, Children’s National Medical Center; Sussex County (Delaware) Engineering Department; Sussex County (Delaware) Finance Department; The Segal Company, Washington, DC; The Wash­ ington Times; The Wilmer Eye Institute of the Johns Hopkins University Hospital; Thrifty Rental Car, Mt. Ranier, MD; Town of Rehoboth Beach, DE—Water Treatment Plant; U.S. Probation Officer Robin T. Hillen; Urban Institute of Washington, DC; USDA Graduate School; Violin House of Weaver, Bethesda, MD; Walter Reed Army Medical Hospital, Washington, DC; Washington Home, Washington, DC; Washington Metropolitan Area Transit Authority; Wendy Semey, Materials Engi­ neer, University of Maryland; WETA Television and Radio; William G. Grimm ofAvorex Designs; William McGuire, Beltsville Agricultural Research Station; William Strein, Associate Professor and Co-Director of School Psychology Program, Univer­ sity of Maryland; Woodley House, Washington, DC; Workers Institute for Health and Safety, Washington, DC.  https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  viii  Contents Surveyors, cartographers, photogrammetrists, and surveying technicians...............................................................................  Special Features Tomorrow’s Jobs....................................................... Sources of Career Information................................ Finding a Job and Evaluating a Job Offer............ Occupational Information Included in the Handbook................................................................. Data for Occupations Not Studied in Detail........ Assumptions and Methods Used in Preparing Employment Projections...................................... Occupational Information Network Coverage...... Reprints....................................................................... Index.............................................................................  Drafters and engineering technicians Drafters......................................................................................... 98 Engineering technicians................................................................ 100  1 9 14  Engineers.....................................................................................103 Aerospace engineers..................................................................... 106 Agricultural engineers.................................................................. 107 Biomedical engineers................................................................... 107 Chemical engineers...................................................................... 108 Civil engineers............................................................................... 109 Computer hardware engineers..................................................... 109 Electrical and electronics engineers, except computer............. 110 Environmental engineers............................................................ Ill Industrial engineers, including health and safety.......................112 Materials engineers...................................................................... 113 Mechanical engineers................................................................... 114 Mining and geological engineers, including mining safety engineers.......................................................... 115 Nuclear engineers..........................................................................116 Petroleum engineers..................................................................... 117  19 594 607 609 617 620  Occupational Coverage Management and business and financial operations occupations Accountants and auditors........................................................... Administrative services managers.............................................. Advertising, marketing, promotions, public relations, and sales managers.................................................................. Budget analysts............................................................................ Claims adjusters, appraisers, examiners, and investigators..... Computer and information systems managers........................... Construction managers................................................................ Cost estimators............................................................................ Education administrators............................................................ Engineering and natural sciences managers.............................. Farmers, ranchers, and agricultural managers.......................... Financial analysts and personal financial advisors................... Financial managers...................................................................... Food service managers................................................................ Funeral directors.......................................................................... Human resources, training, and labor relations managers and specialists.......................................................................... Industrial production managers.................................................. Insurance underwriters................................................................ Loan counselors and officers...................................................... Lodging managers....................................................................... Management analysts.................................................................. Medical and health services managers...................................... Property, real estate, and community association managers.... Purchasing managers, buyers, and purchasing agents.............. Tax examiners, collectors, and revenue agents......................... Top executives.............................................................................  Art and design occupations Artists and related workers......................................................... 118 Designers........................................................................................120  21 24  Entertainers and performers, sports and related occupations Actors, producers, and directors.................................................. 124 Athletes, coaches, umpires, and related workers........................126 Dancers and choreographers........................................................ 129 Musicians, singers, and related workers..................................... 131  26 29 32 35 37 40 42 45 47 50 52 55 58  Media and communication-related occupations Announcers.................................................................................. 133 Broadcast and sound engineering technicians and radio operators.................................................................................. 135 News analysts, reporters, and correspondents............................137 Photographers................................................................................139 Public relations specialists.......................................................... 141 Television, video, and motion picture camera operators and editors................................................................................. 144 Writers and editors.........................................................................145  60 64 66 68 70 72 74 77 80 83 86  Community and social services occupations Clergy.............................................................................................148 Protestant ministers.................................................................. 149 Rabbis....................................................................................... 150 Roman Catholic priests............................................................151 Counselors..................................................................................... 152 Probational officers and correctional treatment specialists..... 156 Social and human service assistants............................................158 Social workers............................................................................... 160  Professional and related occupations  Computer and mathematical occupations Actuaries.........................................................................................163 Computer programmers................................................................ 166 Computer software engineers...................................................... 169  Architects, surveyors, and cartographers Architects, except landscape and naval..................................... 90 Landscape architects.................................................................... 92   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  95  tx  Dental hygienists........................................................................... 281 Diagnostic medical sonographers................................................ 282 Emergency medical technicians and paramedics.......................284 Licensed practical and licensed vocational nurses.....................287 Medical records and health information technicians................. 288 Nuclear medicine technologists................................................... 289 Occupational health and safety specialists and technicians.... 291 Opticians, dispensing.................................................................... 293 Pharmacy technicians................................................................... 295 Radiologic technologists and technicians.................................. 296 Surgical technologists................................................................... 298  Computer support specialists and systems administrators...... 171 Mathematicians.............................................................................. 174 Operations research analysts........................................................ 176 Statisticians.................................................................................... 178 Systems analysts, computer scientists, and database administrators............................................................................ 180 Education, training, library, and museum occupations Archivists, curators, and museum technicians........................... 184 Instructional coordinators............................................................. 187 Librarians........................................................................................188 Library technicians........................................................................190 Teacher assistants..........................................................................192 Teachers—adult literacy and remedial and self-enrichment education................................................................................... 194 Teachers—postsecondary............................................................. 197 Teachers—preschool, kindergarten, elementary, middle, and secondary................................................................................... 200 Teachers—special education........................................................203  Service occupations Building and grounds cleaning and maintenance occupations Building cleaning workers............................................................300 Grounds maintenance workers.....................................................302 Pest control workers......................................................................304  Legal occupations Court reporters...............................................................................206 Judges, magistrates, and other judicial workers.........................208 Lawyers.......................................................................................... 210 Paralegals and legal assistants......................................................213  Food preparation and serving related occupations Chefs, cooks, and food preparation workers.............................. 306 Food and beverage serving and related workers........................309 Healthcare support occupations Dental assistants............................................................................312 Medical assistants..........................................................................314 Medical transcriptionists.............................................................. 315 Nursing, psychiatric, and home health aides.............................. 317 Occupational therapist assistants and aides................................ 320 Pharmacy aides.............................................................................. 321 Physical therapist assistants and aides.........................................322  Life scientists Agricultural and food scientists................................................... 216 Biological and medical scientists................................................ 219 Conservation scientists and foresters..........................................222 Physical scientists Atmospheric scientists.................................................................. 225 Chemists and materials scientists................................................ 227 Environmental scientists and geoscientists................................ 230 Physicists and astronomers...........................................................233  Personal care and service occupations Animal care and service workers................................................. 324 Barbers, cosmetologists, and other personal appearance workers...................................................................................... 326 Childcare workers..........................................................................328 Flight attendants............................................................................331 Gaming services occupations.......................................................333 Personal and home care aides.......................................................335 Recreation and fitness workers.....................................................336  Science technicians..................................................................... 236 Social scientists and related occupations Economists and market and survey researchers.........................239 Psychologists.................................................................................241 Urban and regional planners.........................................................244 Social scientists, other.................................................................. 246  Protective service occupations Correctional officers..................................................................... 339 Firefighting occupations............................................................... 341 Police and detectives.....................................................................344 Private detectives and investigators............................................. 348 Security guards and gaming surveillance officers......................350  Health diagnosing and treating practitioners Chiropractors.................................................................................248 Dentists.......................................................................................... 250 Dietitians and nutritionists...........................................................252 Occupational therapists................................................................ 253 Optometrists.................................................................................. 255 Pharmacists.................................................................................... 257 Physical therapists.........................................................................259 Physician assistants...................................................................... 260 Physicians and surgeons............................................................... 262 Podiatrists...................................................................................... 264 Recreational therapists.................................................................. 266 Registered nurses...........................................................................268 Respiratory therapists................................................................... 270 Speech-language pathologists and audiologists.........................272 Veterinarians..................................................................................274  Sales and related occupations Cashiers..........................................................................................353 Counter and rental clerks.............................................................. 354 Demonstrators, product promoters, and models.........................356 Insurance sales agents................................................................... 359 Real estate brokers and sales agents............................................ 362 Retail salespersons........................................................................364 Sales engineers.............................................................................. 366 Sales representatives, wholesale and manufacturing................ 368 Sales worker supervisors.............................................................. 371 Securities, commodities, and financial servicessales agents .... 373 Travel agents.................................................................................. 376  Health technologists and technicians Cardiovascular technologists and technicians............................ 277 Clinical laboratory technologists and technicians......................279   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  x  Glaziers.......................................................................................... 457 Hazardous materials removal workers....................................... 458 Insulation workers........................................................................ 461 Painters and paperhangers........................................................... 462 Pipelayers, plumbers, pipefitters, and steamfitters.................... 464 Plasterers and stucco masons...................................................... 467 Roofers.......................................................................................... 469 Sheet metal workers.....................................................................470 Structural and reinforcing iron and metal workers.................... 472  Office and administrative support occupations Communications equipment operators........................................379 Computer operators...................................................................... 381 Data entry and information processing workers.........................383 Desktop publishers....................................................................... 384 Financial clerks..............................................................................386 Bill and account collectors...................................................... 388 Billing and posting clerks and machine operators................. 389 Bookkeeping, accounting, and auditing clerks.......................390 Gaming cage workers............................................................... 391 Payroll and timekeeping clerks................................................ 392 Procurement clerks................................................................... 393 Tellers........................................................................................ 393 Information and record clerks..................................................... 394 Brokerage clerks....................................................................... 397 Credit authorizers, checkers, and clerks................................. 398 Customer service representatives............................................399 File clerks.................................................................................. 400 Flotel, motel, and resort desk clerks........................................401 Fluman resources assistants, except payroll and timekeeping.......................................................................... 401 Interviewers...............................................................................402 Library assistants, clerical....................................................... 404 Order clerks...............................................................................405 Receptionists and information clerks..................................... 406 Reservation and transportation ticket agents and travel clerks...................................................................................... 406 Material recording, scheduling, dispatching, and distributing occupations, except postal workers...........................................407 Cargo and freight agents...........................................................410 Couriers and messengers..........................................................411 Dispatchers................................................................................412 Meter readers, utilities..............................................................413 Production, planning, and expediting clerks..........................413 Shipping, receiving, and traffic clerks.................................... 414 Stock clerks and order fillers................................................... 415 Weighers, measurers, checkers, and samplers, recordkeeping....................................................................... 413 Office and administrative support worker supervisors and managers.................................................................................... 417 Office clerks, general.................................................................... 419 Postal Service workers .................................................................420 Secretaries and administrative assistants.................................... 422  Installation, maintenance, and repair occupations Electrical and electronic equipment mechanics, installers, and repairers Computer, automated teller, and office machine repairers...... 475 Electrical and electronics installers and repairers..................... 477 Electronic home entertainment equipment installers and repairers.....................................................................................479 Radio and telecommunications equipment installers and repairers.....................................................................................481 Vehicle and mobile equipment mechanics, installers, and repairers Aircraft and avionics equipment mechanics and service technicians................................................................................ 483 Automotive body and related repairers......................................485 Automotive service technicians and mechanics........................ 487 Diesel service technicians and mechanics..................................491 Heavy vehicle and mobile equipment service technicians and mechanics..................................................................................493 Small engine mechanics.............................................................. 496 Other installation, maintenance, and repair occupations Coin, vending, and amusement machine servicers and repairers.....................................................................................499 Heating, air-conditioning, and refrigeration mechanics and installers..................................................................................... 501 Home appliance repairers.............................................................504 Industrial machinery installation, repair, and maintenance workers...................................................................................... 506 Line installers and repairers......................................................... 508 Precision instrument and equipment repairers...........................511  Production occupations Farming, fishing, and forestry occupations  Assemblers and fabricators...................................................... 514  Agricultural workers..................................................................... 426 Fishers and fishing vessel operators............................................428 Forest, conservation, and logging workers................................. 430  Food processing occupations.................................................... 516 Metal workers and plastic workers Computer control programmers and operators...........................519 Machinists ..................................................................................... 521 Machine setters, operators, and tenders—metal and plastic .... 523 Tool and die makers...................................................................... 526 Welding, soldering, and brazing workers................................... 528  Construction trades and related workers Boilermakers.................................................................................. 434 Brickmasons, blockmasons, and stonemasons...........................435 Carpenters...................................................................................... 437 Carpet, floor, and tile installers and finishers.............................439 Cement masons, concrete finishers, segmental pavers, and terrazzo workers....................................................................... 442 Construction and building inspectors..........................................444 Construction equipment operators..............................................447 Construction laborers................................................................... 449 Drywall installers, ceiling tile installers, and tapers.................. 451 Electricians.................................................................................... 452  Elevator installers and repairers.................................................. 455 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Plant and system operators Power plant operators, distributors, and dispatchers................. 530 Stationary engineers and boiler operators.................................. 531 Water and liquid waste treatment plant and system operators.................................................................................... 533 Printing occupations Bookbinders and bindery workers...............................................535  xi  Prepress technicians and workers................................................ 537 Printing machine operators...........................................................540  Transportation and material moving occupations  Textile, apparel, and furnishings occupations.......................542  Air transportation occupations Aircraft pilots and flight engineers..........................................562 Air traffic controllers................................................................ 565  Woodworkers...............................................................................546  Material moving occupations....................  Other production occupations Dental laboratory technicians.......................................................548 Inspectors, testers, sorters, samplers,and weighers....................550 Jewelers and precious stone and metal workers......................... 552 Ophthalmic laboratory technicians.............................................. 554 Painting and coating workers, except construction and maintenance...............................................................................556 Photographic process workers and processing machine operators....................................................................................558 Semiconductor processors............................................................560   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  568  Motor vehicle operators Busdrivers.................................................................................. 570 Taxi drivers and chauffeurs......................................................573 Truckdrivers and driver/sales workers.....................................576 Rail transportation occupations............................................... 579 Water transportation occupations.................  582  Job Opportunities in the Armed Forces......................586  xii   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Additional Information About the 2000-10 Projections Readers interested in more information about the projec­ tions; about the methods and assumptions that underlie them; or about details on the labor force, economic growth, or industry and occupational employment, should consult the November 2001 Monthly Labor Review, or the Winter 2001-02 Occupational Outlook Quarterly. For more information about employment change, job openings, earnings, unemployment rates, and training re­ quirements by occupation, consult Occupational Projec­ tions and Training Data, 2002-03 Edition, BLS Bulletin 2542. For occupational information from an industry perspec­ tive, including discussions of some occupations and career paths that the Occupational Outlook Handbook does not cover, consult the Career Guide to Industries, 2002-03 Edition, BLS Bulletin 2541.  Tomorrow’s Jobs Making informed career decisions requires reliable information about opportunities in the future. Opportunities result from the relationships between the population, labor force, and the de­ mand for goods and services. Population ultimately limits the size of the labor force—indi­ viduals working or looking for work—which constrains how much can be produced. Demand for various goods and services determines employment in the industries providing them. Occu­ pational employment opportunities, in turn, result from skills needed within specific industries. Opportunities for computer engineers and other computer-related occupations, for example, have surged in response to rapid growth in demand for computer services. Examining the past and projecting changes in these relation­ ships is the foundation of the Occupational Outlook Program. This chapter presents highlights of Bureau of Labor Statistics projections of the labor force and occupational and industry employment that can help guide your career plans. Sources of detailed information about the projections appear on page xiii. Population Population trends affect employment opportunities in a number of ways. Changes in population influence the demand for goods and services. For example, a growing and aging population has increased the demand for health services. Equally important, population changes produce corresponding changes in the size and demographic composition of the labor force. The C.S. population is expected to increase by 24 million over the 2000-10 period, at a slightly faster rate of growth than during the 1990-2000 period but slower than over the 1980­ 90 period (chart 1). Continued growth will mean more con­ sumers of goods and services, spurring demand for workers in a wide range of occupations and industries. The effects of population growth on various occupations will differ. The  Chart 1. Percent change in the population and labor force, 1980-90,1990-2000, and projected 2000-10 Percent change  differences are partially accounted for by the age distribution of the future population. The youth population, aged 16 to 24, will grow more rapidly than the overall population, a turn-around that began in the mid1990s. As the baby boomers continue to age, the group aged 55 to 64 will increase by 11 million persons over the 2000-10 pe­ riod—more than any other group. Those aged 35 to 44 will be the only group to decrease in size, reflecting the birth dearth following the baby boom. Minorities and immigrants will constitute a larger share of the U. S. population in 2010 than they do today. Minority groups that have grown the fastest in the recent past—Hispanics and Asians and others—are projected to continue to grow much faster than white, non-Hispanics. Labor Force Population is the single most important factor in determining the size and composition of the labor force—comprising people who are either working or looking for work. The civilian labor force is projected to increase by 17 million, or 12 percent, to 158 mil­ lion over the 2000-10 period. The U.S. workforce will become more diverse by 2010. White, non-Hispanic persons will continue to make up a de­ creasing share of the labor force, falling from 73.1 percent in 2000 to 69.2 percent in 2010 (chart 2). However, despite rela­ tively slow growth, white, non-Hispanics will have the largest numerical growth in the labor force between 2000 and 2010, reflecting the large size of this group. Hispanics, non-Hispanic blacks, and Asian and other ethnic groups are projected to ac­ count for an increasing share of the labor force by 2010, grow­ ing from 10.9 to 13.3 percent, 11.8 to 12.7 percent, and 4.7 to 6.1 percent, respectively. By 2010, for the first time Hispanics will constitute a greater share of the labor force than will blacks. Asians and others continue to have the fastest growth rates, but  Chart 2. Percent of labor force by race and ethnic origin, 2000 and projected 2010 Percent of labor force  20 r  80 r I Labor force f/7] Civilian noninstitutional population  fZ3  2010  1 *1 1 1980-90   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  1990-2000  Period  2000-10  White, non-Hispanic  Hispanic, any race  non-Hispanic  Asian and other races  Race and ethnic origin  1  2 Occupational Outlook Handbook  still are expected to remain the smallest of the four labor force groups. The numbers of men and women in the labor force will grow, but the number of men will grow at a slower rate than the num­ ber of women. The male labor force is projected to grow by 9.3 percent from 2000 to 2010, compared with 15.1 percent for women. As a result, men’s share of the labor force is expected to decrease from 53.4 to 52.1 percent, while women’s share is ex­ pected to increase from 46.6 to 47.9 percent. The youth labor force, aged 16 to 24, is expected to increase its share of the labor force to 16.5 percent by 2010, growing more rapidly than the overall labor force. The large group 25 to 54 years old, who made up 71 percent of the labor force in 2000, is proj ected to decline to 66.6 percent of the labor force by 2010. Workers 55 and older, on the other hand, are projected to in­ crease from 12.9 percent to 16.9 percent of the labor force be­ tween 2000 and 2010, due to the aging of the baby-boom generation (chart 3). Education and Training Projected job growth varies widely by education and training requirements. All seven of the education and training categories projected to have faster than average employment growth re­ quire a postsecondary vocational or academic award (chart 4). These seven categories will account for two-fifths of all employ­ ment growth over the 2000-10 period. Employment in occupations requiring at least a bachelor’s degree is expected to grow 21.6 percent and account for five out of the six fastest growing education or training categories. Two categories—jobs requiring an associate degree, projected to grow 32 percent over the 2000-10 period, faster than any other cat­ egory, and jobs requiring a postsecondary vocational award— together will grow 24.1 percent. The four categories of occupations requiring work-related training are projected to in­ crease 12.4 percent, compared with 15.2 percent for all occupa­ tions combined. Education is essential in getting a high-paying job. In fact, all but two of the 50 highest paying occupations require a college degree. Air traffic controllers and nuclear power reactor opera­  Chart 3. Percent of labor force by age group, 2000 and projected 2010 Percent of labor force  [22  yAW/AWA  https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Age group  2010  55 and over  Chart 4. Percent change in number of jobs by most significant source of education or training, projected 2000-10 Associate degree Doctoral degree Master’s degree Bachelor’s degree Work experience, plus bachelor's degree or higher First professional degree Postsecondary vocational award Short-term on-the-job training Moderate-term on-the-job training Work experience in a related occupation Long-term on-the-job training  Percent change  tors are the only occupations of the 50 highest paying that do not require a college degree. Employment Total employment is expected to increase from 146 million in 2000 to 168 million in 2010, or by 15.2 percent. The 22 million jobs that will be added by 2010 will not be evenly distributed across major industrial and occupational groups. Changes in consumer demand, technology, and many other factors will con­ tribute to the continually changing employment structure in the U.S. economy. The following two sections examine projected employment change from both industrial and occupational perspectives. The industrial profile is discussed in terms of primary wage and sal­ ary employment. Primary employment excludes secondary jobs for those who hold multiple jobs. The exception is employment in agriculture, which includes self-employed and unpaid family workers in addition to wage and salary workers. The occupational profile is viewed in terms of total employ­ ment—including primary and secondary jobs for wage and sal­ ary, self-employed, and unpaid family workers. Of the nearly 146 million jobs in the U.S. economy in 2000, wage and salary workers accounted for 134 million; self-employed workers ac­ counted for 11.5 million; and unpaid family workers accounted for about 169,000. Secondary employment accounted for 1.8 million of all jobs. Self-employed workers held 9 out of 10 secondary jobs; wage and salary workers held most of the remainder. Industry The long-term shift from goods-producing to service-producing employment is expected to continue (chart 5). Service-produc­ ing industries—including finance, insurance, and real estate; government; services; transportation, communications, and utili­ ties; and wholesale and retail trade—are expected to account for approximately 20.2 million of the 22.0 million new wage and salary jobs generated over the 2000-10 period. The services and  Tomorrow’s Jobs 3  Chart 5. Percent change in wage and salary employment, service-producing industry divisions, 1990-2000 and projected 2000-10 Percent change 40 r 1990-2000  77\ 2000-10  Services  Transportation, Wholesale communications, and retail and public utilities trade  Finance, Government insurance, and real estate  retail trade industry divisions will account for nearly three-fourths of total wage and salary job growth, a continuation of the em­ ployment growth pattern of the 1990-2000 period. Services. This is the largest and fastest growing major indus­ try group and is expected to add 13.7 million new jobs by 2010, accounting for 3 out of every 5 new jobs created in the U.S. economy. Over two-thirds of this projected job growth is con­ centrated in three sectors of services industries—business, health, and social services. Business services—including personnel supply services and computer and data processing services, among other detailed industries—will add 5.1 million jobs. The personnel supply ser­ vices industry, consisting of employment agencies and tempo­ rary staffing services, is projected to be the largest source of numerical employment growth in the economy, adding 1.9 mil­ lion new jobs. However, employment in computer and data proc­ essing services—which provides prepackaged and specialized software, data and computer systems design and management, and computer-related consulting services—is projected to grow by 86 percent between 2000 and 2010, ranking as the fastest growing industry in the economy. Health services—including home healthcare services, hospi­ tals, and offices of health practitioners—will add 2.8 million new j obs as demand for healthcare increases because of an aging popu­ lation and longer life expectancies. Social services—including child daycare and residential care services—will add 1.2 million jobs. As more women enter the labor force, demand for childcare services is expected to grow, leading to the creation of 300,000 jobs. An elderly population seeking alternatives to nursing homes and hospital care will boost employment in residential care services, which is projected to grow 63.5 percent and add 512,000 jobs by 2010. Transportation, communications, and utilities. Overall em­ ployment is expected to increase by 1.3 million jobs, or by 17.9 percent. Employment in the transportation sector is expected to increase by 20.7 percent, from 4.5 million to 5.5 million jobs. Trucking and warehousing will provide the most new jobs in Digitized fortransportation FRASER the sector, adding 407,000 jobs by 2010. Due to https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  population growth and urban sprawl, local and interurban pas­ senger transit is expected to increase 31 percent over the 2000­ 10 period, the fastest growth among all the transportation sectors. Employment in the communications sector is expected to in­ crease by 16.9 percent, adding 277,000 jobs by 2010. Half of these new jobs—139,000—will be in the telephone communica­ tions industry; however, cable and other pay television will be the fastest growing segment of the sector over the next decade, with employment expanding by 50.6 percent. Increased demand for residential and business wireline and wireless services, cable service, and high-speed Internet connections will fuel the growth in communications industries. Employment in the utilities sector is projected to increase by only 4.9 percent through 2010. Despite increased output, em­ ployment in electric services, gas production and distribution, and combination utility services is expected to decline through 2010 due to improved technology that increases worker produc­ tivity. The growth in the utilities sector will be driven by water supply and sanitary services, in which employment is expected to increase 45.1 percent by 2010. Jobs are not easily eliminated by technological gains in this industry because water treatment and waste disposal are very labor-intensive activities. Wholesale and retail trade. Employment is expected to in­ crease by 11.1 percent and 13.3 percent, respectively, growing from 7 million to 7.8 million in wholesale trade and from 23.3 million to 26.4 million in retail trade. Increases in population, personal income, and leisure time will contribute to employment growth in these industries as consumers demand more goods. With the addition of 1.5 million jobs, the eating and drinking places segment of the retail trade industry is projected to have the largest numerical increase in employment within the trade industry group. Finance, insurance, and real estate. Overall employment is expected to increase by 687,000 jobs, or 9.1 percent, by 2010. The finance sector of the industry—including depository and nondepository institutions and securities and commodity bro­ kers—will account for one-third of these jobs. Security and com­ modity brokers and dealers are expected to grow the fastest among the finance segments; the projected 20.3-percent employment increase by 2010 reflects the increased number of baby boomers in their peak savings years, the growth of tax-favorable retire­ ment plans, and the globalization of the securities markets. How­ ever, employment in depository institutions should continue to decline due to an increase in the use of Internet banking, ATM machines, and debit cards. The insurance sector—including insurance carriers and in­ surance agents and brokers—is expected to add 152,000 new jobs by 2010. The majority ofjob growth in the insurance carri­ ers segment will be attributable to medical service and health insurance, in which employment is projected to increase by 16 percent. The number of jobs with insurance agents and brokers is expected to grow about 14.3 percent by 2010, as many insur­ ance carriers downsize their sales staffs and as agents set up their own businesses. The real estate sector is expected to add the most jobs out of the three sectors, 272,000 by 2010. As the population grows, demand for housing also will grow. Government. Between 2000 and 2010, government employ­ ment, excluding public education and hospitals, is expected to increase by 6.9 percent, from 10.2 million to 10.9 million jobs. Growth in government employment will be fueled by growth at the State and local levels, in which the number of jobs will in­ crease by 12.2 and 11.2 percent, respectively, through 2010. Growth at these levels is due mainly to an increased demand for  4 Occupational Outlook Handbook  services and the shift of responsibilities from the Federal Gov­ ernment to the State and local governments. Federal Govern­ ment employment is expected to decline by 7.6 percent as the Federal Government continues to contract out many government jobs to private companies. Employment in the goods-producing industries has been rela­ tively stagnant since the early 1980s. Overall, this sector is ex­ pected to grow 6.3 percent over the 2000-10 period. Although employment is expected to increase more slowly than in the ser­ vice-producing industries, projected growth within the goodsproducing sector varies considerably (chart 6). Construction. Employment in construction is expected to increase by 12.3 percent, from 6.7 million to 7.5 million. De­ mand for new housing and an increase in road, bridge, and tun­ nel construction will account for the bulk of job growth in this industry. Agriculture, forestry, and fishing. Overall employment in agriculture, forestry, and fishing is expected to increase by 19.3 percent, from 2.2 million to 2.6 million. Three-fourths of this growth will come from veterinary services and landscape and horticultural services, which will add 96,000 and 229,000 jobs, respectively. Employment in crops, livestock, and livestock prod­ ucts is expected to continue to decline due to advancements in technology. The numbers ofjobs in forestry and in fishing, hunt­ ing, and trapping are expected to grow only 1.9 percent by 2010. Manufacturing. Rebounding from the 1990-2000 decline of 607,000 manufacturing jobs, employment in this sector is ex­ pected to grow modestly, by 3.1 percent, by 2010, adding 577,000 jobs. The projected employment growth is attributable mainly to the industries that manufacture durable goods. Durable goods manufacturing is expected to grow 5.7 percent, to 11.8 million jobs, over the next decade. Despite gains in productivity, the growing demand for computers, electronic components, motor vehicles, and communications equipment will contribute to this employment growth. Nondurable manufacturing, on the other hand, is expected to decline by less than 1 percent, shedding 64,000 jobs overall. The majority of employment declines are expected to be in apparel  Chart 6. Percent change in wage and salary employment, goods-producing industry divisions, 1990-2000 and projected 2000-10  Y7\  Construction  Agriculture, forestry, and fishing   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Manufacturing  2000-10  Mining  and other textile products and leather and leather products in­ dustries, which together are expected to shed 131,000 jobs by 2010 because of increased j ob automation and international com­ petition. On the other hand, drug manufacturing is expected to grow 23.8 percent due to an aging population and increasing life expectancies. Mining. Employment in mining is expected to decrease 10.1 percent, or by some 55,000 jobs, by 2010. The majority of the decline will come from coal mining, in which employment is expected to decrease by 30 percent. The numbers of jobs in metal mining and nonmetallic mineral mining also are expected to decline by 13.8 and 3.2 percent, respectively. Employment decreases in these industries are attributable mainly to technol­ ogy gains that boost worker productivity, growing international competition, restricted access to Federal lands, and strict envi­ ronmental regulations that require cleaning of burning fuels. Oil and gas field services is the only mining industry in which employment is projected to grow, by 3.7 percent, through 2010. Employment growth is due chiefly to the downsizing of the crude petroleum, natural gas, and gas liquids industry, which contracts out production and extraction jobs to companies in oil and gas field services. Occupation Expansion of the service-producing sector is expected to con­ tinue, creating demand for many occupations. However, projected job growth varies among major occupational groups (chart 7). Professional and related occupations. Professional and re­ lated occupations will grow the fastest and add more new jobs than any other major occupational group. Over the 2000-10 pe­ riod, a 26-percent increase in the number of professional and related jobs is projected, a gain of 6.9 million. Professional and related workers perfonn a wide variety of duties, and are em­ ployed throughout private industry and government. Nearly threequarters of the job growth will come from three groups of professional occupations—computer and mathematical occupa­ tions, healthcare practitioners and technical occupations, and education, training, and library occupations—which will add 5.2 million jobs combined. Service occupations. Service workers perform services for the public. Employment in service occupations is projected to increase by 5.1 million, or 19.5 percent, the second largest nu­ merical gain and second highest rate of growth among the major occupational groups. Food preparation and serving related oc­ cupations are expected to add the most jobs among the service occupations, 1.6 million by 2010. However, healthcare support occupations are expected to grow the fastest, 33.4 percent, add­ ing 1.1 million new jobs. Transportation and material moving occupations. Transpor­ tation and material moving workers transport and transfer people and materials by land, sea, or air. These occupations should grow 15.2 percent and add 1.5 million jobs by 2010. Among trans­ portation occupations, motor vehicle operators will add the most jobs, 745,000. Rail transportation occupations are the only group in which employment is projected to decline, by 18.6 percent, through 2010. Material moving occupations will grow 14 per­ cent and will add 681,000 jobs. Management, business, and financial occupations. Workers in management, business, and financial occupations plan and di­ rect the activities of business, government, and other organiza­ tions. Employment is expected to increase by 2.1 million, or 13.6 percent, by 2010. Among managers, the numbers of computer and information systems managers and of public relations man­ agers will grow the fastest, by 47.9 and 36.3 percent, respectively.  Tomorrow’s Jobs 5  Chart 7. Percent change in total employment by major occupational group, projected 2000-10 Professional and related  Service Transportation and material moving Management, business, and financial Construction and extraction Sales and related Installation, maintenance, and repair Office and administrative support Production Farming, fishing, and forestry  10  15  20  30  Percent change  . . fnt °Peratlons managers will add the most new jobs, 363.000 by 2010. Agricultural managers and purchasing man­ agers are the only workers in this group whose numbers are ex­ pected to decline, losing 325,000 jobs combined. Among business and financial occupations, accountants and auditors and management analysts will add the most jobs, 326,000 combined. Management analysts also will be one of the fastest growing oc­ cupations in this group, along with personal financial advisors, with job increases of 28.9 and 34 percent, respectively. Construction and extraction occupations. Construction and extraction workers construct new residential and commercial buildings, and also work in mines, quarries, and oil and gas fields. Employment of these workers is expected to grow 13.3 percent, adding 989,000 new jobs. Construction trades and related workers will account for the majority of these newjobs, 862.000 by 2010. Most extraction jobs will decline, reflecting overall employment losses in the mining and oil and gas extrac­ tion industries. Sales and related occupations. Sales and related workers transfer goods and services among businesses and consumers. Sales and related occupations are expected to add 1.9 million newjobs by 2010, growing by 11.9 percent. The majority of these jobs will be among retail salespersons and cashiers, occu­ pations that will add almost 1 million jobs combined. Installation, maintenance, and repair occupations. Workers in installation, maintenance, and repair occupations install new equipment and maintain and repair older equipment. These oc­ cupations will add 662,000 jobs by 2010, growing by 11.4 per­ cent. Automotive service technicians and general maintenance and repair workers will account for 3 in 10 new installation, maintenance, and repair jobs. The fastest growth rate will be among telecommunications line installers and repairers, an oc­ cupation that is expected to grow 27.6 percent over the 2000-10 period.  Office and administrative support occupations. Office and administrative support workers perform the day-to-day activi­ ties of the office, such as preparing and filing documents, deal­  ing with the public, and distributing information. Employment https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  in these occupations is expected to grow by 9.1 percent, adding 2.2 million new jobs by 2010. Customer service representatives will add the most new jobs, 631,000. Desktop publishers will be among the fastest growing occupations, growing 66.7 percent over the decade. Order clerks, tellers, and insurance claims and policy processing clerks will be among the jobs with the largest employment losses. Production occupations. Production workers are employed mainly in manufacturing, assembling goods and operating plants. Production occupations will grow 5.8 percent and add 750,000 jobs by 2010. Metal and plastics workers and assemblers and fabricators will add the most production jobs, 249,000 and 171,000, respectively. Textile, apparel, and furnishings occupa­ tions will account for much of the job losses among production occupations. Farming, fishing, and forestry occupations. Farming, fish­ ing, and forestry workers cultivate plants, breed and raise live­ stock, and catch animals. These occupations will have the slowest job growth among the major occupational groups, 5.3 percent, adding 74,000 newjobs by 2010. Farmworkers account for nearly 3 out of 4 new jobs in this group. The numbers of both fishing and logging workers are expected to decline, by 12.2 and 3.5 percent, respectively. Computer occupations are expected to grow the fastest over the projection period (chart 8). In fact, these jobs account for 8 out of the 20 fastest growing occupations in the economy. In addition to high growth rates, these eight occupations combined  Chart 8. Percent change in employment in occupations projected to grow fastest, 2000-10 Computer software engineers, applications Computer support specialists Computer software engineers, systems software Network and computer systems administrators Network systems and data communications analysts Desktop publishers Database administrators Personal and home care aides Computer systems analysts Medical assistants Social and human service assistants Physician assistants Medical records and health information technicians Computer and information systems managers Home health aides Physical therapist aides Occupational therapist aides Physical therapist assistants Audiologists Fitness trainers and aerobics instructors  15  30  45  60  Percent change  75  90  6 Occupational Outlook Handbook  will add more than 1.9 million new jobs to the economy. Health occupations comprise most of the remaining fastest growing oc­ cupations. High growth rates among computer and health occu­ pations reflect projected faster-than-average growth in the computer and data processing and health services industries. The 20 occupations listed in chart 9 will account for over one-third of all new jobs, 8 million combined, over the 2000-10 period. The occupations with the largest numerical increases cover a wider range of occupational categories than those occu­ pations with the fastest growth rates. Computer and health occu­ pations will account for some of these increases in employment, as well as occupations in education, sales, transportation, office and administrative support, and food service. Many of these occupations are very large, and will create more new jobs than those with high growth rates. Only 4 out of the 20 fastest grow­ ing occupations—computer software engineers, applications; computer software engineers, systems software; computer sup­ port specialists; and home health aides—also are projected to be among the 20 occupations with the largest numerical increases in employment. Table 1 lists occupations projected to grow the fastest and to generate the largest numbers of new jobs over the 2000-10 pe­ riod, by level of education or training required. Declining occupational employment stems from declining industry employment, technological advancements, changes in  business practices, and other factors. For example, increased productivity and farm consolidations are expected to result in a decline of 328,000 farmers over the 2000-10 period (chart 10). The majority of the 20 occupations with the largest numerical decreases are office and administrative support and production occupations, which are affected by increasing automation and the implementation of office technology that reduces the needs for these workers. For example, the increased use of ATM ma­ chines and Internet banking will reduce the number of tellers.  Total Job Openings  Job openings stem from both employment growth and replace­ ment needs (chart 11). Replacement needs arise as workers leave occupations. Some transfer to other occupations while others retire, return to school, or quit to assume household responsibili­ ties. Replacement needs are projected to account for 60 percent of the approximately 58 million job openings between 2000 and 2010. Thus, even occupations with little or no change in em­ ployment still may offer many job openings. Professional and related occupations are projected to grow faster and add more jobs than any other major occupational group, with 7 million new jobs by 2010. Three-fourths of this job growth is expected among computer and mathematical occupations; healthcare practitioners and technical occupations; and educa­ tion, training, and library occupations. With 5.2 million job open-  Chart 10. Job declines in occupations with the largest numerical decreases in employment, projected 2000-10  Chart 9. Job increases in occupations with the largest numerical increases in employment, projected 2000-10  Farmers and ranchers  Combined food preparation and serving workers, including fast food  Cleaners and servants, private household  Customer service representatives Order clerks Registered nurses Tellers Retail salespersons  Insurance claims and policy processing clerks  Computer support specialists  Word processors and typists Cashiers, except gaming Sewing machine operators Office clerks, general Dishwashers Security guards Switchboard operators, including answering service  Computer software engineers, applications  Loan interviewers and clerks  Waiters and waitresses  Computer operators  General and operations managers  Dining room and cafeteria attendants and bartender helpers  Truckdrivers, heavy and tractor-trailer  Electrical and electronic equipment assemblers  Nursing aides, orderlies, and attendants  Machine feeders and offbearers  Janitors and cleaners, except maids and housekeeping cleaners  Telephone operators  Postsecondary teachers  Secretaries, except legal, medical, and executive  Teacher assistants  Prepress technicians and workers  Home health aides Laborers and freight, stock, and material movers, hand  Office machine operators, except computer Cutting, punching, and press machine setters, operators, and tenders, metal and plastic  Computer software engineers, systems software  Postal Service mail sorters, processors, and processing machine operators  Landscaping and groundskeeping workers   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  100  200  300  400  Thousands  500  600  700  -300 -250 -200 -150 -100 -50  Thousands  Tomorrow’s Jobs 7  Chart 11. Number of job openings due to growth and replacement needs by major occupational group, projected 2000-10  Chart 12. Number of job openings due to growth and replacement needs by most significant source of education or training, projected 2000-10 Short-term on-the-job training  s-ice )I^^^V///////////////A Office and administrative support Sales and related  7V77//////////////A  Moderate-term on-the-job training  Professional and related  Bachelor’s degree  W////////A &///////A  Long-term on-the-job training Work experience in a related occupation  Management, business, and financial  Postsecondary vocational award  Transportation and material moving  Work experience, plus bachelor's degree or higher  Production Associate degree Construction and extraction Doctoral degree Installation, maintenance, and repair  WM Growth  Growth  I/A Replacement needs  Farming, fishing, and forestry  \//\ Replacement needs  Master’s degree  6 8 Millions  10  12  14  ings due to replacement needs, professional and related occupa­ tions are the only major group projected to generate more open­ ings from job growth than from replacement needs. Due to high replacement needs, service occupations are pro­ jected to have the largest number of total job openings, 13.5 million. A large number of replacements are expected to arise as young workers leave food preparation and service occupa­ tions. Replacement needs generally are greatest in the largest occupations and in those with relatively low pay or limited train­ ing requirements. Office automation will significantly affect many individual office and administrative support occupations. Overall, these occupations are projected to grow more slowly than the average, while some are projected to decline. Office and administrative support occupations are projected to create 7.7 million job open­ ings over the 2000-10 period, ranking third behind service and professional and related occupations. Agriculture, forestry, and fishing occupations are projected to have the fewest job openings, approximately 500,000. Be­ cause job growth is expected to be slow, and levels of retirement and job turnover high, more than 80 percent of these projected   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  First professional degree  10  15  Millions  job openings are due to replacement needs. Employment in occupations requiring an associate degree is projected to increase 32 percent, faster than any other occupa­ tional group categorized by education or training. However, this category ranks only eighth among the 11 education and training categories in terms of job openings. The largest number of job openings will be among occupations requiring short-term onthe-job training (chart 12). Almost two-thirds ofthe projectedjob openings over the 2000­ 10 period will be in occupations that require on-the-job training, and arise mostly from replacement needs. These jobs will ac­ count for 37.3 million of the projected 57.9 million total job openings through 2010. However, many of these jobs typically offer low pay and benefits; this is more true of jobs requiring only short-term on-the-job training, which will account for 24.8 million openings, than of the occupations in any other education or training category. Jobs requiring a bachelor’s degree, and which usually offer higher pay and benefits, will account for about 7.3 million job openings through 2010. Most of these openings will result from job growth.  8 Occupational Outlook Handbook  Table 1. Fastest growing occupations and occupations projected to have the largest numerical increases in employment between 2000 and 2010, by level of education or training Education/training  Fastest growing occupations  Occupations having the largest numerical  First-professional degree Lawyers Physicians and surgeons Pharmacists Clergy Veterinarians  Veterinarians Pharmacists Chiropractors Optometrists Lawyers Doctoral degree  Postsecondary teachers Biological scientists Computer and information scientists, research Medical scientists Astronomers and physicists_________________  Computer and information scientists, research Medical scientists Postsecondary teachers Biological scientists Astronomers and physicists________________ Master’s degree Audiologists Speech-language pathologists Mental health and substance abuse social workers Substance abuse and behavioral disorder counselors Physical therapists____________________________ _ Bachelor’s or higher degree, plus work Computer and information systems managers Public relations managers Advertising and promotions managers Sales managers Medical and health services managers _____ Bachelor’s degree Computer software engineers, applications Computer software engineers, systems software Network and computer systems administrators Network systems and data communications analysts Database administrators _________  Educational, vocational, and school counselors Physical therapists Speech-language pathologists Psychologists Mental health and substance abuse social workers experience General and operations managers Computer and information systems managers Management analysts Financial managers Sales managers_________________________ Computer software engineers, applications Computer software engineers, systems software Computer systems analysts Elementary schoolteachers, except special education Network and computer systems administrators______  Associate degree Registered nurses Computer support specialists Medical records and health information technicians Paralegals and legal assistants Dental hygienists_________________________ __  Computer support specialists Medical records and health information technicians Physical therapist assistants Occupational therapist assistants Veterinary technologists and technicians__________ Desktop publishers Fitness trainers and aerobics instructors Surgical technologists Respiratory therapy technicians Gaming dealers ____________________  Postsecondary vocational award Automotive service technicians and mechanics Licensed practical and licensed vocational nurses Welders, cutters, solderers, and brazers Hairdressers, hairstylists, and cosmetologists Fitness trainers and aerobics instructors  Work experience in a related occupation First-line supervisors/managers of correctional officers First-line supervisors/managers of retail sales workers Aircraft cargo handline sunervisors First-line supervisors/managers of construction trades and extraction workers First-line supervisors/managers of protective service workers, First-line supervisors/managers of office and administrative support workers except police, fire, and corrections First-line supervisors/managers of food preparation and serving workers Private detectives and investigators First-line supervisors/managers of mechanics, installers, and repairers Transportation, storage, and distribution managers________________________________________________________ Long-term on-the-job training (more than 12 months) Telecommunications line installers and repairers Cooks, restaurant Actors Police and sheriff’s patrol officers Recreational vehicle service technicians Electricians Interpreters and translators Carpenters Maintenance and repair workers, general Police and sheriff’s patrol officers ____________________________________ _ Moderate-term on-the-job training (1 to 12 months) Customer service representatives Medical assistants Truckdrivers, heavy and tractor-trailer Social and human service assistants Medical assistants Dental assistants Executive secretaries and administrative assistants Pharmacy technicians Social and human service assistants Ambulance drivers and attendants, except emergency medical technicians Personal and home care aides  Short-term on-the-job training (0 to 1 months) Combined food preparation and serving workers, including fast food  Home health aides Physical therapist aides Occupational therapist aides Veterinary assistants and laboratory animal caretakersSecurity guards   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Retal! salespersons Cashiers, except gaming Office clerks, general ___________________________  Sources of Career Information This section identifies sources of information about career plan­ ning, counseling, training, education, and financial aid. Hand­ book statements also include a section on sources of additional information, which lists organizations that can be contacted for more information about particular occupations including, in some cases, the required training and education.  Career information Listed below are several places to begin collecting information on careers and job opportunities.  Personal contacts. The people close to you—your family and friends—can be extremely helpful in providing career informa­ tion. They may be able to answer your questions directly or put you in touch with someone else who can. Networking can lead to meeting someone who can answer your questions about a spe­ cific career or company and provide inside information and other helpful hints. It is an effective way to learn the type of training necessary for a certain position, how someone in that position entered the field, the prospects for advancement, and what they like and dislike about the work.  •  Counseling services offered by community organizations  •  Private counseling agencies and private practices  •  State employment service offices  Before employing the services of a private counselor or agency, you may want to seek recommendations and check their creden­ tials. The International Association of Counseling Services (IACS) accredits counseling services throughout the country. To receive a listing of accredited services for your region, send a self-addressed, stamped, business-size envelope to: > IACS, 101 South Whiting St., Suite 211, Alexandria, VA 22304. Phone: (703) 823-9800. Internet: http://www.iacsinc.org  The Directory of Counseling Services, an IACS publication providing employment counseling and other assistance, may be available in your library or school career counseling center. A list of certified career counselors by city or State is available from: >• National Board of Certified Counselors, 3 Terrace Way, Suite D, Greensboro, NC 27403-3660. Phone: (336) 547-0607. Internet: http://www.nbcc.org  Public libraries, career centers, and guidance offices. These institutions maintain a great deal of up-to-date material. To begin your library search, look at the computer listings under “vocations” or “careers” and then under specific fields. Check the periodicals section, where trade and professional magazines and journals about specific occupations and industries are located. Become familiar with the concerns and activities of potential employers by skimming their annual reports and other public documents. Occupational information on video cassettes and computerized information systems or the Internet can be valuable. Don’t forget the librarians; they can be a great source and can save you valuable time by directing you to relevant information. Check your school’s career centers for resources such as indi­ vidual counseling and testing, guest speakers, field trips, books, career magazines, and career days. Always assess career guidance materials carefully. The in­ formation should be current and objective. Beware of materials that seem to glamourize the occupation, overstate the earnings, or exaggerate the demand for workers.  Counselors. These professionals are trained to help you dis­ cover your strengths and weaknesses, evaluate your goals and values, and help you determine what you would like in a career. Counselors will not tell you what to do. However, they may administer interest inventories and aptitude tests, interpret the results, and help you explore various options. Counselors also may discuss local job markets and the entry requirements and costs of schools, colleges, or training programs. Counselors are found in: • • •  High school guidance offices College career planning and placement offices Placement offices in private vocational or technical schools and institutions  •  Vocational rehabilitation agencies   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Internet networks and resources. The growth of online listings has made countless resources instantly available at any time. Most companies, professional societies, academic institutions, and government agencies maintain Internet sites that highlight the organization’s latest information and activities. Listings may include information such as government docu­ ments, schedules of events, and job openings. Corporate and government websites often provide job application information, including links for submitting resumes. Listings for academic institutions often provide links to career counseling and place­ ment services through career resource centers, as well as infor­ mation on financing your education. Colleges and universities also offer online guides to campus facilities and admission requirements and procedures. The variety of career information available through the Internet provide much of the same information available through libraries, career centers, and guidance offices. However, no single network or resource will contain all desired information, so be prepared to search a variety of places. As in a library search, look through various lists by field or discipline, or by using keywords. Career sites can be an excellent place to obtain information about job opportunities. They provide a forum for employers to list job openings and for individuals to post their resumes. Some Internet sites also may provide an opportunity to research a par­ ticular industry or company. America’s Career InfoNet provides ideal information for any­ one exploring different careers. It provides data on employment growth and wages by occupation; the knowledge, skills, and abili­ ties requied by an occupation; and links to employers. Internet: http://www.acinet.org/acinet. America’s Job Bank (AJB), administered by the U.S. Depart­ ment of Labor, lists more than 1 million job openings on any given day. These job openings are compiled by State employ­ ment service offices throughout the Nation. AJB is accessible at: http://www.ajb.dni.us. 9  10 Occupational Outlook Handbook  Professional societies, trade associations, labor unions, busi­ ness firms, and educational institutions. These organizations provide a variety of free or inexpensive career material. Many of these are listed in the sources of additional information sec­ tion at the end of individual Handbook statements. For informa­ tion on occupations not covered in the Handbook, consult directories in your library’s reference section for the names of potential sources. You may start with The Guide to American Directories or The Directory ofDirectories. Another useful re­ source is The Encyclopedia ofAssociations, an annual publica­ tion listing trade associations, professional societies, labor unions, and fraternal and patriotic organizations. The National Technical Information Service Audiovisual Center, a central source for audiovisual material produced by the U.S. Government, sells material on jobs and careers. For a catalog, contact: >■ NTIS Audiovisual Center, Springfield, VA 22161. Phone: (800) 553-6847. Internet: http://www.ntis.gov/nac  Federal Government Information on employment with the Fed­ eral Government is available from the Office of Personnel Man­ agement (OPM) through a telephone-based system. Consult your telephone directory under U.S. Government for a local number or call (912) 757-3000; Federal Relay Service: (800) 877-8339. The first number is not tollfree, and charges may result. Information also is available from the OPM Internet site:  http://www.usajobs.opm.gov Organizations for specific groups. The organizations listed below provide information on career planning, training, or job opportunities prepared for specific groups. Consult directories in your library’s reference center or a career guidance office for information on additional organizations associated with specific groups.  Disabled workers:  Counseling, training, and placement services for those with dis­ abilities is available from: >■ National Business and Disability Council, 2011.U. Willets Rd., Albertson, NY 11507. Phone:(516)465-1515. Internet: http://www.business-disability.com  Blind workers:  Infonnation on the free national reference and referral service for the blind can be obtained by contacting: >- National Federation of the Blind, Job Opportunities for the Blind (JOB), 1800 Johnson St., Baltimore, MD 21230. Phone:(410)659-9314. Internet: http://www.nfb.org  Older workers: ► National Council on the Aging, 409 3rd St. SW., Suite 200, Washington, DC 20024. Phone:(202)479-1200. Internet: http://www.ncoa.org >- National Caucus and Center on Black Aged, Inc., Senior Employment Pro­ grams, 1220 L St. NW., Suite 800, Washington, DC 20005. Phone: (202) 637-8400. Fax: (202) 347-0895. Internet: http://www.ncba-aged.org ► Asociacion Nacional por Personas Mayores (National Association for His­ panic Elderly), 234 East Colorado Blvd., Suite 300, Pasadena, CA 91101.  Phone: (626) 564-1988. E-mail: anppm@aol.com  https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Veterans: Contact the nearest regional office of the U.S. Department of Labor Veterans’ Employment and Training Service or: >- Veterans’ Employment and Training Service (VETS), 200 Constitution Ave. NW., Room S-1316, Washington, DC 20210. Phone: (202) 693-4738. Internet: http://umet-vets.dol.gov  Women: ► Department of Labor, Women’s Bureau Clearinghouse, 200 Constitution Ave. NW., Washington, DC 20210. Phone: (800) 827-5335. Internet: http://www.dol.gov/dol/wb >■ Wider Opportunities for Women, 815 15th St. NW., Suite 916, Washington, DC 20005. Phone: (202) 638-3143. Internet: http://www.wowonline.org  Federal laws, executive orders, and selected Federal grant programs bar discrimination in employment based on race, color, religion, sex, national origin, age, and handicap. Information on how to file a charge of discrimination is available from U.S. Equal Employment Opportunity Commission offices around the country. Their addresses and telephone numbers are listed in telephone directories under U.S. Government, EEOC. Internet: http://www.eeoc.gov  Education and training information Colleges, schools, and training institutes readily reply to requests for information about their programs. When contacting these institutions, you may want to keep in mind the following items: •  Admission requirements  • •  Courses offered Certificates or degrees awarded  • • •  Cost Available financial aid Location and size of school  •  Placement rate of graduates  Check with professional and trade associations for lists of schools that offer career preparation in a field in which you are interested. High school guidance offices and libraries usually have copies of the directories listed below, as well as college cata­ logs that can provide more information on specific institutions. America’s Learning Exchange, a Department of Labor website, is a valuable resource for anyone searching for specific training courses. It provides a searchable database that includes more than 6,000 training providers, offering more that 350,000 pro­ grams, seminars, and courses. Internet: http://www.alx.org The Department of Education’s IPEDS (Integrated Postsecondary Education Data System) program has an interac­ tive school search system. You can search for any postsecondary school, focusing your search for a school based upon many fac­ tors: number of students, type of school (two-year colleges, fouryear colleges, trade schools), public or privately funded institutions, instructional programs and fields of study (majors), accreditation, and geographic location. Once you’ve narrowed your choices, the site provides more detailed infonnation on spe­ cific schools, including contact information. There also are links to helpful sites. Internet: http://nces.ed.gov/ipeds/cool/index.asp The Directory ofPrivate Career Schools and Colleges ofTech­ nology, put out by the Accrediting Commission of Career Schools and Colleges of Technology, is a helpful resource. Be sure to  Sources of Career Information 11  use the latest edition because these directories and catalogs are revised periodically. Information about home or correspondence study programs appears in the Directory ofAccredited Institutions. Send requests for the Directory and a list of other publications to: >- Distance Education and Training Council, 1601 18th St. NW., Washington, DC 20009-2529. Phone:(202) 234-5100. Internet: http://www.detc.org  ► Phone: (800) 433-3243. Internet: http://www.collegeispossible.org  The Armed Forces have several educational assistance pro­ grams. These include the Reserve Officers’ Training Corps (ROTC), the new G.I. bill, and tuition assistance. Information can be obtained from military recruiting centers, located in most cities. >■ Internet: http://www.defenselink.mil/other_info/careers.html  Information about apprenticeships is available from local la­ bor unions, school guidance counselors, and State employment offices or from: >■ Apprenticeship Training, Employer and Labor Services, U.S. Department of Labor, 200 Constitution Ave. NW., Washington, DC 20210. Phone: (202) 693-3812. Internet: http://www.doleta.gov/individ/apprent.asp  Completing an internship is an excellent way for students and others to learn about an occupation and to make valuable con­ tacts. Many employers offer internships that provide short-term or part-time job experience that can lead to a permanent posi­ tion. Contact your school’s career guidance center or employers directly regarding internship opportunities.  Financial aid information Information about financial aid is available from a variety of sources. Contact your high school guidance counselor and col­ lege financial aid officer for information concerning qualifica­ tions and applications for scholarships, fellowships, grants, loans, and work-study programs. Every State administers financial aid programs; contact State Departments of Education for informa­ tion. Banks and credit unions will provide information about student loans. You also may want to consult the directories and guides available in guidance offices and public libraries for sources of student financial aid. The Federal Government provides grants, loans, work-study programs, and other benefits to students. Information about pro­ grams administered by the U.S. Department of Education is pre­ sented in The Student Guide to Federal Financial Aid Programs, updated annually. To receive a copy, write to: ► Federal Student Aid Information Center, c/o Federal Student Aid Programs, P.O.Box84,Washington,DC20044-0084. Phone:(800)433-3243. Internet: http://www.ed.gov/offices/OSFAP/Students  The U.S. Department of Health and Human Services offers student loan, scholarship, and faculty loan repayment programs. For information, contact: >- HRSA, Bureau of Health Professions, Division of Student Assistance, Parklawn Bldg., Room 8-34, 5600 Fishers Lane, Rockville, MD 20857. Phone: (888) 275-4772. Internet: http://www.bhpr.hrsa.gov/dsa/index.htm  Copies of The Student Guide, a guide to financial aid, are available from the U.S. Department of Education, Federal Stu­ dent Aid Information Center. >- Phone: (800) 433-3243. Internet: http://www.ed.gov/prog_info/SFA/StudentGuide  College is Possible—a resource guide prepared by the Coali­ tion of America’s Colleges and Universities and the U.S. De­ partment of Education—lists books, pamphlets, and Internet sites to help students prepare for, choose, and pay for college. It in­ cludes information on scholarships and is available in English Digitized for Spanish. FRASER and https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  State and local information The Handbook provides information for the Nation as a whole. State or local area information is available from: State employment security agencies. These agencies develop detailed information about local labor markets, such as current and projected employment by occupation and industry, charac­ teristics of the work force, and changes in State and local area economic activity. Listed below are the Internet addresses of these agencies and addresses and telephone numbers of the di­ rectors of research and analysis in these agencies. Most States have career information delivery systems (CIDS). Look for these systems in secondary schools, postsecondaiy in­ stitutions, libraries, job training sites, vocational rehabilitation centers, and employment service offices. The public can use the systems’ computers, printed material, microfiche, and toll free hotlines to obtain information on occupations, educational op­ portunities, student financial aid, apprenticeships, and military careers. Ask counselors for specific locations. State occupational projections also are available on the Internet: http://www.dws.state.ut.us/bls Alabama Chief, Labor Market Information, Alabama Department of Industrial Relations, 649 Monroe St., Room 422, Montgomery, AL 36130. Phone: (334) 242-8800. Internet: http://www.dir.state.al.us/lmi Alaska Chief, Research and Analysis, Alaska Department of Labor and Workforce Development, P.O. Box 25501, Juneau, AK 99802-5501. Phone: (907) 465­ 4500. Internet: http://www.labor.state.ak.us Arizona Research Administrator, Arizona Department of Economic Security, Site Code 733A, P.O. Box 6123, Phoenix, AZ 85005. Phone:(602) 542-3871. Internet: http://www.de.state.az.us/links/economic/webpage/page6.html Arkansas Robert Mantione, LMI Director, Arkansas Employment Security Department, P.O. Box 2981, Little Rock, AR 72203-2981. Phone: (501) 682-3159. Internet: http://www.state.ar.us/esd California Chief, Labor Market Information Division, California Employment Develop­ ment Department, P.O. Box 826880, MIC 57, Sacramento, CA 94280-0001. Phone: (916) 262-2160. Internet: http://www.calmis.cahwnet.gov Colorado Colorado Department of Labor and Employment, Labor Market Information, 1515 Arapahoe St., Tower 2, Suite 400, Denver, CO 80202-2117. Phone: (303) 318-8850. Internet: http://lmi.cdle.state.co.us Connecticut Director, Office of Research and Information, Connecticut Labor Department, 200 Folly Brook Blvd., Wethersfield, CT 06109-1114. Phone: (860) 263-6255. Internet: http ://www.ctdoI.state.ct.us/Imi/index.htm Delaware Office of Occupational and Labor Market Information, Delaware Department of Labor, P.O. Box 9965., Wilmington, DE 19809-0965. Phone: (302) 761­ 8060. Internet: http://www.oolmi.net  12 Occupational Outlook Handbook District of Columbia Chief of Labor Market Information, District of Columbia Department of Em­ ployment Services, 500 C St. NW„ Room 201, Washington, DC 20001. Phone: (202) 724-7213. Internet: http://does.dc.gov/info/labor_mkt.shtm  Michigan Director, Office of Labor Market Information, Department of Career Develop­ ment, Employment Service Agency, 7310 Woodward Ave., Room 520, Detroit, MI 48202. Phone: (313) 872-0990. Internet: http://www.michlmi.org  Florida Agency for Workforce Innovation, Labor Market Statistics, Commerce Indus­ trial Center Building B, 367 Marpan Lane, Tallahassee, FL 32305. Phone: (850)488-1048. Internet: http://www.labormarketinfo.com  Minnesota Director, BLS Programs, Research and Statistical Office, Minnesota Depart­ ment of Economic Security, 390 North Robert St., 5th Floor, St. Paul, MN 55104. Phone:(651)296-4087. Internet: http://www.mnworkforcecentcr.org/lmi/careers/index.htm  Georgia Director, Labor Market Information, Georgia Department of Labor, 148 Inter­ national Boulevard NE., Atlanta, GA 30303-1751. Phone: (404) 656-3177. Internet: http://www.dol.state.ga.us/lmi Guam Administrator, Department of Labor, Guam Employment Services, P.O. Box 9970, Tamuning, Guam 96931-9970. Phone: (671) 647-7066. Internet: http://gu.jobsearch.org Hawaii Chief, Research and Statistics Office, Hawaii Department of Labor and Indus­ trial Relations, 830 Punchbowl St., Room 304, Honolulu, HI 96813. Phone: (808) 586-8999. Internet: http://dlir.state.hi.us Idaho . Bureau Chief, Research and Analysis, Idaho Department of Labor, 317 Main St., Boise, ID 83735-0001. Phone: (208) 332-3570 x3136. Internet: http://www.sde.state.id.us/cis Illinois Economic Information and Analysis Manager, Illinois Department of Employ­ ment Security, 401 South State St., Suite 743, Chicago, IL 60605. Phone: (312) 793.-2316. Internet: http://www.ioicc.state.il.us/LMI/default.htm Indiana Director, Labor Market Information, Indiana Department of Workforce Devel­ opment, Indiana Government Center South, E211,10 North Senate Ave., India­ napolis, IN 46204-2277. Phone:(317)232-7460. Internet: http://www.dwd.state.in.us  Division Administrator, Research and Information Services, Iowa Workforce Development, 1000 East Grand Ave., Des Moines, IA 50319-0209. Phone: (800) JOB-IOWA. Internet: http://www.state.ia.us/iwd Kansas Chief, Labor Market Information Services, Kansas Department of Human Re­ sources, 401 SW Topeka Blvd., Topeka, KS 66603-3182. Phone: (785) 296­ 5058. Internet: http://laborstats.hr.state.ks.us Kentucky Manager, LMI Branch, Division of Administration/Financial Management, Department of Employment Services, 275 East Main St., Suite 2-C, Frankfort, KY 40621. Phone:(800)542-8840. Internet: http://www.des.state.ky.us/agencies/wforce/des/lmi/lmi.htm  Mississippi . Labor Market Information Director, Mississippi Employment Security Com­ mission, P.O. Box 1699, Jackson, MS 39215-1699. Phone: (601) 961-7424. Internet: http://208.137.131.31/lmi/index.html Missouri Department of Economic Development, Division of Workforce Development, Labor Market Information Section, P.O. Box 1087, Jefferson City, MO 65102. Phone: (573) 751-3595. Internet: http://www.works.state.mo.us/lmi Montana Research and Analysis Bureau, Job Services Division, Montana Department of Labor and Industry, P.O. Box 1728, Helena, MT 59624-1728. Phone: (406) 444-2430; within Montana at (800) 633-0229; outside Montana at (800) 541­ 3904. Internet: http://rad.dli.state.mt.us Nebraska Labor Market Information Administrator, Nebraska Department of Labor, 550 South 16th St., P.O. Box 94600, Lincoln, NE 68509-4600. Phone: (402) 471­ 2600. Internet: http://www.dol.state.ne.us/nelmi.htm Nevada Chief, DETR, Bureau of Research and Analysis, Information Development and Processing Division, 500 East Third St., Carson City, NV 89713-0001. Phone: (775) 684-0450. Internet: http://detr.state.nv.us/lmi/index.htm New Hampshire Director, Economic and Labor Market Information Bureau, New Hampshire Department of Employment Security, 32 South Main St., Concord, NH 03301. Phone: (603) 228-4123. Internet: http://www.nhworks.state.nh.us/lmipage.htm New Jersey Assistant Commissioner, Labor Planning and Analysis, New Jersey Department of Labor, P.O. Box 56, 5th Floor, Trenton, NJ 08625-0056. Phone: (609) 292­ 2643. Internet: http://www.state.nj.us/labor/lra New Mexico Economic Research and Analysis Bureau, New Mexico Department of Labor, 401 Broadway Blvd. NE, P.O. Box 1928, Albuquerque, NM 87103. Phone: (505) 841-8645. Internet: http://www3.state.nm.us/dol/dol_lmif.html New York Director, Division of Research and Statistics, New York Department of Labor, State Office Building Campus, Room 400, Albany, NY 12240. Phone: (518) 457-6369. Internet: http://www.labor.state.ny.us/html/career/lmi.htm  Louisiana Louisiana Department of Labor, Office of Occupational Information, Research and Statistics Division, P.O. Box 94094, Baton Rouge, LA 70804-9094. Phone: (888) 302-7662. Internet: http://www.ldol.state.la.us/LMIQM.asp  North Carolina Director, Labor Market Information, North Carolina Employment Security Com­ mission,P.O. Box 25903, Raleigh, NC 27611. Phone: (919)733-2936. Internet:  Maine Director, Labor Market Information Services, Maine Department of Labor, 20 Union St., Augusta, ME 04330. Phone:(207)287-2271. Internet: http://www.state.me.us/labor/lmis/frdef.htm  North Dakota Program Support Area Manager, Job Service North Dakota, 1000 East Divide Ave., P.O. Box 5507, Bismarck, ND 58506-5507. Phone: (701) 328-2868. Internet: http://www.jobsnd.com  Maryland Director, Office of Labor Market Analysis and Information, Maryland Depart­ ment of Labor, Licensing and Regulations, 1100 North Eutaw St., Room 601, Baltimore, MD 21201. Phone:(410) 767-2250. Internet: http://www.dllr.state.md.us/lmi/index.htm  Ohio Director, Ohio Department of Job and Family Services, ORAA, LMI Bureau, 4300 Kimberly Pkwy., 3rd Floor, Qolumbus, OH 43232. Phone: (614) 752­ 9494. Internet: http://lmi.state.oh.us  Massachusetts Labor Market Information and Research Director, Massachusetts Division of Employment and Training, 19 Stamford St., 2nd Floor, Boston, MA 02114.  Phone: (617) 626-5744. Internet: http://www.detma.org/lmi  https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  http://www.esc.state.nc.us  Oklahoma Director, Labor Market Information, Economic Research and Analysis Divi­ sion, Oklahoma Employment Security Commission, P.O. Box 52003, Okla­ homa City, OK 73152-2003. Phone:(405)525-7265. Internet: http://www.oesc.state.ok.us/lmi/default.htm  Sources of Career Information 13 Oregon Labor Market Information Director, Oregon Employment Department, 875 Union St. NE„ Salem, OR 97311. Phone: (503) 947-1212. Internet: http ://olmis.emp.state.or.us  Utah Director, Labor Market Information, Utah Department of Workforce Services, 140 East 300 South, P.O. Box 45249, Salt Lake City, UT 84145-0249. Phone: (801) 526-9675. Internet: http://www.dws.state.ut.us  Pennsylvania Director, Center for Workforce Information and Analysis, Pennsylvania De­ partment of Labor and Industry, 7th and Forester Streets., Room 220, Labor and Industry Building, Harrisburg, PA 17120-0001. Phone: (877) 4WF-DATA. Internet: http://www.dli.state.pa.us/workforceinfo  Vermont Chief, Research and Analysis, Vermont Department of Employment and Train­ ing, 5 Green Mountain Dr., P.O. Box 488, Montpelier, VT 05601-0488. Phone: (802) 828-4153. Internet: http://www.det.state.vt.us  Puerto Rico Director, Research and Statistics Division, Puerto Rico Bureau of Employment Security, 505 Munoz Rivera Ave., 17th Floor, Hato Rey, PR 00918. Phone: (787) 754-5385. Internet: http://www.interempleo.org  Virgin Islands Chief, Bureau of Labor Statistics, Virgin Islands Department of Labor, 53 A and 54A&B Kronprindsens Gade, Charlotte Amalie, St. Thomas, VI00802. Phone: (340) 776-3700. Internet: http//www.vidol.org  Rhode Island Director, Labor Market Information, Rhode Island Department of Labor and Training, Building 73, 2nd Floor, 1511 Pontiac Ave., Cranston, RI 02920-4407. Phone: (401) 462-8740. Internet: http://www.det.state.ri.us/webdev/lmi/lmihome.htmI  Virginia Director, Economic Information and Services Division, Virginia Employment Commission, 703 East Main St., P.O. Box 1358, Richmond, VA 23218-1358. Phone: (804) 786-8223. Internet: http://www.vec.state.va.us/lbrmkt/lmi.htm  South Carolina Director, Labor Market Information, South Carolina Employment Security Com­ mission, 631 Hampton St., P.O. Box 995, Columbia, SC 29202. Phone: (803) 737-2660. Internet: http://www.sces.org/lmi/index.htm  Washington Director, Labor Market and Economic Analysis, Employment Security Divi­ sion, Mail Stop 6000—P.O. Box 9046, Olympia, WA 98507-9046. Phone: (800) 215-1617. Internet: http://www.wa.gov/esd/lmea  South Dakota Director, Labor Market Center, South Dakota Department of Labor, P.O. Box 4730, Aberdeen, SD 57402-4730. Phone:(605) 626-2314. Internet: http://www.state.sd.us/dol/lmic/index.htm  West Virginia Director, Research, Information and Analysis, West Virginia Bureau of Em­ ployment Programs, 112 California Ave., Charleston, WV 25305-0112. Phone: (304) 558-2660. Internet: http://www.state.wv.us/bep/lmi/default.htm  Tennessee Director, Research and Statistics Division, Tennessee Department of Labor and Workforce Development, 500 James Robertson Pkwy., Davy Crockett Tower, 11th Floor, Nashville, TN 37245-1000. Phone: (615) 741-2284. Internet: http://www.state.tn.us/esdiv.html  Wisconsin Chief, LMI Data Development, Wisconsin Department of Workforce Develop­ ment, 201 East Washington Ave., Room G200, Madison, WI 53702. Phone: (608) 266-2930. Internet: http://www.dwd.state.wi.us/Imi  Texas Director of Labor Market Information, Texas Workforce Commission, 9001 IH-35 North, Suite 103A, Austin, TX 78753. Phone: (866) 938-4444. Internet: http://www.texasworkforce.org/lmi/lfs/lfshome.html  Wyoming Manager, Research and Planning, Employment Resources Division, Wyoming Department of Employment, P.O. Box 2760, Casper, WY 82602-2760. Phone: (307) 473-3801. Internet: http://wydoe.state.wy.us   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Finding a Job and Evaluating a Job Offer Finding information on available jobs It takes some people a great deal of time and effort to find a job they enjoy. Others may walk right into an ideal employment situation. Do not be discouraged if you have to pursue many leads. Friends, neighbors, teachers, and counselors may know of available jobs in your field of interest. Read the classified ads. Consult State employment service offices and consider private employment agencies. You also may contact employers directly. Where To Learn About Job Openings Personal contacts School career planning and placement offices Employers Classified ads —National and local newspapers —Professional journals —Trade magazines Internet networks and resources State employment service offices Federal Government Professional associations Labor unions Private employment agencies and career consultants Community agencies  Job search methods Personal contacts. Your family, friends, and acquaintances may offer one of the most effective ways to find a job. They may help you directly or put you in touch with someone else who can. Such networking can lead to information about specific job open­ ings, many of which may not be publically posted.  School career planning and placement offices. High school and college placement offices help their students and alumni find jobs. They set up appointments and allow recruiters to use their facilities for interviews. Placement offices usually have a list of part-time, temporary, and summer jobs offered on campus. They also may have lists of jobs for regional, nonprofit, and govern­ ment organizations. Students can receive career counseling and testing and job search advice. At career resource libraries they may attend workshops on such topics as job search strategy, re­ sume writing, letter writing, and effective interviewing; critique drafts of resumes and watch videotapes of mock interviews; ex­ plore files of resumes and references; and attend job fairs con­ ducted by the placement office.  Employers. Through your library and Internet research, develop a list of potential employers in your desired career field. Em­ ployer websites often contain lists of job openings. Websites and business directories can provide you with information on how to apply for a position or whom to contact. Even if no open positions are posted, do not hesitate to contact the employer and the relevant department. Set up an interview with someone work­ ing in the same area you wish to work. Ask them how they got  14 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  started, what they enjoy or dislike about the work, what type of qualifications are necessary for the job, and what type of person­ ality succeed in that position. Even if they don’t have a postion available, they may be able to put you in contact with other people who might hire you and they can keep you in mind if a position opens up. Make sure to send them your resume and a cover letter. If you are able to obtain an interview, be sure to send a thank you note. Directly contacting employers is one of the most successful means ofjob hunting.  Classified ads. The “Help Wanted” ads in newspapers list nu­ merous jobs. You should realize, however, that many other job openings are not listed, and that the classified ads sometimes do not give all of the important information. They may offer little or no description of the job, working conditions, or pay. Some ads do not identify the employer. They may simply give a post office box to which you can mail your resume, making follow-up inquiries very difficult. Some ads offer out-of-town jobs; others advertise employment agencies rather than actual employment opportunities. When using classified ads, keep the following in mind: • Do not rely solely on the classifieds to find a job; follow other leads as well. • Answer ads promptly, because openings may be filled quickly, even before the ad stops appearing in the paper. • Read the ads every day, particularly the Sunday edition, which usu­ ally includes the most listings. • Beware of “no experience necessary” ads. These ads often signal low wages, poor working conditions, or commission work. • Keep a record of all ads to which you have responded, including the specific skills, educational background, and personal qualifications required for the position.  Internet networks and resources. The Internet provides a vari­ ety of information, includingjob listings and job search resources and techniques. However, no single website or resource will contain all of the information available on employment or career opportunities, so be prepared to search for what you need. Re­ member that job listings may be posted by field or discipline, so begin your search using keywords. Some websites provide Na­ tional or local classified listings and allow job seekers to post their resumes online. Other sites offer advice on how to search for a job, prepare for an interview, or write your resume. When searching employment databases on the Internet, it usually is possible to send your resume to an employer by e-mail or to post it online.  State employment service offices. The State employment ser­ vice, sometimes called Job Service, operates in coordination with the U.S. Department of Labor’s Employment and Training Ad­ ministration . Local offices, found nationwide, help job seekers find jobs and help employers find qualified workers at no cost to either. To find the office nearest you, look in the State govern­ ment telephone listings under “Job Service” or “Employment.” Job matching and referral. At the State employment service office, an interviewer will determine if you are “job ready or if  Finding and Evaluating a Job Offer 15  you need help from counseling and testing services to assess your occupational aptitudes and interests and to help you choose and prepare for a career. After you are “job ready,” you may examine available job listings and select openings that interest you. A staff member can then describe the job openings in detail and arrange for interviews with prospective employers.  America’s Job Bank, sponsored by the U.S. Department of Labor, is an Internet site that allows you to search through a da­ tabase of over one million jobs Nationwide, create and post your resume online, and set up an automated job search. The data­ base contains a wide range of mostly full-time private sector jobs that are available all over the country. Job seekers can access America’s Job Bank at: http://www.ajb.org. Computers with access to the Internet are available to the public in any local pub­ lic employment service office, school, library, and military in­ stallation. Tips for Finding the Right Job, a U.S. Department of Labor pamphlet, offers advice on determining your job skills, organiz­ ing your job search, writing a resume, and making the most of an interview. Job Search Guide: Strategies For Professionals, an­ other U.S. Department of Labor publication, discusses specific steps that job seekers can follow to identify employment oppor­ tunities. This publication includes sections on handling job loss, managing personal resources, assessing personal skills and inter­ ests, researching the job market, conducting the job search, and networking. Many Department of Labor publications for job seek­ ers are available at: http://safetynet.doIeta.gov/netsourc.htm. Check with your State employment service office, or order a copy of these and other publications from the U.S. Government Print­ ing Office’s Superintendent of Documents. Phone: (202)5121800. Internet: http://bookstore.gpo.gov or http://www.doleta.gov/etaindex.asp. Services for special groups. By law, veterans are entitled to priority for job placement at State employment service centers. If you are a veteran, a veterans’ employment representative can in­ form you of available assistance and help you deal with problems. State service centers refer youths between 16 and 21 and eco­ nomically disadvantaged applicants to opportunities available under the Job Training Partnership Act (JTPA) of 1982. They also help prepare individuals facing employment barriers for jobs. Federal Government. Information on obtaining a position with the Federal Government is available from the Office of Person­ nel Management (OPM) through a telephone-based system. Consult your telephone directory under U.S. Government for a local number or call (912) 757-3000; Federal Relay Service (800) 877-8339. The first number is not tollfree, and charges may result. Information also is available from the OPM Internet site: http://www.usajobs.opm.gov. Professional associations. Many professions have associations that offer employment information, including career planning, educational programs, job listings, and job placement. To use these services, associations usually require that you be a mem­ ber of their association; information can be obtained directly from an association through the Internet, by telephone, or by mail.  Labor unions. Labor unions provide various employment ser­ vices to members, including apprenticeship programs that teach a specific trade or skill. Contact the appropriate labor union or State council for more information. Digitized forapprenticeship FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Private employment agencies and career consultants. These agencies can be helpful, but they are in business to make money. Most operate on a commission basis, with the fee dependent upon a percentage of the salary paid to a successful applicant. You or the hiring company will pay a fee. Find out the exact cost and who is responsible for paying associated fees before using the service. Although employment agencies can help you save time and contact employers who otherwise might be difficult to locate, the costs may outweigh the benefits if you are responsible for the fee. Contacting employers directly often will generate the same type of leads that a private employment agency will provide. Consider any guarantees the agency offers when determining if the service is worth the cost.  Community agencies. Many nonprofit organizations, including religious institutions and vocational rehabilitation agencies, of­ fer counseling, career development, and job placement services, generally targeted to a particular group, such as women, youth, minorities, ex-offenders, or older workers.  Applying for a job Resumes and application forms. Resumes and application forms are two ways to provide employers with written evidence of your qualifications and skills. Generally, the same information ap­ pears on both the resume and the application form, but the way it is presented differs. Some employers prefer a resume and others require an application form. The accompanying box presents the basic information you should include in your resume. There are many ways of organizing a resume. Depending on the job, you should choose the format that best highlights your skills, training, and experience. It may be helpful to look in a variety of books and publications at your local library or book­ store for different examples.  What Usually Goes Into a Resume • Name, address, e-mail address, and telephone number. • Employment objective. State the type of work or specific job you are seeking. • Education, including school name and address, dates of attendance, curriculum, and highest grade completed or degree awarded. Consider including any courses or areas of focus that might be relevant to the position. • Experience, paid and volunteer. For each job, include the job title, name and location of employer, and dates of employment. Briefly describe your job duties. • Special skills, computer skills, proficiency in foreign languages, achievements, and membership in organizations. • References, only when requested. • Keep it short; only one page for less experienced applicants. • Avoid long paragraphs; use bullets to highlight key skills and accomplishments. • Have a friend review your resume for any spelling or grammatical errors. • Print it on high quality paper. When you fill out an application form, make sure you fill it out completely and follow all instructions. Do not omit any re­ quested information and make sure that the information you pro­ vide is correct.  16 Occupational Outlook Handbook  Cover letters. A cover letter is sent with a resume or applica­ tion form, as a way of introducing yourself to prospective em­ ployers. It should capture the employer’s attention, follow a business letter format, and usually should include the following information: • The name and address of the specific person to whom the letter is addressed. • The reason for your interest in the company or position. • Your main qualifications for the position. • A request for an interview. • Your home and work phone numbers. Interviewing. An interview gives you the opportunity to show­ case your qualifications to an employer, so it pays to be well prepared. The information in the accompanying box provides some helpful hints. Job Interview Tips Preparation:  Learn about the organization. Have a specific job or jobs in mind. Review your qualifications for the job. Prepare answers to broad questions about yourself. Review your resume. Practice an interview with a friend or relative. Arrive before the scheduled time of your interview. Personal Appearance:  Be well groomed. Dress appropriately. Do not chew gum or smoke. The Interview:  Relax and answer each question concisely. Respond promptly. Use good manners. Learn the name of your interviewer and shake hands as you meet. Use proper English—avoid slang. Be cooperative and enthusiastic. Ask questions about the position and the organization. Thank the interviewer when you leave and, as a follow up, in writing. Test (if employer gives one):  Listen closely to instructions. Read each question carefully. Write legibly and clearly. Budget your time wisely and don’t dwell on one question. Information to Bring to an Interview:  Social Security card. Government-issued identification (driver’s license). Resume. Although not all employers require applicants to bring a resume, you should be able to furnish the interviewer information about your education, training, and previous employment. References. Employers typically require three references. Get permission before using anyone as a reference. Make sure they will give you a good reference. Try to avoid using relatives.  Evaluating a job offer Once you receive a job offer, you are faced with a difficult deci­ Digitizedsion for FRASER and must evaluate the offer carefully. Fortunately, most https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  organizations will not expect you to accept or reject an offer immediately. There are many issues to consider when assessing a job offer. Will the organization be a good place to work? Will the job be interesting? Are there opportunities for advancement? Is the salary fair? Does the employer offer good benefits? If you have not already figured out exactly what you want, the following dis­ cussion may help you develop a set of criteria for judging job offers, whether you are starting a career, reentering the labor force after a long absence, or planning a career change. The organization. Background infonnation on an organization can help you decide whether it is a good place for you to work. Factors to consider include the organization’s business or activ­ ity, financial condition, age, size, and location. You generally can get background information on an organi­ zation, particularly a large organization, on its Internet site or by telephoning its public relations office. A public company’s an­ nual report to the stockholders tells about its corporate philoso­ phy, history, products or services, goals, and financial status. Most government agencies can furnish reports that describe their pro­ grams and missions. Press releases, company newsletters or magazines, and recruitment brochures also can be useful. Ask the organization for any other items that might interest a pro­ spective employee. If possible, speak to current or former em­ ployees of the organization. Background information on the organization may be avail­ able at your public or school library. If you cannot get an annual report, check the library for reference directories that may pro­ vide basic facts about the company, such as earnings, products and services, and number of employees. Some directories widely available in libraries include: • Dun & Bradstreet’s Million Dollar Directory • Standard and Poor‘s Register of Corporations  • Moody’s Industrial Manual • Thomas ’ Register ofAmerican Manufacturers • Ward s Business Directory Stories about an organization in magazines and newspapers can tell a great deal about its successes, failures, and plans for the future. You can identify articles on a company by looking under its name in periodical or computerized indexes in librar­ ies. However, it probably will not be useful to look back more than 2 or 3 years. The library also may have government publications that present projections of growth for the industry in which the orga­ nization is classified. Long-term projections of employment and output for detailed industries, covering the entire U.S. economy, are developed by the Bureau of Labor Statistics and revised ev­ ery 2 years—see the November 2001 Monthly Labor Review for the most recent projections, covering the 2000-10 period, on the Internet: http://www.bls.gov/opub/mlr/mlrhome.htm. The U.S. Industry and Trade Outlook, published annually by the U.S. Department of Commerce, presents detailed analyses of U.S. industries. The 2001 edition is available through the Depart­ ment of Commerce’s website: http://home.doc.gov. Trade maga­ zines also may include articles on the trends for specific industries. Career centers at colleges and universities often have in­ formation on employers that is not available in libraries. Ask a career center representative how to find out about a particular organization.  Finding and Evaluating a Job Offer 17  Does the organization’s business or activity match your own interests and beliefs? It is easier to apply yourself to the work if you are enthusiastic about what the organization does. How will the size of the organization affect you? Large firms generally offer a greater variety of training programs and career paths, more managerial levels for advancement, and better employee benefits than small firms. Large employers also may have more advanced technologies. However, many jobs in large firms tend to be highly specialized. Jobs in small firms may offer broader authority and responsi­ bility, a closer working relationship with top management, and a chance to clearly see your contribution to the success of the or­ ganization. Should you work for a relatively new organization or one that is well established? New businesses have a high failure rate, but for many people, the excitement of helping create a company and the potential for sharing in its success more than offset the risk ofjob loss. How­ ever, it may be just as exciting and rewarding to work for a young firm that already has a foothold on success. Does it make a difference if the company is private or public? An individual or a family may control a privately owned com­ pany and key jobs may be reserved for relatives and friends. A board of directors responsible to the stockholders controls a pub­ licly owned company and key jobs usually are open to anyone. Is the organization in an industry with favorable long-term prospects? The most successful firms tend to be in industries that are grow­ ing rapidly.  Nature of the job. Even if everything else about the job is at­ tractive, you will be unhappy if you dislike the day-to-day work. Determining in advance whether you will like the work may be difficult. However, the more you find out about the job before accepting or rejecting the offer, the more likely you are to make the right choice. Actually working in the industry and, if pos­ sible, for the company would provide considerable insight. You can gain work experience through part-time, temporary, or sum­ mer jobs, or through internship or work-study programs while in school, all of which can lead to permanent job offers. Where is the job located? If the job is in another section of the country, you need to con­ sider the cost of living, the availability of housing and transpor­ tation, and the quality of educational and recreational facilities in that section of the country. Even if the job location is in your area, you should consider the time and expense of commuting. Does the work match your interests and make good use of your skills? The duties and responsibilities of the job should be explained in enough detail to answer this question. How important is the job in this company? An explanation of where you fit in the organization and how you are supposed to contribute to its overall objectives should give youfor anFRASER idea of the job’s importance. Digitized https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Are you comfortable with the hours? Most jobs involve regular hours—for example, 40 hours a week, during the day, Monday through Friday. Other jobs require night, weekend, or holiday work. In addition, some jobs routinely re­ quire overtime to meet deadlines or sales or production goals, or to better serve customers. Consider the effect the work hours will have on your personal life. How long do most people who enter this job stay with the company? High turnover can mean dissatisfaction with the nature of the work or something else about the job.  Opportunities offered by employers. A good job offers you opportunities to leam new skills, increase your earnings, and rise to positions of greater authority, responsibility, and prestige. A lack of opportunities can dampen interest in the work and result in frustration and boredom. The company should have a training plan for you. What valu­ able new skills does the company plan to teach you? The employer should give you some idea of promotion possi­ bilities within the organization. What is the next step on the career ladder? If you have to wait for a job to become vacant before you can be promoted, how long does this usually take? When opportunities for advancement do arise, will you compete with applicants from outside the company? Can you apply for jobs for which you qualify elsewhere within the organization, or is mobility within the firm limited? Salaries and benefits. Wait for the employer to introduce these subjects. Some companies will not talk about pay until they have decided to hire you. In order to know if their offer is rea­ sonable, you need a rough estimate of what the job should pay. You may have to go to several sources for this information. Try to find family, friends, or acquaintances who recently were hired in similar jobs. Ask your teachers and the staff in placement offices about starting pay for graduates with your qualifications. Help-wanted ads in newspapers sometimes give salary ranges for similar positions. Check the library or your school’s career center for salary surveys such as those conducted by the Na­ tional Association of Colleges and Employers or various pro­ fessional associations. If you are considering the salary and benefits for a job in an­ other geographic area, make allowances for differences in the cost of living, which may be significantly higher in a large met­ ropolitan area than in a smaller city, town, or rural area. You also should leam the organization’s policy regarding over­ time. Depending on the job, you may or may not be exempt from laws requiring the employer to compensate you for over­ time. Find out how many hours you will be expected to work each week and whether you receive overtime pay or compensa­ tory time off for working more than the specified number of hours in a week. Also take into account that the starting salary is just that—the start. Your salary should be reviewed on a regular basis; many organizations do it every year. How much can you expect to earn after 1, 2, or 3 or more years? An employer cannot be specific about the amount of pay if it includes commissions and bonuses. Benefits also can add a lot to your base pay, but they vary widely. Find out exactly what the benefit package includes and how much of the costs you must bear. National, State, and metropolitan area data from the National Compensation Survey, which integrates data from three existing  18 Occupational Outlook Handbook  Bureau of Labor Statistics programs—the Employment Cost In­ dex, the Occupational Compensation Survey, and the Employee Benefits Survey—are available from: >- Bureau of Labor Statistics, Office of Compensation Levels and Trends, 2 Massachusetts Ave. NE., Room 4175, Washington, DC 20212-0001. Tele­ phone: (202) 691-6199. Internet: http://www.bls.gov/ncs/.   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Data on earnings by detailed occupation from the Occupa­ tional Employment Statistics (OES) Survey are available from: ► Bureau of Labor Statistics, Office of Occupational Statistics and Employ­ ment Projections, 2 Massachusetts Ave. NE., Room 2135, Washington, DC 20212-0001. Telephone: (202) 691-6569. Internet: http://www.bls.gov/oes/.  Occupational Information Included in the Handbook The Occupational Outlook Handbook is best used as a refer­ ence; it is not meant to be read from cover to cover. Instead, start by looking at the table of contents, where related occupa­ tions are grouped in clusters, or look in the alphabetical index in the back of the Handbook for specific occupations that interest you. For any occupation that sounds interesting, use the Hand­ book to learn about the type of work; working conditions; edu­ cation and training requirements and advancement possibilities; earnings; job outlook; and related occupations. Each occupa­ tional statement, or description, in the Handbook follows a stan­ dard format, making it easier for you to compare occupations. Two previous sections—Tomorrow’s Jobs and Sources of Career Information—highlight the forces that are likely to deter­ mine employment opportunities in industries and occupations through the year 2010, and indicate where to obtain additional information. This section is an overview of how the occupa­ tional statements are organized. It highlights information pre­ sented in each section of a Handbook statement, gives examples of specific occupations in some cases, and offers some hints on how to interpret the information provided. Unless otherwise noted, the source of employment and earnings data presented in the Handbook is the Bureau of Labor Statistics. Nearly all Handbook statements cite employ­ ment and earnings data from the Occupational Employment Sta­ tistics (OES) survey. Some statements include data from outside sources. OES data may be used to compare earnings among occupations; however, outside data may not be used in this man­ ner because characteristics of these data vary widely.  About those numbers at the beginning of each statement The numbers in parentheses that appear just below the title of every detailed occupational statement are from the Occupational Information Network (0*NET)—a system used by State employ­ ment service offices to classify applicants and job openings, and by some career information centers and libraries to file occupational information. Occupational Information Network Coverage, a section begin­ ning on page 609, cross-references 0*NET codes to occupations covered in the Handbook. 0*NET codes are based on the 2000 Standard Occupational Classification (SOC) system.  Significant Points This section highlights key occupational characteristics.  Nature of the Work This section discusses what workers do. Individual job duties may vary by industry or employer. For instance, workers in larger firms tend to be more specialized whereas those in smaller firms often have a wider variety of duties. Most occupations have sev­ eral levels of skills and responsibilities through which workers may progress. Beginners may start as trainees performing rou­ tine tasks under close supervision. Experienced workers usually undertake more difficult tasks and are expected to perform with less supervision.  https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  The influence of technological advancements on the way work is done is mentioned. For example, the Internet allows purchas­ ers to acquire supplies with a click of the mouse, saving time and money. This section of Handbook statements also discusses emerging specialties. For instance, webmasters—who are respon­ sible for all technical aspects involved in operating a website— comprise a specialty within systems analysts, computer scientists, and database administrators.  Working Conditions This section identifies the typical hours worked, the workplace environment, physical activities and susceptibility to injury, spe­ cial equipment, and the extent of travel required. In many occu­ pations, people work regular business hours—40 hours a week, Monday through Friday—but many do not. For example, wait­ ers and waitresses often work evenings and weekends. The work setting can range from a hospital, to a mall, to an off-shore oil rig. Truckdrivers might be susceptible to injury, while paramedics have high job-related stress. Semiconductor processors may wear protective clothing or equipment, some construction laborers do physically demanding work, and top executives may travel frequently.  Employment This section reports the number ofjobs the occupation provided in 2000 and the key industries where these jobs are found. When significant, the geographic distribution of jobs and the propor­ tion of part-time (less than 35 hours a week) and self-employed workers in the occupation are mentioned. Self-employed work­ ers accounted for nearly eight percent of the work force in 2000; however, they were concentrated in a small number of occupa­ tions, such as farmers and ranchers, childcare workers, lawyers, health practitioners, and the construction trades.  Training, Other Qualifications, and Advancement After knowing what a job is all about, it is important to under­ stand how to train for it. This section describes the most signifi­ cant sources of education and training, including the education or training preferred by employers, the typical length of training, and advancement possibilities. Job skills sometimes are acquired through high school, informal on-the-job training, formal train­ ing (including apprenticeships), the U.S. Armed Forces, home study, hobbies, or previous work experience. For example, sales experience is particularly important for many sales jobs. Many professional jobs, on the other hand, require formal postsecondary education—postsecondary vocational or technical training, or college, postgraduate, or professional education. In addition to training requirements, the Handbook also men­ tions desirable skills, aptitudes, and personal characteristics. For some entry-level jobs, personal characteristics are more impor­ tant than formal training. Employers generally seek people who read, write, and speak well; compute accurately; think logically; learn quickly; get along with others; and demonstrate depend­ ability. Some occupations require certification or licensing to enter the field, to advance, or to practice independently. Certification 19  20 Occupational Outlook Handbook  Key phrases in the Handbook This box explains how to interpret the key phrases used to describe projected changes in employment. It also explains the terms used to describe the relationship between the number of job openings and the number ofjob seekers. The descriptions of this relationship in a particular occupation reflects the knowledge and judgment of econo­ mists in the Bureau’s Office of Occupational Statistics and Employ­ ment Projections. Changing employment between 2000 and 2010 If the statement reads:  Employment is projected to:  Grow much faster than average Grow faster than average Grow about as fast as average Grow more slowly than average Little or no change Decline  increase 36 percent or more increase 21 to 35 percent increase 10 to 20 percent increase 3 to 9 percent increase 0 to 2 percent decrease 1 percent or more  Opportunities and competition for jobs If the statement reads: Very good to excellent opportunities Good or favorable opportunities May face or can expect keen competition  Job openings compared to job seekers may be: More numerous In rough balance Fewer  or licensing generally involves completing courses and passing examinations. Many occupations increasingly have continuing education or skill improvement requirements to keep up with the changing economy or to improve advancement opportunities.  characterized by a surplus of applicants, leading to keen compe­ tition for jobs. Limited training facilities, salary regulations, or undesirable aspects of the work—as in the case of private house­ hold workers—can result in an insufficient number of entrants to fill all job openings. On the other hand, glamorous or poten­ tially high paying occupations, such as actors or musicians, gen­ erally have surpluses ofjob seekers. Variation in job opportunities by industry, size of firm, or geographic location also may be dis­ cussed. Even in crowded fields, job openings do exist. Good students or well-qualified individuals should not be deterred from undertaking training or seeking entry. Susceptibility to layoffs due to imports, slowdowns in eco­ nomic activity, technological advancements, or budget cuts also are addressed in this section. For example, employment of con­ struction trades workers is sensitive to slowdowns in construc­ tion activity, while employment of government workers is sensitive to budget cuts. Earnings This section discusses typical earnings and how workers are com­ pensated—annual salaries, hourly wages, commissions, piece rates, tips, or bonuses. Within every occupation, earnings vary by experience, responsibility, performance, tenure, and geo­ graphic area. Earnings data from the Bureau of Labor Statistics and, in some cases, from outside sources are included. Data may cover the entire occupation or a specific group within the occupation. Benefits account for a significant portion of total compensa­ tion costs to employers. Benefits such as paid vacation, health insurance, and sick leave may not be mentioned because they are so widespread. Though not as common as traditional benefits, employers may offer flexible hours and profit-sharing plans to attract and retain highly qualified workers. Less common ben­ efits also include childcare, tuition for dependents, housing as­ sistance, summers off, and free or discounted merchandise or services.  Job Outlook In planning for the future, it is important to consider potential job opportunities. This section describes the factors that will result in growth or decline in the number ofjobs. In some cases, the Handbook mentions that an occupation is likely to provide numerous job openings or relatively few openings. Occupations which are large and have high turnover, such as food and bever­ age serving occupations, generally provide the most job open­ ings—reflecting the need to replace workers who transfer to other occupations or stop working. Some Handbook statements discuss the relationship between the number of job seekers and job openings. In some occupa­ tions, there is a rough balance between job seekers and job open­ ings, resulting in good opportunities. In some occupations, employers may report difficulty finding qualified applicants, resulting in excellent job opportunities. Other occupations are   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Related Occupations Occupations involving similar duties, skills, interests, education, and training are listed. Sources of Additional Information No single publication can completely describe all aspects of an occupation. Thus, the Handbook lists mailing addresses for as­ sociations, government agencies, unions, and other organizations that can provide occupational information. In some cases, tollfree phone numbers and Internet addresses also are listed. Free or relatively inexpensive publications offering more information may be mentioned; some of these also may be available in librar­ ies, school career centers, guidance offices, or on the Internet. For additional sources of information, also read the earlier chapter, Sources of Career Information.  Management and Business and Financial Operations Occupations Accountants and Auditors (0*NET 13-2011.01, 13-2011.02)  Significant Points  • •  •  Most jobs require at least a bachelor’s degree in accounting or a related field. Jobseekers who obtain professional recognition through certification or licensure, a master’s degree, proficiency in accounting and auditing computer software, or specialized expertise will have an advantage in the job market. Competition will remain keen for the most prestigious jobs in major accounting and business firms.  Nature of the Work Accountants and auditors help to ensure that the Nation’s firms are mn more efficiently, its public records kept more accurately, and its taxes paid properly and on time. They perform these vital functions by offering an increasingly wide array of business and accounting services to their clients. These services include public, manage­ ment, and government accounting, as well as internal auditing. However, accountants and auditors are broadening the services they offer to include budget analysis, financial and investment planning, information technology consulting, and limited legal services. Be­ yond the fundamental tasks of the occupation—preparing, analyz­ ing, and verifying financial documents in order to provide information to clients—many accountants now are required to pos­ sess a wide range of knowledge and skills. Specific job duties vary widely among the four major fields of accounting. Public accountants perform a broad range of account­ ing, auditing, tax, and consulting activities for their clients, who may be corporations, governments, nonprofit organizations, or in­ dividuals. For example, some public accountants concentrate on tax matters, such as advising companies of the tax advantages and disadvantages of certain business decisions and preparing individual income tax returns. Others are consultants who offer advice in ar­ eas such as compensation or employee healthcare benefits, the de­ sign of accounting and data-processing systems, and the selection of controls to safeguard assets. Some specialize in forensic ac­ counting—investigating and interpreting bankruptcies and other complex financial transactions. Still others audit clients’ financial statements and report to investors and authorities that the statements have been correctly prepared and reported. Public accountants, many of whom are Certified Public Accountants (CPAs), generally have their own businesses or work for public accounting firms. Management accountants—also called industrial, corporate, or private accountants—record and analyze the financial information of the companies for which they work. Other responsibilities in­ clude budgeting, performance evaluation, cost management, and asset management. Usually, management accountants are part of executive teams involved in strategic planning or new-product de­ velopment. They analyze and interpret the financial information that corporate executives need to make sound business decisions.  https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  They also prepare financial reports for non-management groups, including stockholders, creditors, regulatory agencies, and tax au­ thorities. Within accounting departments, they may work in vari­ ous areas including financial analysis, planning and budgeting, and cost accounting. Many persons with an accounting background work in the pub­ lic sector. Government accountants and auditors maintain and ex­ amine the records of government agencies and audit private businesses and individuals whose activities are subject to govern­ ment regulations or taxation. Accountants employed by Federal, State, and local governments guarantee that revenues are received and expenditures are made in accordance with laws and regulations. Those who are employed by the Federal Government may work as Internal Revenue Service agents or in financial management, finan­ cial institution examination, or budget analysis and administration. Internal auditing is an increasingly important area of accounting and auditing. Internal auditors verify the accuracy of their organization’s records and check for mismanagement, waste, or fraud. Specifically, they examine and evaluate their firms’ finan­ cial and information systems, management procedures, and inter­ nal controls to ensure that records are accurate and controls are adequate to protect against fraud and waste. They also review com­ pany operations—evaluating their efficiency, effectiveness, and compliance with corporate policies and procedures, laws, and gov­ ernment regulations. There are many types of highly specialized auditors, such as electronic data processing, environmental, engi­ neering, legal, insurance premium, bank, and healthcare auditors. As computer systems make information more timely, internal audi­ tors help managers to base their decisions on actual data, rather than personal observation. Internal auditors also may recommend controls for their organization’s computer system to ensure the reli­ ability of the system and the integrity of the data. Computers are rapidly changing the nature of the work for most accountants and auditors. With the aid of special software pack­ ages, accountants summarize transactions in standard formats for financial records and organize data in special formats for financial  Accountants and auditors prepare, analyze, and verify financial information for individuals and businesses.  21  22 Occupational Outlook Handbook  analysis. These accounting packages greatly reduce the amount of tedious manual work associated with data management and recordkeeping. Personal and laptop computers enable accountants and auditors to be more mobile and to use their clients’ computer systems to extract information from large mainframe computers. As a result, a growing number of accountants and auditors have extensive computer skills and specialize in correcting problems with software or in developing software to meet unique data manage­ ment and analytical needs. Accountants also are beginning to per­ form more technical duties, such as implementing, controlling, and auditing systems and networks, and developing technology plans and budgets. Accountants also are increasingly assuming the role of a per­ sonal financial advisor. They not only provide clients with account­ ing and tax help, but also help them develop a personal budget, manage assets and investments, plan for retirement, and recognize and reduce exposure to risks. This role is a response to demands by clients for one trustworthy individual or firm to meet all of their financial needs. (See the Handbook statement on financial analysts and personal financial advisors.) Working Conditions  Most accountants and auditors work in a typical office setting. Selfemployed accountants may be able to do part of their work at home. Accountants and auditors employed by public accounting firms and government agencies may travel frequently to perform audits at branches of their firm, clients’ places of business, or government facilities. Most accountants and auditors generally work a standard 40hour week, but many work longer hours, particularly if they are self-employed and have numerous clients. Tax specialists often work long hours during the tax season. Employment Accountants and auditors held about 976,000 jobs in 2000. They worked throughout private industry and government, but almost 1 out of 4 salaried accountants worked for accounting, auditing, and bookkeeping firms. Approximately 3 out of 25 accountants or au­ ditors were self-employed. Many accountants and auditors are unlicensed management ac­ countants, internal auditors, or government accountants and audi­ tors; however, a large number are licensed Certified Public Accountants. Most accountants and auditors work in urban areas, where public accounting firms and central or regional offices of businesses are concentrated. Some individuals with backgrounds in accounting and auditing are full-time college and university faculty; others teach part time while working as self-employed accountants or as salaried accoun­ tants for private industry or government. (See the Handbook state­ ment on teachers—postsecondary.) Training, Other Qualifications, and Advancement Most accountant and internal auditor positions require at least a bachelor’s degree in accounting or a related field. Beginning ac­ counting and auditing positions in the Federal Government, for ex­ ample, usually require four years of college (including 24 semester hours in accounting or auditing) or an equivalent combination of education and experience. Some employers prefer applicants with a master’s degree in accounting or with a master’s degree in busi­ ness administration with a concentration in accounting. Previous experience in accounting or auditing can help an ap­ plicant get a job. Many colleges offer students an opportunity to gain experience through summer or part-time internship programs  conducted by public accounting or business firms. In addition, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  practical knowledge of computers and their applications in account­ ing and internal auditing is a great asset for jobseekers in the account­ ing field. Professional recognition through certification or licensure pro­ vides a distinct advantage in the job market. All CPAs must have a certificate, and any partners in their firm must have licenses issued by a State Board of Accountancy. The vast majority of States re­ quire CPA candidates to be college graduates, but a few States sub­ stitute a number of years of public accounting experience for a college degree. Based on recommendations made by the American Institute of Certified Public Accountants, 38 States currently re­ quire CPA candidates to complete 150 semester hours of college coursework—an additional 30 hours beyond the usual 4-year bachelor’s degree. Most States have adopted similar legislation that will become effective in the future. Many schools have altered their curricula accordingly, and prospective accounting majors should carefully research accounting curricula and the requirements of any States in which they hope to become licensed. All States use the four-part Uniform CPA Examination prepared by the American Institute of Certified Public Accountants (AICPA). The 2-day CPA examination is rigorous, and only about one-quar­ ter of those who take it each year pass every part they attempt. Can­ didates are not required to pass all four parts at once, but most States require candidates to pass at least two parts for partial credit and to complete all four sections within a certain period. Most States also require applicants for a CPA certificate to have some accounting experience. The AICPA also offers members with valid CPA certificates the option to receive the Accredited in Business Valuation (ABV), Cer­ tified Information Technology Professional (CITP), or Personal Financial Specialist (PFS) designations. The addition of these des­ ignations to the CPA distinguishes those accountants with a certain level of expertise in the nontraditional areas of business valuation, technology, or personal financial planning, in which accountants are practicing more frequently. The ABV designation requires a written exam, as well as completion of a minimum of 10 business valuation projects that demonstrate a candidate’s experience and competence. The CITP requires payment of a fee, a written state­ ment of intent, and the achievement of a set number of points awarded for business experience and education. Those who do not meet the required number of points may substitute a written exam. Candidates for the PFS designation also must achieve a certain level of points, based on experience and education, and must pass a writ­ ten exam and submit references, as well. Nearly all States require CPAs and other public accountants to complete a certain number of hours of continuing professional edu­ cation before their licenses can be renewed. The professional as­ sociations representing accountants sponsor numerous courses, seminars, group study programs, and other forms of continuing education. Accountants and auditors also can seek to obtain other forms of credentials from professional societies on a voluntary basis. Vol­ untary certification can attest to professional competence in a spe­ cialized field of accounting and auditing. It also can certify that a recognized level of professional competence has been achieved by accountants and auditors who acquired some skills on the job, with­ out the formal education or public accounting work experience needed to meet the rigorous standards required to take the CPA examination. The Institute of Management Accountants (IMA) confers the Certified Management Accountant (CMA) designation upon appli­ cants who complete a bachelor’s degree or attain a minimum score on specified graduate school entrance exams. Applicants also must pass a four-part examination, agree to meet continuing education  Management and Business and Financial Operations Occupations 23  requirements, comply with standards of professional conduct, and have worked at least 2 years in management accounting. The CMA program is administered by the Institute of Certified Management Accountants, an affiliate of the IMA. Graduates from accredited colleges and universities who have worked for 2 years as internal auditors and have passed a four-part examination may earn the Certified Internal Auditor (CIA) desig­ nation from the Institute of Internal Auditors. Similarly, the Infor­ mation Systems Audit and Control Association confers the Certified Information Systems Auditor (CISA) designation upon candidates who pass an examination and have 5 years of experience in audit­ ing electronic data-processing systems. Auditing or data-processing experience and a college education may be substituted for up to 2 years ofwork experience in this program. The Accreditation Coun­ cil for Accountancy and Taxation, a satellite organization of the National Society of Public Accountants, confers three designa­ tions—Accredited in Accountancy (AA), Accredited Tax Advisor (ATA), and Accredited Tax Preparer (ATP). Candidates for the AA must pass an exam, while candidates for the ATA and ATP must complete the required coursework and pass an exam. Often, a prac­ titioner will hold multiple licenses and designations. For instance, an internal auditor might be a CPA, CIA, and CISA. The Association of Government Accountants grants the Certi­ fied Government Financial Manager (CGFM) designation for ac­ countants, auditors, and other government financial personnel at the Federal, State, and local levels. Candidates must have a mini­ mum of a bachelor’s degree, 24 hours of study in financial manage­ ment, and 2 years’ experience in government, and must pass a series of three exams. The exams cover topics in governmental environ­ ment; governmental accounting, financial reporting, and budget­ ing; and financial management and control. Persons planning a career in accounting should have an aptitude for mathematics and be able to analyze, compare, and interpret facts and figures quickly. They must be able to clearly communicate the results of their work to clients and managers. Accountants and au­ ditors must be good at working with people, as well as with busi­ ness systems and computers. Because millions of financial statement users rely on their services, accountants and auditors should have high standards of integrity. Capable accountants and auditors may advance rapidly; those having inadequate academic preparation may be assigned routine jobs and find promotion difficult. Many graduates of junior col­ leges and business and correspondence schools, as well as book­ keepers and accounting clerks who meet the education and experience requirements set by their employers, can obtain junior accounting positions and advance to positions with more responsi­ bilities by demonstrating their accounting skills on the job. Beginning public accountants usually start by assisting with work for several clients. They may advance to positions with more re­ sponsibility in 1 or 2 years, and to senior positions within another few years. Those who excel may become supervisors, managers, or partners; open their own public accounting firms; or transfer to ex­ ecutive positions in management accounting or internal auditing in private firms. Management accountants often start as cost accountants, junior internal auditors, or trainees for other accounting positions. As they rise through the organization, they may advance to accounting man­ ager, chief cost accountant, budget director, or manager of internal auditing. Some become controllers, treasurers, financial vice presi­ dents, chief financial officers, or corporation presidents. Many se­ nior corporation executives have a background in accounting, internal auditing, or finance. In general, public accountants, management accountants, and  internal auditors have much occupational mobility. Practitioners https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  often shift into management accounting or internal auditing from public accounting, or between internal auditing and management accounting. However, it is less common for accountants and audi­ tors to move from either management accounting or internal audit­ ing into public accounting. Job Outlook Accountants and auditors who have earned professional recogni­ tion through certification or licensure should have the best job pros­ pects. For example, Certified Public Accountants should continue to enjoy a wide range ofjob opportunities, especially as more States require candidates to have 150 hours of college coursework, mak­ ing it more difficult to obtain this certification. Similarly, Certified Management Accountants should be in demand as their manage­ ment advice is increasingly sought. Applicants with a master’s de­ gree in accounting, or a master’s degree in business administration with a concentration in accounting, also will have an advantage in the job market. Proficiency in accounting and auditing computer software, or expertise in specialized areas such as international business, spe­ cific industries, or current legislation, also may be helpful in land­ ing certain accounting and auditing jobs. In addition, employers increasingly seek applicants with strong interpersonal and commu­ nication skills. Because many accountants work on teams with oth­ ers from different backgrounds, they must be able to communicate accounting and financial information clearly and concisely. Re­ gardless of one’s qualifications, however, competition will remain keen for the most prestigious jobs in major accounting and busi­ ness firms. Employment of accountants and auditors is expected to grow about as fast as the average for all occupations through the year 2010. In addition to openings resulting from growth, the need to replace accountants and auditors who retire or transfer to other oc­ cupations will produce numerous job openings annually in this large occupation. As the economy grows, the number of business establishments will increase, requiring more accountants and auditors to set up books, prepare taxes, and provide management advice. As these businesses grow, the volume and complexity of information devel­ oped by accountants and auditors regarding costs, expenditures, and taxes will increase as well. More-complex requirements for ac­ countants and auditors also arise from changes in legislation re­ lated to taxes, financial reporting standards, business investments, mergers, and other financial matters. The growth of international business also has led to more demand for accounting expertise and services related to international trade and accounting rules, as well as to international mergers and acquisitions. These trends should create more jobs for accountants and auditors. The changing role of accountants and auditors also will spur job growth. In response to market demand, these financial specialists will offer more financial management and consulting services as they take on a greater advisory role and develop more sophisticated and flexible accounting systems. By focusing on analyzing opera­ tions, rather than simply providing financial data, accountants will help to boost demand for their services. Also, internal auditors will increasingly be needed to discover and eliminate waste and fraud. However, these trends will be offset somewhat by a decrease in the demand for traditional services and by the growing use of ac­ counting software. Accountants will spend less time performing audits, due to potential liability and relatively low profits, and will shift away from tax preparation, due to the increasing popularity of tax preparation firms and software. As computer programs con­ tinue to simplify some accounting-related tasks, clerical staff will increasingly handle many routine calculations.  24 Occupational Outlook Handbook  Earnings In 2000, the median annual earnings of accountants and auditors were $43,500. The middle half of the occupation earned between $34,290 and $56,190. The top 10 percent of accountants and audi­ tors earned more than $73,770, and the bottom 10 percent earned less than $28,190. In 2000, median annual earnings in the indus­ tries employing the largest numbers of accountants and auditors  > Accreditation Council for Accountancy and Taxation, lOlONorthFairfax St., Alexandria, VA 22314. Internet: http://www.acatcredentials.org  were:  >- The Information Systems Audit and Control Association, 3701 Algonquin Rd., Suite 1010, Rolling Meadows, IL 60008. Internet: http://www.isaca.org  Computer and data processing services............................................ $47,110 Accounting, auditing, and bookkeeping.............................................. 45,890 Federal government.................................................................................. 44,380 Local government..................................................................................... 41,240 State government...................................................................................... 40,780  According to a salary survey conducted by the National Asso­ ciation of Colleges and Employers, bachelor’s degree candidates in accounting received starting offers averaging $39,397 a year in 2001; master’s degree candidates in accounting were initially offered $43,272. According to a 2001 salary survey conducted by Robert Half International, a staffing services firm specializing in accounting and finance, accountants and auditors with up to 1 year of experience earned between $29,250 and $40,250. Those with 1 to 3 years of experience earned between $33,500 and $47,750. Senior accoun­ tants and auditors earned between $39,250 and $59,500; managers earned between $46,750 and $76,750; and directors of accounting and auditing earned between $60,500 and $106,500 a year. The variation in salaries reflects differences in size of firm, location, level of education, and professional credentials. In the Federal Government, the starting annual salary for junior accountants and auditors was $21,947 in 2001. Candidates who had a superior academic record might start at $27,185, while appli­ cants with a master’s degree or 2 years of professional experience usually began at $33,254. Beginning salaries were slightly higher in selected areas where the prevailing local pay level was higher. Accountants employed by the Federal Government in nonsupervisory, supervisory, and managerial positions averaged $64,770 a year in 2001; auditors averaged $67,180. Related Occupations Accountants and auditors design internal control systems and ana­ lyze financial data. Others for whom training in accounting is in­ valuable include budget analysts; cost estimators; loan officers; financial analysts and personal financial advisors; tax examiners, collectors, and revenue agents; bill and account collectors; and book­ keeping, accounting, and auditing clerks. Recently, accountants increasingly have taken on the role of management analyst. Sources of Additional Information Information about careers in certified public accounting and CPA standards and examinations may be obtained from: >- American Institute of Certified Public Accountants, 1211 Avenue of the Americas, New York, NY 10036. Internet: http://www.aicpa.org  Information on CPA licensure requirements by State may be ob­ tained from: >- National Association of State Boards of Accountancy, 150 Fourth Ave. North, Suite 700, Nashville, TN 37219-2417. Internet: http://www.nasba.org  Information on careers in management accounting and the CMA designation may be obtained from: > Institute of Management Accountants, 10 Paragon Dr., Montvale, NJ 07645-1760. Internet: http://www.imanet.org  Information on the Accredited in Accountancy, Accredited Busi­ ness Accountant, Accredited Tax Advisor, or Accredited Tax  Preparer designations may be obtained from: https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Information on careers in internal auditing and the CIA designa­ tion may be obtained from: ► The Institute of Internal Auditors, 249 Maitland Ave., Altamonte Springs, FL 32701-4201. Internet: http://www.theiia.org  Information on careers in information systems auditing and the CISA designation may be obtained from: Information on careers in government accounting and on the CGFM designation may be obtained from: >- Association of Government Accountants, 2208 Mount Vernon Ave., Alex­ andria, VA 22301. Internet: http://www.agacgfm.org  Information on obtaining an accounting position with the Federal Government is available from the Office of Personnel Management (OPM) through a telephone-based system. Consult your telephone directory under U.S. Government for a local number or call (912) 757-3000; Federal Relay Service: (800) 877-8339. The first num­ ber is not tollfree, and charges may result. Information also is avail­ able from the OPM Internet site: http://www.usajobs.opm.gov.  Administrative Services Managers (C)**NET 11-3011.00)  •  •  Significant Points Administrative services managers work in private industry and government and have varied responsibilities, experience, earnings, and education. Competition should remain keen due to the substantial supply of competent, experienced workers seeking managerial jobs; however, demand should be strong for facility managers and for administrative services managers in management consulting.  Nature of the Work Administrative services managers perform a broad range of duties in virtually every sector of the economy. They coordinate and di­ rect support services to organizations as diverse as insurance com­ panies, computer manufacturers, and government offices. These workers manage the many services that allow organizations to op­ erate efficiently, such as secretarial and reception, administration, payroll, conference planning and travel, information and data pro­ cessing, mail, materials scheduling and distribution, printing and reproduction, records management, telecommunications manage­ ment, security, parking, and personal property procurement, sup­ ply, and disposal. Specific duties for these managers vary by degree of responsi­ bility and authority. First-line administrative services managers di­ rectly supervise a staff that performs various support services. Mid-level managers, on the other hand, develop departmental plans, set goals and deadlines, implement procedures to improve produc­ tivity and customer service, and define the responsibilities of su­ pervisory-level managers. Some mid-level administrative services managers oversee first-line supervisors from various departments, including the clerical staff. Mid-level managers also may be in­ volved in the hiring and dismissal of employees, but they generally have no role in the formulation of personnel policy. Some of these managers advance to upper level positions, such as vice president  Management and Business and Financial Operations Occupations 25  mi -  Administrative services managers ensure that their organization's building and grounds are properly maintained. of administrative services, which are discussed in the Handbook statement on top executives. In small organizations, a single administrative services manager may oversee all support services. In larger ones, however, first-line administrative services managers often report to mid-level manag­ ers who, in turn, report to owners or top-level managers. As the size of the firm increases, administrative services managers are more likely to specialize in specific support activities. For example, some administrative services managers work primarily as office manag­ ers, contract administrators, or unclaimed property officers. In many cases, the duties ofthese administrative services managers are similar to those of other managers and supervisors, some of which are dis­ cussed in other Handbook statements. Because of the range of administrative services required by or­ ganizations, the nature of these managerial jobs also varies signifi­ cantly. Administrative services managers who work as contract administrators, for instance, oversee the preparation, analysis, ne­ gotiation, and review of contracts related to the purchase or sale of equipment, materials, supplies, products, or services. In addition, some administrative services managers acquire, distribute, and store supplies, while others dispose of surplus property or oversee the disposal of unclaimed property. Facility managers have duties similar to those of administrative services managers, but also plan, design, and manage buildings and grounds in addition to people. They are responsible for coordinat­ ing the aspects of the physical workplace with the people and work of an organization. This task requires integrating the principles of business administration, architecture, and behavioral and engineer­ ing science. Although the specific tasks assigned to facility manag­ ers vary substantially depending on the organization, the duties fall into several categories, relating to operations and maintenance, real estate, project planning and management, communication, finance, quality assessment, facility function, and management of human and environmental factors. Tasks within these broad categories may include space and workplace planning, budgeting, purchase and sale of real estate, lease management, renovations, or architectural plan­ ning and design. Facility managers may suggest and oversee reno­ vation projects for a variety of reasons, ranging from improving efficiency to ensuring that facilities meet government regulations and environmental, health, and security standards. Additionally, facility managers continually monitor the facility to ensure that it remains safe, secure, and well-maintained. Often, the facility man­ ager is responsible for directing staff, including maintenance,  grounds, and custodial workers. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Working Conditions Administrative services managers generally work in comfortable offices. Managers involved in contract administration and personal property procurement, use, and disposal may travel between their home office, branch offices, vendors’ offices, and property sales sites. Also, facility managers who are responsible for the design of workspaces may spend time at construction sites and may travel between different facilities while monitoring the work of mainte­ nance, grounds, and custodial staffs. However, new technology has increased the number of managers who telecommute from home or other offices, and teleconferencing has reduced the need for travel. Most administrative services managers work a standard 40-hour week. However, uncompensated overtime frequently is required to resolve problems and meet deadlines. Facility managers often are on call to address a variety of problems that can arise in a facil­ ity during non-work hours. Because of frequent deadlines and the challenges of managing staff and resources, the work of adminis­ trative services and facility managers can be stressful. Employment Administrative services managers held about 362,000 jobs in 2000. About half worked in service industries, including engineering and management, business, educational, social, and health services. The remaining workers were widely dispersed throughout the economy. Training, Other Qualifications, and Advancement Educational requirements for these managers vary widely, depend­ ing on the size and complexity of the organization. In small organi­ zations, experience may be the only requirement needed to enter a position as office manager. When an opening in administrative ser­ vices management occurs, the office manager may be promoted to the position based on past performance. In large organizations, however, administrative services managers normally are hired from outside, and each position has formal education and experience re­ quirements. Some administrative services managers have advanced degrees.  Specific requirements vary by job responsibility. For first-line administrative services managers of secretarial, mailroom, and re­ lated support activities, many employers prefer an associate degree in business or management, although a high school diploma may suffice when combined with appropriate experience. For managers of audiovisual, graphics, and other technical activities, postsecondary technical school training is preferred. Managers of highly complex services, such as contract administration, generally need at least a bachelor’s degree in business, human resources, or finance. Re­ gardless of major, the curriculum should include courses in office technology, accounting, business mathematics, computer applica­ tions, human resources, and business law. Most facility managers have an undergraduate or graduate degree in engineering, architec­ ture, construction management, business administration, or facility management. Many have a background in real estate, construction, or interior design, in addition to managerial experience. Whatever the manager’s educational background, it must be accompanied by related work experience reflecting demonstrated ability. For this reason, many administrative services managers have advanced through the ranks of their organization, acquiring work experience in various administrative positions before assuming first-line su­ pervisory duties. All managers who oversee departmental supervisors should be familiar with office procedures and equip­ ment. Managers of personal property acquisition and disposal need experience in purchasing and sales, and knowledge of a vari­ ety of supplies, machinery, and equipment. Managers concerned with supply, inventory, and distribution should be experienced in receiving, warehousing, packaging, shipping, transportation, and  26 Occupational Outlook Handbook  related operations. Contract administrators may have worked as contract specialists, cost analysts, or procurement specialists. Man­ agers of unclaimed property often have experience in insurance claims analysis and records management. Persons interested in becoming administrative services or facil­ ity managers should have good communication skills and be able to establish effective working relationships with many different people, ranging from managers, supervisors, and professionals, to clerks and blue-collar workers. They should be analytical, detail-oriented, flexible, and decisive. They must also be able to coordinate several activities at once, quickly analyze and resolve specific problems, and cope with deadlines. Most administrative services managers in small organizations advance by moving to other management positions or to a larger organization. Advancement is easier in large firms that employ several levels of administrative services managers. Attainment of the Certified Administrative Manager (CAM) designation offered by the Institute of Certified Professional Managers through work experience and successful completion of examinations can increase a manager’s advancement potential. In addition, a master’s degree in business administration or related field enhances a first-level manager’s opportunities to advance to a mid-level management position, such as director of administrative services, and eventu­ ally to a top-level management position, such as executive vice president for administrative services. Those with the required capi­ tal and experience can establish their own management consulting firm. Advancement of facility managers is based on the practices and size of individual companies. Some facility managers transfer from other departments within the organization or work their way up from technical positions. Others advance through a progression of facility management positions that offer additional responsibili­ ties. Completion of the competency-based professional certifica­ tion program offered by the International Facility Management Association can give prospective candidates an advantage. In or­ der to qualify for this Certified Facility Manager (CFM) designa­ tion, applicants must meet certain educational and experience requirements.  Earnings Earnings of administrative services managers vary greatly depend­ ing on the employer, the specialty, and the geographic area. In gen­ eral, however, median annual earnings of administrative services managers in 2000 were $47,080. The middle 50 percent earned between $32,550 and $67,630. The lowest 10 percent earned less than $23,800, and the highest 10 percent earned more than $90,120. Median annual earnings in the industries employing the largest num­ bers of these workers in 2000 are shown below:  Job Outlook Employment of administrative services managers is expected to grow about as fast as the average for all occupations through 2010. Like other managerial positions, there are more competent, experienced workers seeking jobs than there are positions available. However, demand should be strong for facility managers because businesses increasingly are realizing the importance of maintaining and effi­ ciently operating their facilities, which are very large investments for most organizations. Administrative services managers employed in management services and management consulting also should be in demand, as public and private organizations continue to con­ tract out and streamline their administrative services functions in an effort to cut costs. Many additional job openings will stem from the need to replace workers who transfer to other jobs, retire, or stop working for other reasons. Continuing corporate restructuring and increasing utilization of office technology should result in a flatter organizational structure with fewer levels of management, reducing the need for some middle management positions. This should adversely affect administra­ tive services managers who oversee first-line mangers. Because many administrative managers have a variety of functions, how­ ever, the effects of these changes on employment should be less severe than for other middle managers who specialize in only cer­ Digitized FRASER tainforfunctions.  >- The Association of Higher Education Facilities Officers, 1643 Prince St., Alexandria, VA 22314-2818. Internet: http://www.appa.org  https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Computer and data processing services............................................ $54,700 Colleges and universities..................................................................... 51,470 Local government...................................................................................... 48,470 Management and public relations.......................................................... 44,420 State government................................................................................... 43,710  In the Federal Government, contract specialists in nonsupervisory, supervisory, and managerial positions earned an average of $60,310 a year in 2000. Corresponding averages were $58,050 for facilities managers, $57,360 for industrial property managers, $53,830 for property disposal specialists, $57,400 for administrative officers, and $48,410 for support services administrators. Related Occupations Administrative services managers direct and coordinate support services and oversee the purchase, use, and disposal of personal property. Occupations with similar functions include office and administrative support worker supervisors and managers; cost esti­ mators; property, real estate, and community association manag­ ers; purchasing managers, buyers, and purchasing agents; and top executives. Sources of Additional Information For information about careers in facility management, facility man­ agement education and degree programs, and the Certified Facility Manager designation, contact: >- International Facility Management Association, 1 East Greenway Plaza, Suite 1100, Houston, TX 77046-0194. Internet: http://www.ifma.org  General information regarding facility management and a list of facility management educational and degree programs may be ob­ tained from: For information about the Certified Administrative Manager des­ ignation, contact: >- Institute of Certified Professional Managers, James Madison University, College of Business, Harrisonburg, VA 22807. Internet:  http://cob.jmu.edu/icpm  Advertising, Marketing, Promotions, Public Relations, and Sales Managers (0*NET 11-2011.00, 11-2021.00, 11-2022.00, 11-2031.00)  Significant Points •  Employment is projected to increase rapidly, but competition for jobs is expected to be intense.  •  College graduates with related experience, a high level of creativity, and strong communication skills should have the best job opportunities.  •  High earnings, substantial travel, and long hours, including evenings and weekends, are common.  Management and Business and Financial Operations Occupations 27  Nature of the Work The objective of any firm is to market and sell its products or ser­ vices profitably. In small firms, the owner or chief executive of­ ficer might assume all advertising, promotions, marketing, sales, and public relations responsibilities. In large firms, which may of­ fer numerous products and services nationally or even worldwide, an executive vice president directs overall advertising, promotions, marketing, sales, and public relations policies. (Executive vice presi­ dents are included in the Handbook statement on top executives.) Advertising, marketing, promotions, public relations, and sales managers coordinate the market research, marketing strategy, sales, advertising, promotion, pricing, product development, and public relations activities. Managers oversee advertising and promotion staffs, which usu­ ally are small, except in the largest firms. In a small firm, managers may serve as a liaison between the finn and the advertising or pro­ motion agency to which many advertising or promotional functions are contracted out. In larger firms, advertising managers oversee in-house account, creative, and media services departments. The account executive manages the account services department, as­ sesses the need for advertising and, in advertising agencies, main­ tains the accounts of clients. The creative services department develops the subject matter and presentation of advertising. The creative director oversees the copy chief, art director, and their re­ spective staffs. The media director oversees planning groups that select the communication media—for example, radio, television, newspapers, magazines, Internet, or outdoor signs—to disseminate the advertising. Promotion managers supervise staffs of promotion specialists. They direct promotion programs combining advertising with pur­ chase incentives to increase sales. In an effort to establish closer contact with purchasers—dealers, distributors, or consumers—pro­ motion programs may involve direct mail, telemarketing, television or radio advertising, catalogs, exhibits, inserts in newspapers, Internet advertisements or Web sites, instore displays or product endorse­ ments, and special events. Purchase incentives may include dis­ counts, samples, gifts, rebates, coupons, sweepstakes, and contests. Marketing managers develop the firm’s detailed marketing strat­ egy. With the help of subordinates, including product development managers and market research managers, they determine the de­ mand for products and services offered by the firm and its competi­ tors. In addition, they identify potential markets—for example, business firms, wholesalers, retailers, government, or the general public. Marketing managers develop pricing strategy with an eye towards maximizing the firm’s share of the market and its profits while ensuring that the firm’s customers are satisfied. In collabora­ tion with sales, product development, and other managers, they monitor trends that indicate the need for new products and services and oversee product development. Marketing managers work with advertising and promotion managers to promote the firm’s prod­ ucts and services and to attract potential users. Public relations managers supervise public relations specialists. (See the Handbook statement on public relations specialists.) These managers direct publicity programs to a targeted public. They of­ ten specialize in a specific area, such as crisis management—or in a specific industry, such as healthcare. They use every available com­ munication medium in their effort to maintain the support of the specific group upon whom their organization’s success depends, such as consumers, stockholders, or the general public. For ex­ ample, public relations managers may clarify or justify the firm’s point of view on health or environmental issues to community or special interest groups. Public relations managers also evaluate advertising and promo­  tion programs for compatibility with public relations efforts and https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  "ns#*; ;;;ggr  * . ■  Advertising, marketing, promotions, public relations, and sales managers design advertisements. serve as the eyes and ears of top management. They observe social, economic, and political trends that might ultimately affect the firm and make recommendations to enhance the firm’s image based on those trends. Public relations managers may confer with labor relations man­ agers to produce internal company communications—such as news­ letters about employee-management relations—and with financial managers to produce company reports. They assist company ex­ ecutives in drafting speeches, arranging interviews, and maintain­ ing other forms of public contact; oversee company archives; and respond to information requests. In addition, some handle special events such as sponsorship of races, parties introducing new prod­ ucts, or other activities the firm supports in order to gain public attention through the press without advertising directly. Sales managers direct the firm’s sales program. They assign sales territories, set goals, and establish training programs for the sales representatives. (See the Handbook statement on sales repre­ sentatives, wholesale and manufacturing.) Managers advise the sales representatives on ways to improve their sales performance. In large, multiproduct firms, they oversee regional and local sales managers and their staffs. Sales managers maintain contact with dealers and distributors. They analyze sales statistics gathered by their staffs to determine sales potential and inventory requirements and monitor the preferences of customers. Such information is vital to develop products and maximize profits. Working Conditions Advertising, marketing, promotions, public relations, and sales man­ agers are provided with offices close to those of top managers. Long hours, including evenings and weekends, are common. Almost 38 percent of advertising, marketing, and public relations managers worked 50 hours or more a week in 2000. Working under pressure is unavoidable when schedules change and problems arise, but dead­ lines and goals must still be met. Substantial travel may be involved. For example, attendance at meetings sponsored by associations or industries often is manda­ tory. Sales managers travel to national, regional, and local offices  28 Occupational Outlook Handbook  and to various dealers and distributors. Advertising and promotion managers may travel to meet with clients or representatives of com­ munications media. At times, public relations managers travel to meet with special interest groups or government officials. Job trans­ fers between headquarters and regional offices are common, par­ ticularly among sales managers. Employment Advertising, marketing, promotions, public relations, and sales man­ agers held about 707,000 jobs in 2000. The following tabulation shows the distribution of jobs by occupational specialty. Sales managers...................................................................................... Marketing managers............................................................................. Advertising and promotions managers............................................. Public relations managers....................................................................  343,000 190,000 100,000 74,000  These managers were found in virtually every industry. Sales managers held almost half of the jobs; most were employed in whole­ sale and retail trade, manufacturing, and services industries. Mar­ keting managers held more than one-fourth of the jobs; services and manufacturing industries employed about two-thirds of mar­ keting managers. Half of advertising and promotions managers worked in services industries, including advertising, computer and data processing, and engineering and management services. More than two-thirds of public relations managers were found in services industries, such as educational services, management and public relations, and social services. Training, Advancement, and Other Qualifications A wide range of educational backgrounds are suitable for entry into advertising, marketing, promotions, public relations, and sales mana­ gerial jobs, but many employers prefer those with experience in related occupations plus a broad liberal arts background. A bachelor’s degree in sociology, psychology, literature, journalism, or philosophy, among other subjects, is acceptable. However, re­ quirements vary, depending upon the particular job. For marketing, sales, and promotion management positions, some employers prefer a bachelor’s or master’s degree in business administration with an emphasis on marketing. Courses in busi­ ness law, economics, accounting, finance, mathematics, and statis­ tics are advantageous. In highly technical industries, such as computer and electronics manufacturing, a bachelor’s degree in engineering or science, combined with a master’s degree in busi­ ness administration, is preferred. For advertising management positions, some employers prefer a bachelor’s degree in advertising or journalism. A course of study should include marketing, consumer behavior, market research, sales, communication methods and technology, and visual arts— for example, art history and photography. For public relations management positions, some employers pre­ fer a bachelor’s or master’s degree in public relations or journal­ ism. The applicant’s curriculum should include courses in advertising, business administration, public affairs, public speak­ ing, political science, and creative and technical writing. For all these specialties, courses in management and comple­ tion of an internship while in school are highly recommended. Familiarity with word processing and database applications also is important for many positions. Computer skills are vital be­ cause interactive marketing, product promotion, and advertising on the Internet are increasingly common. The ability to commu­ nicate in a foreign language may open up employment opportuni­ ties in many rapidly growing niche markets around the country, especially in large cities and in areas with large Spanish-speaking  populations. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Most advertising, marketing, promotions, public relations, and sales management positions are filled by promoting experienced staff or related professional or technical personnel. For example, many managers are former sales representatives, purchasing agents, buyers, product or brand specialists, advertising specialists, promo­ tion specialists, and public relations specialists. In small firms, where the number of positions is limited, advancement to a management position usually comes slowly. In large firms, promotion may oc­ cur more quickly. Although experience, ability, and leadership are emphasized for promotion, advancement can be accelerated by participation in man­ agement training programs conducted by many large firms. Many firms also provide their employees with continuing education op­ portunities, either in-house or at local colleges and universities, and encourage employee participation in seminars and conferences, of­ ten provided by professional societies. In collaboration with col­ leges and universities, numerous marketing and related associations sponsor national or local management training programs. Courses include brand and product management, international marketing, sales management evaluation, telemarketing and direct sales, inter­ active marketing, promotion, marketing communication, market research, organizational communication, and data processing sys­ tems procedures and management. Many firms pay all or part of the cost for those who successfully complete courses. Some associations (listed under sources of additional informa­ tion) offer certification programs for advertising, marketing, sales, and public relations managers. Certification—a sign of compe­ tence and achievement in this field—is particularly important in a competitive job market. While relatively few advertising, market­ ing, and public relations managers currently are certified, the num­ ber of managers who seek certification is expected to grow. For example, Sales and Marketing Executives International offers a management certification program based on education and job per­ formance. The Public Relations Society of America offers an ac­ creditation program for public relations practitioners based on years of experience and an examination. Persons interested in becoming advertising, marketing, promo­ tions, public relations, and sales managers should be mature, cre­ ative, highly motivated, resistant to stress, flexible, and decisive. The ability to communicate persuasively, both orally and in writ­ ing, with other managers, staff, and the public is vital. These man­ agers also need tact, good judgment, and exceptional ability to establish and maintain effective personal relationships with super­ visory and professional staff members and client firms. Because of the importance and high visibility of their jobs, ad­ vertising, marketing, promotions, public relations, and sales man­ agers often are prime candidates for advancement to the highest ranks. Well-trained, experienced, successful managers may be pro­ moted to higher positions in their own, or other, firms. Some be­ come top executives. Managers with extensive experience and sufficient capital may open their own businesses. Job Outlook Advertising, marketing, promotions, public relations, and sales man­ ager jobs are highly coveted and will be sought by other managers or highly experienced professional and technical personnel, result­ ing in keen competition. College graduates with related experi­ ence, a high level of creativity, and strong communication skills should have the best job opportunities. Those who have new media and interactive marketing skills will be particularly sought after. Employment of advertising, marketing, promotions, public rela­ tions, and sales managers is expected to increase faster than the average for all occupations through 2010. Increasingly intense do­ mestic and global competition in products and services offered to  Management and Business and Financial Operations Occupations 29  consumers should require greater marketing, promotional, and public relations efforts by managers. The number of management and public relations firms may experience particularly rapid growth as businesses increasingly hire contractors for these services instead of additional full-time staff. Projected employment growth varies by industry. For example, employment of advertising, marketing, promotions, public relations, and sales managers is expected to grow much faster than average in most business services industries, such as computer and data pro­ cessing, and in management and public relations firms, while little or no change is projected in manufacturing industries. Earnings Median annual earnings in 2000 for advertising and promotions managers were $53,360; marketing managers, $71,240; sales man­ agers, $68,520; and public relations managers, $54,540. Earnings ranged from less than $27,840 for the lowest 10 percent of adver­ tising and promotions managers, to more than $ 137,780 for the high­ est 10 percent of sales managers. Median annual earnings in the industries employing the largest numbers of advertising and promotions managers in 2000 were as follows: Computer and data processing services............................................ Advertising.............................................................................................  $79,970 58,890  Median annual earnings in the industries employing the largest numbers of marketing managers in 2000 were as follows: Computer and data processing services............................................ Advertising.............................................................................................. Management and public relations......................................................  $85,750 72,590 70,170  Median annual earnings in the industries employing the largest numbers of sales managers in 2000 were as follows: Computer and data processing services............................................ Professional and commercial equipment......................................... New and used car dealers.................................................................... Hotels and motels..................................................................................  $86,690 84,770 80,680 42,210  Median annual earnings in the industries employing the largest numbers of public relations managers in 2000 were as follows: Management and public relations...................................................... Colleges and universities.....................................................................  $57,380 50,200  According to a National Association of Colleges and Employers survey, starting salaries for marketing majors graduating in 2001 averaged $35,000; those for advertising majors averaged $29,700. Salary levels vary substantially, depending upon the level of managerial responsibility, length of service, education, firm size, location, and industry. For example, manufacturing firms usually pay these managers higher salaries than nonmanufacturing firms do. For sales managers, the size of their sales territory is another important determinant of salary. Many managers earn bonuses equal to 10 percent or more of their salaries. Related Occupations Advertising, marketing, promotions, public relations, and sales man­ agers direct the sale of products and services offered by their firms and the communication of information about their firms’ activities. Other workers involved with advertising, marketing, promotions, public relations, and sales include actors, producers, and directors; artists and related workers; demonstrators, product promoters, and models; economists and market and survey researchers; public rela­ tions specialists; sales representatives, wholesale and manufactur­ Digitizeding; for FRASER and writers and editors. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Sources of Additional Information For information about careers and certification in sales and market­ ing management, contact: >■ Sales and Marketing Executives International, 5500 Interstate North Pkwy., No. 545, Atlanta, GA 30328-4662. Internet: http://www.smei.org For information about careers in advertising management, con­ tact: >- American Association of Advertising Agencies, 405 Lexington Ave., New York, NY 10174-1801. Internet: http://www.aaaa.org  Information about careers and certification in public relations management is available from: >- Public Relations Society of America, 33 Irving Place, New York, NY 10003-2376. Internet: http://www.prsa.org  Budget Analysts (0**NET 13-2031.00)  Significant Points  • •  •  Two out of five budget analysts work in Federal, State, and local governments. A bachelor’s degree generally is the minimum educational requirement; however, some employers require a master’s degree. Competition for jobs should remain keen due to the substantial number of qualified applicants; those with a master’s degree should have the best prospects.  Nature of the Work Deciding how to efficiently distribute limited financial resources is an important challenge in all organizations. In most large and com­ plex organizations, this task would be nearly impossible were it not for budget analysts. These professionals play the primary role in the development, analysis, and execution of budgets, which are used to allocate current resources and estimate future financial requirements. Without effective analysis of and feedback about budgetary prob­ lems, many private and public organizations could become bankrupt. Budget analysis can be found in private industry, nonprofit or­ ganizations, and the public sector. In private sector firms, a budget analyst examines, analyzes, and seeks new ways to improve effi­ ciency and increase profits. Although analysts working in non­ profit and governmental organizations usually are not concerned with profits, they still try to find the most efficient distribution of funds and other resources among various departments and programs. Budget analysts have many responsibilities in these organiza­ tions, but their primary task is providing advice and technical assis­ tance in the preparation of annual budgets. At the beginning of each budget cycle, managers and department heads submit proposed operational and financial plans to budget analysts for review. These plans outline expected programs, including proposed monetary in­ creases and new initiatives, estimated costs and expenses, and capi­ tal expenditures needed to finance these programs. Analysts examine the budget estimates or proposals for com­ pleteness, accuracy, and conformance with established procedures, regulations, and organizational objectives. Sometimes, they employ cost-benefit analysis to review financial requests, assess program trade-offs, and explore alternative funding methods. They also ex­ amine past and current budgets and research economic and finan­ cial developments that affect the organization’s spending. This process enables analysts to evaluate proposals in terms of the organization’s priorities and financial resources.  30 Occupational Outlook Handbook  mm  effectiveness. Analysts also may be involved in long-range plan­ ning activities such as projecting future budget needs. The budget analyst’s role has broadened as limited funding has led to downsizing and restructuring throughout private industry and government. Not only do they develop guidelines and policies gov­ erning the formulation and maintenance of the budget, but they also measure organizational performance, assess the effect of various programs and policies on the budget, and help draft budget-related legislation. In addition, budget analysts sometimes conduct train­ ing sessions for company or government agency personnel regard­ ing new budget procedures. Working Conditions Budget analysts usually work in a comfortable office setting. Long hours are common among these workers, especially during the ini­ tial development and mid-year and final reviews of budgets. The pressure of deadlines and tight work schedules during these peri­ ods can be extremely stressful, and analysts usually are required to work more than the routine 40 hours a week. Budget analysts spend the majority of their time working inde­ pendently, compiling and analyzing data, and preparing budget pro­ posals. Nevertheless, their schedule sometimes is interrupted by special budget requests, meetings, and training sessions. Some budget analysts travel to obtain budget details and explanations of various programs from coworkers, or to personally observe fund­ ing allocation. Employment Budget analysts held about 70,000 jobs throughout private industry and government in 2000. Federal, State, and local governments are major employers, accounting for two-fifths of all budget analyst jobs. The U.S. Department of Defense employed 7 of every 10 budget analysts working for the Federal Government. Other major employers include schools, hospitals, and banks.  Budget analysts must determine the most appropriate allocation of financial resources for an organization.  After this initial review process, budget analysts consolidate the individual departmental budgets into operating and capital bud­ get summaries. These summaries contain comments and support­ ing statements that support or argue against funding requests. Budget summaries then are submitted to senior management or, as is often the case in local and State governments, to appointed or elected officials. Budget analysts then help the chief operating officer, agency head, or other top managers analyze the proposed plan and devise possible alternatives if the projected results are unsatisfactory. The final decision to approve the budget, how­ ever, usually is made by the organization head in a private firm or by elected officials in government, such as the State legislative body. Throughout the remainder of the year, analysts periodically monitor the budget by reviewing reports and accounting records to determine if allocated funds have been spent as specified. If devi­ ations appear between the approved budget and actual performance, budget analysts may write a report explaining the causes of the variations along with recommendations for new or revised budget procedures. In order to avoid or alleviate deficits, they may rec­ ommend program cuts or reallocation of excess funds. They also inform program managers and others within their organization of the status and availability of funds in different budget accounts. Before any changes are made to an existing program or a new  one is implemented, a budget analyst assesses its efficiency and https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Training, Other Qualifications, and Advancement Private firms and government agencies generally require candidates for budget analyst positions to have at least a bachelor’s degree. Within the Federal Government, a bachelor’s degree in any field is sufficient for an entry-level budget analyst position. State and local governments have varying requirements, but a bachelor’s degree in one of many areas—accounting, finance, business or public admin­ istration, economics, political science, statistics, or a social science such as sociology—may qualify one for entry into the occupation. Sometimes, a field closely related to the employing industry or organization, such as engineering, may be preferred. An increasing number of State governments and other employers require a candi­ date to possess a master’s degree to ensure adequate analytical and communication skills. Some firms prefer candidates with back­ grounds in business because business courses emphasize quantita­ tive and analytical skills. Occasionally, budget and financial experience can be substituted for formal education. Because developing a budget involves manipulating numbers and requires strong analytical skills, courses in statistics or account­ ing are helpful, regardless of the prospective budget analyst’s ma­ jor field of study. Financial analysis is automated in almost every organization and, therefore, familiarity with word processing and the financial software packages used in budget analysis often is required. Software packages commonly used by budget analysts include electronic spreadsheet, database, and graphics software. Employers usually prefer job candidates who already possess these computer skills. In addition to analytical and computer skills, those seeking a career as a budget analyst also must be able to work under strict  Management and Business and Financial Operations Occupations 31  time constraints. Strong oral and written communication skills are essential for analysts because they must prepare, present, and defend budget proposals to decision makers. Entry-level budget analysts may receive some formal training when they begin their jobs, but most employers feel that the best training is obtained by working through one complete budget cycle. During the cycle, which typically is one year, analysts become fa­ miliar with the various steps involved in the budgeting process. The Federal Government, on the other hand, offers extensive on-the-job and classroom training for entry-level trainees. In addition to onthe-job training, budget analysts are encouraged to participate in the various classes offered throughout their careers. Some budget analysts employed in the Federal, State, or local level may choose to receive the Certified Government Financial Manager (CGFM) designation granted by the Association of Gov­ ernment Accountants. Other government financial officers also may receive this designation. Candidates must have a minimum of a bachelor’s degree, 24 hours of study in financial management, 2 years’ experience in government, and pass a series of 3 exams. The exams cover topics in governmental environment; governmental accounting, financial reporting, and budgeting; and financial man­ agement and control. Budget analysts start their careers with limited responsibilities. In the Federal Government, for example, beginning budget analysts compare projected costs with prior expenditures, consolidate and enter data prepared by others, and assist higher grade analysts by doing research. As analysts progress, they begin to develop and formulate budget estimates and justification statements, perform in-depth analyses of budget requests, write statements supporting funding requests, advise program managers and others on the status and availability of funds in different budget activities, and present and defend budget proposals to senior managers. Beginning analysts usually work under close supervision. Ca­ pable entry-level analysts can be promoted into intermediate-level positions within 1 to 2 years, and then into senior positions within a few more years. Progressing to a higher level means added budget­ ary responsibility and can lead to a supervisory role. Because of the importance and high visibility of their jobs, senior budget analysts are prime candidates for promotion to management positions in various parts of the organization.  Job Outlook Competition for budget analyst jobs should remain keen due to the substantial number of qualified applicants. Candidates with a master’s degree should have the best job opportunities. Familiarity with computer financial software packages also should enhance a jobseeker’s employment prospects. Employment of budget analysts is expected to grow about as fast as the average for all occupations through 2010. Employment growth will be driven by the continuing demand for sound finan­ cial analysis in both public and private sector organizations. In addition to employment growth, many job openings will result from the need to replace experienced budget analysts who transfer to other occupations or leave the labor force. The expanding use of computer applications in budget analysis increases worker productivity by enabling analysts to process more data in less time. However, because analysts now have a greater supply of data available to them, their jobs are becoming more com­ plicated. In addition, as businesses become increasingly complex and specialization within organizations becomes more common, planning and financial control increasingly demand attention. These factors should offset any adverse effects of computer usage on em­  ployment of budget analysts. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  In coming years, companies will continue to rely heavily on bud­ get analysts to examine, analyze, and develop budgets. Because the financial analysis performed by budget analysts is an important func­ tion in every large organization, the employment of budget analysts has remained relatively unaffected by downsizing in the Nation’s workplaces. In addition, because financial and budget reports must be completed during periods of economic growth and slowdowns, budget analysts usually are less subject to layoffs during economic downturns than many other workers. Earnings Salaries of budget analysts vary widely by experience, education, and employer. Median annual earnings of budget analysts in 2000 were $48,370. The middle 50 percent earned between $38,400 and $61,030. The lowest 10 percent earned less than $31,260, and the highest 10 percent earned more than $74,030. According to a 2001 survey conducted by Robert Half Interna­ tional, a staffing services firm specializing in accounting and fi­ nance, starting salaries of budget and other financial analysts in small firms ranged from $29,750 to $35,500; in large organizations compensation ranged from $33,250 to $40,000. In small firms, analysts with 1 to 3 years of experience earned from $34,500 to $42,750; in large companies they made from $40,250 to $51,000. Senior analysts in small firms earned from $37,750 to $55,750; in large firms they made from $51,500 to $64,000. Earnings of man­ agers in this field ranged from $40,500 to $62,750 a year in small firms, while managers in large organizations earned between $63,500 and $81,250. In the Federal Government, budget analysts usually started as trainees earning $21,947 or $27,185 a year in 2001. Candidates with a master’s degree might begin at $33,254. Beginning salaries were slightly higher in selected areas where the prevailing local pay level was higher. The average annual salary in 2001 for budget analysts employed by the Federal Government in nonsupervisory, supervisory, and managerial positions was $56,710. Related Occupations Budget analysts review, analyze, and interpret financial data; make recommendations for the future; and assist in the implementation of new ideas and financial strategies. Workers who use these skills in other occupations include accountants and auditors, cost estima­ tors, economists and market and survey researchers, financial ana­ lysts and personal financial advisors, financial managers, and loan counselors and officers. Sources of Additional Information Information about career opportunities as a budget analyst may be available from your State or local employment service. Information on careers in government financial management and the CGFM designation may be obtained from: ► Association of Government Accountants, 2208 Mount Vernon Ave., Al­ exandria, VA 22301. Internet: http://www.agacgfm.org  Information on careers in budget analysis at the State govern­ ment level can be obtained from: ► National Association of State Budget Officers, Hall of the States Build­ ing, Suite 642,444 North Capitol St. NW, Washington, DC 20001. Internet: http://www.nasbo.org  Information on obtaining a budget analyst position with the Fed­ eral Government is available from the Office of Personnel Manage­ ment (OPM) through a telephone-based system. Consult your telephone directory under U.S. Government for a local number or call (912) 757-3000; Federal Relay Service: (800) 877-8339. The first number is not tollfree, and charges may result. Information also is available from the OPM Internet site: http://www.usajobs.opm.gov.  32 Occupational Outlook Handbook  Claims Adjusters, Appraisers, Examiners, and Investigators (0*NET 13-1031.01, 13-1031.02, 13-1032.00)  Significant Points  •  • •  Adjusters and examiners investigate claims, negotiate settlements, and authorize payments, while investigators deal with claims in which fraud or criminal activity is suspected. Most employers prefer to hire college graduates. The greatest demand for adjusters will be in property and casualty, and health insurance; competition will remain keen for jobs as investigators because this occupation attracts many qualified people.  Nature of the Work Claims adjusters, appraisers, examiners and investigators perform a wide range of functions, but their most important role is acting as intermediaries with the public. Insurance companies and indepen­ dent adjusting firms employ adjusters, appraisers, examiners, and investigators to deal with the challenges they face, such as handling claims, interpreting and explaining policies or regulations, and re­ solving billing disputes. Within insurance companies, claims representatives investigate claims, negotiate settlements, and authorize payments to claimants. When a policyholder files a claim for property damage or a hospital stay, for example, a claim representative must initially determine whether the customer’s insurance policy covers the loss and the amount of the loss covered. They then must determine the amount to pay the claimant. In life and health insurance companies, claim representatives typically are called claims examiners. Claims examiners usually specialize in group or individual insurance plans and in hospital, dental, or prescription drug claims. Examiners review health-re­ lated claims to see if the costs are reasonable based on the diagno­ sis. They check with guides that provide information on the average period of disability for various causes, expected treatments, and average hospital stay. Examiners will then either authorize the ap­ propriate payment or refer the claim to an investigator for a more thorough review. Claims examiners working in life insurance review the causes of death, particularly in the case of an accident, as most life insur­ ance companies pay additional benefits if the death is due to an accident. Claims examiners also may review new applications for life insurance to make sure applicants have no serious illnesses that would prevent them from qualifying for insurance. In property and casualty insurance, claims adjusters handle mi­ nor claims filed by automobile or homeowner policyholders. These workers contact claimants by telephone or mail to obtain informa­ tion on repair costs, medical expenses, or other details the company requires. Many companies centralize this operation through a claims center, where the cost of repair is determined and a check is issued immediately. More complex cases, usually involving bodily injury, are referred to senior adjusters. Some adjusters work with multiple types of insurance; however, most specialize in homeowner claims, business losses, automotive damage, product liability, or workers’ compensation. Some clients may choose to hire a public adjuster. They per­ form the same services as adjusters who work directly for compa­  nies. Public adjusters assist clients in preparing and presenting https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  claims to insurance companies and try to negotiate a fair settle­ ment. They work in the best interests of the client, rather than the insurance company. Claims adjusters primarily plan and schedule the work required to process a claim. They investigate claims by interviewing the claimant and witnesses, consulting police and hospital records, and inspecting property damage to determine the extent of the company’s liability. Claims adjusters and examiners may also consult with other professionals, who can offer a more expert evaluation of a claim. Some of these professionals include accountants, architects, construction workers, engineers, lawyers, and physicians. The in­ formation gathered, including photographs and written or taped statements, is included in a report that is then used to evaluate a claim. When the policyholder’s claim is legitimate, the claims adjuster negotiates with the claimant and settles the claim. When claims are contested, adjusters may testify in court and refer claims to an investigator. Auto damage appraisers usually are hired by insurance compa­ nies and independent adjusting firms to inspect auto damage after an accident and provide repair cost estimates. Auto damage ap­ praisers are valued by insurance companies because they can pro­ vide an unbiased judgment of repair costs. Otherwise, the companies would have to rely on auto mechanic estimates, which might be unreasonably high. Many claims adjusters and auto damage appraisers are equipped with laptop computers, from which they can download the neces­ sary forms and files from insurance company databases. Many ad­ justers and appraisers are equipped with digital cameras, which allow photographs of the damage to be sent to the company via the Internet or satellite. There also are new software programs that can give estimates of damage based on the information input directly into the computer. These new technologies allow for faster and more efficient processing of claims. Many insurance companies are emphasizing better customer ser­ vice. One way they are achieving this is by offering access to claims services at any time. Most larger companies use call centers, staffed with customer service representatives. (See the statements on cus­ tomer service representatives and insurance sales agents elsewhere in the Handbook.) These workers obtain information from policy­ holders regarding claims resulting from fire damage, personal in­ jury or illness, or an automobile accident, for example. They primarily are responsible for getting the necessary information on a claim, such as specific details of an accident. Once the information is entered, the customer service representative forwards the claim to a claims adjuster or examiner. This allows the adjusters or exam­ iners to concentrate on investigating the claim. However, claims adjusters and examiners working for small insurance companies may still answer phones and take claims information, and then handle the claims themselves. When adjusters or examiners suspect a case might involve fraud, they refer the claim to an investigator. Insurance investigators work in an insurance company’s Special Investigative Unit and handle claims in which a company suspects there might be fraudulent or criminal activity, such as arson cases, false workers’ disability claims, staged accidents, or unnecessary medical treatments. The severity of insurance fraud cases can vary greatly, from claimants simply overstating damage on a vehicle, to complicated fraud rings, often involving many claimants, fraudulent doctors and lawyers, and even insurance personnel. Investigators usually start with a database search to obtain back­ ground information on claimants and witnesses. Investigators can access personal infonnation and identify Social Security numbers, aliases, driver license numbers, addresses, phone numbers, crimi­ nal records, and past claims histories to establish if a claimant has  Management and Business and Financial Operations Occupations 33  piK  of such incidents. In general, adjusters are able to arrange their work schedule to accommodate evening and weekend appointments with clients. This accommodation may result in adjusters working 50 or 60 hours a week. Some report to the office every morning to get their assignments while others simply call from home and spend their days traveling to claim sites. New technology, such as laptop computers and cell phones, is making telecommuting easier for claims adjusters and auto damage appraisers. Many adjusters work inside their office only a few hours a week. Some adjusters’ busi­ ness is based entirely out of their home. Insurance investigators often work irregular hours because of the need to conduct surveillance and contact people who are not available during normal working hours. Early morning, evening, and weekend work is common. Some days investigators will spend all day in the office doing database searches and making phone calls. Other times, they may be away doing surveillance or inter­ viewing witnesses. Some of the work can involve confrontation with claimants and others involved in a case, so the job can be stress­ ful and dangerous. Employment Claims adjusters, appraisers, examiners, and investigators held about 207,000 jobs in 2000. Of these, almost 13,000 were auto damage insurance appraisers. Two percent of adjusters, appraisers, exam­ iners, and investigators were self-employed. Insurance companies employ the vast majority of claims adjust­ ers, appraisers, examiners, and investigators. Insurance sales agents and brokers and independent adjusting and claims processing firms employ them as well.  Claims adjusters, appraisers, examiners, and investigators gather facts and ensure that clients’ claims are paid promptly. ever attempted insurance fraud. Then, investigators may visit claim­ ants and witnesses to obtain a recorded statement; take photographs; and inspect facilities, such as a doctor’s office, to determine whether it has a proper license. Investigators often consult with legal coun­ sel and can be expert witnesses in court cases. Often, investigators also will perform surveillance work. For example, in a case involving fraudulent workers’ compensation claims, an investigator may carry out long-tenn covert observation of the subject. If the investigator observes the subject performing an activity that contradicts injuries stated in a workers’ compensa­ tion claim, the investigator would take video or still photographs to document the activity and report it to the insurance company. Working Conditions Working environments of claims adjusters, appraisers, examiners, and investigators vary greatly. Most claims examiners working for life and health insurance companies work a standard 5-day, 40-hour week and work in a typical office environment. Claims adjusters and auto damage appraisers, on the other hand, often work outside the office, inspecting damaged buildings and automobiles. Damaged buildings provide potential hazards such as collapsed roofs and floors and weakened structures of which adjusters must be wary. Occasionally, experienced adjusters are away from home for days when they travel to the scene of a disaster—such as a tor­ nado, hurricane, or flood—to work with local adjusters and gov­ Digitizedernment for FRASER officials. Some adjusters are on emergency call in the case https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Training, Other Qualifications, and Advancement Training and entry requirements vary widely for claims adjusters, appraisers, examiners, and investigators. However, most compa­ nies prefer to hire college graduates. No specific college major is recommended. A claims adjuster, though, who has a business or an accounting background might specialize in claims of financial loss due to strikes, equipment breakdowns, or merchandise damage. College training in architecture or engineering is helpful in adjust­ ing industrial claims, such as damage from fires and other acci­ dents. Some claims adjusters and examiners who are professionals in their field might decide to use their expertise to adjust claims. A legal background can be beneficial to someone handling workers’ compensation and product liability cases. A medical background is useful for those examiners working on medical and life insurance claims. Because they often work closely with claimants, witnesses, and other insurance professionals, claims adjusters and examiners must be able to communicate effectively with others. Knowledge of com­ puter applications also is extremely important. Some companies require applicants to pass a series of written aptitude tests designed to measure communication, analytical, and general mathematical skills. About one-third of the States require independent, or public, adjusters to be licensed. Applicants in these States usually must comply with one or more of the following: Pass a licensing exami­ nation covering the fundamentals of adjusting; complete an approved course in insurance or loss adjusting; furnish character references; be at least 20 or 21 years of age and a resident of the State; and file a surety bond. Claims adjusters working for companies usually can work under the company license and do not need to become li­ censed themselves. It is very important for claims adjusters and examiners to re­ ceive continuing education in claims. There frequently are new Federal and State laws and court decisions that affect how claims are handled or who is covered by insurance policies. Also, claims  34 Occupational Outlook Handbook  examiners working on life and health claims must be familiar with new medical procedures and prescription drugs. Some States that require adjusters to be licensed also require a certain number of continuing education (CE) credits per year in order to renew the license. These credits can be obtained from a number of sources. Many companies offer training sessions to inform their employees of industry changes. Many schools and adjuster associations offer courses and seminars in various claims topics. Correspondence courses via the Internet are making long-distance learning possible. Adjusters also can earn CE credits by writing articles for claims publications or giving lectures and presentations. Many adjusters and examiners choose to pursue certain certifi­ cations and designations to distinguish themselves. The Insurance Institute of America offers an Associate in Claims (AIC) designa­ tion upon successful completion of four essay examinations. Ad­ justers can prepare for the examination through independent home study or company and public classes. The Institute also offers a certificate upon successful completion of the Introduction to Claims program and an examination. The Registered Professional Adjust­ ers, Inc., offers the Registered Professional Adjuster (RPA) desig­ nation. For public, adjusters specifically, The National Association of Public Insurance Adjusters offers both the Certified Professional Public Adjuster (CPPA) and Senior Professional Public Adjuster (SPPA) designations. For claims examiners in the life and health insurance industries, the International Claim Association offers the Associate, Life and Health Claims (ALHC) and the Fellow, Life and Health Claims (FLHC). Most designations require at least 5 to 10 years’ experience in the claims field, passing examinations, and earning a certain number of CE credits a year. Auto damage appraisers typically begin as auto-body repair work­ ers, and then get hired by insurance companies or independent ad­ justing firms. While auto-body workers do not require a college education, most companies require at least a bachelor’s degree. Only four States require auto damage appraisers to be licensed. Like adjusters and examiners, continuing education is very important because of the introduction of new car models and repair techniques. The Independent Automotive Damage Appraisers Association pro­ vides seminars and training sessions in different aspects of auto damage appraising. Most insurance companies prefer to hire former law enforce­ ment officers or private investigators as insurance investigators. Many experienced claims adjusters or examiners also can become investigators. Licensing requirements vary among States. Most employers look for individuals with ingenuity who are persistent and assertive. Investigators must not be afraid of confrontation, should communicate well, and should be able to think on their feet. Good interviewing and interrogation skills also are important and usually are acquired in earlier careers in law enforcement. Beginning claims adjusters, appraisers, examiners, and investi­ gators work on small claims under the supervision of an experi­ enced worker. As they learn more about claims investigation and settlement, they are assigned larger, more complex claims. Train­ ees are promoted as they demonstrate competence in handling as­ signments and progress in their coursework. Employees who demonstrate competence in claims work or administrative skills may be promoted to claims approver or claims manager. Similarly, claims investigators may rise to supervisor or manager of the investiga­ tions department. Once they achieve a certain level of expertise, many choose to start their own independent adjusting or auto dam­ age appraising firms. Job Outlook Employment of claims adjusters, appraisers, examiners, and inves­ tigators is expected to grow about as fast as the average for all  https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  occupations over the 2000-10 period. Opportunities will be best in the areas of property and casualty insurance, and health insurance. Many job openings also will result from the need to replace workers who transfer to other occupations or leave the labor force. Many insurance carriers are downsizing their claims staff in an effort to contain costs. Larger companies are relying more on customer service representatives in call centers to handle the re­ cording of the necessary details of the claim, allowing adjusters to spend more of their time investigating claims. New technol­ ogy also is reducing the amount of time it takes for an adjuster to complete a claim, therefore increasing the number of claims one adjuster can handle. However, so long as insurance policies are being sold, there will be a need for adjusters, appraisers, examin­ ers, and investigators. Despite recent gains in productivity re­ sulting from technological advances, these jobs are not easily automated. Adjusters still are needed to contact policyholders, inspect dam­ aged property, and consult with experts. The greatest demand for adjusters will be in the property and casualty field, as well as in health insurance. An increase in the number of auto and homeowners policies sold eventually will result in more claims. As Federal and State laws require health insurers to accept more applicants for in­ surance coverage, the number of policies sold will increase. And as the population ages, there will be a greater need for health care, resulting in more claims. Demand for insurance investigators should grow along with the number of claims in litigation and the number and complexity of insurance fraud cases. Competition for investigator jobs will re­ main keen, however, because this occupation attracts many quali­ fied people, including retirees from law enforcement and military careers. Many claims adjusters and examiners also choose to get their investigator license. Like that of claims adjusters, examiners, and investigators, em­ ployment of auto damage appraisers should grow about as fast as the average for all occupations. Insurance companies and agents are selling more auto insurance policies, which eventually will lead to more claims being filed that will require the attention of an auto damage appraiser. This occupation is not easily automated, because most appraisal jobs require an onsite inspection. However, em­ ployment growth will be limited by industry downsizing and the implementation of new technology that is making auto damage ap­ praisers more efficient.  Earnings Earnings of claims adjusters, examiners, and investigators vary sig­ nificantly. Median annual earnings were $41,080 in 2000. The middle 50 percent earned between $31,960 and $54,300. The low­ est 10 percent earned less than $25,860, and the highest 10 percent earned more than $68,130. In 2000, median annual earnings in the industries employing the largest number of claims adjusters, exam­ iners, and investigators were: Fire, marine, and casualty insurance................................................. State government.............................................................................. Life insurance......................................................................................... Insurance agents, brokers, and service............................................. Medical service and health insurance................................................  $45,060 41,620 39,850 38,960 34,560  Claims adjusters and appraisers working for insurance compa­ nies tend to earn slightly higher average earnings than independent adjusters because they have a steady income. Independent adjust­ ers receive a percentage of the insurance company’s settlement with  Management and Business and Financial Operations Occupations 35  its clients. This can result in irregular income. Many claims ad­ justers receive additional bonuses or benefits as part of their job. Adjusters often are furnished a laptop computer, a cellular tele­ phone, and a company car or are reimbursed for use of their own vehicle for business purposes. Median annual earnings of insurance appraisers, auto damage, were $40,000 in 2000. The middle 50 percent earned between $31,900 and $49,170. The lowest 10 percent earned less than $25,030, and the highest 10 percent earned more than $56,330. In 2000, median annual earnings in the industries employing the larg­ est number of insurance appraisers, auto damage were: Fire, marine, and casualty insurance................................................ Insurance agents, brokers, and service.............................................  Information on careers in auto damage appraising can be ob­ tained from: >• Independent Automotive Damage Appraisers Association, P.O. Box 1166, Nixa, MO 65714. Internet: http://www.iada.org  Computer and Information Systems Managers (0*NET 11-3021.00)  $43,090 35,850  • Related Occupations Insurance adjusters and examiners must determine the validity of a claim and negotiate a settlement. They also are responsible for determining how much to reimburse the client. Similar occupa­ tions include cost estimators, bill and account collectors, medical records and health information technicians, billing and posting clerks, and bookkeeping, accounting, and auditing clerks. When determining the validity of a claim, insurance adjusters must inspect the damage in order to assess the magnitude of the loss. Workers who perform similar duties include fire inspectors and investigators, and construction and building inspectors. Insurance investigators detect and investigate fraudulent claims and criminal activity. Their work is similar to that of detective and criminal investigators and of private detectives and investigators. Like automotive body and related repairers and automotive ser­ vice technicians and mechanics, auto damage appraisers must be familiar with the structure and functions of different automobiles and parts. Other insurance-related occupations include insurance sales agents and insurance underwriters.  Sources of Additional Information General information about a career as a claims adjuster, apprais­ er, examiner, or investigator is available from the home offices of many life, health, and property and casualty insurance companies. Information about licensing requirements for claim adjusters may be obtained from the department of insurance in each State. For information about the Associate in Claims (AIC) designa­ tion, or the Introduction to Claims program, contact: >■ Insurance Institute of America, 720 Providence Rd., P.O. Box 3016, Malvern, PA 19355-0716. Internet: http://www.aicpcu.org  For information on the Certified Professional Public Adjuster (CPPA) and the Senior Professional Public Adjuster (SPPA) pro­ grams, contact: >- National Association of Public Insurance Adjusters, 112-J Elden St., Herndon, VA 20170. Internet: http://www.napia.com  For information on the Registered Professional Adjuster (RPA) designation, contact: > Registered Professional Adjusters, Inc., P.O. Box 3239, Napa, CA 94558. Internet: http://www.rpa-adj uster.com  For information on the Associate, Life and Health Claims (ALHC) and the Fellow, Life and Health Claims (FLHC) programs, contact: ► International Claim Association, 1255 23rd St. NW., Washington, DC   20037. Internet: http://www.claim.org https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  •  •  Significant Points Projected job growth stems primarily from rapid growth among computer-related occupations. Employers prefer managers with advanced technical knowledge acquired through computer-related work experience and formal education. Job opportunities should be best for applicants with a master’s degree in business administration with technology as a core component.  Nature of the Work The need for organizations to incorporate existing and future tech­ nologies in order to remain competitive has become a more press­ ing issue over the last several years. As electronic commerce becomes more common, how and when companies use technology are critical issues. Computer and information systems managers play a vital role in the technological direction of their organiza­ tions. They do everything from constmcting the business plan to overseeing network and Internet operations. Computer and information systems managers plan, coordinate, and direct research and design the computer-related activities of firms. They determine technical goals in consultation with top management, and make detailed plans for the accomplishment of these goals. For example, working with their staff, they may de­ velop the overall concepts of a new product or identify computerrelated problems standing in the way of project completion. Computer and information systems managers direct the work of systems analysts, computer programmers, support specialists, and other computer-related workers. These managers plan and coordi­ nate activities such as the installation and upgrading of hardware and software, programming and systems design, the development of computer networks, and the implementation of Internet and intranet sites. They are increasingly involved with the upkeep and mainte­ nance of networks. They analyze the computer and information needs of their organization and determine personnel and equipment require­ ments. They assign and review the work of their subordinates, and stay abreast of the latest technology in order to purchase necessary equipment. The duties of computer and information systems managers vary with their specific titles. Chief technology officers, for example, evaluate the newest and most innovative technologies and deter­ mine how these can help their organization. The chief technology officer, who often reports to the organization’s chief information officer, manages and plans technical standards and tends to the daily information technology issues of their firm. (Chief information officers are covered in a separate Handbook statement on top ex­ ecutives.) Because of the rapid pace of technological change, chief technology officers must constantly be on the lookout for develop­ ments that could benefit their organization. They are responsible for demonstrating to a company how information technology can  36 Occupational Outlook Handbook  nmfs§n  Computer and information systems managers direct the technical work of their staff.  be used as a competitive weapon that not only cuts costs, but also increases revenue. Management of information systems {MIS) directors manage information systems and computing resources for entire organiza­ tions. They also work under the chief information officer and deal directly with lower-level information technology employees. These managers oversee a variety of user services such as an organization’s help desk, which employees can call with questions or problems. MIS directors may also make hardware and software upgrade recommendations based on their experience with an organization’s technology. Computer and information system managers need strong com­ munication skills. They coordinate the activities of their unit with those of other units or organizations. They confer with top execu­ tives; financial, production, marketing, and other managers; and contractors and equipment and materials suppliers. Working Conditions Computer and information systems managers spend most of their time in an office. Most work at least 40 hours a week and may have to work evenings and weekends to meet deadlines or solve unexpected problems. Some computer and information systems managers may experience considerable pressure in meeting tech­ nical goals within short timeframes or tight budgets. As networks continue to expand and more work is done remotely, computer and information system managers have to communicate with and over­ see offsite employees using modems, laptops, e-mail, and the Internet. Like other workers who sit continuously in front of a keyboard, computer and information system managers are susceptible to eye­ strain, back discomfort, and hand and wrist problems such as car­ pal tunnel syndrome. Employment Computer and information systems managers held about 313,000 jobs in 2000. About 2 in 5 works in services industries, primarily for firms providing computer and data processing services. Other large employers include insurance and financial services firms, gov­ ernment agencies, and manufacturers. Training, Other Qualifications, and Advancement Strong technical knowledge is essential for computer and informa­ Digitized tion for FRASER systems managers, who must understand and guide the work https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  of their subordinates, yet also explain the work in nontechnical terms to senior management and potential customers. Therefore, these management positions usually require work experience and formal education similar to that of other computer occupations. Many computer and information systems managers have experi­ ence as systems analysts; others may have experience as computer support specialists, programmers, or other information technology professionals. A bachelor’s degree is usually required for manage­ ment positions, although employers often prefer a graduate degree, especially a master’s degree in business administration (MBA) with technology as a core component. This degree differs from a tradi­ tional MBA in that there is a heavy emphasis on information tech­ nology in addition to the standard business curriculum. This becomes important because more computer and information systems manag­ ers make not only important technology decisions but also impor­ tant business decisions for their organizations. A few computer and information systems managers may have only an associate degree, provided they have sufficient experience and were able to learn ad­ ditional skills on the job. Computer and information systems managers need a broad range of skills. In addition to technical skills, employers also seek man­ agers with strong business skills. Employers want managers who have experience with the specific software or technology to be used on the job, as well as a background in either consulting or business management. The expansion of electronic commerce has elevated the importance of business insight, because many manag­ ers are called upon to make important business decisions. Man­ agers need a keen understanding of people, processes, and customer’s needs. Computer and information systems managers must possess strong interpersonal, communication, and leadership skills because they are required to interact not only with their employees, but also with people inside and outside their organization. They must also possess great team skills to work on group projects and other col­ laborative efforts. Computer and information systems managers increasingly interact with persons outside their organization, re­ flecting their emerging role as vital parts of their firm’s executive team. Computer and information systems managers may advance to progressively higher leadership positions in their field. Some may become managers in nontechnical areas such as marketing, human resources, or sales. In high technology firms, managers in nontech­ nical areas often must possess the same specialized knowledge as do managers in technical areas.  Job Outlook Employment of computer and information systems managers is ex­ pected to increase much faster than the average for all occupations through the year 2010. Technological advancements will increase the employment of computer-related workers; as a result, the de­ mand for managers to direct these workers also will increase. In addition, job openings will result from the need to replace manag­ ers who retire or move into other occupations. Opportunities for obtaining a management position will be best for workers possess­ ing an MBA with technology as a core component, advanced tech­ nical knowledge, and strong communication and administrative skills. Rapid growth in employment can be attributed to the explosion in information technology and the fast-paced expansion of the com­ puter and data processing services industry. In order to remain com­ petitive, firms will continue to install sophisticated computer networks and set up more complex Internet and intranet sites. Keep­ ing a computer network running smoothly is essentia] to almost  Management and Business and Financial Operations Occupations 37  every organization. Firms will be more willing to hire managers who can accomplish that. The security of computer networks will continue to increase in importance as more business is conducted over the Internet. Orga­ nizations need to understand how their systems are vulnerable and how to protect their infrastructure and Internet sites from hackers, viruses, and other acts of cyber-terrorism. As a result, there will be a high demand for managers proficient in computer security issues. Due to the explosive growth of electronic commerce and the ability of the Internet to create new relationships with customers, the role of computer and information systems managers will con­ tinue to evolve in the future. They will continue to become more vital to their companies and the environments in which they work. The expansion of e-commerce will spur the need for computer and information systems managers with both business savvy and tech­ nical proficiency. Opportunities for those who wish to become computer and in­ formation systems managers should be closely related to the growth of the occupations they supervise and the industries in which they are found. (See the statements on computer programmers; com­ puter software engineers; computer support specialists and systems administrators; and systems analysts, computer scientists, and data­ base administrators elsewhere in the Handbook.) Earnings Earnings for computer and information systems managers vary by specialty and level of responsibility. Median annual earnings of these managers in 2000 were $78,830. The middle 50 percent earned between $59,640 and $100,820. The lowest 10 percent earned less than $44,090, and the highest 10 percent earned more than $ 127,460. Median annual earnings in the industries employing the largest num­ bers of computer and information systems managers in 2000 were: Professional and commercial equipment......................................... $92,270 Computer and data processing services............................................... 88,410 Commercial banks.................................................................................... 82,490 Management and public relations.......................................................... 73,930 64,460 Colleges and universities.........................................................................  According to Robert Half International Consulting, average start­ ing salaries in 2001 for high-level information technology manag­ ers ranged from $92,250 to $152,500. According to a 2001 survey by the National Association of Colleges and Employers, starting salary offers for those with an MBA, a technical undergraduate de­ gree, and 1 year or less of experience averaged $61,196; for those with a master’s degree in management information systems/busi­ ness data processing, $57,225. In addition, computer and information systems managers, espe­ cially those at higher levels, often receive more benefits—such as expense accounts, stock option plans, and bonuses—than do nonmanagerial workers in their organizations. Related Occupations The work of computer and information systems managers is closely related to that of computer programmers, computer software engi­ neers; systems analysts, computer scientists, and database adminis­ trators; and computer support specialists and systems administrators. Computer and information systems managers also have some highlevel responsibilities similar to those of top executives.  Sources of Additional Information For information about a career as a computer and information sys­ tems manager, contact the sources of additional information for the  various computer occupations discussed elsewhere in the Handbook. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Construction Managers (0*NET 11-9021.00)  •  •  • •  Significant Points Construction managers must be available—often 24 hours a day—to deal with delays, bad weather, or emergencies at the jobsite. Employers prefer individuals who combine construction industry work experience with a bachelor’s degree in construction science, construction management, or civil engineering. Excellent opportunities are expected for qualified managers. Employment can be sensitive to the short-term nature of many construction projects and cyclical fluctuations in construction activity.  Nature of the Work Construction managers plan and direct construction projects. They may have job titles such as constmctor, constmction superinten­ dent, general superintendent, project engineer, project manager, general construction manager, or executive constmction manager. Constmction managers may be owners or salaried employees of a constmction management or contracting firm, or may work under contract or as a salaried employee of the owner, developer, contrac­ tor, or management firm overseeing the constmction project. The Handbook uses the term “constmction manager” to describe sala­ ried or self-employed managers who oversee constmction supervi­ sors and workers. In contrast with the Handbook definition, “constmction man­ ager” is defined more narrowly within the constmction industry to denote a management firm, or an individual employed by such a firm, involved in managerial oversight of a constmction project. Under this definition, constmction managers usually represent the owner or developer with other participants throughout the project. Although they usually play no direct role in the actual constmction of a structure, they typically schedule and coordinate all design and constmction processes, including the selection, hiring, and over­ sight of specialty trade contractors. Managers who work in the constmction industry, such as gen­ eral managers, project engineers, and others, increasingly are called constructors. Through education and past work experience, this broad group of managers manages, coordinates, and supervises the constmction process from the conceptual development stage through final constmction on a timely and economical basis. Given designs for buildings, roads, bridges, or other projects, constmctors over­ see the organization, scheduling, and implementation of the project to execute those designs. They are responsible for coordinating and managing people, materials, and equipment; budgets, sched­ ules, and contracts; and safety of employees and the general public. On large projects, constmction managers may work for a gen­ eral contractor—the firm with overall responsibility for all activi­ ties. There, they oversee the completion of all constmction in accordance with the engineer’s and architect’s drawings and speci­ fications and prevailing building codes. They arrange for trade contractors to perform specialized craftwork or other specified con­ stmction work. On small projects, such as remodeling a home, a self-employed constmction manager or skilled trades worker who directs and oversees employees often is referred to as the constmc­ tion “contractor.”  38 Occupational Outlook Handbook  “Tf *  Construction managers direct and monitor the progress of construction activities. Large construction projects, such as an office building or indus­ trial complex, are too complicated for one person to manage. These projects are divided into many segments: Site preparation, includ­ ing land clearing and earth moving; sewage systems; landscaping and road construction; building construction, including excavation and laying foundations, erection of structural framework, floors, walls, and roofs; and building systems, including fire-protection, electrical, plumbing, air-conditioning, and heating. Construction managers may be in charge of one or more of these activities. Con­ struction managers often team with workers in other occupations, such as engineers and architects. Construction managers evaluate various construction methods and determine the most cost-effective plan and schedule. They de­ termine the appropriate construction methods and schedule all re­ quired construction site activities into logical, specific steps, budgeting the time required to meet established deadlines. This may require sophisticated estimating and scheduling techniques and use of computers with specialized software. (See the statement on cost estimators elsewhere in the Handbook.) This also involves the selection and coordination of trade contractors hired to complete specific pieces of the project—which could include everything from structural metalworking and plumbing to painting and carpet in­ stallation. Construction managers determine the labor requirements and, in some cases, supervise or monitor the hiring and dismissal of workers. They oversee the performance of all trade contractors and are responsible for ensuring that all work is completed on schedule. Construction managers direct and monitor the progress of con­ struction activities, at times through other construction supervisors. They oversee the delivery and use of materials, tools, and equipment; and the quality of construction, worker productivity, and safety. They are responsible for obtaining all necessary permits and licenses and, depending upon the contractual arrangements, direct or monitor com­ pliance with building and safety codes and other regulations. They may have several subordinates, such as assistant managers or super­ intendents, field engineers, or crew supervisors, reporting to them. Construction managers regularly review engineering and archi­ tectural drawings and specifications to monitor progress and ensure compliance with plans and schedules. They track and control con­ struction costs against the project budget to avoid cost overruns. Based upon direct observation and reports by subordinate supervisors, man­ agers may prepare daily reports of progress and requirements for la­ bor, material, machinery, and equipment at the construction site. They meet regularly with owners, trade contractors, architects, and others Digitizedtoformonitor FRASER and coordinate all phases of the construction project. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Working Conditions Construction managers work out of a main office from which the overall construction project is monitored, or out of a field office at the construction site. Management decisions regarding daily con­ struction activities generally are made at the jobsite. Managers usu­ ally travel when the construction site is in another State or when they are responsible for activities at two or more sites. Management of overseas construction projects usually entails temporary residence in another country. Construction managers may be “on call”—often 24 hours a day— to deal with delays, bad weather, or emergencies at the site. Most work more than a standard 40-hour week because construction may proceed around-the-clock. They may have to work this type of sched­ ule for days, even weeks, to meet special project deadlines, espe­ cially if there are delays. Although the work usually is not considered inherently danger­ ous, construction managers must be careful while touring construc­ tion sites. Managers must establish priorities and assign duties. They need to observe job conditions and be alert to changes and potential problems, particularly those involving safety on the jobsite and adherence to regulations. Employment Construction managers held about 308,000 jobs in 2000. Around 75,000 were self-employed. About 59 percent of construction man­ agers were employed in the construction industry, about 24 percent by specialty trade contractors—for example, plumbing, heating and air-conditioning, and electrical contractors—and about 28 percent by general building contractors. Engineering, architectural, and con­ struction management services firms, as well as local governments, educational institutions, and real estate developers employed others. Training, Other Qualifications, and Advancement Persons interested in becoming a construction manager need a solid background in building science, business, and management, as well as related work experience within the construction industry. They need to understand contracts, plans, and specifications, and to be knowledgeable about construction methods, materials, and regula­ tions. Familiarity with computers and software programs for job costing, scheduling, and estimating also is important. Traditionally, persons advance to construction management po­ sitions after having substantial experience as construction craftworkers—carpenters, masons, plumbers, or electricians, for ex­ ample—or after having worked as construction supervisors or as owners of independent specialty contracting firms overseeing work­ ers in one or more construction trades. However, employers—par­ ticularly large construction firms—increasingly prefer individuals who combine industry work experience with a bachelor’s degree in construction science, construction management, or civil engineer­ ing. Practical industry experience also is very important, whether it is acquired through internships, cooperative education programs, or work experience in the industry. Construction managers should be flexible and work effectively in a fast-paced environment. They should be decisive and work well under pressure, particularly when faced with unexpected occurrences or delays. The ability to coordinate several major activities at once, while analyzing and resolving specific problems, is essential, as is an understanding of engineering, architectural, and other construc­ tion drawings. Good oral and written communication skills also are important, as are leadership skills. Managers must be able to estab­ lish a good working relationship with many different people, includ­ ing owners, other managers, designers, supervisors, and craftworkers. Advancement opportunities for construction managers vary depending upon an individual’s performance and the size and type of company for which they work. Within large firms, managers  Management and Business and Financial Operations Occupations 39  may eventually become top-level managers or executives. Highly experienced individuals may become independent consultants; some serve as expert witnesses in court or as arbitrators in disputes. Those with the required capital may establish their own construction man­ agement services, specialty contracting, or general contracting firm. In 2000, more than 100 colleges and universities offered 4-year degree programs in construction management or construction sci­ ence. These programs include courses in project control and devel­ opment, site planning, design, construction methods, construction materials, value analysis, cost estimating, scheduling, contract ad­ ministration, accounting, business and financial management, build­ ing codes and standards, inspection procedures, engineering and architectural sciences, mathematics, statistics, and information tech­ nology. Graduates from 4-year degree programs usually are hired as assistants to project managers, field engineers, schedulers, or cost estimators. An increasing number of graduates in related fields— engineering or architecture, for example—also enter construction management, often after having had substantial experience on con­ struction projects or after completing graduate studies in construc­ tion management or building science. Around 20 colleges and universities offer a master’s degree pro­ gram in construction management or construction science. Master’s degree recipients, especially those with work experience in con­ struction, typically become construction managers in very large con­ struction or construction management companies. Often, individuals who hold a bachelor’s degree in an unrelated field seek a master’s degree in order to work in the construction industry. Some con­ struction managers obtain a master’s degree in business adminis­ tration or finance to further their career prospects. Doctoral degree recipients usually become college professors or conduct research. Many individuals also attend training and educational programs sponsored by industry associations, often in collaboration with post­ secondary institutions. A number of 2-year colleges throughout the country offer construction management or construction technology programs. Both the American Institute of Constructors (AIC) and the Con­ struction Management Association of America (CMAA) have es­ tablished voluntary certification programs for construction managers. Requirements combine written examinations with verification of professional experience. AIC awards the Associate Constructor (AC) and Certified Professional Constructor (CPC) designations to candidates who meet the requirements and pass appropriate con­ struction examinations. CMAA awards the Certified Construction Manager (CCM) designation to practitioners who meet the require­ ments in a construction management firm and pass a technical ex­ amination. Applicants for the CMAA certification also must complete a self-study course that covers a broad range of topics central to construction management, including the professional role of a construction manager, legal issues, and allocation of risk. Al­ though certification is not required to work in the construction in­ dustry, voluntary certification can be valuable because it provides evidence of competence and experience. Job Outlook Excellent employment opportunities for construction managers are expected through 2010 because the number ofjob openings arising from job growth and replacement needs is expected to exceed the number of qualified managers seeking to enter the occupation. Because the construction industry often is seen as having dirty, strenuous, and hazardous working conditions, even for managers, many potential managers choose other types of careers. Employment of construction managers is expected to increase about as fast as the average for all occupations through 2010, as the  level and complexity of construction activity continues to grow. https://fraser.stlouisfed.org Prospects in construction management, engineering and architec­ Federal Reserve Bank of St. Louis  tural services, and construction contracting firms should be best for persons who have a bachelor’s or higher degree in construction sci­ ence, construction management, or construction engineering, as well as practical experience working in construction. Employers prefer applicants with previous construction work experience who can combine a strong background in building technology with proven supervisory or managerial skills. In addition to job growth, many openings should result annually from the need to replace workers who transfer to other occupations or leave the labor force. The increasing complexity of construction projects should boost demand for management-level personnel within the construction industry, as sophisticated technology and the proliferation of laws setting standards for buildings and construction materials, worker safety, energy efficiency, and environmental protection have fur­ ther complicated the construction process. Advances in building materials and construction methods; the need to replace much of the Nation’s infrastructure; and the growing number of multipur­ pose buildings, electronically operated “smart” buildings, and en­ ergy-efficient structures will further add to the demand for more construction managers. However, employment of construction managers can be sensitive to the short-term nature of many projects and to cyclical fluctuations in construction activity. Earnings Earnings of salaried construction managers and self-employed in­ dependent construction contractors vary depending upon the size and nature of the construction project, its geographic location, and economic conditions. In addition to typical benefits, many salaried construction managers receive benefits such as bonuses and use of company motor vehicles. Median annual earnings of construction managers in 2000 were $58,250. The middle 50 percent earned between $44,710 and $76,510. The lowest 10 percent earned less than $34,820, and the highest 10 percent earned more than $102,860. Median annual earn­ ings in the industries employing the largest numbers of managers in 2000 were: Electrical work...................................................................................... Nonresidential building construction............................................... Plumbing, heating, and air-conditioning......................................... Heavy construction, except highway................................................ Residential building construction......................................................  $60,300 59,470 58,500 57,280 53,510  According to a 2001 salary survey by the National Association of Colleges and Employers, candidates with a bachelor’s degree in construction science/management received job offers averaging $40,740 a year. Related Occupations Construction managers participate in the conceptual development of a construction project and oversee its organization, scheduling, and implementation. Occupations in which similar functions are performed include architects, except landscape and naval; civil en­ gineers; cost estimators; landscape architects; and engineering and natural sciences managers. Sources of Information For information about constructor certification, contact: >• American Institute of Constructors, 466 94th Ave. North, St. Peters­ burg, FL 33702. Internet: http://www.aicnct.org  For information about construction management and construc­ tion manager certification, contact: >• Construction Management Association of America, 7918 Jones Branch Dr., Suite 540, McLean, VA 22102-3307. Internet: http://www.cmaanet.org  Information on accredited construction science and management programs and accreditation requirements is available from: >• American Council for Construction Education, 1300 Hudson Lane, Suite 3, Monroe, LA 71201. Internet: http://www.acce-hq.org  40 Occupational Outlook Handbook  Cost Estimators (0*NET 13-1051.00)  Significant Points •  •  •  Fifty percent work in the construction industry, and another 20 percent are found in manufacturing industries. Growth of the construction industry will be the driving force behind the demand for cost estimators; employment of cost estimators in manufacturing should remain relatively stable. In construction and manufacturing, job prospects should be best for those with industry work experience and a degree in a related field.  Nature of the Work Accurately forecasting the cost of future projects is vital to the sur­ vival of any business. Cost estimators develop the cost information that business owners or managers need to make a bid for a contract or to determine if a proposed new product will be profitable. They also determine which endeavors are making a profit. Regardless of the industry in which they work, estimators com­ pile and analyze data on all the factors that can influence costs— such as materials, labor, location, and special machinery requirements, including computer hardware and software. Job du­ ties vary widely depending on the type and size of the project. The methods of and motivations for estimating costs can vary greatly, depending on the industry. On a construction project, for example, the estimating process begins with the decision to submit a bid. After reviewing various preliminary drawings and specifica­ tions, the estimator visits the site of the proposed project. The esti­ mator needs to gather information on access to the site and availability of electricity, water, and other services, as well as on surface topography and drainage. The information developed dur­ ing the site visit usually is recorded in a signed report that is in­ cluded in the final project estimate. After the site visit is completed, the estimator determines the quantity of materials and labor the firm will need to furnish. This process, called the quantity survey or “takeoff,” involves complet­ ing standard estimating forms, filling in dimensions, number of units, and other information. A cost estimator working for a general con­ tractor, for example, will estimate the costs of all items the contrac­ tor must provide. Although subcontractors will estimate their costs as part of their own bidding process, the general contractor’s cost estimator often analyzes bids made by subcontractors as well. Also during the takeoff process, the estimator must make decisions con­ cerning equipment needs, sequence of operations, and crew size. Allowances for the waste of materials, inclement weather, shipping delays, and other factors that may increase costs also must be incor­ porated in the estimate. On completion of the quantity surveys, the estimator prepares a total project-cost summary, including the costs of labor, equipment, materials, subcontracts, overhead, taxes, insurance, markup, and any other costs that may affect the project. The chief estimator then prepares the bid proposal for submission to the owner. Construction cost estimators also may be employed by the project’s architect or owner to estimate costs or track actual costs relative to bid specifications as the project develops. In large con­ struction companies employing more than one estimator, it is com­ Digitizedmon for FRASER practice for estimators to specialize. For example, one may https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  estimate only electrical work and another may concentrate on exca­ vation, concrete, and forms. In manufacturing and other firms, cost estimators usually are assigned to the engineering, cost, or pricing departments. The estimators’ goal in manufacturing is to accurately estimate the costs associated with making products. The job may begin when management requests an estimate of the costs associated with a major redesign of an existing product or the development of a new prod­ uct or production process. When estimating the cost of developing a new product, for example, the estimator works with engineers, first reviewing blueprints or conceptual drawings to determine the machining operations, tools, gauges, and materials that would be required for the job. The estimator then prepares a parts list and determines whether it is more efficient to produce or to purchase the parts. To do this, the estimator must initiate inquiries for price information from potential suppliers. The next step is to determine the cost of manufacturing each component of the product. Some high technology products require a tremendous amount of com­ puter programming during the design phase. The cost of software development is one of the fastest growing and most difficult activi­ ties to estimate. Some cost estimators now specialize in estimating only computer software development and related costs. The cost estimator then prepares time-phase charts and learning curves. Time-phase charts indicate the time required for tool design and fabrication, tool “debugging”—finding and correcting all prob­ lems—manufacturing of parts, assembly, and testing. Learning curves graphically represent the rate at which performance improves with practice. These curves are commonly called “cost reduction” curves because many problems—such as engineering changes, re­ work, parts shortages, and lack of operator skills—diminish as the number of parts produced increases, resulting in lower unit costs. Using all of this information, the estimator then calculates the standard labor hours necessary to produce a predetermined number of units. Standard labor hours are then converted to dollar values, to which are added factors for waste, overhead, and profit to yield the unit cost in dollars. The estimator then compares the cost of purchasing parts with the firm’s cost of manufacturing them to de­ termine which is cheaper. Computers play an integral role in cost estimation because esti­ mating often involves complex mathematical calculations and requires advanced mathematical techniques. For example, to undertake a para­ metric analysis (a process used to estimate project costs on a per unit basis, subject to the specific requirements of a project), cost estima­ tors use a computer database containing information on costs and ---------------------------------  Cost estimators compile and analyze data on all factors that can influence the costs involved in a project.  Management and Business and Financial Operations Occupations 41  conditions of many other similar projects. Although computers can­ not be used for the entire estimating process, they can relieve esti­ mators of much of the drudgery associated with routine, repetitive, and time-consuming calculations. Computers also are used to pro­ duce all of the necessary documentation with the help of word­ processing and spreadsheet software, leaving estimators more time to study and analyze projects. Operations research, production control, cost, and price analysts who work for government agencies also may do significant amounts of cost estimating in the course of their regular duties. In addition, the duties of construction managers also may include estimating costs. (For more information, see the statements on operations research analysts and construction managers elsewhere in the Handbook.) Working Conditions Although estimators spend most of their time in an office, construc­ tion estimators must make visits to project worksites that can be dusty, dirty, and occasionally hazardous. Likewise, estimators in manufacturing must spend time on the factory floor where it also can be noisy and dirty. In some industries, frequent travel between a firm’s headquarters and its subsidiaries or subcontractors also may be required. Although estimators normally work a 40-hour week, overtime is common. Cost estimators often work under pressure and stress, especially when facing bid deadlines. Inaccurate estimating can cause a firm to lose out on a bid or lose money on a job that was not accurately estimated. Employment Cost estimators held about 211,000 jobs in 2000, about 50 percent of which were in the construction industry. Another 20 percent of cost estimators were employed in manufacturing industries. The remain­ der worked for engineering and architectural services firms and busi­ ness services firms, and throughout a wide range of other industries. Cost estimators work throughout the country, usually in or near major industrial, commercial, and government centers, and in cities and suburban areas undergoing rapid change or development. Training, Other Qualifications, and Advancement Entry requirements for cost estimators vary by industry. In the con­ struction industry, employers increasingly prefer individuals with a degree in building construction, construction management, construc­ tion science, engineering, or architecture. However, most construc­ tion estimators also have considerable construction experience, gained through work in the industry, internships, or cooperative education programs. Applicants with a thorough knowledge of construction materials, costs, and procedures in areas ranging from heavy construction to electrical work, plumbing systems, or ma­ sonry work have a competitive edge. In manufacturing industries, employers prefer to hire individu­ als with a degree in engineering, physical science, operations re­ search, mathematics, or statistics; or in accounting, finance, business, economics, or a related subject. In most industries, great emphasis is placed on experience involving quantitative techniques. Cost estimators should have an aptitude for mathematics, be able to quickly analyze, compare, and interpret detailed and some­ times poorly defined information, and be able to make sound and accurate judgments based on this knowledge. Assertiveness and self-confidence in presenting and supporting their conclusions are important, as are strong communications and interpersonal skills, because estimators may work as part of a project team alongside managers, owners, engineers, and design professionals. Cost esti­ mators also need knowledge of computers, including word-pro­  cessing and spreadsheet packages. In some instances, familiarity https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  with special estimation software or programming skills also may be required. Regardless of their background, estimators receive much train­ ing on the job because every company has its own way of handling estimates. Working with an experienced estimator, they become familiar with each step in the process. Those with no experience reading construction specifications or blueprints first leam that as­ pect of the work. They then may accompany an experienced esti­ mator to the construction site or shop floor, where they observe the work being done, take measurements, or perform other routine tasks. As they become more knowledgeable, estimators leam how to tabu­ late quantities and dimensions from drawings and how to select the appropriate material prices. For most estimators, advancement takes the form of higher pay and prestige. Some move into management positions, such as project manager for a construction firm or manager of the industrial engi­ neering department for a manufacturer. Others may go into busi­ ness for themselves as consultants, providing estimating services for a fee to government, constmction, or manufacturing firms. Many colleges and universities include cost estimating as part of bachelor’s and associate degree curriculums in civil engineer­ ing, industrial engineering, and construction management or con­ stmction engineering technology. In addition, cost estimating is a significant part of many master’s degree programs in constmction science or constmction management. Organizations representing cost estimators, such as the Association for the Advancement of Cost Engineers (AACE) International and the Society of Cost Esti­ mating and Analysis (SCEA), also sponsor educational and profes­ sional development programs. These programs help students, estimators-in-training, and experienced estimators stay abreast of changes affecting the profession. Specialized courses and programs in cost-estimating techniques and procedures also are offered by many technical schools, community colleges, and universities. Voluntary certification can be valuable to cost estimators be­ cause it provides professional recognition of the estimator’s com­ petence and experience. In some instances, individual employers may even require professional certification for employment. Both AACE International and SCEA administer certification programs. To become certified, estimators usually must have between 3 and 7 years of estimating experience and must pass an examination. In addition, certification requirements may include publication of at least one article or paper in the field. Job Outlook Overall employment of cost estimators is expected to grow about as fast as the average for all occupations through the year 2010. In addition to openings created by growth, some job openings also will arise from the need to replace workers who transfer to other occupations or leave the labor force. Growth of the construction industry, in which half of all cost estimators are employed, will be the driving force behind the de­ mand for these workers. Construction and repair of highways and streets, bridges, and construction of more subway systems, airports, water and sewage systems, and electric power plants and transmis­ sion lines will stimulate demand for many more cost estimators. The increasing population and its changing demographics that will increase the demand for residential construction and remodeling also will spur demand for cost estimators. As the population ages, the demand for nursing and extended care facilities will increase. School construction and repair also will add to the demand for cost estimators. Job prospects in construction should be best for cost estimators with a degree in construction management or construc­ tion science, engineering, or architecture who have practical expe­ rience in various phases of construction or in a specialty craft area.  42 Occupational Outlook Handbook  Employment of cost estimators in manufacturing should remain relatively stable as firms continue to use their services to identify and control their operating costs. Experienced estimators with de­ grees in engineering, science, mathematics, business administration, or economics should have the best job prospects in manufacturing. Earnings Salaries of cost estimators vary widely by experience, education, size of firm, and industry. Median annual earnings of cost estima­ tors in 2000 were $45,800. The middle 50 percent earned between $35,040 and $59,410. The lowest 10 percent earned less than $27,710, and the highest 10 percent earned more than $75,460. Median annual earnings in the industries employing the largest num­ bers of cost estimators in 2000 were: Nonresidential building construction................................................ Electrical work...................................................................................... Plumbing, heating, and air-conditioning.......................................... Residential building construction....................................................... Miscellaneous special trade contractors...........................................  $50,930 49,630 47,680 46,360 45,740  College graduates with degrees in fields that provide a strong background in cost estimating, such as engineering or construction management, could start at a higher level. According to a 2001 salary survey by the National Association of Colleges and Employ­ ers, bachelor’s degree candidates with degrees in construction sci­ ence/management received job offers averaging about $40,740 a year. Related Occupations Other workers who quantitatively analyze information include ac­ countants and auditors; budget analysts; claims adjusters, apprais­ ers, examiners, and investigators; economists and market and survey researchers; financial analysts and personal financial advisors; in­ surance underwriters; loan counselors and officers; and operations research analysts. In addition, the duties of industrial production managers and construction managers also may involve analyzing costs. Sources of Additional Information Information about career opportunities, certification, educational programs, and cost-estimating techniques may be obtained from: Association for the Advancement of Cost Engineering International, 209 Prairie Ave., Suite 100, Morgantown, WV 26501. Internet:  http://www.aacei.org Society of Cost Estimating and Analysis, 101 S. Whiting St., Suite 201, Alexandria, VA 22304. Internet: http://www.eroIs.com/scea  Education Administrators (Q*NET 11-9031.00, 11-9032.00, 11-9033.00, 11-9039.99)  Significant Points • Most jobs require experience in a related occupation, such as teacher or admissions counselor, and a master’s or doctoral degree. • Strong interpersonal and communication skills are essential, because so much of an administrator’s job involves working and collaborating with others. • Job outlook is excellent, as a large proportion of education administrators are expected to retire over the  next 10 years. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Nature of the Work Smooth operation of an educational institution requires competent administrators. Education administrators provide direction, leader­ ship, and day-to-day management of educational activities in schools, preschools and daycare centers, colleges and universities, businesses, correctional institutions, museums, and job training and commu­ nity service organizations. (College presidents and school superin­ tendents are covered in the Handbook statement on general managers and top executives.) Education administrators set educational stan­ dards and goals and establish the policies and procedures to carry them out. They also supervise managers, support staff, teachers, counselors, librarians, coaches, and others. They develop academic programs; monitor students’ educational progress; train and moti­ vate teachers and other staff; manage guidance and other student services; administer recordkeeping; prepare budgets; handle rela­ tions with parents, prospective and current students, employers, and the community; and perform many other duties. In an organization such as a small daycare center, one administrator may handle all these functions. In universities or large school systems, responsi­ bilities are divided among many administrators, each with a spe­ cific function. Those who manage elementary and secondary schools are called principals. They set the academic tone and hire, evaluate, and help improve the skills of teachers and other staff. Principals confer with staff to advise, explain, or answer procedural ques­ tions. They visit classrooms, observe teaching methods, review instructional objectives, and examine learning materials. They actively work with teachers to develop and maintain high curricu­ lum standards, develop mission statements, and set performance goals and objectives. Principals must use clear, objective guide­ lines for teacher appraisals, because pay often is based on perfor­ mance ratings. Principals also meet and interact with other administrators, stu­ dents, parents, and representatives of community organizations. Decision-making authority has increasingly shifted from school district central offices to individual schools. Thus, parents, teach­ ers, and other members of the community play an important role in setting school policies and goals. Principals must pay atten­ tion to the concerns of these groups when making administrative decisions. Principals prepare budgets and reports on various subjects, in­ cluding finances and attendance, and oversee the requisitioning and allocation of supplies. As school budgets become tighter, many principals are more involved in public relations and fundraising to secure financial support for their schools from local businesses and the community. Principals must take an active role to ensure that students meet national academic standards. Many principals develop school/busi­ ness partnerships and school-to-work transition programs for stu­ dents. Increasingly, principals must be sensitive to the needs of the rising number of non-English speaking and culturally diverse students. Growing enrollments, which are leading to overcrowd­ ing at many existing schools, also are a cause for concern. When addressing problems of inadequate resources, administrators serve as advocates for the building of new schools or the repair of exist­ ing ones. Schools continue to be involved with students’ emotional wel­ fare as well as their academic achievement. As a result, principals face responsibilities outside the academic realm. For example, in response to the growing numbers of dual-income and single-par­ ent families and teenage parents, schools have established beforeand after-school child-care programs or family resource centers, which also may offer parenting classes and social service referrals. With the help of community organizations, some principals have  Management and Business and Financial Operations Occupations 43  established programs to combat increases in crime, drug and alco­ hol abuse, and sexually transmitted disease among students. Assistant principals aid the principal in the overall administra­ tion of the school. Some assistant principals hold this position for several years to prepare for advancement to principal; others are career assistant principals. They are responsible for scheduling stu­ dent classes, ordering textbooks and supplies, and coordinating trans­ portation, custodial, cafeteria, and other support services. They usually handle discipline, attendance, social and recreational pro­ grams, and health and safety. They also may counsel students on personal, educational, or vocational matters. With site-based man­ agement, assistant principals play a greater role in developing cur­ riculum, evaluating teachers, and dealing with school-community relations—responsibilities previously assumed solely by the princi­ pal. The number of assistant principals a school employs may vary depending on the number of students. Administrators in school district central offices manage public schools under their jurisdiction. This group includes those who direct subject area programs such as English, music, vocational education, special education, and mathematics. They plan, evalu­ ate, standardize, and improve curriculums and teaching techniques, and help teachers improve their skills and leam about new methods and materials. They oversee career counseling programs, and test­ ing that measures students’ abilities and helps place them in appro­ priate classes. Central office administrators also include directors of programs such as guidance, school psychology, athletics, cur­ riculum and instruction, and professional development. With sitebased management, administrators have transferred primary responsibility for many of these programs to the principals, assis­ tant principals, teachers, and other staff. In colleges and universities, academic deans, deans offaculty, provosts, and university deans assist presidents, make faculty ap­ pointments, develop budgets, and establish academic policies and programs. They also direct and coordinate the activities of deans of individual colleges and chairpersons of academic departments. Fundraising also is becoming an essential part of their job. College or university department heads or chairpersons are in charge of departments such as English, biological science, or math­ ematics. In addition to teaching, they coordinate schedules of classes and teaching assignments; propose budgets; recruit, interview, and hire applicants for teaching positions; evaluate faculty members; encourage faculty development; sit on committees; and perform other administrative duties. In overseeing their departments, chairper­ sons must consider and balance the concerns of faculty, administra­ tors, and students. Higher education administrators also direct and coordinate the provision of student services. Vice presidents ofstudent affairs or student life, deans of students, and directors of student services may direct and coordinate admissions, foreign student services, health and counseling services, career services, financial aid, and housing and residential life, as well as social, recreational, and re­ lated programs. In small colleges, they may counsel students. In larger colleges and universities, separate administrators may handle each ofthese services. Registrars are custodians of students’ records. They register students, prepare student transcripts, evaluate academic records, assess and collect tuition and fees, plan and implement commencement, oversee the preparation of college catalogs and schedules of classes, and analyze enrollment and demographic sta­ tistics. Directors of admissions manage the process of recruiting, evaluating, and admitting students, and work closely withfinancial aid directors, who oversee scholarship, fellowship, and loan pro­ grams. Registrars and admissions officers must adapt to techno­ logical innovations in student information systems. For example,  for those whose institutions present information—such as college https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  ~  '*&*&-■* a  Coordinating and interacting with faculty, parents, and students can be fast-paced and stimulating for education administrators, but also stressful.  catalogs and schedules—on the Internet, knowledge of on-line re­ sources, imaging, and other computer skills is important. Athletic directors plan and direct intramural and intercollegiate athletic ac­ tivities, seeing to publicity for athletic events, preparation of bud­ gets, and supervision of coaches. Other increasingly important administrators direct fundraising, public relations, distance learn­ ing, and technology. Working Conditions Education administrators hold management positions with signifi­ cant responsibility. Most find working with students extremely re­ warding, but as the responsibilities of administrators have increased in recent years, so has the stress. Coordinating and interacting with faculty, parents, and students can be fast-paced and stimulating, but also stressful and demanding. Principals and assistant principals, whose main duty often is discipline, may find working with diffi­ cult students challenging and frustrating. And as the number of school-age children rises in some States, having to deal with over­ crowding and the lack of teachers has become a major issue in many jurisdictions. Many education administrators work more than 40 hours a week, including some nights and weekends during which they oversee school activities. Most administrators work 10 or 11 months a year, but some work year round. Some jobs include travel.  44 Occupational Outlook Handbook  Employment Education administrators held about 453,000 jobs in 2000. About 9 out of 10 were in educational services, which includes elemen­ tary, secondary, and technical schools, and colleges and universi­ ties. The rest worked in child daycare centers, religious organizations, job training centers, State departments of education, and businesses and other organizations that provided training for their employees. Training, Other Qualifications, and Advancement Most education administrators begin their careers in related occu­ pations, and prepare for a job in education administration by com­ pleting a master’s or doctoral degree. Because of the diversity of duties and levels of responsibility, their educational backgrounds and experience vary considerably. Preschool directors, principals, assistant principals, central office administrators, and academic deans usually have held teaching positions before moving into ad­ ministration. Some teachers move directly into principal positions; others first become assistant principals, or gain experience in other central office administrative jobs at either the school or district level in positions such as department head, curriculum specialist, or subject matter advisor. In some cases, administrators move up from related staff jobs such as recruiter, guidance counselor, librarian, residence hall director, or financial aid or admissions counselor. To be considered for education administrator positions, workers must first prove themselves in their current jobs. In evaluating can­ didates, supervisors look for determination, confidence, innovativeness, motivation, and leadership. The ability to make sound decisions and to organize and coordinate work efficiently is essential. Because much of an administrator’s job involves inter­ acting with others—such as students, parents, and teachers— a per­ son in such a position must have strong interpersonal skills and be an effective communicator and motivator. Knowledge of manage­ ment principles and practices, gained through work experience and formal education, is important. A familiarity with computer tech­ nology is a plus for principals, who are becoming increasingly in­ volved in gathering information and coordinating technical resources for their students and classrooms. In most public schools, principals, assistant principals, and school administrators in central offices need a master’s degree in educa­ tion administration or educational supervision. Some principals and central office administrators have a doctorate or specialized degree in education administration. In private schools, which are not subject to State certification requirements, some principals and assistant principals hold only a bachelor’s degree; however, the majority have a master’s or doctoral degree. Most States require principals to be licensed as school administrators. License require­ ments vary by State. National standards for school leaders, includ­ ing principals and supervisors, were recently developed by the Interstate School Leaders Licensure Consortium. Several States currently use these national standards as guidelines to assess begin­ ning principals for licensure, and many more States are expected to adopt the standards for this purpose. Some States require adminis­ trators to take continuing education courses to keep their certifica­ tion, thus ensuring that administrators have the most up-to-date skills. The number and types of courses required to maintain certification vary by State. Academic deans and chairpersons usually have a doctorate in their specialty. Most have held a professorship in their department before advancing. Admissions, student affairs, and financial aid directors and registrars sometimes start in related staff jobs with bachelor’s degrees—any field usually is acceptable—and obtain  advanced degrees in college student affairs, counseling, or higher https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  education administration. A Ph.D. or Ed.D. usually is necessary for top student affairs positions. Computer literacy and a back­ ground in mathematics or statistics may be assets in admissions, records, and financial work. Advanced degrees in higher education administration, educa­ tional supervision, and college student affairs are offered in many colleges and universities. The National Council for Accreditation of Teacher Education accredits these programs. Education admin­ istration degree programs include courses in school management, school law, school finance and budgeting, curriculum development and evaluation, research design and data analysis, community rela­ tions, politics in education, counseling, and leadership. Educational supervision degree programs include courses in supervision of in­ struction and curriculum, human relations, curriculum development, research, and advanced pedagogy courses. Education administrators advance by moving up an administra­ tive ladder or transferring to larger schools or systems. They also may become superintendents of school systems or presidents of educational institutions. Job Outlook Employment of education administrators is projected to grow about as fast as the average for all occupations through 2010. However, job opportunities will be excellent, as a large proportion of educa­ tion administrators are expected to retire over the next 10 years. Also, as education and training take on greater importance in everyone’s lives, the need for people to administer education pro­ grams will grow. Enrollments of school age children have a major impact on the demand for education administrators. The Department of Educa­ tion proj ects enrollment of preschool, elementary, and middle school students to be stable over the next 10 years. If mandatory preschool becomes more widespread, however, more preschool directors will be needed. The numbers of secondary and postsecondary school students are projected to grow more rapidly, creating more demand for administrators at these levels. In addition, enrollments are ex­ pected to increase the fastest in the West and South, where the popu­ lation is growing, and to decline or remain stable in the Northeast and the Midwest. School administrators also are in greater demand in rural and urban areas, where pay is generally lower than in the suburbs. Principals and assistant principals should have the best job pros­ pects. A sharp increase in responsibilities in recent years has made the job more stressful, and has discouraged teachers from taking positions in administration. Principals are now being held more accountable for the performance of students and teachers, while at the same time they are required to adhere to a growing number of government regulations. In addition, overcrowded classrooms, safety issues, and the teacher shortage all are creating additional pressures on principals and assistant principals. The increase in pay is often not high enough to entice people into the field. Job prospects also are favorable for college and university ad­ ministrators, particularly those seeking nonacademic positions. While competition for positions as academic deans and department heads remains keen, as faculty strive for these prestigious jobs, there is a shortage of applicants for nonacademic administrative jobs. For example, positions as directors of admissions or student affairs are difficult to fill. Furthermore, the requirement for a master’s or doctoral degree in education administration discourages many people—who can earn higher salaries elsewhere—from entering the profession. Colleges and universities are also adding administrators to handle an increasing number of tasks. Directors of technology and dis­ tance learning are being added to handle these functions. The need  Management and Business and Financial Operations Occupations 45  to keep tuition costs down is also creating a growing need for direc­ tors of fundraising (also called development) and for public rela­ tions officials, whose mission is to boost community support and raise money. Earnings Salaries of education administrators depend on several factors, including the location and enrollment level in the school or school district. According to a survey of public schools, conducted by the Educational Research Service, average salaries for principals and assistant principals in the 1999-2000 school year were as follows: Directors, managers, coordinators, and supervisors...................... Principals: Elementary school............................................................................ Jr. high/middle school...................................................................... Senior high school............................................................................ Assistant principals: Elementary school............................................................................ Jr. high/middle school...................................................................... Senior high school............................................................................  NASPA, Student Affairs Administrators in Higher Education, 1875 Con­ necticut Ave. NW., Washington, DC 20009. Internet: http://www.naspa.org  Engineering and Natural Sciences Managers (0**NET 11-9041.00, 11-9121.00)  $73,499  • $69,407 73,877 79,839 $56,419 60,842 64,811  In 2000-01, according to the College and University Professional Association for Human Resources, median annual salaries for se­ lected administrators in higher education were as follows: Academic deans: Medicine............................................................................................. $272,200 Law....................................................................................................... 180,150 Engineering......................................................................................... 146,938 Business............................................................................................... 101,082 Education............................................................................................ 96,906 94,666 Arts and sciences............................................................................... Social sciences................................................................................... 72,877 Mathematics....................................................................................... 69,449 Other administrators: Dean, students.................................................................................... $67,000 Director, admissions and registrar................................................. 58,241 Director, annual giving.................................................................... 46,800 Director, student activities.............................................................. 39,292  Benefits for education administrators are generally very good. Many get 4 or 5 weeks vacation every year and have generous health and pension packages. Many colleges and universities offer free tuition to employees’ children. Related Occupations Education administrators apply organizational and leadership skills to provide services to individuals. Workers in related occupations include administrative services managers; office and administra­ tive support worker supervisors and managers; human resource, training, and labor relations managers and specialists; and archi­ vists, curators, and museum technicians. Education administrators also work with students and have backgrounds similar to those of counselors; librarians; instructional coordinators; teachers—pre­ school, kindergarten, elementary, middle, and secondary; and teach­ ers—postsecondary. Sources of Additional Information For information on elementary school principals, contact: >- The National Association of Elementary School Principals, 1615 Duke St., Alexandria, VA 22314-3483. Internet: http://www.naesp.org  For information on collegiate registrars and admissions officers, contact: >- American Association of Collegiate Registrars and Admissions Offic­ ers, One Dupont Circle NW., Suite 520, Washington, DC 20036-1171.  Internet: http://www.aacrao.org  https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  For information on professional development and graduate pro­ grams for college student affairs administrators, contact:  •  Significant Points Most engineering and natural sciences managers have previous experience as engineers, scientists, or mathematicians. Employers prefer managers with advanced technical knowledge and strong communication and administrative skills.  Nature of the Work Engineering and natural sciences managers plan, coordinate, and direct research, design, and production activities. They may super­ vise engineers, scientists, and technicians, along with support per­ sonnel. These managers use advanced technical knowledge of engineering and science to oversee a variety of activities. They determine scientific and technical goals within broad outlines pro­ vided by top executives, who are discussed elsewhere in the Hand­ book. These goals may include improving manufacturing processes, advancing scientific research, or redesigning aircraft. Managers make detailed plans to accomplish these goals—for example, they may develop the overall concepts of a new product or identify tech­ nical problems preventing the completion of a project. To perform effectively, they also must possess knowledge of ad­ ministrative procedures, such as budgeting, hiring, and supervision. These managers propose budgets for projects and programs and determine staff, training, and equipment purchases. They hire and assign scientists, engineers, and support personnel to carry out spe­ cific parts of each project. They also supervise the work of these employees, review their output, and establish administrative proce­ dures and policies—including environmental standards, for example. In addition, these managers use communication skills extensively. They spend a great deal of time coordinating the activities of their unit with those of other units or organizations. They confer with higher levels of management; with financial, production, market­ ing, and other managers; and with contractors and equipment and materials suppliers. Engineering managers supervise people who design and develop machinery, products, systems, and processes; or direct and coordi­ nate production, operations, quality assurance, testing, or mainte­ nance in industrial plants. Many are plant engineers, who direct and coordinate the design, installation, operation, and maintenance of equipment and machinery in industrial plants. Others manage research and development teams that produce new products and processes or improve existing ones. Natural sciences managers oversee the work of life and physical scientists, including agricultural scientists, chemists, biologists, ge­ ologists, medical scientists, and physicists. These managers direct research and development projects and coordinate activities such as testing, quality control, and production. They may work on basic research projects or on commercial activities. Science managers sometimes conduct their own research in addition to managing the work of others.  46 Occupational Outlook Handbook  9 bl  .  Managers oversee the design and installation of equipment and machinery in industrial plants.  Working Conditions Engineering and natural sciences managers spend most of their time in an office. Some managers, however, also may work in laborato­ ries, where they may be exposed to the same conditions as research scientists, or in industrial plants, where they may be exposed to the same conditions as production workers. Most managers work at least 40 hours a week and may work much longer on occasion to meet project deadlines. Some may experience considerable pres­ sure to meet technical or scientific goals on a short deadline or within a tight budget. Employment Engineering and natural sciences managers held about 324,000 jobs in 2000. Nearly 3 out of 10 worked in services industries, primarily for firms providing computer and data processing, engineering and architectural, or research and testing services. Manufacturing indus­ tries employed one-third. Manufacturing industries with the largest employment include those producing industrial machinery and equip­ ment, electronic and other electrical equipment, transportation equip­ ment, instruments, and chemicals. Other large employers include government agencies and transportation, communications, and utili­ ties companies. Training, Other Qualifications, and Advancement Strong technical knowledge is essential for engineering and natu­ ral sciences managers, who must understand and guide the work of their subordinates and explain the work in nontechnical terms to senior management and potential customers. Therefore, these management positions usually require work experience and for­ mal education similar to that of engineers, scientists, or mathema­ ticians. Most engineering managers begin their careers as engineers, after completing a bachelor’s degree in the field. To advance to higher level positions, engineers generally must assume manage­ ment responsibility. To fill management positions, employers seek engineers who possess administrative and communications skills in addition to technical knowledge in their specialty. Many engi­ neers gain these skills by obtaining a master’s degree in engineer­ ing management or a master’s degree in business administration (MBA). Employers often pay for such training. In large firms, courses required in these degree programs may be offered Digitizedsome for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  onsite. Engineers who prefer to manage in technical areas should get a master’s degree in engineering management, while those in­ terested in nontechnical management should get an MBA. Many science managers begin their careers as scientists, such as chemists, biologists, geologists, or mathematicians. Most scien­ tists or mathematicians engaged in basic research have a Ph.D.; some in applied research and other activities may have a bachelor’s or master’s degree. Science managers must be specialists in the work they supervise. In addition, employers prefer managers with good communication and administrative skills. Graduate programs al­ low scientists to augment their undergraduate training with instruc­ tion in other fields, such as management or computer technology. Given the rapid pace of scientific developments, science managers must continuously upgrade their knowledge. Engineering and natural sciences managers may advance to pro­ gressively higher leadership positions within their discipline. Some may become managers in nontechnical areas such as marketing, human resources, or sales. In high technology firms, managers in nontechnical areas often must possess the same specialized knowl­ edge as managers in technical areas. For example, employers in an engineering firm may prefer to hire experienced engineers as sales workers because the complex services offered by the firm can be marketed only by someone with specialized engineering knowledge.  Job Outlook Employment of engineering and natural sciences managers is ex­ pected to increase more slowly than the average for all occupa­ tions through the year 2010—in line with projected employment growth in engineering and most sciences. However, many addi­ tional jobs will result from the need to replace managers who re­ tire or move into other occupations. Opportunities for obtaining a management position will be best for workers with advanced tech­ nical knowledge and strong communication and administrative skills. The job outlook for engineering and natural sciences managers should be closely related to the growth of the occupations they supervise and the industries in which they are found. For example, opportunities for managers should be better in rapidly growing ar­ eas of engineering, such as electrical, computer, and biomedical engineering than in more slowly growing areas of engineering or physical science. (See the statements on engineers, and life and physical scientists, elsewhere in the Handbook.) In addition, many employers are finding it more efficient to contract engineering and science management services to outside companies and consult­ ants, creating good opportunities for managers in management ser­ vices and management consulting firms.  Earnings Earnings for engineering and natural sciences managers vary by specialty and level of responsibility. Median annual earnings of engineering managers were $84,070 in 2000. The middle 50 per­ cent earned between $66,420 and $105,630. The lowest 10 per­ cent earned less than $52,350, and the highest 10 percent earned more than $130,350. Median annual earnings in the industries employing the largest numbers of engineering managers in 2000 were: Electronic components and accessories........................................... Computer and data processing services............................................ Aircraft and parts .................................................................................. Federal government............................................................................... Engineering and architectural services.............................................  $98,940 98,890 88,620 83,840 83,390  Management and Business and Financial Operations Occupations 47  Median annual earnings of natural sciences managers were $75,880 in 2000. The middle 50 percent earned between $56,320 and $100,760. The lowest 10 percent earned less than $43,110, and the highest 10 percent earned more than $128,090. Median annual earnings in the industries employing the largest numbers of natural sciences managers in 2000 were: Research and testing services............................................................. Federal government..............................................................................  $87,070 74,780  A survey of manufacturing firms, conducted by Abbot, Langer & Associates, found that engineering department managers and su­ perintendents earned a median annual income of $85,154 in 1999, while research and development managers earned $84,382. In addition, engineering and natural sciences managers, espe­ cially those at higher levels, often receive more benefits—such as expense accounts, stock option plans, and bonuses—than do nonmanagerial workers in their organizations. Related Occupations The work of engineering and natural sciences managers is closely related to that of engineers; mathematicians; and physical and life scientists, including agricultural and food scientists, biological and medical scientists, conservation scientists and foresters, atmospheric scientists, chemists and materials scientists, environmental scien­ tists and geoscientists, and physicists and astronomers. It also is related to the work of other managers, especially top executives. Sources of Additional Information For information about a career as an engineering and natural sci­ ences manager, contact the sources of additional information for engineers, life scientists, and physical scientists that are listed in statements on these occupations elsewhere in the Handbook.  Farmers, Ranchers, and Agricultural Managers (0**NET 11-9011.01, 11-9011.02, 11-9011.03, 11-9012.00)  •  •  Significant Points Modem farming requires college training in agriculture and work experience acquired through growing up on a farm or through a small number of internships now available. Overall employment is projected to decline because of increasing productivity and consolidation of farms.  •  Aquaculture should provide some new employment opportunities; in addition, developments in valueadded marketing and organic farming are making small-scale farming economically viable again.  •  Self-employed farmers’ and ranchers’ incomes vary greatly from year to year.  Nature of the Work American farmers, ranchers, and agricultural managers direct the activities of one of the world’s largest and most productive agricul­ tural sectors. They produce enough food and fiber to meet the needs of the United States and produce a surplus for export. Farmers and ranchers may be owners or tenants who rent the  use of land. The type of farm they operate determines their specific https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  tasks. On crop farms—farms growing grain, cotton, and other fi­ bers, fruit, and vegetables—farmers are responsible for planning, tilling, planting, fertilizing, cultivating, spraying, and harvesting. After the harvest, they make sure the crops are properly packaged, stored, or marketed. Livestock, dairy, and poultry farmers must feed, plan, and care for the animals and keep barns, pens, coops, and other farm buildings clean and in good condition. They also oversee breeding and marketing activities. Horticultural specialty farmers oversee the production of ornamental plants, nursery prod­ ucts—such as flowers, bulbs, shrubbery, and sod—and fruits and vegetables grown in greenhouses. Aquaculture farmers raise fish and shellfish in marine, brackish, or fresh water, usually in ponds, floating net pens, raceways, or recirculating systems. They stock, feed, protect, and otherwise manage aquatic life sold for consump­ tion or used for recreational fishing. Farmers and ranchers make many managerial decisions. Their farm output is strongly influenced by the weather, disease, fluctua­ tions in prices of domestic and foreign farm products, and Federal farm programs. In a crop operation, farmers usually determine the best time to plant seed, apply fertilizer and chemicals, harvest, and market. They use different strategies to protect themselves from un­ predictable changes in the markets for agricultural products. Many farmers carefully plan the combination of crops they grow so that if the price of one crop drops, they will have sufficient income from another to make up for the loss. Others, particularly operators of smaller farms, may choose to sell their goods directly through farm­ ers’ markets, or use cooperatives to reduce their financial risk and to gain a larger share of consumers’ expenditures on food. For ex­ ample, in Community Supported Agriculture (CSA), cooperatives sell to consumers shares of a harvest prior to the planting season, thus freeing the farmer from having to bear all the financial risks and ensuring the farmer a market for the produce of the coming season. Fanners and ranchers who plan ahead may be able to store their crops or keep their livestock to take advantage of better prices later in the year. Those who participate in the risky futures market—in which contracts and options on futures contracts on commodities are traded through stockbrokers—try to anticipate or track changes in the supply of and demand for agricultural commodities, and thus changes in the prices of farm products. By buying or selling futures contracts, or by pricing their products in advance of future sales, they attempt to either limit their risk or reap greater profits than would normally be realized. They may have to secure loans from credit agencies to finance the purchase of machinery, fertilizer, live­ stock, and feed. Like other businesses, farming operations have become more complex in recent years, so many farmers use com­ puters to keep financial and inventory records. They also use com­ puter databases and spreadsheets to manage breeding, dairy, and other farm operations. Responsibilities of farmers and ranchers range from caring for livestock, to operating machinery, to maintaining equipment and facilities. The size of the farm or ranch often determines which of these tasks farmers and ranchers will handle themselves. Operators of small farms usually perform all tasks, physical and administra­ tive. They keep records for tax purposes, service machinery, main­ tain buildings, and grow vegetables and raise animals. Operators of large farms, on the other hand, have employees who help with the physical work that small-farm operators do themselves. Al­ though employment on most farms is limited to the farmer and one or two family workers or hired employees, some large farms have 100 or more full-time and seasonal workers. Some of these em­ ployees are in nonfarm occupations, working as truck drivers, sales representatives, bookkeepers, and computer specialists. Agricultural managers guide and assist farmers and ranchers in maximizing the financial returns to their land by managing the day-  48 Occupational Outlook Handbook  ...  ■  MS! ins 1sts mm Managers of large farms direct employees who perform many of the tasks that small farmers must do themselves. to-day activities. Their duties and responsibilities vary widely. For example, the owner of a very large livestock farm may employ a manager to oversee a single activity, such as feeding the livestock. On the other hand, when managing a small crop farm for an absen­ tee owner, a manager may assume responsibility for all functions, from selecting the crops to participating in planting and harvesting. Farm management firms and corporations involved in agriculture employ highly trained professional farm managers who may man­ age farm operations or oversee tenant operators of several farms. In these cases, managers may establish output goals; determine finan­ cial constraints; monitor production and marketing; hire, assign, and supervise workers; determine crop transportation and storage require­ ments; and oversee maintenance of the property and equipment. There are several types of agricultural managers. Nursery and greenhouse managers make decisions about the type and quality of horticultural plants—trees, shrubs, flowers, or mushrooms, for ex­ ample—to be grown. They also select and purchase seed, fertiliz­ ers, and chemicals used for disease control. Crop farm managers and fish hatchery managers direct farmworkers involved in crop and fish hatchery production. (Farmworkers are discussed in the Handbook statement on agricultural workers.) Working Conditions The work of farmers, ranchers, and agricultural managers is often strenuous; work hours are frequently long; and they rarely have days off during the planting, growing, and harvesting seasons. Never­ theless, for those who enter farming or ranching, these disadvan­ tages are outweighed by the quality of life in a rural area, working outdoors, being self-employed, and making a living working the land. Farmers and farm managers on crop farms usually work from sunrise to sunset during the planting and harvesting seasons. Dur­ ing the rest of the year they plan next season’s crops, market their output, and repair machinery; some may earn additional income by working a second job off the farm. On livestock producing fanns and ranches, work goes on through­ out the year. Animals, unless they are grazing, must be fed and watered every day, and dairy cows must be milked two or three times a day. Many livestock and dairy farmers monitor and attend to the health of their herds, which may include assisting in the birthing of animals. Such farmers rarely get the chance to get away unless they hire an assistant or arrange for a temporary substitute. Farmers who grow produce and perishables have different de­  mands on their time. For example, organic farmers must maintain https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  cover crops during the cold months, which keeps them occupied with farming beyond the typical growing season. Farm work also can be hazardous. Tractors and other farm ma­ chinery can cause serious injury, and workers must be constantly alert on the job. The proper operation of equipment and handling of chemicals is necessary to avoid accidents and protect the envi­ ronment. On very large farms, farmers spend substantial time meeting with farm managers or farm supervisors in charge of various activities. Professional farm managers overseeing several farms may divide their time between traveling to meet farmers or landowners and planning the farm operations in their offices. As farming practices and agricultural technology become more sophisticated, farmers and farm managers are spending more time in offices and at computers, where they electronically manage many aspects of their businesses. Some farmers also spend time at conferences, particularly during the winter months, exchanging information. Employment Farmers, ranchers, and agricultural managers held nearly 1.5 million jobs in 2000. About 86 percent were self-employed farmers and ranchers. Most farmers, ranchers, and agricultural managers over­ see crop production activities, while others manage livestock and dairy production. A smaller number are involved in agricultural services, such as contract harvesting and farm labor contracting. The soil, topography of the land, and the climate of an area gen­ erally determine the type of farming and ranching done. For ex­ ample, California, Wisconsin, New York, and Pennsylvania lead the country in milk production, while Ohio, California, Pennsylvania, and Indiana lead in egg production. Texas, California, Georgia, and Mississippi are the biggest cotton producers, and Kansas, North Dakota, Montana, and Washington are the biggest wheat producers. Training, Other Qualifications, and Advancement Growing up on a family farm and participating in agricultural pro­ grams for young people (sponsored by the National FFA Organiza­ tion, formerly known as the Future Farmers of America, or the 4-H youth educational programs) are important sources of training for those interested in pursuing agriculture as a career. However, mod­ em farming requires increasingly complex scientific, business, and financial decisions. Therefore, even people who were raised on farms must acquire the appropriate education. Not all agricultural managers grew up on farms or ranches. For these people, a bachelor’s degree in business with a concentration in agriculture is important. In addition to formal education, they need several years of work experience in the different aspects of farm and ranch operations in order to qualify for an agricultural manager position. Students should select the college most appropriate to their spe­ cific interests and location. In the United States, all State univer­ sity systems have one land-grant university with a school of agriculture. Common programs of study include agronomy, dairy science, agricultural economics and business, horticulture, crop and fruit science, and animal science. For students interested in aquac­ ulture, formal programs are available, and include coursework in fisheries biology, fish culture, hatchery management and mainte­ nance, and hydrology. Whatever one’s interest, the college curricu­ lum should include courses in agricultural production, marketing, and economics. Professional status can be enhanced through voluntary certifica­ tion as an Accredited Farm Manager (AFM) by the American Soci­ ety of Farm Managers and Rural Appraisers. Certification requires several years of farm management experience, the appropriate aca­ demic background—a bachelor’s degree or, preferably, a master’s  Management and Business and Financial Operations Occupations 49  degree in a field of agricultural science—and the passing of courses and examinations relating to business, financial, and legal aspects of farm and ranch management. Farmers, ranchers, and agricultural managers need to keep abreast of continuing advances in agricultural methods both in the United States and abroad, as well as changes in governmental regulations that may impact methods or markets for particular crops. Besides print journals that inform the agricultural community, the spread of the Internet allows quick access to the latest developments in areas such as agricultural marketing, legal arrangements, or growing crops, vegetables, and livestock. Electronic mail, on-line journals, and newsletters from agricultural organizations also speed the exchange of information directly between farming associations and individual farmers. Farmers, ranchers, and agricultural managers also must have enough technical knowledge of crops, growing conditions, and plant diseases to make decisions ensuring the successful operation of their farms. A rudimentary knowledge of veterinary science, as well as animal husbandry, is important for livestock and dairy farmers. Knowledge of the relationship between farm operations—for ex­ ample, the use of pesticides—and environmental conditions is es­ sential. Mechanical aptitude and the ability to work with tools of all kinds are also valuable skills for the operator of a small farm, who often maintains and repairs machinery or farm structures. Farmers, ranchers, and agricultural managers need the manage­ rial skills necessary to organize and operate a business. A basic knowl­ edge of accounting and bookkeeping is essential in keeping financial records, while a knowledge of credit sources is vital for buying seed, fertilizer, and other inputs necessary for planting. It is also necessary to be familiar with complex safety regulations and requirements of governmental agricultural support programs. Computer skills are increasingly important, especially on large farms, where computers are widely used for recordkeeping and business analysis. For ex­ ample, some farmers, ranchers, and agricultural managers use per­ sonal computers to access the Internet to get the latest information on prices of farm products and other agricultural news. High school training should include courses in mathematics and in biology and other life sciences. Completion of a 2-year degree, and preferably a 4-year bachelor’s degree program in a college of agriculture, is becoming increasingly important. But even after obtaining formal education, novices may need to spend time work­ ing under an experienced farmer to learn how to put into practice the skills learned through academic training. A small number of farms offer, on a formal basis, apprenticeships to help young people acquire such practical skills. Job Outlook Demand for food and fiber will increase due to growth in world population and in demand for U.S. agricultural exports as develop­ ing nations improve their economies and personal incomes. How­ ever, increasing productivity in the U.S. agricultural production industry is expected to meet domestic consumption needs and ex­ port requirements with fewer workers. Employment of farmers and ranchers, is expected to continue to decline through 2010, while employment for farm, ranch, and agricultural managers is expected to grow slower than average. The overwhelming majority of job openings for self-employed farmers and ranchers will result from the need to replace farmers who retire or leave the occupation for economic or other reasons. Market pressures will continue the long-term trend toward con­ solidation into fewer and larger farms over the 2000-10 period, fur­ ther reducing the number of jobs for farmers and ranchers, but increasing employment of agricultural managers. Some farmers ac­  quire farms by inheritance; however, purchasing a farm or additional https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  land is expensive and requires substantial capital. In addition, suf­ ficient funds are required to withstand the adverse effects of cli­ mate and price fluctuations upon farm output and income and to cover operating costs—livestock, feed, seed, and fuel. Also, the complexity of modem farming and keen competition among farm­ ers leaves little room for the marginally successful farmer. Despite the expected continued consolidation of farm land and the projected decline in overall employment of farmers, ranchers, and agricultural managers, an increasing number of small-scale farm­ ers have developed successful market niches that involve personal­ ized, direct contact with their customers. Many are finding opportunities in organic food production, as more consumers de­ mand food grown without pesticides or chemicals. Others use farm­ ers’ markets that cater directly to urban and suburban consumers, allowing the farmers to capture a greater share of consumers’ food dollars. Some small-scale farmers, such as some dairy farmers, belong to collectively owned marketing cooperatives that process and sell their product. Other farmers participate in communitysupported agriculture cooperatives that allow consumers to directly buy a share of the farmer’s harvest. Aquaculture also should continue to provide some new employ­ ment opportunities over the 2000-10 period. Overfishing has re­ sulted in declining ocean catches, and the growing demand for certain seafood items—such as shrimp, salmon, and catfish—has spurred the growth of aquaculture farms. Aquaculture output increased strongly between the early 1980s and mid-1990s, and continued growth is expected. Earnings Incomes of farmers and ranchers vary greatly from year to year be­ cause prices of farm products fluctuate depending upon weather conditions and other factors that influence the quantity and quality of farm output and the demand for those products. A farm that shows a large profit in one year may show a loss in the following year. Under the 1996 Farm Act, Federal Government subsidy pay­ ments, which have traditionally shielded some grain producers from the ups and downs of the market, were set at fixed levels regardless of yields or prices. Consequently, these farmers may experience more income variability from year to year than in the past. The Act also phases out price supports for dairy farmers, and may result in lower incomes for dairy producers. Many farmers—primarily op­ erators of small farms—have income from off-farm business ac­ tivities, often greater than that of their farm income. Full-time, salaried farm managers, with the exception of horti­ cultural managers, had median weekly earnings of $542 in 2000. The middle half earned between $221 and $655. The highest paid 10 percent earned more than $756, and the lowest paid 10 percent earned less than $187. Horticultural specialty farm managers gen­ erally earn considerably more. Farmers and self-employed farm managers make their own pro­ visions for benefits. As members of farm organizations, they may derive benefits such as group discounts on health and life insurance premiums. Related Occupations Farmers, ranchers, and agricultural managers strive to improve the quality of agricultural products and the efficiency of farms. Others whose work is related to agricultural products include agricultural engineers, agricultural and food scientists, agricultural workers, and purchasing agents and buyers of farm products. Sources of Additional Information For general information about farming and agricultural occupations, contact:  50 Occupational Outlook Handbook > Center for Rural Affairs, RO. Box 406, Walthill, NE 68067. Internet:  http://www.cfra.org  For information about certification as an accredited farm man­ ager, contact: >- American Society of Farm Managers and Rural Appraisers, 950 Cherry St., Suite 508, Denver, CO 80222. Internet: http://www.asfmra.org ► Small Farm Program, U.S. Department ofAgriculture, Cooperative State, Research, Education, and Extension Service, Stop 2220, Washington, DC 20250-2220. Internet: http://www.reeusda.gov/agsys/smallfarm  For information on aquaculture, education, training, or Commu­ nity Supported Agriculture, contact: >■ Alternative Farming System Information Center (AFSIC), National Ag­ ricultural Library USDA, 10301 Baltimore Ave., Room 132, Beltsville, MD 20705-2351. Internet: http://www.nal.usda.gov/afsic >- Appropriate Technology Transfer for Rural Areas, P.O. Box 3657, Fayetteville, AR 72702. Internet: http://www.attra.org  Financial Analysts and Personal Financial Advisors (0**NET 13-2051.00, 13-2052.00)  Significant Points •  •  •  A college degree and good interpersonal skills are among the most important qualifications for these workers. Although both occupations will benefit from an increase in investing by individuals, personal financial advisors will benefit more. Financial analysts may face keen competition for jobs, especially at top securities firms, where pay can be lucrative.  Nature of the Work Financial analysts and personal financial advisors provide invest­ ment analysis and guidance to businesses and individuals to help them with their investment decisions. They gather financial infor­ mation, analyze it, and make recommendations. However, their job duties differ because of the type of investment information they provide and the clients they work for. Financial analysts assess the economic performance of companies and industries for firms and institutions with money to invest. Personalfinancial advisors gen­ erally assess the financial needs of individuals, providing them a wide range of options. Financial analysts, also called security analysts and investment analysts, work for banks, insurance companies, mutual and pen­ sion funds, securities firms, and other businesses helping the com­ pany or their clients make investment decisions. They read company financial statements and analyze commodity prices, sales, costs, expenses, and tax rates in order to determine a company’s value and project future earnings. They often meet with company offi­ cials to get better insight into a company and determine managerial effectiveness. Usually financial analysts study an entire industry, assessing current trends in business practices, products, and indus­ try competition. They must keep abreast of new regulations or poli­ cies that may affect the industry, as well as monitor the economy to determine its effect on earnings. Financial analysts use spreadsheet and statistical software pack­ ages to analyze financial data, spot trends, and develop forecasts. Based on their results, they write reports and make presentations, usually making recommendations to buy or sell a particular invest­  ment or security. Senior analysts may actually make the decision https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  to buy or sell for the company or client if they are the ones respon­ sible for managing the assets. Other analysts use the data to mea­ sure the financial risks associated with making a particular investment decision. Financial analysts in investment banking departments of securi­ ties or banking firms often work in teams analyzing the future pros­ pects of companies that want to sell shares to the public for the first time. They also ensure that the forms and written materials neces­ sary for compliance with Securities and Exchange Commission regu­ lations are accurate and complete. They may make presentations to prospective investors about the merits of investing in the new com­ pany. Financial analysts also work in mergers and acquisitions de­ partments, preparing analyses on the costs and benefits of a proposed merger or takeover. Some financial analysts, called ratings analysts, evaluate the ability of companies or governments issuing bonds to repay their debt. Based on their evaluation, a management team assigns a rat­ ing to a company’s or government’s bonds. Other financial ana­ lysts perform budget, cost, and credit analysis as part of their responsibilities. Personal financial advisors, also called financial planners orfi­ nancial consultants, use their knowledge of investments, tax laws, insurance, and real estate to recommend financial options to indi­ viduals based on their short-term and long-term goals. Some of the issues they address are retirement planning, estate planning, tax is­ sues, funding for college, and general investment options. While most planners offer advice on a wide range of topics, some special­ ize in areas such as estate planning or risk management. An advisor’s work begins with a consultation with the client, where the advisor obtains information on the client’s finances and financial goals. The advisor then develops a comprehensive finan­ cial plan that identifies problem areas, makes recommendations for improvement, and selects appropriate investments based on their goals, attitude toward risk, and expectations or needs for a return on the investment. Often, this plan is written, but it can be in the form of verbal advice. Financial advisors usually meet with established clients at least once a year to update them on potential investments  Financial analysts research and analyze financial data, helping managers make sound investment decisions.  Management and Business and Financial Operations Occupations 51  and determine if there have been any life changes—such as mar­ riage, disability, or retirement—that might affect the clients’ finan­ cial goals. Financial advisors also answer questions from clients regarding changes in benefit plans or consequences of a job change. Some advisors buy and sell financial products, such as mutual funds or insurance, or refer clients to other companies for products and services such as preparation of taxes or wills. A number of advi­ sors take on the responsibility of managing the client’s investments for them. Finding clients and building a customer base is one of the most important parts of a financial advisor’s job. Many advisors contact potential clients by giving seminars or lectures or meeting clients through business and social contacts. Working Conditions Financial analysts and personal financial advisors usually work in­ doors in safe, comfortable offices or their own homes. Many of these workers enjoy the challenge of helping firms or people make financial decisions. Flowever, financial analysts may face long hours, frequent travel to visit companies and talk to potential investors, and deadline pressure. Much of their research must be done after office hours, because their day is filled with phone calls and meet­ ings. Personal financial advisors usually work standard business hours, but they also schedule meetings with clients in the evenings or on weekends. Many teach evening classes or put on seminars in order to bring in more clients. Employment Financial analysts and personal financial advisors held 239,000jobs in 2000; financial analysts accounted for about 6 in 10 of the total. Many financial analysts work at the headquarters of large financial companies, several of which are based in New York. One-fourth of financial analysts work for security and commodity brokers, ex­ changes, and investment services firms; and one-fifth work for de­ pository and nondepository institutions, including banks, credit institutions, and mortgage bankers and brokers. The remainder pri­ marily work for insurance carriers, computer and data processing services, and management and public relations firms. Approximately one fourth ofpersonal financial advisors are selfemployed, operating small investment advisory firms, usually lo­ cated in urban areas. The majority of salaried advisors—nearly 6 in 10—work for security and commodity brokers, exchanges, and in­ vestment services firms. About 1 in 7 personal financial advisors work for commercial banks, saving institutions, and credit unions. A small number work for insurance carriers and insurance agents, brokers, and services. Training, Other Qualifications, and Advancement A college education is required for financial analysts and strongly preferred for personal financial advisors. Most companies require financial analysts to have at least a bachelor’s degree in business administration, accounting, statistics, or finance. Coursework in statistics, economics, and business is required, and knowledge of accounting policies and procedures, corporate budgeting, and financial analysis methods is recommended. A master of business administration is desirable. Advanced courses in options pricing or bond valuation and knowledge of risk management are also suggested. Employers usually do not require a specific field of study for personal financial advisors, but a bachelor’s degree in accounting, finance, economics, business, mathematics, or law provides good preparation for the occupation. Courses in investments, taxes, es­ tate planning, and risk management also are helpful. Programs in  financial planning are becoming more widely available in colleges https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  and universities. Flowever, many financial planners enter the field after working in a related occupation, such as securities and finan­ cial services sales representative, insurance agent, accountant, or lawyer. Mathematical, computer, analytical, and problem-solving skills are all essential qualifications for financial analysts and personal financial advisors. Good communication skills also are necessary because these workers must present complex financial concepts and strategies in easy-to-understand language to clients and other pro­ fessionals. Self-confidence, maturity, and the ability to work inde­ pendently are important as well. Financial analysts must be detail-oriented, motivated to seek out obscure information, and familiar with the workings of the economy, tax laws, and money markets. For financial advisors, strong inter­ personal skills and sales ability are crucial to success. Certification, although not required for financial analysts or per­ sonal financial advisors to practice, can enhance professional stand­ ing and is strongly recommended by many financial companies. Financial analysts may receive the title Chartered Financial Analyst (CFA), sponsored by the Association of Investment Management and Research. To qualify for CFA designation, applicants must have a bachelor’s degree, 3 years of work experience in a related field, and pass a series of three examinations. The essay exams, administered once a year for 3 years, cover subjects such as ac­ counting, economics, securities analysis, asset valuation, and port­ folio management. Personal financial advisors may obtain a Certified Financial Plan­ ner (CFP) or Chartered Financial Consultant (ChFC) designation. Both designations demonstrate to potential customers that a plan­ ner has extensive training and competency in the area of financial planning. The CFP designation, issued by the CFP Board of Stan­ dards, requires relevant experience, completion of education require­ ments, passage of a comprehensive examination, and adherence to an enforceable code of ethics. The ChFC designation, issued by the American College in Bryn Mawr, Pennsylvania, requires expe­ rience and completion of an eight-course study program. Both pro­ grams have a continuing education requirement. A license is not required to work as a personal financial advisor, but advisors who sell stocks, bonds, mutual funds, insurance, or real estate, may need licenses to perform these additional services. Also, if legal advice is provided, a license to practice law may be required. Financial advisors that do not provide these additional services often refer clients to those qualified to provide them. Financial analysts may advance by becoming portfolio manag­ ers or financial managers, directing the investment policies of their companies or those of clients. Personal financial advisors who work in firms also may move into managerial positions, but most advisors advance by accumulating clients and managing more assets. Job Outlook Increased investment by businesses and individuals is expected to result in faster-than-average employment growth of financial ana­ lysts and personal financial advisors through 2010. Both occupa­ tions will benefit as baby boomers save for retirement and a generally better educated and wealthier population requires investment ad­ vice. In addition, people are living longer and must plan to finance more years of retirement. The rapid expansion of self-directed re­ tirement plans, such as the 401 (k) plans, is expected to continue. Most of the money in these plans is invested in mutual funds. As the number of mutual funds and the amount of assets invested in the funds increases, mutual fund companies will need increased numbers of financial analysts to recommend which financial prod­ ucts the funds should buy or sell. Growth in retirement plans will  52 Occupational Outlook Handbook  also increase demand for personal financial advisors to provide advice on how to invest this money. Deregulation of the financial services industry is also expected to spur demand for financial analysts and personal financial advi­ sors. Since 1999, banks, insurance companies, and brokerage firms have been allowed to broaden their financial services. Many firms are adding investment advice to their list of services and are ex­ pected to increase their hiring of personal financial advisors. Many banks are now entering the securities brokerage and investment banking fields and will increasingly need the skills of financial ana­ lysts in these areas. The globalization of the securities markets as well as the in­ creased complexity of many financial products also will increase the need for analysts and advisors to help investors make financial choices. In addition, business mergers and acquisitions seem likely to continue, requiring the services of financial analysts. However, in the field of investment banking, the demand for financial ana­ lysts may fluctuate because investment banking is sensitive to changes in the stock market. And further consolidation in the fi­ nancial services industry may eliminate some financial analyst po­ sitions, somewhat dampening overall employment growth. Competition is expected to be keen for these highly lucrative posi­ tions, with many more applicants than jobs. Earnings Median annual earnings of financial analysts were $52,420 in 2000. The middle half earned between $40,210 and $70,840. The lowest 10 percent earned less than $31,880, and the top 10 percent earned more than $101,760. Median annual earnings in the industries employing the largest numbers of financial analysts in 2000 were: Security and commodity services......... Security brokers and dealers................... Management and public relations......... Computer and data processing services Commercial banks....................................  $65,920 54,650 52,690 51,680 46,910  Median annual earnings of personal financial advisors were $55,320 in 2000. The middle half earned between $34,420 and $96,360. The lowest 10 percent earned less than $25,110, and the top 10 percent earned more than $145,600. Median annual earnings in the industries employing the largest number of personal financial advisors in 2000 were: Security brokers and dealers............................................................... Security and commodity services...................................................... Commercial banks.................................................................................  $66,150 61,430 49,880  Many financial analysts receive a bonus in addition to their sal­ ary, which can add substantially to their earnings. The bonus is usually based on how well their predictions compare to the actual performance of a benchmark investment. Personal financial advi­ sors who work for financial services firms are generally paid a sal­ ary plus bonus. Advisors who work for financial planning firms or who are self-employed either charge hourly fees for their services or charge one set fee for a comprehensive plan based on its complex­ ity. Advisors who manage a client’s assets usually charge a percent­ age of the assets under management. A majority of advisors receive commissions for financial products they sell in addition to a fee. Related Occupations Other jobs requiring expertise in finance and investments or sales of financial products include accountants, financial managers, in­ surance sales agents, real estate agents, and securities, commodities  and financial services sales representatives. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Sources of Additional Information For information on a career in financial planning, contact: >- The Financial Planning Association, 1700 Broadway, Suite 708, Den­ ver, CO 80290. Internet: http://www.fpanet.org  For information about the Certified Financial Planner certifica­ tion, contact:  >- The Certified Financial Planner Board of Standards, 1700 Broadway, Suite 2100, Denver, CO 80290-2101. Internet: http://www.cfp-board.org  For information about the Chartered Financial Consultant des­ ignation, contact: >- The American College, 270 South Bryn Mawr Ave., Bryn Mawr, PA 19010. Internet: http://www.amercoll.edu  For information on about the Chartered Financial Analyst desig­ nation, contact: >- Association of Investment Management and Research, P.O. Box 3668, 560 Ray C. Hunt Drive, Charlottesville, VA 22903. Internet:  http://www.aimr.org  Financial Managers (Q*NET 11-3031.01, 11-3031.02)  Significant Points •  •  A bachelor’s degree in finance, accounting, or a related field is the minimum academic preparation, but many employers increasingly seek graduates with a master’s degree. The increasing need for financial expertise will spur employment growth.  Nature of the Work Almost every firm, government agency, and organization has one or more financial managers who oversee the preparation of finan­ cial reports, direct investment activities, and implement cash man­ agement strategies. As computers are increasingly used to record and organize data, many financial managers are spending more time developing strategies and implementing the long-term goals of their organization. The duties of financial managers vary with their specific titles, which include controller, treasurer, credit manager, and cash man­ ager. Controllers direct the preparation of financial reports that summarize and forecast the organization’s financial position, such as income statements, balance sheets, and analyses of future earn­ ings or expenses. Controllers also are in charge of preparing spe­ cial reports required by regulatory authorities. Often, controllers oversee the accounting, audit, and budget departments. Treasurers andfinance officers direct the organization’s financial goals, objec­ tives, and budgets. They oversee the investment of funds and man­ age associated risks, supervise cash management activities, execute capital-raising strategies to support a firm’s expansion, and deal with mergers and acquisitions. Cash managers monitor and control the flow of cash receipts and disbursements to meet the business and investment needs of the firm. For example, cashflow projections are needed to deter­ mine whether loans must be obtained to meet cash requirements or whether surplus cash should be invested in interest-bearing instru­ ments. Risk and insurance managers oversee programs to mini­ mize risks and losses that may arise from financial transactions and business operations undertaken by the institution. They also man­ age the organization’s insurance budget. Credit managers oversee the firm’s issuance of credit. They establish credit-rating criteria, determine credit ceilings, and monitor the collections of past-due  Management and Business and Financial Operations Occupations 53  accounts. Managers specializing in international finance develop financial and accounting systems for the banking transactions of multinational organizations. Financial institutions, such as commercial banks, savings and loan associations, credit unions, and mortgage and finance compa­ nies, employ additional financial managers who oversee various functions, such as lending, trusts, mortgages, and investments, or programs, including sales, operations, or electronic financial ser­ vices. These managers may be required to solicit business, autho­ rize loans, and direct the investment of funds, always adhering to Federal and State laws and regulations. (Chief information officers and other financial executives are included in the Handbook state­ ment on top executives.) Branch managers of financial institutions administer and man­ age all the functions of a branch office, which may include hiring personnel, approving loans and lines of credit, establishing a rap­ port with the community to attract business, and assisting custom­ ers with account problems. Financial managers who work for financial institutions must keep abreast of the rapidly growing ar­ ray of financial services and products. In addition to the general duties described above, all financial managers perform tasks unique to their organization or industry. For example, government financial managers must be experts on the government appropriations and budgeting processes, whereas healthcare financial managers must be knowledgeable about issues surrounding healthcare financing. Moreover, financial managers must be aware of special tax laws and regulations that affect their industry. Areas in which financial managers play an increasingly impor­ tant role involve mergers and consolidations, and global expansion and financing. These developments require extensive, specialized knowledge on the part of the financial manager to reduce risks and maximize profit. Financial managers increasingly are hired on a temporary basis to advise senior managers on these and other mat­ ters. In fact, some firms contract out all accounting and financial functions to companies that provide these services. The role of the financial manager, particularly in business, is changing in response to technological advances that have reduced the amount of time it takes to produce financial reports significantly. Financial managers now perform more data analysis and use it to offer senior managers ideas on how to maximize profits. They often work on teams, acting as business advisors to top management.  iSBi  mP ■  Financial managers oversee the preparation offinancial reports, direct investment activities, and implement cash management  strategies. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Financial managers need to keep abreast of the latest computer tech­ nology in order to increase the efficiency of their firm’s financial operations. Working Conditions Financial managers work in comfortable offices, often close to top managers and to departments that develop the financial data these managers need. They typically have direct access to state-of-theart computer systems and information services. Financial manag­ ers commonly work long hours, often up to 50 or 60 per week. They generally are required to attend meetings of financial and eco­ nomic associations and may travel to visit subsidiary firms or to meet customers. Employment Financial managers held about 658,000 jobs in 2000. Although these managers are found in virtually every industry, more than onefourth were employed by services industries, including business, health, social, and management services. About 3 out of 10 were employed by financial and related institutions, such as banks, sav­ ings institutions, finance companies, credit unions, insurance com­ panies, securities dealers, and real estate firms. Training, Other Qualifications, and Advancement A bachelor’s degree in finance, accounting, economics, or business administration is the minimum academic preparation for financial managers. However, many employers increasingly seek graduates with a master’s degree, preferably in business administration, eco­ nomics, finance, or risk management. These academic programs develop analytical skills and provide knowledge of the latest finan­ cial analysis methods and technology. Experience may be more important than formal education for some financial manager positions—notably, branch managers in banks. Banks typically fill branch manager positions by promoting experienced loan officers and other professionals who excel at their jobs. Other financial managers may enter the profession through formal management trainee programs offered by the company. Continuing education is vital for financial managers, reflecting the growing complexity of global trade, shifting Federal and State laws and regulations, and a proliferation of new and complex finan­ cial instruments. Firms often provide opportunities for workers to broaden their knowledge and skills by encouraging employees to take graduate courses at colleges and universities or attend confer­ ences related to their specialty. Financial management, banking, and credit union associations, often in cooperation with colleges and universities, sponsor numerous national and local training pro­ grams. Persons enrolled prepare extensively at home, then attend sessions on subjects such as accounting management, budget man­ agement, corporate cash management, financial analysis, interna­ tional banking, and information systems. Many firms pay all or part of the costs for those who successfully complete courses. Although experience, ability, and leadership are emphasized for promotion, advancement may be accelerated by this type of special study. In some cases, financial managers also may broaden their skills and exhibit their competency in specialized fields by attaining pro­ fessional certification. For example, the Association for Invest­ ment Management and Research confers the Chartered Financial Analyst designation on investment professionals who have a bachelor’s degree, pass three test levels, and meet work experience requirements. The National Association of Credit Management administers a three-part certification program for business credit professionals. Through a combination of experience and examina­ tions, these financial managers pass from the level of Credit Busi­ ness Associate to Credit Business Fellow and, finally, to Certified  54 Occupational Outlook Handbook  Credit Executive. The Association for Financial Professionals (AFP) confers the Certified Cash Manager credential to those with a mini­ mum of 2 years of relevant experience who pass a computer-based exam, and the Certificate in International Cash Management to those who participate in a self-study and examination program. In part­ nership with the University of Michigan Business School, AFP also offers the Certificate in Finance and Treasury Management, which recognizes professionals who demonstrate competencies in finan­ cial and treasury management at the senior level. More recently, the Association of Government Accountants has begun to offer the Certified Government Financial Manager certification to those who have a bachelor’s degree, at least 2 years of relevant experience, and who pass three examinations. Financial managers who spe­ cialize in accounting may earn the Certified Public Accountant (CPA) or Certified Management Accountant (CMA) designations. (See the Handbook statement on accountants and auditors.) Candidates for financial management positions need a broad range of skills. Interpersonal skills are increasingly important be­ cause these jobs involve managing people and working as part of a team to solve problems. Financial managers must have excellent communication skills to explain complex financial data. Because financial managers work extensively with various departments in their firm, a broad overview of the business is essential. Financial managers should be creative thinkers and problemsolvers, applying their analytical skills to business. They must be comfortable with the latest computer technology. As financial opera­ tions increasingly are affected by the global economy, managers must have knowledge of international finance. Proficiency in a foreign language also may be important. Because financial management is critical for efficient business operations, well-trained, experienced financial managers who dis­ play a strong grasp of the operations of various departments within their organization are prime candidates for promotion to top man­ agement positions. Some financial managers transfer to closely related positions in other industries. Those with extensive experi­ ence and access to sufficient capital may start their own consulting firms. Job Outlook Employment of financial managers is expected to grow about as fast as the average for all occupations through 2010. While merg­ ers, acquisitions, and corporate downsizing will continue to ad­ versely affect employment of financial managers, growth of the economy and the need for financial expertise will ensure job growth. Candidates with expertise in accounting and finance, particularly those with a master’s degree, should enjoy the best job prospects. Strong computer skills and knowledge of international finance are increasingly important; so are excellent communication skills, be­ cause financial management jobs increasingly involve working on strategic planning teams. The banking industry, which employs more than 1 out of 8 fi­ nancial managers, is expected to continue to consolidate. Employ­ ment of bank branch managers, in particular, will grow very little or not at all as banks open fewer branches and promote electronic and Internet banking to cut costs. In contrast, the securities and com­ modities industry will hire more financial managers to handle in­ creasingly complex financial transactions and manage investments. Financial managers are being hired throughout industry to manage assets and investments, handle mergers and acquisitions, raise capi­ tal, and assess global financial transactions. Risk managers, who assess risks for insurance and investment purposes, are in especially great demand. companies may hire financial managers on a temporary Digitized forSome FRASER basis, to see the organization through a short-term crisis or to offer https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  suggestions for boosting profits. Other companies may contract out all accounting and financial operations. Even in these cases, however, financial managers may be needed to oversee the contracts. Computer technology has reduced the time and staff required to produce financial reports. As a result, forecasting earnings, profits, and costs, and generating ideas and creative ways to increase prof­ itability will become the major role of corporate financial managers over the next decade. Financial managers who are familiar with computer software and applications that can assist them in this role will be needed. Earnings Median annual earnings of financial managers were $67,020 in 2000. The middle 50 percent earned between $48,150 and $91,580. The lowest 10 percent had earnings of less than $36,050, while the top 10 percent earned over $131,120. Median annual earnings in the industries employing the largest numbers of financial managers in 2000 are shown below: Security brokers and dealers.................... Accounting, auditing, and bookkeeping Computer and data processing services. Local government...................................... Commercial banks.....................................  $112,140 83,380 79,850 59,000 55,960  According to a 2001 survey by Robert Half International, a staff­ ing services firm specializing in accounting and finance, directors of finance earned between $70,750 and $202,750, and corporate controllers earned between $53,500 and $150,250. The results of the Association for Financial Professionals’ 13th annual compensation survey are presented in table 1. The earnings listed in the table represent total compensation, including bonuses and deferred compensation, for 2001. Financial officers average total compensation was $122,170. Large organizations often pay more than small ones, and salary levels also can depend on the type of industry and location. Many financial managers in private industry receive additional compen­ sation in the fonn of bonuses, which also vary substantially by size of firm. Deferred compensation in the form of stock options also is becoming more common. Table 1. Average earnings for selected financial managers, 2001 Vice president of finance............ Treasurer......................................... Assistant vice president-finance Controller/comptroller................ Director........................................... Assistant treasurer....................... Assistant controller/comptroller Manager.......................................... Cash manager...............................  $178,724 158,404 128,272 119,220 110,704 105,885 99,856 81,720 60,424  SOURCE: Association for Financial Professionals  Related Occupations Financial managers combine formal education with experience in one or more areas of finance, such as asset management, lending, credit operations, securities investment, or insurance risk and loss control. Workers in other occupations requiring similar training and skills include accountants and auditors; budget analysts; credit authorizers, checkers, and clerks; financial analysts and personal financial advisors; insurance underwriters; loan counselors and  Management and Business and Financial Operations Occupations 55  officers; securities, commodities, and financial services sales agents; and real estate brokers and sales agents. Sources of Additional Information For information about careers and certification in financial man­ agement, contact: >• American Bankers Association, 1120 Connecticut Ave. NW., Washing­ ton, DC 20036. Internet: http://www.aba.com >• Financial Management Association International, College of Business Administration, University of South Florida, Tampa, FL 33620-5500. Internet: http://www.fma.org  For information about financial careers in business credit man­ agement; the Credit Business Associate, Credit Business Fellow, and Certified Credit Executive programs, contact: ► National Association of Credit Management, Credit Research Founda­ tion, 8840 Columbia 100 Pkwy., Columbia, MD 21045-2158. Internet:  http://www.nacm.org  For information about careers in financial and treasury manage­ ment and the Certified Cash Manager, Certified Financial and Trea­ sury Management, and Certified International Cash Management programs, contact: >■ Association for Financial Professionals, 7315 Wisconsin Ave., Suite 600 West, Bethesda, MD 20814. Internet: http://www.afponline.org  For information about the Chartered Financial Analyst program, contact: ► Association for Investment Management and Research, P.O. Box 3668, 560 Ray Hunt Dr., Charlottesville, VA 22903. Internet:  http://www.aimr.org  For information about the Certified Government Financial Man­ ager designation, contact: ► Association of Government Accountants, 2208 Mount Vernon Ave., Alex­ andria, VA 22301-1314. Internet: http://www.agacgfm.org  Food Service Managers (0*NET 11-9051.00)  Significant Points •  •  •  Although many experienced food and beverage preparation and service workers are promoted to fill managerial jobs, applicants with a bachelor’s or associate degree in restaurant and institutional food service management should have the best job opportunities. Most new jobs will arise in eating and drinking places as the number of establishments increases along with the population, personal incomes, and leisure time. As more restaurant managers are employed by larger companies to run establishments, job opportunities should be better for salaried managers than for selfemployed managers.  Nature of the Work The daily responsibilities of many food service managers can of­ ten be as complicated as some of the meals prepared by a fine chef. In addition to the traditional duties of selecting and pricing menu items, using food and other supplies efficiently, and achiev­ ing quality in food preparation and service, managers now are re­ sponsible for a growing number of administrative and human resource tasks. For example, managers must carefully find and  evaluate new ways of recruiting employees in a tight job market. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Once hired, managers also must find creative ways to retain expe­ rienced workers. In most restaurants and institutional food service facilities, the manager is assisted in these duties by one or more assistant manag­ ers, depending on the size and operating hours of the establishment. In most large establishments, as well as in many smaller ones, the management team consists of a general manager, one or more assis­ tant managers, and an executive chef. The executive chef is respon­ sible for the operation of the kitchen, while the assistant managers oversee service in the dining room and other areas. In smaller restau­ rants, the executive chef also may be the general manager, and some­ times an owner. In fast-food restaurants and other food service facilities open for long hours—often 7 days a week—several assis­ tant managers, each of whom supervises a shift of workers, aid the manager. (For additional information on these other workers, see the Handbook statements on top executives and chefs, cooks, and food preparation workers.) One of the most important tasks of food service managers is selecting successful menu items. This task varies by establishment because, although many restaurants rarely change their menu, oth­ ers make frequent alterations. Managers or executive chefs select menu items, taking into account the likely number of customers and the past popularity of dishes. Other issues taken into consider­ ation when planning a menu include unserved food left over from prior meals that should not be wasted, the need for variety, and the seasonal availability of foods. Managers or executive chefs ana­ lyze the recipes of the dishes to determine food, labor, and over­ head costs, and to assign prices to various dishes. Menus must be developed far enough in advance that supplies can be ordered and received in time. On a daily basis, managers estimate food consumption, place orders with suppliers, and schedule the delivery of fresh food and beverages. They receive and check the content of deliveries, evalu­ ating the quality of meats, poultry, fish, fruits, vegetables, and baked goods. To ensure good service, managers meet with sales represen­ tatives from restaurant suppliers to place orders replenishing stocks of tableware, linens, paper, cleaning supplies, cooking utensils, and furniture and fixtures. They also arrange for equipment mainte­ nance and repairs, and coordinate a variety of services such as waste removal and pest control. The quality of food dishes and services in restaurants depends largely on a manager’s ability to interview, hire, and, when neces­ sary, fire employees. This is especially true in tight labor markets, when many managers report difficulty in hiring experienced food and beverage preparation and service workers. Managers may at­ tend career fairs or arrange for newspaper advertising to expand their pool of applicants. Once a new employee is hired, managers explain the establishment’s policies and practices and oversee any necessary training. Managers also schedule the work hours of em­ ployees, making sure there are enough workers present to cover peak dining periods. If employees are unable to work, managers may have to fill in for them. Some managers regularly help with cooking, clearing of tables, or other tasks. Another fundamental responsibility of food service managers is supervising the kitchen and dining room. For example, managers often oversee all food preparation and cooking, examining the quality and portion sizes to ensure that dishes are prepared and garnished correctly and in a timely manner. They also investigate and resolve customers’ complaints about food quality or service. To maintain company and government sanitation standards, they direct the clean­ ing of the kitchen and dining areas and washing of tableware, kitchen utensils, and equipment. Managers also monitor the actions of their employees and patrons on a continual basis to ensure that health and safety standards and local liquor regulations are obeyed.  56 Occupational Outlook Handbook  In addition to their regular duties, food service managers have a variety of administrative responsibilities. Although much of this work is delegated to a bookkeeper in a larger establishment, man­ agers in most smaller establishments, such as fast-food restaurants, must keep records of the hours and wages of employees, prepare the payroll, and fill out paperwork in compliance with licensing laws and reporting requirements of tax, wage and hour, unemploy­ ment compensation, and Social Security laws. Managers also main­ tain records of supply and equipment purchases and ensure that accounts with suppliers are paid on a regular basis. In addition, managers in full-service restaurants record the number, type, and cost of items sold to evaluate and discontinue dishes that may be unpopular or less profitable. Many managers are able to ease the burden of recordkeeping and paperwork through the use of computers. Point-of-service (POS) systems are used in many restaurants to increase employee productivity and allow managers to track the sales of specific menu items. Using a POS system, a server keys in the customer’s order, and the computer immediately sends the order to the kitchen so that preparation can begin. The same system totals checks, acts as a cash register and credit card authorizer, and tracks daily sales. To minimize food costs and spoilage, many managers use inventory­ tracking software to compare the record of daily sales from the POS with a record of present inventory. In some establishments, when supplies needed for the preparation of popular menu items  run low, additional inventory can be ordered directly from the sup­ plier using the computer. Computers also allow restaurant and food service managers to more efficiently keep track of employee sched­ ules and pay. Technology also impacts the job of food service managers in many other ways, helping to enhance efficiency and productivity. According to the 2000 National Restaurant Association’s Tableservice Operator Survey, for example, Internet uses by food service managers included tracking industry news, finding recipes, conducting market research, purchasing supplies or equipment, re­ cruiting employees, and training staff. Internet access also makes service to customers more efficient. Many restaurants maintain websites that include menus and online promotions and provide information about the restaurant’s location and the option to make a reservation. Managers are among the first to arrive in the morning and the last to leave. At the conclusion of each day, or sometimes each shift, managers tally the cash and charge receipts received and bal­ ance them against the record of sales. In most cases, they are respon­ sible for depositing the day’s receipts at the bank or securing them in a safe place. Finally, managers are responsible for locking up, checking that ovens, grills, and lights are off, and switching on alarm systems. Working Conditions Evenings and weekends are popular dining periods, making night and weekend work common among managers. Many managers of institutional food service facilities work more conventional hours because factory and office cafeterias usually are open only on week­ days for breakfast and lunch. However, hours for many managers are unpredictable, as managers may have to fill in for absent workers on short notice. It is common for food service managers to work 50 or more hours per week, 7 days a week, and 12 to 15 hours per day. Managers often experience the pressure of simultaneously coor­ dinating a wide range of activities. When problems occur, it is the responsibility of the manager to resolve them with minimal disrup­ tion to customers. The job can be hectic during peak dining hours, and dealing with irate customers or uncooperative employees can be stressful. Employment Food service managers held about 465,000jobs in 2000. Most man­ agers are salaried, but about 1 in 3 was self-employed. Most work in restaurants or for contract institutional food service companies, while a smaller number are employed by educational institutions, hospitals, nursing and personal care facilities, and civic, social, and fraternal organizations. Jobs are located throughout the country, with large cities and tourist areas providing more opportunities for full-service dining positions.  Managers estimate food consumption, place orders with suppliers,  Digitized for schedule FRASER the delivery offresh food and beverages. and https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Training, Other Qualifications, and Advancement Most food service management companies and national or regional restaurant chains recruit management trainees from 2- and 4-year college hospitality management programs. Food service and res­ taurant chains prefer to hire people with degrees in restaurant and institutional food service management, but they often hire gradu­ ates with degrees in other fields who have demonstrated interest and aptitude. Some restaurant and food service manager positions, particularly self-service and fast food, are filled by promoting ex­ perienced food and beverage preparation and service workers. Waiters, waitresses, chefs, and fast-food workers demonstrating potential for handling increased responsibility sometimes advance to assistant manager or management trainee jobs. Executive chefs  Management and Business and Financial Operations Occupations 57  need extensive experience working as chefs, and general managers need experience as assistant managers. A bachelor’s degree in restaurant and food service management provides a particularly strong preparation for a career in this occupa­ tion. A number of colleges and universities offer 4-year programs in restaurant and hotel management or institutional food service man­ agement. For those not interested in pursuing a 4-year degree, com­ munity and junior colleges, technical institutes, and other institutions offer programs in these fields leading to an associate degree or other formal certification. Both 2- and 4-year programs provide instruc­ tion in subjects such as nutrition and food planning and prepara­ tion, as well as accounting, business law and management, and computer science. Some programs combine classroom and labora­ tory study with internships that provide on-the-job experience. In addition, many educational institutions offer culinary programs that provide food preparation training. This training can lead to a career as a cook or chef and provide a foundation for advancement to an executive chef position. Most restaurant chains and food service management compa­ nies have rigorous training programs for management positions. Through a combination of classroom and on-the-job training, train­ ees receive instruction and gain work experience in all aspects of the operations of a restaurant or institutional food service facility. Topics include food preparation, nutrition, sanitation, security, com­ pany policies and procedures, personnel management, recordkeeping, and preparation of reports. Training on use of the restaurant’s computer system is increasingly important as well. Usually after 6 months or a year, trainees receive their first perma­ nent assignment as an assistant manager. Most employers emphasize personal qualities when hiring man­ agers. For example, self-discipline, initiative, and leadership abil­ ity are essential. Managers must be able to solve problems and concentrate on details. They need good communication skills to deal with customers and suppliers, as well as to motivate and direct their staff. A neat and clean appearance is a must because they often are in close personal contact with the public. Food service management can be demanding, so good health and stamina also are important. The certified Foodservice Management Professional (FMP) des­ ignation is a measure of professional achievement for food service managers. Although not a requirement for employment or advance­ ment in the occupation, voluntary certification provides recogni­ tion of professional competence, particularly for managers who acquired their skills largely on the job. The Educational Founda­ tion of the National Restaurant Association awards the FMP desig­ nation to managers who achieve a qualifying score on a written examination, complete a series of courses that cover a range of food service management topics, and meet standards of work experience in the field. Willingness to relocate often is essential for advancement to positions with greater responsibility. Managers typically advance to larger establishments or regional management positions within restaurant chains. Some eventually open their own eating and drinking establishments. Others transfer to hotel management po­ sitions because their restaurant management experience provides a good background for food and beverage manager jobs in hotels and resorts.  Job Outlook Employment of food service managers is expected to increase about as fast as the average for all occupations through 2010. In addi­ tion to employment growth, the need to replace managers who trans­  fer to other occupations or stop working will create many job https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  openings. Applicants with a bachelor’s or associate degree in res­ taurant and institutional food service management should have the best job opportunities. Projected employment growth varies by industry. Most new jobs will arise in eating and drinking places as the number of establishments increases along with the population, personal in­ comes, and leisure time. In addition, manager jobs will increase in eating and drinking places as schools, hospitals, and other busi­ nesses contract out more of their food services to institutional food service companies within the eating and drinking industry. Food service manager jobs still are expected to increase in many of the latter industries, but growth will be slowed as contracting out be­ comes more common. Growth in the elderly population should result in more food service manager jobs in nursing homes and other healthcare institutions, and in residential-care and assistedliving facilities. Job opportunities should be better for salaried managers than for self-employed managers. New restaurants are increasingly affili­ ated with national chains rather than being independently owned and operated. As this trend continues, fewer owners will manage restaurants themselves, and more restaurant managers will be em­ ployed by larger companies to run establishments. Earnings Median annual earnings of food service managers were $31,720 in 2000. The middle 50 percent earned between $24,500 and $41,000. The lowest 10 percent earned less than $19,200, and the highest 10 percent earned more than $53,090. Median annual earnings in the industries employing the largest numbers of food service managers in 2000 are shown below. Miscellaneous amusement and recreation services....................... Hotels and motels.................................................................................. Nursing and personal care facilities................................................. Eating and drinking places................................................................. Elementary and secondary schools....................................................  $37,000 36,460 31,400 31,380 28,310  In addition to typical benefits, most salaried restaurant and food service managers receive free meals and the opportunity for addi­ tional training, depending on their length of service. Related Occupations Food service managers direct the activities of businesses, which provide a service to customers. Other managers and supervisors in service-oriented businesses include lodging managers, medical and health services managers, sales worker supervisors, financial man­ agers, social and community service managers, and first line super­ visors/managers of food preparation and serving workers. Sources of Additional Information Information about a career as a food service manager, 2- and 4-year college programs in restaurant and food service management, and certification as a Foodservice Management Professional is avail­ able from: National Restaurant Association Educational Foundation, Suite 1400,250 South Wacker Dr., Chicago, IL 60606. Internet: http://www.edfound.org General information on hospitality careers may be obtained from: The International Council on Hotel, Restaurant, and Institutional Education, 3205 Skipwith Rd., Richmond, VA 23294. Internet:  http://www.chrie.org  Additional information about job opportunities in food service management may be obtained from local employers and from local offices of the State employment service.  58 Occupational Outlook Handbook  Funeral Directors (0*NET 11-9061.00, 39-4011.00)  • •  •  Significant Points Funeral directors must be licensed by their State. Job opportunities should be good, but mortuary science graduates may have to relocate to find jobs as funeral directors. Job outlook should be best for those who also embalm.  Nature of the Work Funeral practices and rites vary greatly among various cultures and religions. Among the many diverse groups in the United States, funeral practices usually share some common elements: Removal of the deceased to a mortuary, preparation of the remains, perfor­ mance of a ceremony that honors the deceased and addresses the spiritual needs of the family, and the burial or destruction of the remains. Funeral directors arrange and direct these tasks for griev­ ing families. Funeral directors also are called morticians or undertakers. This career may not appeal to everyone, but those who work as funeral directors take great pride in their ability to provide efficient and appropriate services. They also comfort the family and friends of the deceased. Funeral directors arrange the details and handle the logistics of funerals. They interview the family to leam what they desire with regard to the nature of the funeral, the clergy members or other persons who will officiate, and the final disposition of the remains. Sometimes the deceased leaves detailed instructions for their own funerals. Together with the family, funeral directors establish the location, dates, and times of wakes, memorial services, and burials. They arrange for a hearse to carry the body to the funeral home or mortuary. Funeral directors also prepare obituary notices and have them placed in newspapers, arrange for pallbearers and clergy, schedule the opening and closing of a grave with the cemetery, decorate and prepare the sites of all services, and provide transportation for the remains, mourners, and flowers between sites. They also direct preparation and shipment of remains for out-of-State burial. Most funeral directors also are trained, licensed, and practicing embalmers. Embalming is a sanitary, cosmetic, and preservative process through which the body is prepared for interment. If more than 24 hours elapses between death and interment, State laws usu­ ally require that the remains be refrigerated or embalmed. The embalmer washes the body with germicidal soap and re­ places the blood with embalming fluid to preserve the body. Em­ balmers may reshape and reconstruct disfigured or maimed bodies using materials, such as clay, cotton, plaster of Paris, and wax. They also may apply cosmetics to provide a natural appearance, and then dress the body and place it in a casket. Embalmers maintain records such as embalming reports, and itemized lists of clothing or valu­ ables delivered with the body. In large funeral homes, an embalm­ ing staff of two or more embalmers, plus several apprentices, may be employed. Funeral services may take place in a home, house of worship, funeral home or at the gravesite or crematory. Services may be nonreligious, but often they reflect the religion of the family, so funeral directors must be familiar with the funeral and burial cus­ toms of many faiths, ethnic groups, and fraternal organizations. For members of some religions seldom have the bodies of the Digitizedexample, for FRASER deceased embalmed or cremated. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Burial in a casket is the most common method of disposing of remains in this country, although entombment also occurs. Crema­ tion, which is the burning of the body in a special furnace, is in­ creasingly selected because it can be more convenient and less costly. Cremations are appealing because the remains can be easily shipped, kept at home, buried, or scattered. Memorial services can be held anywhere, and at any time, sometimes months later when all rela­ tives and friends can get together. Even when the remains are cre­ mated, many people still want a funeral service. A funeral service followed by cremation need not be any differ­ ent from a funeral service followed by a burial. Usually cremated remains are placed in some type of permanent receptacle, or urn, before being committed to a final resting place. The um may be buried, placed in an indoor or outdoor mausoleum or columbarium, or interred in a special um garden that many cemeteries provide for cremated remains. Funeral directors handle the paper work involved with the person’s death, such as submitting papers to State authorities so that a formal certificate of death may be issued and copies distributed to the heirs. They may help family members apply for veterans’ burial benefits, and notify the Social Security Administration of the death. Also, funeral directors may apply for the transfer of any pensions, insur­ ance policies, or annuities on behalf of survivors. Funeral directors also prearrange funerals. Increasingly, they arrange funerals in advance of need to provide peace of mind by ensuring that the client’s wishes will be taken care of in a way that is satisfying to the person and to those who will survive. Most funeral homes are small, family-run businesses, and the funeral directors either are owner-operators or employees of the operation. Funeral directors, therefore, are responsible for the suc­ cess and the profitability of their businesses. Directors keep records of expenses, purchases, and services rendered; prepare and send invoices for services; prepare and submit reports for unemployment insurance; prepare Federal, State, and local tax forms; and prepare itemized bills for customers. Funeral directors increasingly are us­ ing computers for billing, bookkeeping and marketing. Some are beginning to use the Internet to communicate with clients who are preplanning their funerals, or to assist clients by developing elec­ tronic obituaries and guest books. Directors strive to foster a coop­ erative spirit and friendly attitude among employees and a compassionate demeanor towards the families. A growing number of funeral directors also are involved in helping individuals adapt to changes in their lives following a death through postdeath sup­ port group activities.  wHHI ' SSf! mmHmm  ■mm  Funeral directors explain burial options and arrange details of funerals with clients.  Management and Business and Financial Operations Occupations 59  Most funeral homes have a chapel, one or more viewing rooms, a casket-selection room, and a preparation room. An increasing number also have a crematory on the premises. Equipment may include a hearse, a flower car, limousines, and sometimes an ambu­ lance. They usually stock a selection of caskets and urns for fami­ lies to purchase or rent. Working Conditions Funeral directors often work long, irregular hours, and the occupa­ tion can be considered a very high-stress job. Many work on an oncall basis, because they may be needed to remove remains in the middle of the night. Shiftwork sometimes is necessary because funeral home hours include evenings and weekends. In smaller funeral homes, working hours vary, but in larger homes employees usually work 8 hours a day, 5 or 6 days a week. Funeral directors occasionally come into contact with the re­ mains of persons who had contagious diseases, but the possibility of infection is remote if strict health regulations are followed. To show proper respect and consideration for the families and the dead, funeral directors must dress appropriately. The profes­ sion usually requires short, neat haircuts and trim beards, if any, for men. Suits, ties, and dresses are customary for a conservative look. Employment Funeral directors held about 32,000 jobs in 2000. Almost 1 in 5 were self-employed. Nearly all worked in the funeral service and crematory industry. Embalmers held about 7,200 jobs in 2000. Most funeral directors also are trained, licensed, and practicing embalmers. Training, Other Qualifications, and Advancement Funeral directors must be licensed in all but one State, Colorado. Licensing laws vary from State to State, but most require appli­ cants to be 21 years old, have 2 years of formal education that in­ cludes studies in mortuary science, serve a 1-year apprenticeship, and pass a qualifying examination. After becoming licensed, new funeral directors may join the staff of a funeral home. Embalmers must be licensed in all States, and some States issue a single li­ cense for both funeral directors and embalmers. In States that have separate licensing requirements for the two positions, most people in the field obtain both licenses. Persons interested in a career as a funeral director should contact their State licensing board for spe­ cific requirements. College programs in mortuary science usually last from 2 to 4 years; the American Board of Funeral Service Education accredits 49 mortuary science programs. Two-year programs are offered by a small number of community and junior colleges, and a few col­ leges and universities offer both 2- and 4-year programs. Mortuary science programs include courses in anatomy, physiology, pathol­ ogy, embalming techniques, restorative art, business management, accounting and use of computers in funeral home management, and client services. They also include courses in the social sciences and legal, ethical, and regulatory subjects, such as psychology, grief counseling, oral and written communication, funeral service law, business law, and ethics. The Funeral Service Educational Foundation and many State as­ sociations offer continuing education programs designed for licensed funeral directors. These programs address issues in communica­ tions, counseling, and management. Thirty-two States have require­ ments that funeral directors receive continuing education credits in order to maintain their licenses. Apprenticeships must be completed under an experienced and licensed funeral director or embalmer. Depending on State regula­  tions, apprenticeships last from 1 to 3 years and may be served https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  before, during, or after mortuary school. Apprenticeships provide practical experience in all facets of the funeral service from em­ balming to transporting remains. State board licensing examinations vary, but they usually con­ sist of written and oral parts and include a demonstration of practi­ cal skills. Persons who want to work in another State may have to pass the examination for that State; however, some States have reci­ procity arrangements and will grant licenses to funeral directors from another State without further examination. High school students can start preparing for a career as a funeral director by taking courses in biology and chemistry and participat­ ing in public speaking or debate clubs. Part-time or summer jobs in funeral homes consist mostly of maintenance and cleanup tasks, such as washing and polishing limousines and hearses, but these tasks can help students become familiar with the operation of funeral homes. Important personal traits for funeral directors are composure, tact, and the ability to communicate easily with the public. They also should have the desire and ability to comfort people in their time of sorrow. Advancement opportunities are best in larger funeral homes— funeral directors may earn promotions to higher paying positions such as branch manager or general manager. Some directors even­ tually acquire enough money and experience to establish their own funeral home businesses. Job Outlook Little or no change is expected in overall employment through 2010. Employment of funeral directors is projected to increase more slowly than the average for all occupations as the number of deaths in­ crease, spurring demand for funeral services. Employment of em­ balmers, however, is expected to decline slightly since most funeral directors also are trained, licensed, and practicing embalmers. The need to replace funeral directors who retire or leave the oc­ cupation for other reasons will account for more job openings than employment growth. Typically, a number of mortuary science gradu­ ates leave the profession shortly after becoming licensed funeral directors to pursue other career interests, and this trend is expected to continue. Also, more funeral directors are 55 years old and over compared with workers in other occupations, and will be retiring in greater numbers between 2000 and 2010. Although employment opportunities for funeral directors are expected to be good, mortu­ ary science graduates may have to relocate to find jobs in funeral services. Earnings Median annual earnings for funeral directors were $41,110 in 2000. The middle 50 percent earned between $30,680 and $57,290. The lowest 10 percent earned less than $22,140, and the top 10 percent more than $85,780. Salaries of funeral directors depend on the number of years of experience in funeral service, the number of services performed, the number of facilities operated, the area of the country, the size of the community, and the level of formal education. Funeral direc­ tors in large cities earned more than their counterparts in small towns and rural areas. Median annual earnings for embalmers were $32,870 in 2000. The middle 50 percent earned between $25,840 and $41,760. The lowest 10 percent earned less than $18,840, and the top 10 percent more than $52,130. Related Occupations The job of a funeral director requires tact, discretion, and compas­ sion when dealing with grieving people. Others who need these  60 Occupational Outlook Handbook  qualities include members of the clergy, social workers, psycholo­ gists, physicians and surgeons, and other health diagnosing and treat­ ing practitioners. Sources of Additional Information For a list of accredited mortuary science programs and information on the funeral service profession, write to: >- The National Funeral Directors Association, 13625 Bishop’s Dr., Brookfield, WI 53005. Internet: http://www.nfda.org  For information about college programs in mortuary science, scholarships, and funeral service as a career, contact: > The American Board of Funeral Service Education, 38 Florida Ave., Portland, ME 04103. Internet: http://www.abfse.org/index.html  For information on continuing education programs in funeral service, contact:  >• The Funeral Service Educational Foundation, 13625 Bishop’s Dr.,  Brookfield, WI 53005. Internet: http://www.fsef.org  Human Resources,Training, and Labor Relations Managers and Specialists ___ ______ (0*NET 11-3041.00, 11-3042.00, 11-3049.99, 13-1071.01, 13-1071.02, 13-1072.00, 13-1073.00)  • •  •  Significant Points Employers usually seek college graduates for entrylevel jobs. Depending on the particular job, a strong background in human resources, business, technical, or liberal arts subjects may be preferred. Keen competition for jobs is expected due to the abundant supply of qualified college graduates and experienced workers.  Nature of the Work Attracting the most qualified employees and matching them to the jobs for which they are best suited is important for the success of any organization. However, many enterprises are too large to per­ mit close contact between top management and employees. Hu­ man resources, training, and labor relations managers and specialists provide this link. In the past, these workers have been associated with performing the administrative function of an organization, such as handling employee benefits questions or recruiting, interview­ ing, and hiring new personnel in accordance with policies and re­ quirements that have been established in conjunction with top management. Today’s human resources workers juggle these tasks and, increasingly, consult top executives regarding strategic plan­ ning. They have moved from behind-the-scenes staff work to lead­ ing the company in suggesting and changing policies. Senior management is recognizing the importance of the human resources department to their bottom line. In an effort to improve morale and productivity and limit job turnover, they also help their firms effectively use employee skills, provide training opportunities to enhance those skills, and boost employee satisfaction with their jobs and working conditions. Al­ though some jobs in the human resources field require only limited contact with people outside the office, dealing with people is an  essential part of the job. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  In a small organization, a human resources generalist may handle all aspects of human resources work, requiring a broad range of knowledge. The responsibilities of human resources generalists can vary widely, depending on their employer’s needs. In a large cor­ poration, the top human resources executive usually develops and coordinates personnel programs and policies. (Executives are included in the Handbook statement on top executives.) These poli­ cies are usually implemented by a director or manager of human resources and, in some cases, a director of industrial relations. The director of human resources may oversee several depart­ ments, each headed by an experienced manager, who most likely specializes in one personnel activity such as employment, compen­ sation, benefits, training and development, or employee relations. Employment and placement managers oversee the hiring and separation of employees and supervise various workers, including equal employment opportunity specialists and recruitment special­ ists. Employment, recruitment, and placement specialists recruit and place workers. Recruiters maintain contacts within the community and may travel extensively, often to college campuses, to search for promis­ ing job applicants. Recruiters screen, interview, and sometimes test applicants. They also may check references and extend job offers. These workers must be thoroughly familiar with the organization and its personnel policies to discuss wages, working conditions, and promotional opportunities with prospective employees. They also must keep informed about equal employment opportunity (EEO) and affirmative action guidelines and laws, such as the Americans with Disabilities Act. EEO officers, representatives, or affirmative action coordina­ tors handle this area in large organizations. They investigate and resolve EEO grievances, examine corporate practices for possible violations, and compile and submit EEO statistical reports. Employer relations representatives, who usually work in gov­ ernment agencies, maintain working relationships with local em­ ployers and promote the use of public employment programs and services. Similarly, employment interviewers—whose many job titles include personnel consultants, personnel development spe­ cialists, and human resources coordinators—help match employ­ ers with qualified job seekers. Compensation, benefits, andjob analysis specialists conduct pro­ grams for employers and may specialize in specific areas such as position classifications or pensions. Job analysts, sometimes called position classifiers, collect and examine detailed information about job duties to prepare job descriptions. These descriptions explain the duties, training, and skills each job requires. Whenever a large organization introduces a new job or reviews existing jobs, it calls upon the expert knowledge of the job analyst. Occupational analysts conduct research, usually in large firms. They are concerned with occupational classification systems and study the effects of industry and occupational trends upon worker relationships. They may serve as technical liaison between the firm and industry, government, and labor unions. Establishing and maintaining a firm’s pay system is the princi­ pal job of the compensation manager. Assisted by staff specialists, compensation managers devise ways to ensure fair and equitable pay rates. They may conduct surveys to see how their rates com­ pare with others and to see that the firm’s pay scale complies with changing laws and regulations. In addition, compensation manag­ ers often oversee their firm’s performance evaluation system, and they may design reward systems such as pay-for-performance plans. Employee benefits managers and specialists handle the company’s employee benefits program, notably its health insurance and pension plans. Expertise in designing and administering ben­ efits programs continues to gain importance as employer-provided  Management and Business and Financial Operations Occupations 61  benefits account for a growing proportion of overall compensation costs, and as benefit plans increase in number and complexity. For example, pension benefits might include savings and thrift, profit sharing, and stock ownership plans; health benefits may include long-term catastrophic illness insurance and dental insurance. Fa­ miliarity with health benefits is a top priority, as more firms struggle to cope with the rising cost of health care for employees and retir­ ees. In addition to health insurance and pension coverage, some firms offer employees life and accidental death and dismember­ ment insurance, disability insurance, and relatively new benefits designed to meet the needs of a changing work force, such as pa­ rental leave, child and elder care, long-term nursing home care in­ surance, employee assistance and wellness programs, and flexible benefits plans. Benefits managers must keep abreast of changing Federal and State regulations and legislation that may affect employee benefits. Employee assistance plan managers, also called employee wel­ fare managers, are responsible for a wide array of programs cover­ ing occupational safety and health standards and practices; health promotion and physical fitness, medical examinations, and minor health treatment, such as first aid; plant security; publications; food service and recreation activities; car pooling and transportation pro­ grams, such as transit subsidies; employee suggestion systems; childcare and elder care; and counseling services. Child care and elder care are increasingly important due to growth in the number of dual-income households and the elderly population. Counseling may help employees deal with emotional disorders, alcoholism, or marital, family, consumer, legal, and financial problems. Some employers offer career counseling as well. In large firms, certain programs, such as security and safety, may be in separate depart­ ments headed by other managers. Training and development managers and specialists conduct and supervise training and development programs for employees. In­ creasingly, management recognizes that training offers a way of developing skills, enhancing productivity and quality of work, and building loyalty to the firm. Training is widely accepted as a method of improving employee morale, but this is only one of the reasons for its growing importance. Other factors include the complexity of the work environment, the rapid pace of organizational and tech­ nological change, and the growing number of jobs in fields that constantly generate new knowledge. In addition, advances in learn­ ing theory have provided insights into how adults leam, and how training can be organized most effectively for them. Training specialists plan, organize, and direct a wide range of training activities. Trainers conduct orientation sessions and ar­ range on-the-job training for new employees. They help rank-andfile workers maintain and improve their job skills, and possibly prepare for jobs requiring greater skill. They help supervisors im­ prove their interpersonal skills in order to deal effectively with employees. They may set up individualized training plans to strengthen an employee’s existing skills or teach new ones. Train­ ing specialists in some companies set up leadership or executive development programs among employees in lower level positions. These programs are designed to develop potential and current ex­ ecutives to replace those retiring. Trainers also lead programs to assist employees with transitions due to mergers and acquisitions, as well as technological changes. In government-supported train­ ing programs, training specialists function as case managers. They first assess the training needs of clients, then guide them through the most appropriate training method. After training, clients either may be referred to employer relations representatives or receive job placement assistance. Planning and program development is an important part of the  training specialist’s job. In order to identify and assess training https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  needs within the firm, trainers may confer with managers and su­ pervisors or conduct surveys. They also periodically evaluate train­ ing effectiveness. Depending on the size, goals, and nature of the organization, trainers may differ considerably in their responsibilities and in the methods they use. Training methods include on-the-job training; schools in which shop conditions are duplicated for trainees prior to putting them on the shop floor; apprenticeship training; class­ room training; and electronic learning, which may involve interac­ tive Internet-based training, multimedia programs, distance learning, satellite training, videos and other computer-aided instructional tech­ nologies, simulators, conferences, and workshops. The director of industrial relations forms labor policy, oversees industrial labor relations, negotiates collective bargaining agree­ ments, and coordinates grievance procedures to handle complaints resulting from disputes with unionized employees. The director of industrial relations also advises and collaborates with the director of human resources, other managers, and members of their staff, because all aspects of personnel policy—such as wages, benefits, pensions, and work practices—may be involved in drawing up a new or revised contract. Labor relations managers and their staffs implement industrial labor relations programs. When a collective bargaining agreement is up for negotiation, labor relations specialists prepare information for management to use during negotiation, which requires familiar­ ity with economic and wage data as well as extensive knowledge of labor law and collective bargaining trends. The labor relations staff interprets and administers the contract with respect to grievances, wages and salaries, employee welfare, health care, pensions, union and management practices, and other contractual stipulations. As union membership is continuing to decline in most industries, in­ dustrial relations personnel are working more with employees who are not members of a labor union. Dispute resolution—attaining tacit or contractual agreements— has become increasingly important as parties to a dispute attempt  Human resources workers have moved from behind-the-scenes of recruiting to leading the company in suggesting and changing policies.  62 Occupational Outlook Handbook  to avoid costly litigation, strikes, or other disruptions. Dispute resolution also has become more complex, involving employees, management, unions, other firms, and government agencies. Spe­ cialists involved in dispute resolution must be highly knowledge­ able and experienced, and often report to the director of industrial relations. Conciliators, or mediators, advise and counsel labor and management to prevent and, when necessary, resolve disputes over labor agreements or other labor relation’s issues. Arbitrators, some­ times called umpires or referees, decide disputes that bind both labor and management to specific terms and conditions of labor contracts. Labor relations specialists who work for unions per­ form many of the same functions on behalf of the union and its members. Other emerging specialists include international human resources managers, who handle human resources issues related to a company’s foreign operations, and human resources information system specialists, who develop and apply computer programs to process personnel information, match job seekers with job open­ ings, and handle other personnel matters.  Working Conditions Personnel work usually takes place in clean, pleasant, and com­ fortable office settings. Arbitrators and mediators may work out of their homes. Many human resources, training, and labor relations managers and specialists work a standard 35- to 40-hour week. However, longer hours might be necessary for some workers—for example, labor relations managers and specialists, arbitrators, and mediators—when contract agreements are being prepared and negotiated. Although most human resources, training, and labor relations managers and specialists work in the office, some travel exten­ sively. For example, recruiters regularly attend professional meet­ ings and visit college campuses to interview prospective employees; arbitrators and mediators often must travel to the site chosen for negotiations.  Employment Human resources, training, and labor relations managers and spe­ cialists held about 709,000 jobs in 2000. The following tabulation shows the distribution of jobs by occupational specialty: Human resources managers............................................. Training and development specialists........................... Employment, recruitment, and placement specialists Compensation, benefits, and job analysis specialists  219.000 204.000 199.000 87,000  Human resources, training, and labor relations managers and specialists were employed in virtually every industry. About 21,000 specialists were self-employed, working as consultants to public and private employers. The private sector accounted for about 90 percent of salaried jobs. Among these salaried jobs, services industries—including business, health, social, management, and educational services accounted for about 46 percent of jobs; personnel supply services, the largest employer among specific services industries, accounted for almost 10 percent of those. Manufacturing industries accounted for nearly 13 percent of salariedjobs; while finance, insurance, and real estate firms accounted for about 11 percent of jobs. Federal, State, and local governments employed about 11 per­ cent of human resources managers and specialists. They handled the recruitment, interviewing, job classification, training, salary Digitizedadministration, for FRASER benefits, employee relations, and related matters of https://fraser.stlouisfed.org the Nation’s public employees. Federal Reserve Bank of St. Louis  Training, Other Qualifications, and Advancement Because of the diversity of duties and level of responsibility, the educational backgrounds of human resources, training, and labor relations managers and specialists vary considerably. In filling en­ try-level jobs, employers usually seek college graduates. Many prefer applicants who have majored in human resources, personnel admini­ stration, or industrial and labor relations. Others look for college graduates with a technical or business background or a well-rounded liberal arts education. Many colleges and universities have programs leading to a degree in personnel, human resources, or labor relations. Some offer degree programs in personnel administration or human resources manage­ ment, training and development, or compensation and benefits. De­ pending on the school, courses leading to a career in human resources management may be found in departments of business administra­ tion, education, instructional technology, organizational development, human services, communication, or public administration, or within a separate human resources institution or department. Because an interdisciplinary background is appropriate in this field, a combination of courses in the social sciences, business, and behavioral sciences is useful. Some jobs may require a more tech­ nical or specialized background in engineering, science, finance, or law, for example. Most prospective human resources specialists should take courses in compensation, recruitment, training and de­ velopment, and performance appraisal, as well as courses in prin­ ciples of management, organizational structure, and industrial psychology. Other relevant courses include business administra­ tion, public administration, psychology, sociology, political science, economics, and statistics. Courses in labor law, collective bargain­ ing, labor economics, labor history, and industrial psychology also provide a valuable background for the prospective labor relations specialist. As in many other fields, knowledge of computers and information systems also is useful. An advanced degree is increasingly important for some jobs. Many labor relations jobs require graduate study in industrial or labor relations. A strong background in industrial relations and law is highly desirable for contract negotiators, mediators, and arbitra­ tors; in fact, many people in these specialties are lawyers. A back­ ground in law also is desirable for employee benefits managers and others who must interpret the growing number of laws and regula­ tions. A master’s degree in human resources, labor relations, or in business administration with a concentration in human resources management is highly recommended for those seeking general and top management positions. For many specialized jobs in the human resources field, previ­ ous experience is an asset; for more advanced positions, including managers as well as arbitrators and mediators, it is essential. Many employers prefer entry-level workers who have gained some ex­ perience through an internship or work-study program while in school. Personnel administration and human resources develop­ ment require the ability to work with individuals as well as a com­ mitment to organizational goals. This field also demands other skills people may develop elsewhere—using computers, selling, teach­ ing, supervising, and volunteering, among others. This field offers clerical workers opportunities for advancement to professional po­ sitions. Responsible positions sometimes are filled by experienced individuals from other fields, including business, government, edu­ cation, social services administration, and the military. The human resources field demands a range of personal quali­ ties and skills. Human resources, training, and labor relations man­ agers and specialists must speak and write effectively. The growing diversity of the workforce requires that they work with or supervise people with various cultural backgrounds, levels of education, and experience. They must be able to cope with conflicting points of  Management and Business and Financial Operations Occupations 63  view, function under pressure, and demonstrate discretion, integ­ rity, fair-mindedness, and a persuasive, congenial personality. The duties given to entry-level workers will vary depending on whether they have a degree in human resource management, have completed an internship, or have some other type of human resources-related experience. Entry-level employees commonly learn the profession by performing administrative duties—helping to en­ ter data into computer systems, compiling employee handbooks, researching information for a supervisor, or answering the phone and handling routine questions. Entry-level workers often enter formal or on-the-job training programs in which they learn how to classify jobs, interview applicants, or administer employee benefits. They then are assigned to specific areas in the personnel depart­ ment to gain experience. Later, they may advance to a managerial position, overseeing a major element of the personnel program— compensation or training, for example. Exceptional human resources workers may be promoted to di­ rector of personnel or industrial relations, which can eventually lead to a top managerial or executive position. Others may join a con­ sulting firm or open their own business. A Ph.D. is an asset for teaching, writing, or consulting work. Most organizations specializing in human resources offer classes intended to enhance the marketable skills of their members. Some organizations offer certification programs, which are signs of com­ petence and can enhance one’s advancement opportunities. For example, the International Foundation of Employee Benefit Plans confers the Certified Employee Benefit Specialist designation to persons who complete a series of college-level courses and pass exams covering employee benefit plans. The Society for Fluman Resources Management has two levels of certification—Professional in Human Resources, and Senior Professional in Human Resources; both require experience and a comprehensive exam. Job Outlook The abundant supply of qualified college graduates and experienced workers should create keen competition for jobs. Overall employ­ ment of human resources, training, and labor relations managers and specialists is expected to grow about as fast as the average for all occupations through 2010. In addition to openings due to growth, many job openings will arise from the need to replace workers who transfer to other occupations or leave the labor force. Legislation and court rulings setting standards in various areas— occupational safety and health, equal employment opportunity, wages, health, pension, and family leave, among others—will in­ crease demand for human resources, training, and labor relations experts. Rising health care costs should continue to spur demand for specialists to develop creative compensation and benefits pack­ ages that firms can offer prospective employees. Employment of labor relations staff, including arbitrators and mediators, should grow as firms become more involved in labor relations, and attempt to resolve potentially costly labor-management disputes out of court. Additional job growth may stem from increasing demand for spe­ cialists in international human resources management and human resources information systems. Expected job growth varies by specialty. Many new jobs will stem from increasing efforts throughout industiy to recruit and re­ tain quality employees. As a result, employment, recruitment, and placement specialists are projected to grow as fast as average. Fur­ thermore, employers are expected to devote greater resources to jobspecific training programs in response to the increasing complexity of many jobs, the aging of the work force, and technological ad­ vances that can leave employees with obsolete skills. This should result in particularly strong demand for training and development  specialists across all industries. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Demand should continue to be strong among firms involved in management, consulting, and personnel supply, as businesses in­ creasingly contract out personnel functions or hire personnel spe­ cialists on a temporary basis to meet the increasing cost and complexity of training and development programs. Demand also should increase in firms that develop and administer complex em­ ployee benefits and compensation packages for other organizations. Demand for human resources, training, and labor relations man­ agers and specialists also is governed by the staffing needs of the firms for which they work. A rapidly expanding business is likely to hire additional human resources workers—either as permanent employees or consultants—while a business that has experienced a merger or a reduction in its work force will require fewer human resources workers. Also, as human resources management becomes increasingly important to the success of an organization, some small and medium-size businesses that do not have a human resources department may assign employees various human resources duties together with other unrelated responsibilities. In any particular firm, the size and the job duties of the human resources staff are deter­ mined by the firm’s organizational philosophy and goals, skills of its work force, pace of technological change, government regula­ tions, collective bargaining agreements, standards of professional practice, and labor market conditions. Job growth could be limited by the widespread use of computer­ ized human resources information systems that make workers more productive. Similar to other workers, employment of human re­ sources, training, and labor relations managers and specialists, par­ ticularly in larger firms, may be adversely affected by corporate downsizing, restructuring, and mergers. Earnings Annual salary rates for human resources workers vary according to occupation, level of experience, training, location, and size of the firm, and whether they are union members. Median annual earnings of human resources managers were $59,000 in 2000. The middle 50 percent earned between $43,600 and $80,390. The lowest 10 per­ cent earned less than $33,360, and the highest 10 percent earned more than $104,020. Median annual earnings in the industries employing the largest numbers of human resources managers in 2000 were: Computer and data processing services........................................... Telephone communication................................................................... Local government.................................................................................. Management and public relations...................................................... Hospitals..................................................................................................  $75,140 71,340 61 730 57,240 55,490  Median annual earnings of training and development specialists were $40,830 in 2000. The middle 50 percent earned between $30,450 and $54,390. The lowest 10 percent earned less than $23,520, and the highest 10 percent earned more than $69,230. Median annual earnings in the industries employing the largest num­ bers of training and development specialists in 2000 were: Computer and data processing services............................................ $48,660 Hospitals..................................................................................................... 44,460 Local government..................................................................................... 41,800 State government...................................................................................... 39,960 Commercial banks.................................................................................... 36,070  Median annual earnings of employment, recruitment, and place­ ment specialists were $36,480 in 2000. The middle 50 percent earned between $28,040 and $51,500. The lowest 10 percent earned less than $22,520, and the highest 10 percent earned more than $71,040. Median annual earnings in 2000 in personnel supply ser­ vices, the industry employing the largest numbers of employment, recruitment, and placement specialists, were $34,680.  64 Occupational Outlook Handbook  Median annual earnings of compensation, benefits, and job analy­ sis specialists were $41,660 in 2000. The middle 50 percent earned between $32,120 and $53,620. The lowest 10 percent earned less than $25,170, and the highest 10 percent earned more than $68,480. Median annual earnings in 2000 in local government, the industry employing the largest numbers of compensation, benefits, and job analysis specialists, were $46,430. According to a 2001 salary survey conducted by the National Association of Colleges and Employers, bachelor’s degree candi­ dates majoring in human resources, including labor relations, re­ ceived starting offers averaging $31,963 a year. According to a 2001 survey of compensation in the human re­ sources field, conducted by Abbott, Langer, and Associates of Crete, Illinois, the median total cash compensation for selected personnel and labor relations occupations were: Compensation directors.............................................................. Benefits directors.......................................................................... Training directors......................................................................... Compensation managers............................................................. Industrial and labor relations supervisors............................... Recruitment and interviewing managers................................ Regional/divisional/subsidiary human resources managers Human resources information systems supervisors............. Benefits supervisors.................................................................... Training material development specialists............................. Recruitment and interviewing specialists (executive, managerial, and professional jobs)................ Training generalists (computer)............................................... Job evaluation specialists........................................................... Classroom instructors................................................................ Human resources records specialists......................................  $109,975 105,865 84,516 79,958 72,800 70,000 66,504 64,209 60,393 58,403 51,669 43,388 43,155 37,740 32,732  The average salary for personnel managers employed by the Federal Government was $64,411 in 2001. The average salary for occupational analysis specialists was $63,713; for employee relations specialists, $57,621; for labor relations specialists, $65,498; and for employee development specialists, $62,234. Salaries were slightly higher in areas where the prevailing local pay level was higher. There are no formal entry-level requirements for manage­ rial positions. Applicants must possess a suitable combination of educational attainment, experience, and record of accomplishment. Related Occupations All human resources occupations are closely related. Other work­ ers with skills and expertise in interpersonal relations include coun­ selors, education administrators, public relations specialists, lawyers, psychologists and other social scientists, and social workers. Sources of Additional Information For information about careers in employee training and develop­ ment, contact:  >■ American Society for Training and Development, 1640 King St., Box 1443, Alexandria, VA 22313. Internet: http://www.astd.org  For information about careers and certification in employee com­ pensation and benefits, contact: >■ World at Work, 14040 Northsight Blvd., Scottsdale, AZ 85260. Internet:  http://www.worldatwork.org ► International Foundation of Employee Benefit Plans, 18700 W. Bluemound Rd., P.O. Box 69, Brookfield, WI 53008-0069. Internet:  http ://www.ifebp.org  For information about academic programs in industrial relations, write to:  ► Industrial Relations Research Association, University of Wisconsin, 7226 Social Science Bldg., 1180 Observatory Dr., Madison, WI 53706. Internet:   http ://w ww.irra.ssc.wisc.edu https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Information about personnel careers in the healthcare industry is available from:  ^ American Society for Healthcare Human Resources Administration, One North Franklin, 31st Floor, Chicago, IL 60606. Internet:  http://www.ashhra.org  Industrial Production Managers (0*NET 11-3051.00)  • •  •  Significant Points While there is no standard preparation, a college degree is required. Applicants with a college degree in industrial engineering, management, or business administration, and particularly those with an undergraduate engineering degree and a master’s degree in business administration or industrial management, enjoy the best job prospects. Projected slower-than-average growth in employment reflects increasing productivity.  Nature of the Work Industrial production managers coordinate the resources and ac­ tivities required to produce millions of goods every year in the United States. Although their duties vary from plant to plant, industrial production managers share many of the same major responsibili­ ties. These responsibilities include production scheduling, staff­ ing, procurement and maintenance of equipment, quality control, inventory control, and the coordination of production activities with those of other departments. The primary mission of industrial production managers is plan­ ning the production schedule within budgetary limitations and time constraints. They do this by analyzing the plant’s personnel and capital resources to select the best way of meeting the production quota. Industrial production managers determine, often using math­ ematical formulas, which machines will be used, whether new ma­ chines need to be purchased, whether overtime or extra shifts are necessary, and what the sequence of production will be. They moni­ tor the production run to make sure that it stays on schedule and correct any problems that may arise. Industrial production managers also must monitor product stan­ dards. When quality drops below the established standard, they must determine why standards are not being maintained and how to improve the product. If the problem relates to the quality of work performed in the plant, the manager may implement better training programs, reorganize the manufacturing process, or institute em­ ployee suggestion or involvement programs. If the cause is sub­ standard materials, the manager works with the purchasing department to improve the quality of the product’s components. Because the work of many departments is interrelated, manag­ ers work closely with heads of other departments such as sales, procurement, and logistics to plan and implement company goals, policies, and procedures. For example, the production manager works with the procurement department to ensure that plant inven­ tories are maintained at their optimal level. This is vital to a firm s operation because maintaining the inventory of materials necessary for production ties up the firm’s financial resources, yet insuffi­ cient quantities cause delays in production. A breakdown in com­ munications between the production manager and the purchasing department can cause slowdowns and a failure to meet production schedules. Just-in-time production techniques have reduced inven-  Management and Business and Financial Operations Occupations 65  electronic and electrical equipment, fabricated metal products, in­ struments and related products, and food and kindred products in­ dustries, or are self-employed. Production managers work in all parts of the country, but jobs are most plentiful in areas where manu­ facturing is concentrated.  Most industrial production managers have a college degree. tory levels, making constant communication among the manager, suppliers, and purchasing departments even more important. Com­ puters play an integral part in this coordination. They also are used to provide up-to-date information on inventory, the status of work in progress, and quality standards. Production managers usually report to the plant manager or the vice president for manufacturing, and may act as liaison between executives and first-line supervisors. (Information about top ex­ ecutives can be found elsewhere in the Handbook.) In many plants, one production manager is responsible for all aspects of produc­ tion. In large plants with several operations—aircraft assembly, for example—there are managers in charge of each operation, such as machining, assembly, or finishing. Working Conditions Most industrial production managers divide their time between pro­ duction areas and their offices. While in the production area, they must follow established health and safety practices and wear the required protective clothing and equipment. The time in the office, which often is located near production areas, usually is spent meet­ ing with subordinates or other department managers, analyzing pro­ duction data, and writing and reviewing reports. Most industrial production managers work more than 40 hours a week, especially when production deadlines must be met. In facili­ ties that operate around-the-clock, managers often work late shifts and may be called at any hour to deal with emergencies. This could mean going to the plant to resolve the problem, regardless of the hour, and staying until the situation is under control. Dealing with production workers as well as superiors when working under the pressure of production deadlines or emergency situations can be stressfiil. Restructuring has eliminated levels of management and support staff, thus shifting more responsibilities to production man­ agers and compounding this stress. Employment  Industrial production managers held about 255,000 jobs in 2000. Almost all are employed in manufacturing industries, including the  industrial machinery and equipment, transportation equipment, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Training, Other Qualifications, and Advancement Because ofthe diversity of manufacturing operations and job require­ ments, there is no standard preparation for this occupation. How­ ever, a college degree is required, even for those who have worked their way up the ranks. Many industrial production managers have a college degree in business administration, management, indus­ trial technology, or industrial engineering. Others have a master’s degree in industrial management or business administration (MBA). Some are former production-line supervisors who have been pro­ moted. Although many employers prefer candidates with a busi­ ness or engineering background, some companies hire well-rounded liberal arts graduates. As production operations become more sophisticated, increas­ ing numbers of employers are looking for candidates with graduate degrees in industrial management or business administration. Com­ bined with an undergraduate degree in engineering, either of these graduate degrees is considered particularly good preparation. Man­ agers who do not have graduate degrees often take courses in deci­ sion sciences, which provide them with techniques and mathematical formulas that can be used to maximize efficiency. Companies also are placing greater importance on a candidate’s interpersonal skills. Because the job requires the ability to compromise, persuade, and negotiate, successful production managers must be well-rounded and have excellent communication skills. Those who enter the field directly from college or graduate school often are unfamiliar with the firm’s production process. As a re­ sult, they may spend their first few months on the job in the company’s training program. These programs familiarize trainees with the production line, company policies, and the requirements of the job. In larger companies, they also may include assignments to other departments, such as purchasing and accounting. A num­ ber of companies hire college graduates as first-line supervisors and later promote them. Some industrial production managers have worked their way up the ranks, perhaps after having worked as first-line supervisors. These workers already have an intimate knowledge of the produc­ tion process and the firm’s organization. To be selected for promo­ tion, however, they must obtain a college degree, must demonstrate leadership qualities, and usually must take company-sponsored courses in management skills and communication techniques. In addition to formal training, industrial production managers must keep informed of new production technologies and manage­ ment practices. Many belong to professional organizations and at­ tend trade shows at which new equipment is displayed; they also attend industry conferences and conventions at which changes in production methods and technological advances are discussed. Industrial production managers with a proven record of superior performance may advance to plant manager or vice president for manufacturing. Others transfer to jobs with more responsibilities at larger firms. Opportunities also exist for consultants. (For more information, see the statement on management analysts elsewhere in the Handbook.) Job Outlook Employment of industrial production managers is expected to grow more slowly than the average for all occupations through 2010. How­ ever, a number of job openings will stem from the need to replace workers who transfer to other occupations or leave the labor force.  66 Occupational Outlook Handbook  Applicants with a college degree in industrial engineering, manage­ ment, or business administration, and particularly those with an un­ dergraduate engineering degree and a master s degree in business administration or industrial management, enjoy the best job pros­ pects. Employers also are likely to seek candidates who have excel­ lent communication skills and who are personable, flexible, and eager to enhance their knowledge and skills through ongoing training. Although manufacturing output is projected to rise, growing pro­ ductivity among industrial production managers and the workers they supervise will limit growth in employment of these managers. Productivity gains will stem from the increasing use of computers for scheduling, planning, and coordination. In addition, more em­ phasis on quality in the production process has redistributed some of the production manager’s oversight responsibilities to supervi­ sors and workers on the production line. Because production man­ agers are so essential to the efficient operation of a plant, they have not been greatly affected by recent efforts to flatten management structures. Nevertheless, this trend has led production managers to assume more responsibilities and has discouraged the creation of more employment opportunities. Earnings Median annual earnings for industrial production managers were $61,660 in 2000. The middle 50 percent earned between $46,290 and $81,930. The lowest 10 percent earned less than $35,530, and the highest 10 percent earned more than $106,020. Median annual earnings in the manufacturing industries employing the largest num­ bers of industrial production managers in 2000 were: Motor vehicles and equipment............................................... Electronic components and accessories............................... Miscellaneous plastics products, not elsewhere classified Commercial printing.................................................................. Fabricated structural metal products.....................................  $74,400 71,150 55,800 54,200 53,630  Related Occupations Industrial production managers oversee production staff and equip­ ment, ensure that production goals and quality standards are being met, and implement company policies. Occupations requiring simi­ lar training and skills are engineers, management analysts, opera­ tions research analysts, and top executives. Sources of Additional Information Information on industrial production management can be obtained from:  >■ American Management Association, 1601 Broadway, lOthFloor, New York, NY 10019. Internet: http://www.amanet.org  Insurance Underwriters (0*NET 13-2053.00)  Significant Points •  Little or no change in employment is projected as insurance companies increasingly use computer underwriting software that automatically analyzes and rates insurance applications. • Most large insurance companies prefer college graduates who have a degree in business administration or finance with courses in accounting; however, a bachelor’s degree in any field—plus courses in business law and accounting—may be  sufficient to qualify. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Nature of the Work Insurance companies protect individuals and organizations from fi­ nancial loss by assuming billions of dollars in risks each year. Un­ derwriters are needed to identity and calculate the risk of loss from policyholders, establish appropriate premium rates, and write poli­ cies that cover these risks. An insurance company may lose busi­ ness to competitors if the underwriter appraises risks too conservatively, or it may have to pay excessive claims if the under­ writing actions are too liberal. With the aid of computers, underwriters analyze information in insurance applications to determine if a risk is acceptable and will not result in a loss. Applications are often supplemented with reports from loss-control consultants, medical reports, data ven­ dors, and actuarial studies. Underwriters then must decide whether to issue the policy and the appropriate premium to charge. In making this determination, underwriters serve as the main link between the insurance carrier and the insurance agent. On occa­ sion, they accompany sales agents to make presentations to pro­ spective clients. Technology plays an important role in an underwriter’s job. Underwriters use computer applications called “smart systems to manage risks more efficiently and accurately. These systems au­ tomatically analyze and rate insurance applications, recommend acceptance or denial of the risk, and adjust the premium rate in accordance with the risk. With these systems, underwriters are better equipped to make sound decisions and avoid excessive losses. The Internet also has affected the work of underwriters. Many insurance carriers’ computer systems are now linked to different databases on the Internet that allow immediate access to informa­ tion—such as driving records—necessary in determining a poten­ tial client’s risk. This reduces the amount of time and paperwork necessary for an underwriter to complete a risk assessment. Most underwriters specialize in one of three major categories of insurance—life, health, or property and casualty. Life and health insurance underwriters may further specialize in group or individual policies. The increased complexity of insurance plans and atten­ tion to the “bottom line” is changing the nature of underwriting. In the past, insurance agents acting as underwriters, particularly in the life and health fields, could accept or reject applications. Now this underwriting role is done mostly by full-time underwriters in the home or field office of the insurance company. Property and casualty underwriters usually specialize in either commercial or personal insurance, and then by type of risk insured, such as fire, homeowners, automobile, marine, liability, or work­ ers’ compensation. In cases where casualty companies provide in­ surance through a single “package” policy, covering various types of risks, the underwriter must be familiar with different lines of insurance. For business insurance, the underwriter often must be able to evaluate the firm’s entire operation in appraising its applica­ tion for insurance. An increasing proportion of insurance sales, particularly in life and health insurance, is being made through group contracts. A standard group policy insures everyone in a specified group through a single contract at a standard premium rate. The group under­ writer analyzes the overall composition of the group to assure that the total risk is not excessive. Another type of group policy pro­ vides members of a group—a labor union, for example—with indi­ vidual policies reflecting their needs. These usually are casualty policies, such as those covering automobiles. The casualty under­ writer analyzes the application of each group member and makes individual appraisals. Some group underwriters meet with union or employer representatives to discuss the types of policies avail­ able to their group.  Management and Business and Financial Operations Occupations 67  | jjjl  fc^T I  7J  Insurance underwriters review insurance applications and determine the appropriate premium to charge a customer.  Working Conditions Underwriters have desk jobs that require no unusual physical activ­ ity. Their offices usually are comfortable and pleasant. Although underwriters typically work a standard 40-hour week, more are working longer hours due to the downsizing of many insurance companies. Most underwriters are based in a home or regional branch office, but they occasionally attend meetings away from home for several days. Construction and marine underwriters frequently travel to inspect worksites and assess risks. Employment Insurance underwriters held about 107,000 jobs in 2000. The fol­ lowing tabulation shows the percent distribution of employment by industry: Property and casualty insurance carriers.................................................... 38 Insurance agents, brokers, and services...................................................... 22 Life insurance carriers.................................................................................... 16 Medical service and health insurance carriers ......................................... 10 Pension funds and miscellaneous insurance carriers................................. 6 All other industries..................................................................................  The majority ofunderwriters work for insurance companies called “carriers.” Of these underwriters, most work for property and casu­ alty insurance carriers; many others work for life insurance carriers. Most of the remaining underwriters work in insurance agencies or for organizations that offer insurance services to insurance compa­ nies and policyholders. A small number of underwriters work in agencies owned and operated by banks, mortgage companies, and real estate firms. Most underwriters are based in the insurance company’s home office, but some, mostly in the property and casualty area, work out of regional branch offices of the insurance company. These under­ writers usually have the authority to underwrite most risks and de­ termine an appropriate rating without consulting the home office. Training, Other Qualifications, and Advancement For entry-level underwriting jobs, most large insurance companies prefer college graduates who have a degree in business administra­ tion or finance, with courses or experience in accounting. How­ ever, a bachelor’s degree in almost any field—plus courses in business law and accounting—provides a good general background and may be sufficient to qualify. Because computers are an integral Digitized partforofFRASER most underwriters’ jobs, computer skills are essential. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  New employees usually start as underwriter trainees or assistant underwriters. They may help collect information on applicants and evaluate routine applications under the supervision of an experi­ enced risk analyst. Property and casualty trainees study claim files to become familiar with factors associated with certain types of losses. Many larger insurers offer work-study training programs, lasting from a few months to a year. As trainees gain experience, they are assigned policy applications that are more complex and cover greater risks. These require the use of computers for more efficient analysis and processing. Underwriting can be a satisfying career for people who enjoy analyzing information and paying attention to detail. In addition, underwriters must possess good judgment in order to make sound decisions. Excellent communication and interpersonal skills also are essential, as much of the underwriter’s work involves dealing with agents and other insurance professionals. Continuing education is necessary for advancement. Insurance companies usually pay tuition for underwriting courses that their trainees successfully complete; some also offer salary incentives. Independent study programs for experienced property and casu­ alty underwriters also are available. The Insurance Institute of America offers a program called “Introduction to Underwriting” for beginning underwriters, and the specialty designation, Associ­ ate in Commercial Underwriting (AU), the second formal step in developing a career in underwriting business insurance policies. Those interested in developing a career underwriting personal in­ surance policies may earn the Associate in Personal Insurance (API) designation. To earn either the AU or API designation, underwrit­ ers complete a series of courses and examinations that generally lasts 1 to 2 years. The American Institute for Chartered Property Casualty Under­ writers awards the designation, CPCU, or Chartered Property and Casualty Underwriter, the third and final stage of development for an underwriter. Earning the more advanced CPCU designation takes about 5 years, and requires passing 10 examinations cover­ ing personal and commercial insurance, risk management, busi­ ness and insurance law, accounting, finance, management, economics, and ethics. Although CPCU’s may be underwriters, the CPCU is intended for everyone working in all aspects of prop­ erty and casualty insurance. The American College offers the Char­ 8tered Life Underwriter (CLU) designation and the Registered Health Underwriter (RHU) designation for all life and health insurance professionals. Experienced underwriters who complete courses of study may advance to senior underwriter or underwriting manager positions. Some underwriting managers are promoted to senior managerial jobs. Some employers require a master’s degree to achieve this level. Other underwriters are attracted to the earnings potential of sales and therefore obtain State licenses to sell insurance and re­ lated financial products as agents or brokers. Job Outlook Little or no change in employment of underwriters is expected through 2010. Computer software that helps underwriters analyze policy applications more quickly and accurately has made them more productive and capable of taking on a greater workload. Most job openings are likely to stem from the need to replace underwrit­ ers who transfer or leave the occupation, although some new job openings are being created for underwriters in the area of product development. These underwriters help set the premiums for new insurance products, such as those in the growing field of long-term care insurance. The best job prospects will be for underwriters with the right skills and credentials, such as excellent computer and communication  68 Occupational Outlook Handbook  skills coupled with a background in finance. Job prospects may be better in health insurance than in property and casualty and life in­ surance. As Federal and State laws require health insurers to ac­ cept more applicants for insurance, the number of policies sold will increase. Also, as the population ages, there will be a greater need for health and long-term care insurance. Because insurance is considered a necessity for people and busi­ nesses, there will always be a need for underwriters. It is a profes­ sion that is less subject to recession and layoffs than other fields. A broad knowledge of insurance is desirable, so that underwriters can transfer to another underwriting specialty if downsizing were to  Loan Counselors and Officers______ (0*NET 13-2071.00, 13-2072.00)  Significant Points •  Loan officer positions generally require a bachelor’s degree in finance, economics, or a related field; training or experience in banking, lending, or sales is  •  occur. Earnings Median annual earnings of insurance underwriters were $43,150 in 2000. The middle 50 percent earned between $33,300 and $57,280 a year. The lowest 10 percent earned less than $27,280, while the highest 10 percent earned over $74,060. Median annual earnings in the industries employing the largest number of insurance under­ writers in 2000 were: Fire, marine, and casualty insurance ... Life insurance.......................................... Insurance agents, brokers, and service Medical service and health insurance.  $44,360 42,900 42,140 38,060  Insurance companies usually provide better than average ben­ efits, including employer-financed group life, health, and retirement plans. Related Occupations Underwriters make decisions on the basis of financial and statisti­ cal data. Other workers with the same type of responsibility in­ clude accountants and auditors, actuaries, budget analysts, cost estimators, financial analysts and personal financial advisors, fi­ nancial managers, loan counselors and officers, and credit analysts. Other jobs in the insurance industry include insurance sales agents and claims adjusters, appraisers, examiners, and investigators.  Sources of Additional Information Information about a career as an insurance underwriter is available from the home offices of many life, health, and property-casualty insurance companies. Information about the property-casualty insurance field can be obtained by contacting:  ► The Insurance Information Institute, 110 William St., New York, NY  10038. Internet: http://www.iii.org  Information on careers in the health insurance field can be ob­ tained from:  ► Health Insurance Association of America, 555 13th St. NW., Suite 600 East, Washington, DC 20004-1109. Internet: http://www.hiaa.org  Information on careers in the life insurance field can be obtained from:  ► LIMRA International, P.O. Box 203, Hartford, CT 06141. Internet:  http ://www.limra.com  Information on the underwriting function and the CPCU and AU designations can be obtained from: >- The American Institute for Chartered Property and Casualty Underwrit­ ers/Insurance Institute of America, 720 Providence Rd., P.O. Box 3016, Malvern, PA 19355-0716. Internet: http://www.aicpcu.org  Information on the CLU and RHU designations can be obtained from:  ► The American College, 270 South Bryn Mawr Ave., Bryn Mawr, PA,   19010-2196. Internet: http://www.amercoll.edu https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  •  advantageous. Slower than average employment growth for loan officers is expected because technology is making loan processing and approval simpler and faster. Earnings often fluctuate with the number of loans generated, rising substantially when the economy is good and interest rates are low.  Nature of the Work For many individuals, taking out a loan may be the only way to afford a house, car, or college education. Likewise for businesses, loans are essential to start many companies, purchase inventory, or invest in capital equipment. Loan officers facilitate this lending by seeking potential clients and assisting them in applying for loans. Loan officers also gather information about clients and businesses to ensure that an informed decision is made regarding the quality of the loan and the probability of repayment. Loan officers usually specialize in commercial, consumer, or mortgage loans. Commercial or business loans help companies pay for new equipment or expand operations; consumer loans include home equity, automobile, and personal loans; mortgage loans are made to purchase real estate or to refinance an existing mortgage. As banks and other financial institutions begin to offer new types of loans and a growing variety of financial services, loan officers will have to keep abreast of these new product lines so that they can meet their customers’ needs. In many instances, loan officers act as salespeople. Commercial loan officers, for example, contact firms to determine their needs for loans. If a firm is seeking new funds, the loan officer will tty to persuade the company to obtain the loan from their institution. Simi­ larly, mortgage loan officers develop relationships with commeror firm buys a property, the real estate agent might recommend con­ tacting a specific loan officer for financing. Once this initial contact has been made, loan officers guide cli­ ents through the process of applying for a loan. This process be­ gins with a formal meeting or telephone call with a prospective client, during which the loan officer obtains basic information about the purpose of the loan and explains the different types of loans and credit terms that are available to the applicant. Loan officers an­ swer questions about the process and sometimes assist clients in filling out the application. After a client completes the application, the loan officer begins the process of analyzing and verifying the application to determine the client’s creditworthiness. Often, loan officers can quickly ac­ cess the client’s credit history by computer and obtain a credit “score. This score represents the creditworthiness of a person or business as assigned by a software program that makes the evaluation. In cases where a credit history is not available or where unusual finan­ cial circumstances are present, the loan officer may request addi­ tional financial information from the client or, in the case of commercial loans, copies of the company’s financial statements. With this information, loan officers who specialize in evaluating a  Management and Business and Financial Operations Occupations 69  institutions, and credit unions. Others were employed by nonbank financial institutions, such as mortgage banking and brokerage firms and personal credit firms. Loan officers are employed throughout the Nation, but most work in urban and suburban areas. At some banks, particularly in rural areas, the branch or assistant manager often handles the loan appli­ cation process.  Loan officers guide clients through the process ofapplyingfor loans. client’s creditworthiness—often called loan underwriters—may con­ duct a financial analysis or other risk assessment. Loan officers include this information and their written comments in a loan file, which is used to analyze whether the prospective loan meets the lending institution’s requirements. Loan officers then decide, in consultation with their managers, whether to grant the loan. If the loan is approved, a repayment schedule is arranged with the client. A loan may be approved that would otherwise be denied if the customer can provide the lender with appropriate collateral—prop­ erty pledged as security for the repayment of a loan. For example, when lending money for a college education, a bank may insist that borrowers offer their home as collateral. If the borrowers were ever unable to repay the loans, the homes would be seized under court order and sold to raise the necessary money. Loan counselors, also called loan collection officers, contact bor­ rowers with delinquent loan accounts to help them find a method of repayment to avoid their defaulting on the loan. If a repayment plan cannot be developed, the loan counselor initiates collateral liq­ uidation, in which the collateral used to secure the loan—a home or car, for example—is seized by the lender and sold to repay the loan. A loan officer may also perform this function. Working Conditions Working as a loan officer usually involves considerable travel. For example, commercial and mortgage loan officers frequently work away from their offices and rely on laptop computers, cellular phones, and pagers to keep in contact with their offices and clients. Mort­ gage loan officers often work out of their home or car, visiting of­ fices or homes of clients while completing loan applications. Commercial loan officers sometimes travel to other cities to prepare complex loan agreements. Consumer loan officers and loan coun­ selors, however, are likely to spend most of their time in an office. Most loan officers and counselors work a standard 40-hour week, but many work longer, depending on the number of clients and the demand for loans. Mortgage loan officers can work especially long hours because they are free to take on as many customers as they choose. Loan officers usually carry a heavy caseload and some­ times cannot accept new clients until they complete current cases. They are especially busy when interest rates are low, a condition that triggers a surge in loan applications. Employment Loan counselors and officers held about 265,000 jobs in 2000.  Approximately half were employed by commercial banks, savings https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Training, Other Qualifications, and Advancement Loan officer positions generally require a bachelor’s degree in fi­ nance, economics, or a related field. Most employers prefer appli­ cants who are familiar with computers, and their applications in banking. For commercial or mortgage loan officer jobs, training or experience in sales is highly valued by potential employers. Loan officers without college degrees usually have reached their posi­ tions by advancing through the ranks of an organization and acquir­ ing several years of work experience in various other occupations, such as teller or customer service representative. The American Institute of Banking, which is affiliated with the American Bankers Association, offers correspondence courses and college and university classes for students interested in lending, as well as for experienced loan officers who want to keep their skills current. The Mortgage Bankers Association’s School of Mortgage Banking also offers classes, both classroom- and Internet-based, for people involved in real estate lending. Completion of these courses and programs enhances one’s employment and advance­ ment opportunities. Persons planning a career as a loan officer or counselor should be capable of developing effective working relationships with oth­ ers, confident in their abilities, and highly motivated. For public relations purposes, loan officers must be willing to attend commu­ nity events as representatives of their employer. Capable loan officers and counselors may advance to larger branches of the firm or to managerial positions, while less capable workers—and those having inadequate academic preparation— could be assigned to smaller branches and might find promotion difficult. Advancement beyond a loan officer position usually in­ cludes supervising other loan officers and clerical staff. Job Outlook Automation of many financial services and the growing use of online mortgage brokers are expected to have a significant impact on the demand for lending professionals. However, population growth and the increasing variety of loans and other financial services that loan officers promote will ensure modest employment increases for these professionals. Employment of loan officers is projected to increase more slowly than the average for all occupations through 2010. In contrast, loan counselors are expected to grow about as fast as the average for all occupations through 2010 as requirements for filing for bankruptcy tighten, forcing many to seek counseling to manage their debt. Most job openings will result from the need to replace workers who retire or otherwise leave the occupation permanently. As in the past, college graduates and those with bank­ ing, lending, or sales experience should have the best job prospects. The use of credit scoring has made the loan evaluation process much simpler than in the past, and even unnecessary in some cases. Credit scoring allows loan officers, particularly loan underwriters, to evaluate many more loans in much less time, thus increasing loan officers’ efficiency. In addition, the mortgage application pro­ cess has become highly automated and standardized. This simplifi­ cation has enabled online mortgage loan vendors to offer loan shopping services over the Internet. Online vendors accept loan applications from customers over the Internet and determine which lenders have the best interest rates for that particular loan. With  70 Occupational Outlook Handbook  this knowledge, customers can go directly to the lending institu­ tion, thereby bypassing mortgage loan brokers. Shopping for loans on the Internet—though currently not a widespread practice—is expected to become more common over the next 10 years, particu­ larly for mortgages, thus reducing demand for loan officers. Employment in banking generally is less affected by the upturns and downturns of the economy than is employment in other indus­ tries, contributing to job stability in banking occupations. Although loans remain a major source of revenue for banks, demand for new loans fluctuates and affects the income and employment opportuni­ ties of loan officers. When the economy is on the upswing or when interest rates decline dramatically, there is a surge in real estate buy­ ing and mortgage refinancing that requires loan officers to work long hours processing applications and induces lenders to hire ad­ ditional loan officers. Loan officers often are paid by commission on the value of the loans they place and some have high earnings when demand for mortgages is high. When the real estate market slows, loan officers often suffer a decline in earnings and may even be subject to layoffs. The same applies to commercial loan offic­ ers, whose workloads increase during good economic times as com­ panies seek to invest more in their businesses. In difficult economic conditions, loan counselors are likely to see an increase in the num­ ber of delinquent loans. Earnings Median annual earnings of loan counselors were $32,160 in 2000. The middle 50 percent earned between $25,290 and $43,510. The lowest 10 percent earned less than $20,850, while the top 10 per­ cent earned more than $62,380. Median annual earnings of loan officers were $41,420 in 2000. The middle 50 percent earned between $30,610 and $57,250. The lowest 10 percent earned less than $24,200, while the top 10 per­ cent earned more than $82,640. Median annual earnings in the in­ dustries employing the largest numbers of loan officers in 2000 were: Commercial banks.................... Savings institutions................... Mortgage bankers and brokers Personal credit institutions..... Credit unions.............................  $43,370 42,760 42,100 35,040 29,700  The form of compensation for loan officers varies. Most loan officers are paid a commission that is based on the number of loans they originate. In this way, commissions are used to motivate loan officers to bring in more loans. Some institutions pay only salaries, while others pay their loan officers a salary plus a commission or bonus, based on the number of loans originated. Banks and other lenders sometimes offer their loan officers free checking privileges and somewhat lower interest rates on personal loans. According to a salary survey conducted by Robert Half Interna­ tional, a staffing services firm specializing in accounting and fi­ nance, mortgage loan officers earned between $36,000 and $48,000 in 2000; consumer loan officers with 1 to 3 years of experience, between $42,250 and $56,750; and commercial loan officers with 1 to 3 years of experience, between $48,000 and $64,750. With over 3 years of experience, commercial loan officers could make between $66,000 and $95,250, and consumer loan officers can make between $55,500 and $75,500. Smaller banks ordinarily paid 15 percent less than larger banks. Loan officers who are paid on a commission basis usually earn more than those on salary only. Related Occupations Loan officers help the public manage financial assets and secure loans. Occupations that involve similar functions include securi­  ties and financial services sales representatives, personal financial https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  advisors, real estate brokers and sales agents, and insurance sales agents. Sources of Additional Information Information about a career as a mortgage loan officer can be ob­ tained from:  > Mortgage Bankers Association of America, 1125 15th St. NW., Wash­ ington, DC 20005. Internet: http://www.mbaa.org  State bankers’ associations can furnish specific information about job opportunities in their State. Also, individual banks can supply information about job openings and the activities, responsibilities, and preferred qualifications of their loan officers.  Lodging Managers (0*NET 11-9081.00)  Significant Points •  Employment is projected to grow more slowly than  •  average. College graduates with degrees in hotel or restaurant management should have the best job opportunities.  Nature of the Work A comfortable room, good food, and a helpful staff can make being away from home an enjoyable experience for both vacationing fami­ lies and business travelers. While most lodging managers work in traditional hotels and motels, some work in other lodging establish­ ments, such as camps, inns, boardinghouses, dude ranches, and rec­ reational resorts. In full-service hotels, lodging managers help their guests have a pleasant stay by providing many of the comforts of home, including cable television, fitness equipment, and voice mail, as well as specialized services such as health spas. For business travelers, lodging managers often schedule available meeting rooms and electronic equipment, including slide projectors and fax machines. Lodging managers are responsible for keeping their establish­ ments efficient and profitable. In a small establishment with a lim­ ited staff, the manager may oversee all aspects of operations. However, large hotels may employ hundreds of workers, and the general manager usually is aided by a number of assistant managers assigned to the various departments of the operation. In hotels of every size, managerial duties vary significantly by job title. The general manager, for example, has overall responsibility for the operation of the hotel. Within guidelines established by the owners of the hotel or executives of the hotel chain, the general manager sets room rates, allocates funds to departments, approves expenditures, and establishes expected standards for guest service, decor, housekeeping, food quality, and banquet operations. Man­ agers who work for chains also may organize and staff a newly built hotel, refurbish an older hotel, or reorganize a hotel or motel that is not operating successfully. In order to fill low-paying ser­ vice and clerical jobs in hotels, some managers attend career fairs. Resident managers live in hotels and are on call 24 hours a day to resolve problems or emergencies. In general, though, they typi­ cally work an 8-hour day and oversee the day-to-day operations of the hotel. In many hotels, the general manager also is the resident manager. Executive housekeepers ensure that guest rooms, meeting and banquet rooms, and public areas are clean, orderly, and well main­ tained. They also train, schedule, and supervise the work of house­ keepers; inspect rooms; and order cleaning supplies.  Management and Business and Financial Operations Occupations 71  Employment Lodging managers held about 68,000 jobs in 2000. Self-employed managers—primarily owners of small hotels and motels—held about half of these jobs. Companies that manage hotels and motels under contract employed some managers.  Lodging managers are responsiblefor keeping the operation oftheir establishments efficient and profitable.  Front office managers coordinate reservations and room assign­ ments, as well as train and direct the hotel’s front desk staff. They ensure that guests are treated courteously, complaints and problems are resolved, and requests for special services are carried out. Front office managers often have authorization to adjust charges posted on a customer’s bill. Convention services managers coordinate the activities of large hotels’ various departments for meetings, conventions, and special events. They meet with representatives of groups or organizations to plan the number of rooms to reserve, the desired configuration of hotel meeting space, and the banquet services. During the meeting or event, they resolve unexpected problems and monitor activities to ensure that hotel operations conform to the expectations of the group. Assistant managers help run the day-to-day operations of the hotel. In large hotels, they may be responsible for activities such as personnel, accounting, office administration, marketing and sales, purchasing, security, maintenance, and pool, spa, or recreational facilities. In smaller hotels, these duties may be combined into one position. Some hotels allow an assistant manager to make deci­ sions regarding hotel guest charges when a manager is unavailable. Computers are used extensively by lodging managers and their assistants to keep track of the guest’s bill, reservations, room as­ signments, meetings, and special events. In addition, computers are used to order food, beverages, and supplies, as well as to pre­ pare reports for hotel owners and top-level managers. Managers work with computer specialists to ensure that the hotel’s computer system functions properly. Should the hotel’s computer system fail, managers must continue to meet guests’ needs. Working Conditions Because hotels are open around the clock, night and weekend work is common. Many lodging managers work more than 40 hours per week. Managers who live in the hotel usually have regular work schedules, but they may be called to work at any time. Some em­ ployees of resort hotels are managers during the busy season and have other duties during the rest of the year. Lodging managers sometimes experience the pressures of coor­ dinating a wide range of functions. Conventions and large groups of tourists may present unusual problems. Moreover, dealing with irate guests can be stressful. The job can be particularly hectic for front office managers during check-in and check-out time. Com­  puter failures can further complicate an already busy time. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Training, Other Qualifications, and Advancement Hotels increasingly emphasize specialized training. Postsecondary training in hotel or restaurant management is preferred for most hotel management positions, although a college liberal arts degree may be sufficient when coupled with related hotel experience. In­ ternships or part-time or summer work are an asset to students seek­ ing a career in hotel management. The experience gained and the contacts made with employers can greatly benefit students after graduation. Most bachelor’s degree programs include work-study opportunities. In the past, many managers were promoted from the ranks of front desk clerks, housekeepers, waiters, chefs, and hotel sales work­ ers. Although some employees still advance to hotel management positions without education beyond high school, postsecondary education is preferred. Restaurant management training or experi­ ence also is a good background for entering hotel management because the success of a hotel’s food service and beverage opera­ tions often is of great importance to the profitability of the entire establishment. Community colleges, junior colleges and some universities of­ fer associate, bachelor’s, and graduate degree programs in hotel or restaurant management. When combined with technical institutes, vocational and trade schools, and other academic institutions, over 800 educational facilities have programs leading to formal recogni­ tion in hotel or restaurant management. Hotel management pro­ grams include instruction in hotel administration, accounting, economics, marketing, housekeeping, food service management and catering, and hotel maintenance engineering. Computer training also is an integral part of hotel management training due to the wide­ spread use of computers in reservations, billing, and housekeeping management. Lodging managers must be able to get along with many differ­ ent people, even in stressful situations. They must be able to solve problems and concentrate on details. Initiative, self-discipline, ef­ fective communication skills, and the ability to organize and direct the work of others also are essential for managers at all levels. Most hotels promote employees who have proven their ability and completed formal education in hotel management. Graduates of hotel or restaurant management programs usually start as trainee assistant managers. Some large hotels sponsor specialized on-thejob management training programs allowing trainees to rotate among various departments and gain a thorough knowledge of the hotel’s operation. Other hotels may help finance formal training in hotel management for outstanding employees. Newly built hotels, par­ ticularly those without well-established on-the-job training pro­ grams, often prefer experienced personnel for managerial positions. Large hotel and motel chains may offer better opportunities for advancement than small, independently owned establishments, but relocation every several years often is necessary for advancement. The large chains have more extensive career ladder programs and offer managers the opportunity to transfer to another hotel or motel in the chain or to the central office. Career advancement can be accelerated by completion of certification programs offered by the associations listed below. These programs usually require a combi­ nation of coursework, examinations, and experience. Outstanding lodging managers may advance to higher level manager positions. (For more information, see the statement on top executives else­ where in the Handbook.)  72 Occupational Outlook Handbook  Job Outlook Employment of lodging managers is expected to grow more slowly than the average for all occupations through 2010. Additional job openings are expected to occur as experienced managers transfer to other occupations or leave the labor force, in part because of the long hours and stressful working conditions. Job opportunities in hotel management are expected to be best for persons with college degrees in hotel or restaurant management. Increasing business travel and domestic and foreign tourism will drive employment growth of lodging managers. Managerial jobs are not expected to grow as rapidly as the hotel industry overall, however. As the industry consolidates, many chains and franchises will acquire independently owned establishments and increase the numbers of economy-class rooms to accommodate bargain-con­ scious guests. Economy hotels offer clean, comfortable rooms and front desk services without costly extras like restaurants and room service. Because there are not as many departments in these hotels, fewer managers will be needed. Similarly, the increasing number of extended-stay hotels will temper demand for managers because in these establishments, management is not required to be available 24 hours a day. In addition, front desk clerks increasingly are as­ suming some responsibilities previously reserved for managers, further limiting the growth of managers and their assistants. Additional demand for managers, however, is expected in suite hotels as some guests, especially business customers, are willing to pay higher prices for rooms with kitchens and suites that provide the space needed to conduct meetings. In addition, large full-ser­ vice hotels—offering restaurants, fitness centers, large meeting rooms, and play areas for children, among other amenities—will continue to offer many trainee and managerial opportunities. Earnings Median annual earnings of lodging managers were $30,770 in 2000. The middle 50 percent earned between $23,670 and $41,830. The lowest 10 percent earned less than $19,080, while the highest 10 percent earned more than $55,050. Salaries of lodging managers vary greatly according to their re­ sponsibilities and the segment of the hotel industry in which they are employed. Managers may earn bonuses of up to 25 percent of their basic salary in some hotels and also may be furnished with lodging, meals, parking, laundry, and other services. In addition to typical benefits, some hotels offer profit-sharing plans and educa­ tional assistance to their employees. Related Occupations Other occupations concerned with organizing and directing a business where customer service is the cornerstone of their success include food service managers, gaming managers, sales worker supervisors, and property, real estate, and community association managers. Sources of Additional Information For information on careers and scholarships in hotel management, contact:  ► American Hotel and Lodging Association, 1201 New York Ave. NW., #600, Washington, DC 20005-3931. Internet: http://www.ahlaonline.org  Information on careers in the lodging industry and professional development and training programs may be obtained from: ► Educational Institute of the American Hotel and Lodging Association, 800 N. Magnolia Ave., Suite 1800, Orlando, FL 32853-1126. Internet:  http://www.ei-ahma.org  For information on educational programs, including correspon­ dence courses, in hotel and restaurant management, write to: >- International Council on Hotel, Restaurant, and Institutional Education, 3205 Skipwith Rd., Richmond, VA 23294-4442. Internet:   http://www.chrie.org https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Information on careers in housekeeping management may be obtained from: >- International Executive Housekeepers Association, Inc., 1001 Eastwind Dr., Suite 301, Westerville, OH 43081. Internet: http://www.ieha.org  Management Analysts  ___  (0**NET 13-1111.00)  •  •  •  Significant Points Thirty-three percent are self-employed, about twice the average for other management, business, and financial occupations. Most positions in private industry require a master’s degree and 5 years of specialized experience; a bachelor’s degree is sufficient for entry-level government jobs. Despite projected faster-than-average employment growth, intense competition is expected for jobs.  Nature of the Work As business becomes more complex, the Nation’s firms are con­ tinually faced with new challenges. Firms increasingly rely on man­ agement analysts to help them remain competitive amidst these changes. Management analysts, often referred to as management consultants in private industry, analyze and propose ways to im­ prove an organization’s structure, efficiency, or profits. For example, a small but rapidly growing company that needs help improving the system of control over inventories and expenses may decide to em­ ploy a consultant who is an expert in just-in-time inventory man­ agement. In another case, a large company that has recently acquired a new division may hire management analysts to help reorganize the corporate structure and eliminate duplicate or nonessential jobs. In recent years, information technology and electronic commerce have provided new opportunities for management analysts. Companies hire consultants to develop strategies for entering and remaining competitive in the new electronic marketplace. (For information on computer specialists working in consulting, see the statements on computer software engineers, as well as systems analysts, computer scientists, and database administrators, elsewhere in the Handbook.) Firms providing management analysis range in size from a single practitioner to large international organizations employing thousands of consultants. Some analysts and consultants specialize in a spe­ cific industry while others specialize by type of business function, such as human resources or information systems. In government, management analysts tend to specialize by type of agency. The work of management analysts and consultants varies with each cli­ ent or employer, and from project to project. Some projects require a team of consultants, each specializing in one area. In otherprojects, consultants work independently with the organization’s managers. In all cases, analysts and consultants collect, review, and analyze information in order to make recommendations to managers. Both public and private organizations use consultants for a vari­ ety of reasons. Some lack the internal resources needed to handle a project, while others need a consultant’s expertise to determine what resources will be required and what problems may be encountered if they pursue a particular opportunity. To retain a consultant, a company first solicits proposals from a number of consulting firms specializing in the area in which it needs assistance. These propos­ als include the estimated cost and scope of the project, staffing requirements, references from a number of previous clients, and a  Management and Business and Financial Operations Occupations 73  Employment Management analysts held about 501,000jobs in 2000. Thirty three percent of these workers were self-employed, almost twice the average for other management, business, and financial occupations. Management analysts are found throughout the country, but employ­ ment is concentrated in large metropolitan areas. Most work in management consulting and computer and data processing firms, and for Federal, State, and local governments. The majority of those working for the Federal Government are in the U.S. Department of Defense.  C25"'~  Management analysts suggest ways to make an organization’s operations more efficient.  completion deadline. The company then selects the proposal that best suits its needs. After obtaining an assignment or contract, management analysts first define the nature and extent of the problem. During this phase, they analyze relevant data, which may include annual revenues, em­ ployment, or expenditures, and interview managers and employees while observing their operations. The analyst or consultant then develops solutions to the problem. In the course of preparing their recommendations, they take into account the nature of the organi­ zation, the relationship it has with others in the industry, and its internal organization and culture. Insight into the problem often is gained by building and solving mathematical models. Once they have decided on a course of action, consultants report their findings and recommendations to the client. These sugges­ tions usually are submitted in writing, but oral presentations re­ garding findings also are common. For some projects, management analysts are retained to help implement the suggestions they have made. Management analysts in government agencies use the same skills as their private-sector colleagues to advise managers on many types of issues, most of which are similar to the problems faced by pri­ vate firms. For example, if an agency is planning to purchase per­ sonal computers, it must first determine which type to buy, given its budget and data processing needs. In this case, management ana­ lysts would assess the prices and characteristics of various machines and determine which best meets the agency’s needs. Working Conditions Management analysts usually divide their time between their of­ fices and the client’s site. In either situation, much of an analyst’s time is spent indoors in clean, well-lit offices. Because they must spend a significant portion of their time with clients, analysts travel frequently. Analysts and consultants generally work at least 40 hours a week. Uncompensated overtime is common, especially when project dead­ lines are approaching. Analysts may experience a great deal of stress as a result of trying to meet a client’s demands, often on a tight schedule. Self-employed consultants can set their workload and hours and work at home. On the other hand, their livelihood depends on their ability to maintain and expand their client base. Salaried consult­ ants also must impress potential clients to get and keep clients for  their company. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Training, Other Qualifications, and Advancement Educational requirements for entry-level jobs in this field vary widely between private industry and government. Most employers in pri­ vate industry generally seek individuals with a master’s degree in business administration or a related discipline. Some employers also require at least 5 years of experience in the field in which they plan to consult in addition to a master’s degree. Most government agencies hire people with a bachelor’s degree and no pertinent work experience for entry-level management analyst positions. Many fields of study provide a suitable educational background for this occupation because of the wide range of areas addressed by management analysts. These include most academic programs in business and management, as well as computer and information sciences and engineering. In addition to the appropriate formal education, most entrants to this occupation have years of experi­ ence in management, human resources, information technology, or other specialties. Analysts also routinely attend conferences to keep abreast of current developments in their field. Management analysts often work with minimal supervision, so they need to be self-motivated and disciplined. Analytical skills, the ability to get along with a wide range of people, strong oral and written communication skills, good judgment, time management skills, and creativity are other desirable qualities. The ability to work in teams also is an important attribute as consulting teams become more common. As consultants gain experience, they often become solely re­ sponsible for a specific project, taking on more responsibility and managing their own hours. At the senior level, consultants may supervise lower level workers and become more involved in seek­ ing out new business. Those with exceptional skills may eventu­ ally become a partner in the firm. Others with entrepreneurial ambition may open their own firm. A high percentage of management consultants are self-employed, partly because business startup costs are low. Self-employed con­ sultants also can share office space, administrative help, and other resources with other self-employed consultants or small consulting firms, thus reducing overhead costs. Because many small consult­ ing firms fail each year for lack of managerial expertise and cli­ ents, those interested in opening their own firm must have good organizational and marketing skills and several years of consulting experience. The Institute of Management Consultants USA, Inc. (IMC USA) offers a wide range of professional development programs and re­ sources, such as meetings and workshops, that can be helpful for management consultants. The IMC USA also offers the Certified Management Consultant (CMC) designation to those who pass an examination and meet minimum levels of education and experience. Certification is not mandatory for management consultants, but it may give a jobseeker a competitive advantage. Job Outlook Despite projected rapid employment growth, keen competition is expected for jobs as management analysts. Because analysts can  74 Occupational Outlook Handbook  come from such diverse educational backgrounds, the pool of ap­ plicants from which employers can draw is quite large. Further­ more, the independent and challenging nature of the work, combined with high earnings potential, makes this occupation attractive to many. Job opportunities are expected to be best for those with a graduate degree, industry expertise, and a talent for salesmanship and public relations. Employment of management analysts is expected to grow faster than the average for all occupations through 2010, as industry and government increasingly rely on outside expertise to improve the performance of their organizations. Job growth is projected in very large consulting firms with international expertise and in smaller consulting firms that specialize in specific areas, such as biotech­ nology, healthcare, information technology, human resources, en­ gineering, and telecommunications. Growth in the number of individual practitioners may be hindered, however, by increasing use of consulting teams, which permits examination of a variety of different issues and problems within an organization. Employment growth of management analysts and consultants has been driven by a number of changes in the business environ­ ment that have forced finns to take a closer look at their operations. These changes include developments in information technology and the growth of electronic commerce. Traditional companies hire ana­ lysts to help design intranets or company Web sites, or establish online businesses. New Internet start-up companies hire analysts not only to design Web sites, but also to advise them in more tradi­ tional business practices, such as pricing strategies, marketing, and inventory and human resource management. In order to offer cli­ ents better quality and a wider variety of services, consulting firms are partnering with traditional computer software and technology firms. Also, many computer firms are developing consulting prac­ tices of their own in order to take advantage of this expanding mar­ ket. Although information technology consulting should remain one of the fastest growing consulting areas, the volatility of the computer and data processing services industry necessitates that the most successful management analysts have knowledge of traditional business practices in addition to computer applications, systems inte­ gration, and Web design and management skills. The growth of international business also has contributed to an increase in demand for management analysts. As U.S. firms ex­ pand their business abroad, many will hire management analysts to help them form the right strategy for entering the market; advise on legal matters pertaining to a specific countries; or help with organi­ zational, administrative, and other issues, especially if the U.S. com­ pany is involved in a partnership or merger with a local firm. These trends provide management analysts with more opportunities to travel or work abroad, but also require that they have a more com­ prehensive knowledge of international business and foreign cul­ tures and languages. Furthermore, as international and domestic markets have become more competitive, firms have needed to use resources more effi­ ciently. Management analysts increasingly are sought to help re­ duce costs, streamline operations, and develop marketing strategies. As this process continues and businesses downsize, even more op­ portunities will be created for analysts to perform duties that previ­ ously were handled internally. Finally, management analysts also will be in greater demand in the public sector, as Federal, State, and local government agencies seek ways to become more efficient. Earnings Salaries for management analysts vary widely by experience, edu­ cation, and employer. Median annual earnings of management ana­ lysts in 2000 were $55,040. The middle 50 percent earned between  $41,970 and $72,630. The lowest 10 percent earned less than https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  $32,860, and the highest 10 percent earned more than $98,210. Median annual earnings in the industries employing the largest num­ bers of management analysts and consultants in 2000 were: Accounting, auditing, and bookkeeping........................................... Management and public relations....................................................... Federal government............................................................................... Computer and data processing services............................................ State government...................................................................................  $62,230 61,290 59,780 56,070 43,470  According to a 2000 survey by the Association of Management Consulting Firms, earnings—including bonuses and profit sharing— for research associates in member firms averaged $39,200; for en­ try-level consultants, $58,000; for management consultants, $76,300; for senior consultants, $100,300; for junior partners, $133,500; and for senior partners, $259,500. Salaried management analysts usually receive common benefits such as health and life insurance, a retirement plan, vacation, and sick leave, as well as less common benefits such as profit sharing and bonuses for outstanding work. In addition, all travel expenses usually are reimbursed by the employer. Self-employed consultants have to maintain their own office and provide their own benefits. Related Occupations Management analysts collect, review, and analyze data; make rec­ ommendations; and implement their ideas. Others who use similar skills include systems analysts, computer scientists, and database administrators; operations research analysts; economists and mar­ ket and survey researchers; and financial analysts and personal finan­ cial advisors. Sources of Additional Information Information about career opportunities in management consulting is available from: >- The Association of Management Consulting Firms, 380 Lexington Ave., Suite 1700, New York, NY 10168. Internet: http://www.amcf.org Information about the Certified Management Consultant desig­ nation can be obtained from: >- The Institute of Management Consultants USA, Inc., 2025 M St. NW., Suite 800, Washington DC 20036. Internet: http://www.imcusa.org  Information on obtaining a management analyst position with the Federal Government is available from the Office of Personnel Management (OPM) through a telephone-based system. Consult your telephone directory under U.S. Government for a local number or call (912) 757-3000; Federal Relay Service: (800) 877-8339. The first number is not tollfree, and charges may result. Information also is available from the OPM Internet site: http://www.usajobs.opm.gov.  Medical and Health Services Managers_______ _________ ___ (0**NET 11-9111.00)  Significant Points • •  •  Earnings of medical and health services managers are high, but long work hours are common. A master’s degree is the standard credential for most positions, although a bachelor’s degree is adequate for some entry-level positions in smaller facilities. Employment will grow fastest in residential care facilities and practitioners’ offices and clinics.  Management and Business and Financial Operations Occupations 75  Nature of the Work Healthcare is a business and, like every other business, it needs good management to keep it running smoothly. The term “medical and health services manager” encompasses all individuals who plan, direct, coordinate, and supervise the delivery of healthcare. Medi­ cal and health services managers include specialists and general­ ists. Specialists are in charge of specific clinical departments or services, while generalists manage or help to manage an entire fa­ cility or system. The structure and financing of healthcare is changing rapidly. Future medical and health services managers must be prepared to deal with evolving integrated healthcare delivery systems, techno­ logical innovations, an increasingly complex regulatory environ­ ment, restructuring of work, and an increased focus on preventive care. They will be called upon to improve efficiency in healthcare facilities and the quality of the healthcare provided. Increasingly, medical and health services managers will work in organizations in which they must optimize efficiency of a variety of interrelated ser­ vices, for example, those ranging from inpatient care to outpatient follow-up care. Large facilities usually have several assistant administrators to aid the top administrator and to handle daily decisions. They may direct activities in clinical areas such as nursing, surgery, therapy, medical records, or health information. (Managers in nonhealth areas such as administrative services, computer and information systems, finance, and human resources, are not included in this state­ ment. For information about them, see the statements on manage­ rial occupations elsewhere in the Handbook.) In smaller facilities, top administrators handle more of the de­ tails of daily operations. For example, many nursing home admin­ istrators manage personnel, finance, facility operations, and admissions, and have a larger role in resident care. Clinical managers have more specific responsibilities than gen­ eralists, and have training or experience in a specific clinical area. For example, directors of physical therapy are experienced physical therapists, and most health information and medical record admin­ istrators have a bachelor’s degree in health information or medical record administration. These managers establish and implement policies, objectives, and procedures for their departments; evaluate personnel and work; develop reports and budgets; and coordinate activities with other managers. In group practices, managers work closely with physicians. Whereas an office manager may handle business affairs in small medical groups, leaving policy decisions to the physicians themselves, larger groups usually employ a full-time administra­ tor to advise on business strategies and coordinate day-to-day business. A small group of 10 or 15 physicians might employ one admin­ istrator to oversee personnel matters, billing and collection, bud­ geting, planning, equipment outlays, and patient flow. A large practice of 40 or 50 physicians may have a chief administrator and several assistants, each responsible for different areas. Medical and health services managers in managed care settings perform functions similar to those in large group practices, except their staffs may be larger. In addition, they may do more work in the areas of community outreach and preventive care than manag­ ers of a group practice. Some medical and health services managers oversee the activi­ ties of a number of facilities in health systems. Such systems may contain both inpatient and outpatient facilities and offer a wide range Digitized of forpatient FRASER services. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Medical and health services managers are called upon to improve efficiency in healthcare facilities and the quality of the healthcare provided. Working Conditions Most medical and health services managers work long hours. Fa­ cilities such as nursing homes and hospitals operate around the clock, and administrators and managers may be called at all hours to deal with problems. They also may travel to attend meetings or inspect satellite facilities. Some managers work in comfortable, private offices; others share space with other managers or staff. They may spend considerable time walking, to consult with coworkers. Employment Medical and health services managers held about 250,000 jobs in 2000. Almost 2 out of 5 jobs were in hospitals. About 1 in 5 were in nursing and personal care facilities or offices and clinics of physicians. The remainder worked mostly in home health agen­ cies, ambulatory facilities run by state and local governments, offices of dentists and other health practitioners, medical and den­ tal laboratories, residential care facilities, and other social service agencies. Training, Other Qualifications, and Advancement Medical and health services managers must be familiar with man­ agement principles and practices. A master’s degree in health services administration, long-term care administration, health sciences, public health, public administration, or business admin­ istration is the standard credential for most generalist positions in this field. However, a bachelor’s degree is adequate for some entry-level positions in smaller facilities and at the departmental level within healthcare organizations. Physicians’ offices and some other facilities may substitute on-the-job experience for formal education. For clinical department heads, a degree in the appropriate field and work experience may be sufficient for entry. However, a master’s degree in health services administration or a related field may be required to advance. For example, nursing service administrators usually are chosen from among supervisory registered nurses with administrative abilities and a graduate degree in nursing or health services administration. Bachelor’s, master’s, and doctoral degree programs in health ad­ ministration are offered by colleges, universities, and schools of  76 Occupational Outlook Handbook  public health, medicine, allied health, public administration, and business administration. In 2001, 67 schools had accredited pro­ grams leading to the master’s degree in health services administra­ tion, according to the Accrediting Commission on Education for Health Services Administration. Some graduate programs seek students with undergraduate de­ grees in business or health administration; however, many gradu­ ate programs prefer students with a liberal arts or health profession background. Candidates with previous work experience in healthcare also may have an advantage. Competition for entry to these programs is keen, and applicants need above-average grades to gain admission. Graduate programs usually last between 2 and 3 years. They may include up to 1 year of supervised administra­ tive experience, and course work in areas such as hospital organi­ zation and management, marketing, accounting and budgeting, human resources administration, strategic planning, health eco­ nomics, and health information systems. Some programs allow students to specialize in one type of facility—hospitals, nursing homes, mental health facilities, or medical groups. Other pro­ grams encourage a generalist approach to health administration education. New graduates with master’s degrees in health services admin­ istration may start as department managers or as staff employees. The level of the starting position varies with the experience of the applicant and size of the organization. Hospitals and other health facilities offer postgraduate residencies and fellowships, which usu­ ally are staff positions. Graduates from master’s degree programs also take jobs in large group medical practices, clinics, mental health facilities, multifacility nursing home corporations, and consulting firms. Graduates with bachelor’s degrees in health administration usu­ ally begin as administrative assistants or assistant department heads in larger hospitals. They also may begin as department heads or assistant administrators in small hospitals or nursing homes. All States and the District of Columbia require nursing home administrators to have a bachelor’s degree, pass a licensing exami­ nation, complete a State-approved training program, and pursue continuing education. A license is not required in other areas of medical and health services management. Medical and health services managers often are responsible for millions of dollars of facilities and equipment and hundreds of employees. To make effective decisions, they need to be open to different opinions and good at analyzing contradictory informa­ tion. They must understand finance and information systems, and be able to interpret data. Motivating others to implement their decisions requires strong leadership abilities. Tact, diplomacy, flex­ ibility, and communication skills are essential because medical and health services managers spend most of their time interacting with others. Medical and health services managers advance by moving into more responsible and higher paying positions, such as assistant or associate administrator, or by moving to larger facilities.  Hospitals will continue to employ the most managers, although the number ofjobs will grow slowly compared with other areas. As hospitals continue to consolidate, centralize, and diversify functions, competition will increase at all job levels. Medical and health ser­ vices managers with experience in large facilities will enjoy the best job opportunities as hospitals become larger and more complex. Employment will grow the fastest in residential care facilities and practitioners’ offices and clinics. Many services previously provided in hospitals will continue to shift to these sectors, espe­ cially as medical technologies improve. Demand in medical group practice management will grow as medical group practices become larger and more complex. Medical and health services managers will need to deal with the pressures of cost containment and finan­ cial accountability, as well as with the increased focus on preven­ tive care. They also will become more involved in trying to improve the health of their communities. Managers with specialized experi­ ence in a particular field, such as reimbursement, should have good opportunities. Medical and health services managers also will be employed by healthcare management companies who provide management ser­ vices to hospitals and other organizations, as well as specific de­ partments such as emergency, information management systems, managed care contract negotiations, and physician recruiting.  Job Outlook Employment of medical and health services managers is expected to grow faster than the average for all occupations through 2010 as the health services industry continues to expand and diversify. Op­ portunities for managers will be closely related to growth in the industry in which they are employed. Opportunities will be espe­ cially good in home healthcare, long-term care, and nontraditional health organizations, such as managed care operations and consult­ ing firms. Managers with work experience in the healthcare field and strong business and management skills should have the best  opportunities. https://fraser.stlouisfed.org  Related Occupations Medical and health services managers have training or experience in both health and management. Workers in other occupations re­ quiring knowledge of both fields are insurance underwriters and social and community service managers.  Federal Reserve Bank of St. Louis  Earnings Median annual earnings of medical and health services managers were $56,370 in 2000. The middle 50 percent earned between $44,460 and $72,550. The lowest 10 percent earned less than $35,210, and the highest 10 percent earned more than $97,900. Median an­ nual earnings in the industries employing the largest numbers of medical and health services managers in 2000 were as follows: Hospitals.................................................................................................. Local government.................................................................................. Offices and clinics of medical doctors............................................. Health and allied services, not elsewhere classified...................... Nursing and personal care facilities..................................................  $60,360 56,800 53,430 51,800 51,240  Earnings of medical and health services managers vary by type and size of the facility, as well as by level of responsibility. For example, the Medical Group Management Association reported that median salaries in 2000 for administrators by group practice size were $65,125 in practices with fewer than 7 physicians; $83,022 in practices with 7 to 25 physicians; and $96,402 in practices with more than 26 physicians. According to a survey by Modem Healthcare magazine, median annual compensation in 2001 for managers of the following clini­ cal departments was $67,200 in respiratory therapy, $69,900 in home healthcare, $71,400 in physical therapy, $76,500 in radiology, $77,100 in clinical laboratory, $79,700 in rehabilitation services, $85,200 in ambulatory and outpatient services, and $113,800 in nursing services. Salaries also varied according to size of facility and geographic region.  Sources of Additional Information Information about undergraduate and graduate academic programs in this field is available from: ► Association of University Programs in Health Administration, 730 11th St. NW., Washington, DC 20001-4510. Internet: http://www.aupha.org  Management and Business and Financial Operations Occupations 77  For a list of accredited graduate programs in medical and health services administration, contact: >• Accrediting Commission on Education for Health Services Administration, 730 11th St. NW„ Washington, DC 20001-4510. Internet: http://www.acehsa.org For information about career opportunities in long-term care administration, contact: > American College of Health Care Administrators, 1800 Diagonal Rd., Suite 355, Alexandria, VA 22314. Internet: http://www.achca.org  For information about career opportunities in medical group prac­ tices and ambulatory care management, contact: >- Medical Group Management Association, 104 Inverness Terrace East, Englewood, CO 80112-5306.  For information about medical and healthcare office managers, contact: > Professional Association of Health Care Office Management, 461 East Ten Mile Rd., Pensacola, FL 32534-9712. Internet: http://www.pahcom.com  Property, Real Estate, and Community Association Managers (0**NET 11-9141.00)  •  •  •  Significant Points Many enter the occupation as onsite managers of apartment buildings, office complexes, or community associations, or as employees of property management firms or community association management companies. Almost half of all property and real estate managers were self-employed, compared with only 8 percent of all workers combined. Opportunities should be best for those with college degrees in business administration or related fields, as well as professional designations.  Nature of the Work Buildings can be homes, stores, or offices to those who use them. To businesses and investors, properly managed real estate is a po­ tential source of income and profits, and to homeowners, it is a way to preserve and enhance resale values. Property, real estate, and community association managers maintain and increase the value of real estate investments. Property and real estate managers over­ see the performance of income-producing commercial or residen­ tial properties, and ensure that real estate investments achieve their expected revenues. Community association managers manage the common property and services of condominiums, cooperatives, and planned communities through their homeowners’ or community associations. When owners of apartments, office buildings, or retail or indus­ trial properties lack the time or expertise needed for day-to-day man­ agement of their real estate investments or homeowners’ associations, they often hire a property or real estate manager, or community association manager. The manager is employed either directly by the owner or indirectly through a contract with a property manage­ ment firm. Generally, property and real estate managers handle the finan­ cial operations of the property, ensuring that mortgages, taxes, in­ surance premiums, payroll, and maintenance bills are paid on time. DigitizedInfor FRASER associations, however, homeowners pay their own community https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  real estate taxes and mortgages. Some property managers, called assetproperty managers, supervise the preparation of financial state­ ments and periodically report to the owners on the status of the property, occupancy rates, dates of lease expirations, and other matters. Often, property managers negotiate contracts for janitorial, se­ curity, groundskeeping, trash removal, and other services. When contracts are awarded competitively, managers solicit bids from several contractors and recommend to the owners which bid to ac­ cept. They monitor the performance of contractors and investigate and resolve complaints from residents and tenants when services are not properly provided. Managers also purchase supplies and equipment for the property and make arrangements with specialists for repairs that cannot be handled by regular property maintenance staff. In addition to these duties, property managers must understand and comply with provisions of legislation, such as the Americans with Disabilities Act and the Federal Fair Housing Amendment Act, as well as local fair housing laws. They must ensure that their rent­ ing and advertising practices are not discriminatory and that the property itself complies with all of the local, State, and Federal regu­ lations and building codes. Onsite property managers are responsible for day-to-day opera­ tions for one piece of property, such as an office building, shopping center, community association, or apartment complex. To ensure that the property is safe and properly maintained, onsite managers routinely inspect the grounds, facilities, and equipment to deter­ mine if repairs or maintenance are needed. They meet not only with current residents when handling requests for repairs or trying to resolve complaints, but also with prospective residents or ten­ ants to show vacant apartments or office space. Onsite managers also are responsible for enforcing the terms of rental or lease agree­ ments, such as rent collection, parking and pet restrictions, and termination-of-lease procedures. Other important duties of onsite managers include keeping accurate, up-to-date records of income and expenditures from property operations and submitting regular expense reports to the asset property manager or owners. Property managers who do not work onsite act as a liaison be­ tween the onsite manager and the owner. They also market vacant space to prospective tenants through the use of a leasing agent, ad­ vertising, or by other means, and establish rental rates in accor­ dance with prevailing local economic conditions. Some property and real estate managers, often called real estate asset managers, act as the property owners’ agent and adviser for the property. They plan and direct the purchase, development, and disposition of real estate on behalf of the business and investors. These managers focus on long-term strategic financial planning rather than on day-to-day operations of the property. When deciding to acquire property, real estate asset managers take several factors into consideration, such as property values, taxes, zoning, population growth, transportation, and traffic volume and patterns. Once a site is selected, they negotiate contracts for the purchase or lease of the property, securing the most beneficial terms. Real estate asset managers periodically review their company’s real estate holdings and identify properties that are no longer financially profitable. They then negotiate the sale or termination of the lease of such properties. (For more information, see the statement on real estate brokers and sales agents, located elsewhere in the Hand­ book.) Property and real estate managers who work for homebuilders, real estate developers, and land development companies acquire land and plan construction of shopping centers, houses, apartments, office buildings, or industrial parks. They negotiate with represen­ tatives of local governments, other businesses, community and public  78 Occupational Outlook Handbook  interest groups, and public utilities to eliminate obstacles to the development of land and to gain support for a planned project. It sometimes takes years to win approval for a project and, in the pro­ cess, managers may have to modify plans for the project many times. Once cleared to proceed with a project, managers may help to ne­ gotiate short-term loans to finance the construction of the project, and later negotiate long-term permanent mortgage loans. They then help choose, assist, and advise the architectural firms that draw up detailed plans and the construction companies that build the project. In many respects, the work of community association managers parallels that of property managers. They collect monthly assess­ ments, prepare financial statements and budgets, negotiate with contractors, and help resolve complaints. In other respects, how­ ever, the work of community association managers differs from that of other residential property and real estate managers. They inter­ act on a daily basis with homeowners and other residents, rather than with renters. Hired by the volunteer board of directors of the association, community association managers administer the daily affairs, and oversee the maintenance of property and facilities that the homeowners own and use jointly through the association. They also assist the board and owners in complying with association and government rules and regulations. Some associations encompass thousands of homes and employ their own onsite staff and managers. In addition to administering the associations’ financial records and budget, managers may be responsible for the operation of community pools, golf courses, and  ■if V--.  Property, real estate, and community association managers are  Digitizedresponsible for FRASER for landscaping and parking areas. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  community centers, and for the maintenance of landscaping and parking areas. Community association managers also may meet with the elected boards of directors to discuss and resolve legal issues or disputes between neighbors, as well as to review any pro­ posed changes or improvements by homeowners to their proper­ ties, to make sure they fit within community guidelines. Working Conditions Offices of most property, real estate, and community association managers are clean, modem, and well-lighted. However, many man­ agers spend a major portion of their time away from their desks. Onsite managers, in particular, may spend a large portion of their workday away from their office, visiting the building engineer, show­ ing apartments, checking on the janitorial and maintenance staff, or investigating problems reported by tenants. Property and real es­ tate managers frequently visit the properties they oversee, some­ times on a daily basis when contractors are doing major repair or renovation work. Real estate asset managers may spend time away from home while traveling to company real estate holdings or search­ ing for properties to acquire. Property, real estate, and community association managers often must attend meetings in the evening with residents, property own­ ers, community association boards of directors, or civic groups. Not surprisingly, many managers put in long workweeks, especially be­ fore financial and tax reports are due. Some apartment managers are required to live in apartment complexes where they work so that they are available to handle any emergency that occurs, even when they are off duty. They usually receive compensatory time off for working nights or weekends. Many apartment managers receive time off during the week so that they are available on weekends to show apartments to prospective residents. Employment Property, real estate, and community association managers held about 270,000 jobs in 2000. Two of every 5 worked for real estate agents and managers, real estate operators and lessors, or property man­ agement firms. Others worked for real estate development compa­ nies, government agencies that manage public buildings, and corporations with extensive holdings of commercial properties. Forty-eight percent of property and real estate managers were selfemployed, compared with only 8 percent for all workers combined. Training, Other Qualifications, and Advancement Most employers prefer to hire college graduates for property man­ agement positions. Entrants with degrees in business administra­ tion, accounting, finance, real estate, public administration, or related fields are preferred, but those with degrees in the liberal arts also may qualify. Good speaking, writing, computer, and financial skills, as well as an ability to tactfully deal with people, are essential in all areas of property management. Many people enter property management as onsite managers of apartment buildings, office complexes, or community associations, or as employees of property management firms or community asso­ ciation management companies. As they acquire experience work­ ing under the direction of a property manager, they may advance to positions with greater responsibility at larger properties. Those who excel as onsite managers often transfer to assistant property man­ ager positions in which they can acquire experience handling a broad range of property management responsibilities. Previous employment as a real estate sales agent may be an asset to onsite managers because it provides experience useful in show­ ing apartments or office space. In the past, those with backgrounds in building maintenance have advanced to onsite manager positions on the strength of their knowledge of building mechanical systems,  Management and Business and Financial Operations Occupations 79  but this is becoming less common as employers place greater empha­ sis on administrative, financial, and communication abilities for managerial jobs. Although many people entering jobs such as assistant property manager do so by having previously gained onsite management experience, employers increasingly hire inexperienced college gradu­ ates with bachelor’s or master’s degrees in business administration, accounting, finance, or real estate for these positions. Assistants work closely with a property manager and learn how to prepare budgets, analyze insurance coverage and risk options, market prop­ erty to prospective tenants, and collect overdue rent payments. In time, many assistants advance to property manager positions. The responsibilities and compensation of property, real estate, and community association managers increase as they manage more and larger properties. Most property managers are responsible for several properties at a time. As their careers advance, they gradu­ ally are entrusted with larger properties whose management is more complex. Many specialize in the management of one type of prop­ erty, such as apartments, office buildings, condominiums, coopera­ tives, homeowner associations, or retail properties. Managers who excel at marketing properties to tenants may specialize in managing new properties, while those who are particularly knowledgeable about buildings and their mechanical systems might specialize in the management of older properties requiring renovation or more frequent repairs. Some experienced managers open their own prop­ erty management firms. Persons most commonly enter real estate asset manager jobs by transferring from positions as property managers or real estate bro­ kers. Real estate asset managers must be good negotiators, adept at persuading and handling people, and good at analyzing data in or­ der to assess the fair market value of property or its development potential. Resourcefulness and creativity in arranging financing are essential for managers who specialize in land development. Many employers encourage attendance at short-term formal train­ ing programs conducted by various professional and trade associa­ tions active in the real estate field. Employers send managers to these programs to improve their management skills and expand their knowledge of specialized subjects, such as the operation and main­ tenance of building mechanical systems, enhancement of property values, insurance and risk management, personnel management, busi­ ness and real estate law, community association risks and liabilities, tenant relations, communications, and accounting and financial con­ cepts. Managers also participate in these programs to prepare them­ selves for positions of greater responsibility in property management. Completion of these programs, related job experience, and a satis­ factory score on a written examination lead to certification, or the formal award of a professional designation, by the sponsoring asso­ ciation. (Some organizations offering such programs are listed at the end of this statement.) In addition to these qualifications, some asso­ ciations require their members to adhere to a specific code of ethics. In some States, community association managers must be licensed. Managers of public housing subsidized by the Federal Govern­ ment are required to be certified, but many property, real estate, and community association managers, who work with all types of property, choose to earn a professional designation voluntarily be­ cause it represents formal industry recognition of their achieve­ ments and status in the occupation. Real estate asset managers who buy or sell property are required to be licensed by the State in which they practice. Job Outlook Employment of property, real estate, and community association managers is projected to increase faster than the average for all oc­ Digitizedcupations for FRASER through the year 2010. Many job openings are expected https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  to occur as managers transfer to other occupations or leave the la­ bor force. Opportunities should be best for those with a college degree in business administration, real estate, or a related field, and for those who attain a professional designation. Job growth among onsite property managers in commercial real estate is expected to accompany the projected expansion in several industry groups: Wholesale and retail trade; finance, insurance, and real estate; and services. Additional employment growth will stem from expansion of existing buildings. An increase in the Nation’s stock of apartments, houses, and offices also should require more property managers. Developments of new homes increasingly are being organized with community or homeowner associations that provide community services and over­ see jointly owned common areas, requiring professional manage­ ment. To help properties become more profitable or to enhance the resale values of homes, more commercial and residential property owners are expected to place their investments in the hands of pro­ fessional managers. The changing demographic composition of the population also should create more jobs for property, real estate, and community association managers. The number of older people will grow dur­ ing the 2000-10 projection period, increasing the need for various types of suitable housing, such as assisted-living facilities and re­ tirement communities. Accordingly, there will be demand for prop­ erty and real estate managers to operate these facilities, and especially for those who have a background in the operation and administra­ tive aspects of running a health unit. Earnings Median annual earnings of salaried property, real estate, and com­ munity association managers were $36,020 in 2000. The middle 50 percent earned between $24,100 and $53,780 a year. The low­ est 10 percent earned less than $16,720, and the highest 10 percent earned more than $80,360 a year. Median annual earnings of sala­ ried property, real estate, and community association managers in 2000 were as follows: Local government................................................................................. Real estate agents and managers....................................................... Real estate operators and lessors.......................................................  $50,410 36,070 30,150  Many resident apartment managers and onsite association man­ agers receive the use of an apartment as part of their compensation package. Managers often are reimbursed for the use of their per­ sonal vehicles, and managers employed in land development often receive a small percentage of ownership in the projects they develop. According to a survey conducted by the Community Associa­ tion Institute, the median annual salary for community managers was $42,000 in 2000, with the middle 50 percent earning between $34,000 and $55,000 a year. For assistant community managers, the median annual salary was $30,000, with the middle 50 percent earning between $25,000 and $38,000 a year. Related Occupations Property, real estate, and community association managers plan, or­ ganize, staff, and manage the real estate operations of businesses. Workers who perform similar functions in other fields include ad­ ministrative services managers, education administrators, food ser­ vice managers, lodging managers, medical and health services managers, real estate brokers and sales agents, and urban and re­ gional planners. Sources of Additional Information General information about education and careers in property man­ agement is available from:  80 Occupational Outlook Handbook >- Institute of Real Estate Management, 430 N. Michigan Ave., Chicago,  IL 60611. Internet: http://www.irem.org For information on careers and certification programs in com­ mercial property management, contact: >■ Building Owners and Managers Institute, 1521 Ritchie Hwy., Arnold, MD 21012. Internet: http://www.bomi-edu.org  For information on careers and professional designation and cer­ tification programs in residential property and community associa­ tion management, contact: ► Community Associations Institute, 225 Reinekers Ln., Suite 300, Alex­ andria, VA 22314. Internet: http://www.eaionline.org ► National Board of Certification for Community Association Managers, P.O. Box 25037, Alexandria, VA22313. Internet: http://www.nbccam.org  Purchasing Managers, Buyers, and Purchasing Agents______ ______ (0**NET 11-3061.00, 13-1021.00, 13-1022.00, 13-1023.00)  Significant Points • •  •  More than half were employed in wholesale trade or manufacturing establishments. Some firms promote qualified employees to these positions, while other employers recruit college graduates; regardless of academic preparation, new employees must learn the specifics of their employers’ business. Overall employment is expected to experience little or no change due to productivity improvements brought about by the increasing use of computers and the Internet; however, employment will vary by occupational specialty.  Nature of the Work Purchasing managers, buyers, and purchasing agents seek to obtain the highest quality merchandise at the lowest possible purchase cost for their employers. In general, purchasers buy goods and services for their company or organization, whereas buyers typically buy items for resale. Purchasers and buyers determine which commodi­ ties or services are best, choose the suppliers of the product or ser­ vice, negotiate the lowest price, and award contracts that ensure that the correct amount of the product or service is received at the appropriate time. In order to accomplish these tasks successfully, purchasing managers, buyers, and purchasing agents study sales records and inventory levels of current stock, identify foreign and domestic suppliers, and keep abreast of changes affecting both the supply of and demand for needed products and materials. Purchasing managers, buyers, and purchasing agents evaluate suppliers based upon price, quality, service support, availability, re­ liability, and selection. To assist them in their search, they review catalogs, industry and company publications, directories, and trade journals. Much of this information is now available on the Internet. They research the reputation and history of the suppliers and may advertise anticipated purchase actions in order to solicit bids. At meetings, trade shows, conferences, and suppliers’ plants and dis­ tribution centers, they examine products and services, assess a supplier’s production and distribution capabilities, and discuss other technical and business considerations that influence the purchasing decision. Once all the necessary information on suppliers is gath­ Digitizedered, for FRASER orders are placed and contracts are awarded to those suppliers https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  who meet the purchasers’ needs. Contracts often are for several years and may stipulate the price or a narrow range of prices, allow­ ing purchasers to reorder as necessary. Other specific job duties and responsibilities vary by employer and by the type of commodi­ ties or services to be purchased. Purchasing specialists employed by government agencies or manufacturing firms usually are called purchasing directors, man­ agers, or agents; buyers or industrial buyers; or contract specialists. These workers acquire materials, parts, machines, supplies, services, and other materials used in the production of a final product. Some purchasing managers specialize in negotiating and supervising sup­ ply contracts and are called contract or supply managers. Purchas­ ing agents and managers obtain items ranging from raw materials, fabricated parts, machinery, and office supplies to construction ser­ vices and airline tickets. The flow of work—or even the entire production process—can be slowed or halted if the right materials, supplies, or equipment are not on hand when needed. To be effec­ tive, purchasing specialists must have a working technical knowl­ edge of the goods or services to be purchased. In large industrial organizations, a distinction often is drawn be­ tween the work of a buyer or purchasing agent and that of a pur­ chasing manager. Purchasing agents and buyers commonly focus on routine purchasing tasks, often specializing in a commodity or group of related commodities, such as steel, lumber, cotton, grains, fabricated metal products, or petroleum products. Purchasing agents usually track market conditions, price trends, or futures markets. Purchasing managers usually handle the more complex or critical purchases and may supervise a group of purchasing agents han­ dling other goods and services. Whether a person is titled purchas­ ing manager, buyer, or purchasing agent depends more on specific industry and employer practices than on specific job duties. Changing business practices have altered the traditional roles of purchasing or supply management specialists in many industries. For example, manufacturing companies increasingly involve pur­ chasing workers at most stages of product development because of their ability to forecast a part’s or material’s cost, availability, and suitability for its intended purpose. Furthermore, potential prob­ lems with the supply of materials may be avoided by consulting the purchasing department in the early stages of product design. Businesses also might enter into integrated supply contracts. These contracts increase the importance of supplier selection be­ cause agreements are larger in scope and longer in duration. Inte­ grated supply incorporates all members of the supply chain including the supplier, transportation companies, and the retailer. A major responsibility of most purchasers is to work out problems that may occur with a supplier because the success of the relationship affects the buying firm’s performance. Purchasing specialists often work closely with other employees in their own organization when deciding on purchases, an arrange­ ment sometimes called team buying. For example, they may dis­ cuss the design of custom-made products with company design engineers, quality problems in purchased goods with quality assur­ ance engineers and production supervisors, or shipment problems with managers in the receiving department before submitting an order. Contract specialists and managers in various levels of govern­ ment award contracts for an array of items, including office and building supplies, services for the public, and construction projects. For example, they may oversee the contract for cleaning services of a government office building to verify that the work is being done on schedule and on budget, even though the cleaners are not gov­ ernment employees. They may use sealed bids to award contracts, but usually establish negotiated agreements for complex items. Often, purchasing specialists in government place solicitations for  Management and Business and Financial Operations Occupations 81  services and accept bids and offers through the Internet. Govern­ ment purchasing agents and managers must follow strict laws and regulations in their work to avoid any appearance of impropriety. These legal requirements are occasionally changed, so agents and contract specialists must stay informed about the latest regulations. Other purchasing specialists, who buy finished goods for resale, are employed by wholesale and retail establishments where they commonly are known as buyers or merchandise managers. Whole­ sale and retail buyers are an integral part of a complex system of distribution and merchandising that caters to the vast array of con­ sumer needs and desires. Wholesale buyers purchase goods di­ rectly from manufacturers or from other wholesale firms for resale to retail firms, commercial establishments, institutions, and other organizations. In retail firms, buyers purchase goods from whole­ sale firms or directly from manufacturers for resale to the public. Buyers largely determine which products their establishment will sell. Therefore, it is essential that they have the ability to accurately predict what will appeal to consumers. They must constantly stay informed of the latest trends because failure to do so could jeopar­ dize profits and the reputation of their company. Buyers also fol­ low ads in newspapers and other media to check competitors’ sales activities and watch general economic conditions to anticipate con­ sumer buying patterns. Buyers working for large and medium-sized firms usually specialize in acquiring one or two lines of merchan­ dise, whereas buyers working for small stores may purchase their complete inventory. The use of private-label merchandise and the consolidation of buying departments have increased the responsibilities of retail buy­ ers. Private-label merchandise, produced for a particular retailer, requires buyers to work closely with vendors to develop and obtain the desired product. The downsizing and consolidation of buying departments increases the demands placed on buyers because, al­ though the amount of work remains unchanged, there are fewer people to accomplish it. The result is an increase in the workloads and levels of responsibility. Many merchandise managers assist in the planning and imple­ mentation of sales promotion programs. Working with merchan­ dise executives, they determine the nature of the sale and purchase accordingly. They may work with advertising personnel to create an ad campaign. For example, they may determine in which media the advertisement will be placed—newspapers, direct mail, televi­ sion, or some combination of these. In addition, merchandise man­ agers often visit the selling floor to ensure that the goods are properly displayed. Often, assistant buyers are responsible for placing or­ ders and checking shipments. Computers continue to have a major effect on the jobs of pur­ chasing managers, buyers, and purchasing agents. In manufacturing and service industries, computers handle most of the routine tasks, enabling purchasing workers to concentrate mainly on the analytical and qualitative aspects of the job. Computers are used to obtain instant and accurate product and price listings, to track inventory levels, to process orders, and to help determine when to make pur­ chases. Computers also maintain lists of bids and offers, record the history of supplier performance, and issue purchase orders. Computerized systems have dramatically simplified many of the acquisition functions and improved the efficiency of determin­ ing which products are selling. For example, cash registers con­ nected to computers, known as point-of-sale terminals, allow organizations to maintain instant access to current sales and inven­ tory records. This information can then be used to produce sales reports that reflect customer buying habits. The ability to quickly know which products or combination of products are selling well provides powerful data that buyers and supply managers can use to  increase sales and reduce costs. Buyers can gain instant access to https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Reviewing contract bids is an important task for purchasing managers, buyers, and purchasing agents.  the specifications for thousands of commodities, inventory records, and their customers’ purchase records to avoid overpaying for goods and to avoid shortages of popular goods or surpluses of goods that do not sell as well. Firms are linked with manufacturers and whole­ salers by electronic purchasing systems, the Internet, or extranets. These systems improve the speed for selection, customization, and ordering, and they provide information on availability and ship­ ment—allowing buyers to better concentrate on the selection of goods and suppliers. Working Conditions Most purchasing managers, buyers, and purchasing agents work in comfortable, well-lighted offices. They frequently work more than the standard 40-hour week because of special sales, conferences, or production deadlines. Evening and weekend work also is common. For those working in retail trade, this is especially true prior to holi­ day and back-to-school seasons. Consequently, many retail firms discourage the use of vacation time during peak periods.  Buyers and merchandise managers often work under great pres­ sure. Because wholesale and retail stores are so competitive, buy­ ers need physical stamina to keep up with the fast-paced nature of their work. Many purchasing managers, buyers, and purchasing agents travel at least several days a month. Purchasers for worldwide manufac­ turing companies and large retailers, and buyers of high fashion, may travel outside the United States. Employment Purchasing managers, buyers, and purchasing agents held about 536,000 jobs in 2000. More than one-half worked in wholesale trade or manufacturing establishments such as distribution centers or factories, and another one-sixth worked in retail trade establish­ ments such as grocery or department stores. The remainder worked mostly in service establishments or different levels of government. A small number were self-employed. The following tabulation shows the distribution of employment by occupational specialty: Purchasing agents, except wholesale, retail, and farm products. 237,000 Wholesale and retail buyers, except farm products....................... 148,000 Purchasing managers............................................................................ 132,000 Purchasing agents and buyers, farm products................................ 20,000  82 Occupational Outlook Handbook  Training, Other Qualifications, and Advancement Qualified persons may begin as trainees, purchasing clerks, expe­ diters, junior buyers, or assistant buyers. Retail and wholesale firms prefer to hire applicants who have a college degree, and are familiar with the merchandise they sell and with wholesaling and retailing practices. Some retail firms promote qualified employ­ ees to assistant buyer positions; others recruit and train college graduates as assistant buyers. Most employers use a combination of methods. Educational requirements tend to vary with the size of the organization. Large stores and distributors, especially those in wholesale and retail trade, prefer applicants who have completed a bachelor’s degree program with a business emphasis. Many manu­ facturing firms put a greater emphasis on formal training. They prefer applicants with a bachelor’s or master’s degree in engi­ neering, business, economics, or one of the applied sciences. Regardless of academic preparation, new employees must learn the specifics of their employers’ business. Training periods vary in length, with most lasting 1 to 5 years. In wholesale and retail estab­ lishments, most trainees begin by selling merchandise, supervising sales workers, checking invoices on material received, and keeping track of stock. As they progress, retail trainees are given increased buying-related responsibilities. In manufacturing, new purchasing employees often are enrolled in company training programs and spend a considerable amount of time learning about company operations and purchasing practices. They work with experienced purchasers to learn about commodi­ ties, prices, suppliers, and markets. In addition, they may be as­ signed to the production planning department to learn about the material requirements system and the inventory system the com­ pany uses to keep production and replenishment functions working smoothly. Purchasing managers, buyers, and purchasing agents must know how to use word processing as well as spreadsheet software and the Internet. Other important qualities include the ability to analyze technical data in suppliers’ proposals; good communication, nego­ tiation, and mathematical skills; knowledge of supply-chain man­ agement; and the ability to perform financial analyses. Persons who wish to become wholesale or retail buyers should be good at planning and decision making and have an interest in merchandising. Anticipating consumer preferences and en­ suring that goods are in stock when they are needed require resourcefulness, good judgment, and self-confidence. Buyers must be able to quickly make decisions and to take risks. Marketing skills and the ability to identify products that will sell also are very impor­ tant. Employers often look for leadership ability because buyers spend a large portion of their time supervising assistant buyers and dealing with manufacturers’ representatives and store executives. Experienced buyers may advance by moving to a department that manages a larger volume or by becoming a merchandise manager. Others may go to work in sales for a manufacturer or wholesaler. An experienced purchasing agent or buyer may become an as­ sistant purchasing manager in charge of a group of purchasing pro­ fessionals before advancing to purchasing manager, supply manager, or director of materials management. At the top levels, duties may overlap with other management functions such as production, plan­ ning, logistics, and marketing. Regardless of industry, continuing education is essential for advancement. Many purchasers participate in seminars offered by professional societies and take college courses in supply management. Professional certification is increasingly important. In private industry, recognized marks of experience and profes­ Digitizedsional for FRASER competence are the Accredited Purchasing Practitioner (APP) https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  and Certified Purchasing Manager (CPM) designations, conferred by the Institute for Supply Management, and the Certified Purchas­ ing Professional (CPP) designation and the Certified Professional Purchasing Manager (CPPM), conferred by the American Purchas­ ing Society. In Federal, State, and local government, the indica­ tions of professional competence are Certified Professional Public Buyer (CPPB) and Certified Public Purchasing Officer (CPPO), conferred by the National Institute of Governmental Purchasing. Most of these certifications are awarded only after work-related experience and education requirements are met, and written or oral exams are successfully completed. Job Outlook Overall employment of purchasing managers, buyers, and purchas­ ing agents is expected to experience little or no change through the year 2010. Demand for these workers will not keep up with the rising level of economic activity because the increasing use of com­ puters has allowed the paperwork involved in ordering and procur­ ing supplies to be eliminated, reducing the demand for lower level buyers who perform these duties and for the managers who super­ vise them. In addition, the increased use of credit cards by some employees to purchase supplies without using the services of the procurement or purchasing office, combined with the growing num­ ber of buys being made electronically, will restrict demand for pur­ chasing agents. Despite little or no change in employment, some job openings will result from the need to replace workers who trans­ fer to other occupations or leave the labor force. Projected employment varies by occupational specialty. Em­ ployment of purchasing managers is expected to decline through 2010. The use of the Internet to conduct electronic commerce has made information easier to obtain, thus increasing the productivity of purchasing managers. The Internet also allows both large and small companies to bid on contracts. Exclusive supply contracts and long-term contracting have allowed companies to negotiate with fewer suppliers less frequently, further reducing demand for pur­ chasing managers. Employment of wholesale and retail buyers, except farm prod­ ucts, also is projected to decline. In retail trade, mergers and acqui­ sitions have forced the consolidation of buying departments, hence eliminating jobs. In addition, larger retail stores are removing their buying departments from geographic markets and centralizing them at their headquarters, thus eliminating more jobs. Employment of purchasing agents, except wholesale, retail, and farm products, is expected to increase about as fast as the average for all occupations through 2010. Despite the greater use of elec­ tronic transactions, purchases of complex equipment is more diffi­ cult to automate, or transact electronically. Employment of purchasing agents and buyers, farm products, also is projected to increase about as fast as the average for all occupations, as the more technical nature of farm products limits the ease of making pur­ chases electronically. Persons who have a bachelor’s degree in business should have the best chance of obtaining a buyer job in wholesale or retail trade or within government. A bachelor’s degree, combined with indus­ try experience and knowledge of a technical field, will be an advan­ tage for those interested in working for a manufacturing or industrial company. Government agencies and larger companies usually re­ quire a master’s degree in business or public administration for toplevel purchasing positions. Earnings Median annual earnings of purchasing managers were $53,030 in 2000. The middle 50 percent earned between $38,770 and $71,480  Management and Business and Financial Operations Occupations 83  a year. The lowest 10 percent earned less than $29,100, and the highest 10 percent earned more than $93,040 a year. Median annual earnings for purchasing agents and buyers, farm products were $37,560 in 2000. The middle 50 percent earned be­ tween $29,150 and $52,600 a year. The lowest 10 percent earned less than $21,550, and the highest 10 percent earned more than $80,320 a year. Median annual earnings for wholesale and retail buyers, except farm products were $37,200 in 2000. The middle 50 percent earned between $27,480 and $51,560 a year. The lowest 10 percent earned less than $21,570, and the highest 10 percent earned more than $70,750 a year. Median annual earnings in the industries employ­ ing the largest numbers of wholesale and retail buyers, except farm products in 2000 were as follows: Groceries and related products........................................................... Electrical goods..................................................................................... Machinery, equipment, and supplies................................................ Miscellaneous shopping goods stores.............................................. Grocery stores.........................................................................................  $53 010 49,430 40,880 40 330 32’goo  Purchasing managers, buyers, and purchasing agents receive the same benefits package as other workers, including vacations, sick leave, life and health insurance, and pension plans. In addition to standard benefits, retail buyers often earn cash bonuses based on their performance and may receive discounts on merchandise bought from their employer.  Related Occupations Workers in other occupations who need a knowledge of marketing and the ability to assess consumer demand include advertising, mar­ keting, promotions, public relations, and sales managers; insurance sales agents; material recording, scheduling, dispatching, and dis­ tributing occupations, except postal workers; sales engineers; and sales representatives, wholesale and manufacturing.  Sources of Additional Information Further information about education, training, employment, and cer­ tification for purchasing careers is available from: ► American Purchasing Society, North Island Center, Suite 203, 8 East Galena Blvd., Aurora, IL 60506. Internet: http://www.american-purchasing.com >- Institute for Supply Management, P.O. Box 22160, Tempe, AZ 85285­ 2160. Internet: http://www.napm.org ► National Institute of Governmental Purchasing, Inc., 151 Spring St., Suite 300, Herndon, VA 20170-5223. Internet: http://www.nigp.org   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  (0*NET 13-2081.00)  Significant Points •  Tax examiners, collectors, and revenue agents work for Federal, State, and local governments.  •  Long hours may be required during income tax season, from January to April.  •  A bachelor’s degree in accounting is becoming the standard source of training for tax examiners, although some prospective workers may be able to enter the occupation with only a high school diploma and a few months of general work experience.  •  Employment is expected to grow more slowly than the average for all occupations.  $41,020 38 220 35,170 33,730 29 650  Median annual earnings for purchasing agents, except whole­ sale, retail, and farm products were $41,370 in 2000. The middle 50 percent earned between $32,050 and $53,830 a year. The low­ est 10 percent earned less than $25,650, and the highest 10 percent earned more than $67,980 a year. Median annual earnings in the industries employing the largest numbers of purchasing agents, ex­ cept wholesale, retail, and farm products in 2000 were as follows: Federal Government............................................................................. Aircraft and parts .................................................................................. Electronic components and accessories........................................... Local government.................................................................................. Hospitals..................................................................................................  Tax Examiners, Collectors, and Revenue Agents  Nature of the Work Taxes are one of the certainties of life. And, as long as govern­ ments collect taxes, there will be jobs for tax examiners, collectors, and revenue agents. These workers ensure that governments obtain revenues from businesses and citizens by reviewing tax returns, conducting audits, identifying taxes payable, and collecting over­ due tax dollars. The work of tax examiners is similar at the Federal, State, and local government levels. They review filed tax returns for accuracy and determine whether tax credits and deductions are allowed by law. Because many States assess individual income taxes based on the taxpayer’s reported Federal adjusted gross income, tax examin­ ers working for the Federal Government report to the States any adjustments or corrections they make. State tax examiners then determine whether the adjustments affect the taxpayer’s State tax liability. At the local level, tax examiners often have additional duties, but an integral part of the work still includes the need to determine the factual basis for claims for refunds. Tax examiners usually deal with the simplest tax returns—those filed by individual taxpayers with few deductions or those filed by small businesses. At the entry level, many tax examiners perform clerical duties, such as reviewing tax returns and entering them into a computer system for processing. If there is a problem, tax exam­ iners may contact the taxpayer to resolve the problem. Tax examiners also review returns for accuracy, checking tax­ payers’ math and making sure the amounts they report match those reported from other sources, such as employers and banks. In ad­ dition, they verify that social security numbers match names and that taxpayers have correctly interpreted the instructions on the tax forms. Much of a tax examiner’s job involves making sure that tax credits and deductions claimed by taxpayers are legitimate. Tax examiners contact the taxpayer by mail or telephone to address discrepancies and request supporting documentation. They may notify the tax­ payer of any overpayment or underpayment and either issue a re­ fund or request further payment. If a taxpayer owes additional taxes, tax examiners adjust the total amount by assessing fees, interest, and penalties and notify the taxpayer of the total liability. Although most tax examiners deal with uncomplicated returns, some may work in more complex tax areas such as pensions or business net-operat­ ing losses.  84 Occupational Outlook Handbook  Revenue agents specialize in tax-related accounting work for the U.S. Internal Revenue Service (IRS) and for equivalent agen­ cies at the State and local government levels. Similar to tax exam­ iners, they audit returns for accuracy. However, revenue agents handle complicated income, sales, and excise tax returns of busi­ nesses and large corporations. As a result, their work differs in a number of ways from that of tax examiners. Entry-level revenue agents at the Federal level usually audit tax returns of small businesses whose market specializations are simi­ lar. As they develop expertise in an industry, such as construction, retail sales, or finance, insurance, and real estate, revenue agents work with tax returns of larger corporations. Many experienced revenue agents specialize; for example, they may focus exclusively on multinational businesses. But all rev­ enue agents working for the Federal Government must keep abreast of the lengthy, complex, and frequently changing tax code. Com­ puter technology has simplified the research process, allowing rev­ enue agents Internet access to relevant legal bulletins, IRS notices, and tax-related court decisions. At the State level, revenue agents have duties similar to those of their counterparts in the Federal Government. State revenue agents use revenue adjustment reports forwarded by the IRS to determine whether adjustments made by Federal revenue agents affect a taxpayer’s taxable income in the eyes of the States. In addition, State agents factor in the sales and income taxes for their own States. At the local level, revenue agents have varying titles and duties, but they still perform field audits or office audits of financial records for business firms. In some cases, local revenue agents also exam­ ine financial records of individuals. These local agents, like their State counterparts, rely on the information contained in Federal tax returns. However, local agents also must be knowledgeable enough to apply local tax laws regarding income, utility fees, or school taxes. Collectors, also called revenue officers in the IRS, deal with de­ linquent accounts. The process of collecting on a delinquent ac­ count starts with the revenue agent or tax examiner sending a report to the taxpayer. If the latter makes no effort to resolve the delin­ quent account, the case is assigned to a collector. When a collector takes a case, he or she first sends the taxpayer a notice. The collec­ tor then works with the taxpayer on how to settle the debt. In cases in which taxpayers fail to file a tax return, Federal col­ lectors may request that the IRS prepare the return on a taxpayer’s behalf. In other instances, collectors are responsible for verifying claims that delinquent taxpayers cannot pay their taxes. They investi­ gate these claims by researching court information for the status of liens, mortgages, or financial statements; locating assets through third parties, such as neighbors or local Departments of Motor Vehicles; and requesting legal summonses for other records. Ulti­ mately, collectors must decide whether the IRS should take a lien, or a claim on an asset—such as a bank account, real estate, or an automobile—to settle a debt. Collectors also have the discretion to garnish wages in order to collect on owed taxes. A big part of a collector’s job at the Federal level is imposing and following up on delinquent taxpayers’ payment deadlines. For each case file, collectors also must maintain records including con­ tacts, telephone numbers, and actions taken. Like tax examiners and revenue agents, collectors use comput­ ers to maintain files. Computer technology also gives collectors data access to help them identify high-risk debtors—those who are unlikely to pay or are likely to flee. Collectors at the IRS usually work independently. However, they call on experts when tax examiners or revenue agents find fraudulent returns, or when a property seizure will involve complex  legal steps. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  A tax collector’s primary responsibility involves imposing and following up on delinquent taxpayers’ payment deadlines.  At the State level, collectors decide whether to take action on the basis of their own States’ tax returns. Collection work may be handled over the telephone or be turned over to a collector who specializes in obtaining settlements. These collectors contact people directly and have authority to issue subpoenas and request seizures of property. At the local levels, collectors have less power than their State and Federal counterparts. Although they can start the processes leading to seizure of property and garnishment of wages, they must go through the local court system. Working Conditions Tax examiners, collectors, and revenue agents generally work a 40hour week, although some overtime might be needed during the tax season. State and local tax examiners, who also may review sales, gasoline, and cigarette taxes, may have a steadier workload yearround. Stress may result from the need to work under a deadline in checking returns and evaluating taxpayer claims. Collectors also must face the unpleasant task of confronting delinquent taxpayers. Tax examiners, collectors, and revenue agents work in clean, well-lighted offices either in cubicles or desks. Sometimes travel is necessary. Revenue agents at both the Federal and State levels spend a significant portion of their time in the offices of private firms accessing tax-related records. Some agents may be permanently stationed in the offices of large corporations with complicated tax structures. Agents at the local level usually work in city halls or  Management and Business and Financial Operations Occupations 85  municipal buildings. Collectors travel to local courthouses; county and municipal seats of government; businesses; and taxpayers’ homes to look up records, search for assets, and settle delinquent accounts. Employment In 2000, tax examiners, revenue agents, and collectors held about 79,000 jobs at all levels of government. Half worked for the Fed­ eral Government; 1 in 3 worked for State governments; and about 1 in 6 worked for local governments. Among those in the IRS, tax examiners and revenue agents predominate because of the need to examine or audit all tax returns. Collectors make up a smaller pro­ portion, because most disputed tax liabilities do not require enforced collection. Training, Other Qualifications, and Advancement Tax examiners, collectors, and revenue agents work with confiden­ tial financial and personal information; therefore, trustworthiness is crucial for maintaining confidentiality for individuals and busi­ nesses. Applicants for Federal Government jobs must submit to a background investigation. Tax examiners must be able to understand fundamental tax regu­ lations and procedures, pay attention to detail, and cope well with deadlines. A bachelor’s degree in accounting is becoming the stan­ dard source of training for tax examiners, although some prospec­ tive workers may be able to enter the occupation with only a high school diploma and a few months of general work experience. For more advanced entry-level positions, applicants must have a bachelor’s degree; demonstrate some specialized experience work­ ing with tax records, tax laws and regulations, documents, financial accounts, or similar records; or have some combination of posthigh school education and specialized experience. After they are hired, tax examiners receive some formal training. Additionally, annual employer-provided updates keep tax examiners current with changes in procedures or regulations. Revenue agents need strong analytical, organizational, and time management skills. They also must be able to work independently because they spend so much time away from their home office, and must keep current with changes in the tax code and laws. Revenue agents handle complex tax returns, so the usual minimum educa­ tional requirement for revenue agent positions is a bachelor’s de­ gree with at least 30 credits in accounting; or 24 credits in accounting plus 6 hours of business law, economics, financial management, or statistics; or a Certified Public Accountant (CPA) certificate. Although difficult, it also is possible to qualify for entry-level rev­ enue agent jobs with some combination of experience and educa­ tion. Newly hired revenue agents expand their accounting knowledge and remain up to date by consulting auditing manuals and other sources for detailed information about individual indus­ tries. Additionally, employers continually offer training in new auditing techniques and tax-related issues and court decisions. Collectors need good interpersonal and communication skills because they deal directly with the public and because their reports are scrutinized when the IRS must legally justify attempts to seize assets. They also must be able to act independently and to exercise good judgment for deciding when and how to collect a debt. Ap­ plicants for collector jobs need experience demonstrating knowl­ edge and understanding of business and financial practices or knowledge of credit operations and practices related to the collec­ tion of delinquent accounts. They also may qualify with a bachelor’s degree or CPA certificate. Entry-level collectors receive formal and on-the-job training under an instructor’s guidance before working independently. Col­ Digitizedlectors for FRASER usually complete initial training by the end of their second https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  year of service but may receive advanced technical instruction as they gain seniority and take on more difficult cases. Also, collec­ tors are encouraged to continue their professional education by at­ tending meetings to exchange information about how changes in tax laws affect collection methods. Advancement potential within Federal, State, and local agen­ cies varies for tax examiners, revenue agents, and collectors. For related jobs outside the government, experienced workers can take a licensing exam administered by the Federal Government to be­ come enrolled agents—nongovernment tax professionals authorized to represent taxpayers before the IRS. Tax examiners’ duties expand with experience and training to include reviewing more difficult tax returns and making more deci­ sions independently. Formal education beyond high school is not required for advancement, but a bachelor’s degree helps. Collegelevel training in accounting affords the most possibilities, includ­ ing moving into revenue agent positions. As revenue agents gain experience, they may specialize in an industry, work with larger corporations, and cover increasingly com­ plex tax returns. Many revenue agents also specialize in criminal investigations, auditing the books of known or suspected criminals such as drug dealers or money launderers; some agents work with grand juries to help secure indictments. Others become interna­ tional agents, assessing taxes on companies with subsidiaries abroad. Collectors who demonstrate leadership skills and a thorough knowledge of collection activities may advance to supervisory or managerial collector positions, in which they oversee the activities of other collectors. It is only these higher supervisors and manag­ ers who may authorize the more serious actions against individuals and businesses. Additionally, the more complex collection attempts, which usually are directed at larger businesses, are reserved for col­ lectors at these higher levels. Job Outlook Employment of tax examiners, collectors, and revenue agents is projected to grow more slowly than the average for all occupations between 2000 and 2010. Opportunities at the Federal level will arise from the relaxing of budget constraints imposed on the IRS, the primary employer of these workers. Also, labor force growth during the 2000-10 projection period will mean more taxpayers— and therefore, more tax returns. Dampening these effects, how­ ever, is a decrease in the proportion of tax returns selected for audit and collection. As taxpayers increasingly file their tax returns elec­ tronically, computers can examine a larger number of returns. Be­ cause much of the work done by IRS tax examiners and revenue agents is now computerized, productivity has increased, leading to smaller employment gains. At the State and local levels, employment should remain steady, with openings stemming primarily from the need to replace those who retire or leave the occupation. States and municipalities usu­ ally try to avoid downsizing their revenue departments but also re­ frain from expanding their workforces. Employment growth is more likely to occur in Southern and Western States that are experiencing large population increases. Earnings In 2000, median annual earnings for all tax examiners, collectors, and revenue agents was $40,180. The middle 50 percent earned between $29,370 and $55,410. The bottom 10 percent earned less than $22,190, and the top 10 percent earned more than $68,820. However, median earnings vary considerably depending on the level of government. At the Federal level, 2000 median annual earnings for tax examiners, collectors, and revenue agents were $48,640; at the State level, $38,890; and at the local level, $26,420.  86 Occupational Outlook Handbook  Earnings also vary by occupational specialty. For example, in the Federal Government in 2001, the U.S. Office of Personnel Man­ agement reported that tax examiners earned an average of $31,065, revenue agents earned $69,121, and collectors earned $60,513. Related Occupations Tax examiners, collectors, and revenue agents analyze and interpret financial data. Occupations with similar responsibilities include accountants and auditors, budget analysts, cost estimators, finan­ cial managers, and loan counselors and officers. Sources of Additional Information Information on obtaining a position as a tax examiner, collector, or revenue agent with the Federal Government is available from the Office of Personnel Management (OPM) through a telephone-based system. Consult your telephone directory under U.S. Government for a local number or call (912) 757-3000; Federal Relay Service: (800) 877-8339. The first number is not tollfree, and charges may result. Information also is available from the OPM Internet site: http://www.usajobs.opm.gov. State or local government personnel offices can provide infor­ mation about tax examiner, collector, or revenue agent jobs at those levels of government.  Top Executives __ _____ (0*NET 11-1011.01, 11-1011.02, 11-1021.00, 11-1031.00)  Significant Points •  • •  Top executives are among the highest paid workers; however, long hours and considerable travel often are required. > Keen competition is expected because the prestige and high pay attract a large number of qualified applicants. Most government chief executives and legislators are elected; local government managers are appointed.  Nature of the Work All organizations have specific goals and objectives that they strive to meet. Top executives devise strategies and fonnulate policies to ensure that these objectives are met. Although they have a wide range of titles—such as chief executive officer, board chair, presi­ dent, vice president, school superintendent, county administrator, and tax commissioner—all formulate policies and direct the opera­ tions of businesses and corporations, nonprofit institutions, gov­ ernments, and other organizations. A corporation’s goals and policies are established by the chief executive officer in collaboration with other top executives, who are overseen by a board of directors. In a large corporation, the chief executive officer meets frequently with subordinate execu­ tives to ensure that operations are implemented in accordance with these policies. The chief executive officer of a corporation retains overall accountability; however, a chief operating officer may be delegated several responsibilities, including the authority to over­ see executives who direct the activities of various departments and implement the organization’s policies on a day-to-day basis. In publicly held and nonprofit corporations, the board of directors is ultimately accountable for the success or failure of the enterprise, and the chief executive officer reports to the board. nature of other high-level executives’ responsibilities de­ Digitized forThe FRASER pends upon the size of the organization. In large organizations, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  their duties are highly specialized. Managers of cost and profit centers, for instance, are responsible for the overall performance of one aspect of the organization, such as manufacturing, marketing, sales, purchasing, finance, personnel, training, administrative ser­ vices, electronic data processing, property management, transpor­ tation, or the legal services department. (Some of these and other managerial occupations are discussed elsewhere in this section of the Handbook.) In smaller organizations, such as independent retail stores or small manufacturers, a partner, owner, or general manager often is re­ sponsible for purchasing, hiring, training, quality control, and dayto-day supervisory duties. Chieffinancial officers direct the organization’s financial goals, objectives, and budgets. They oversee the investment of funds and manage associated risks, supervise cash management activities, ex­ ecute capital-raising strategies to support a firm s expansion, and deal with mergers and acquisitions. Chief information officers are responsible for the overall tech­ nological direction of their organizations. They are increasingly involved in the strategic business plan of a firm as part of the ex­ ecutive team. To perform effectively, they also need knowledge of administrative procedures, such as budgeting, hiring, and supervi­ sion. These managers propose budgets for projects and programs, and make decisions on staff training and equipment purchases. They hire and assign computer specialists, information technology work­ ers, and support personnel to carry out specific parts of the projects. They supervise the work of these employees, review their output, and establish administrative procedures and policies. Chief infor­ mation officers also provide organizations with the vision to master information technology as a competitive tool. Chief executives and legislators at the Federal, State, and local levels direct government activities and pass laws that affect us daily. These officials consist of the President and Vice President of the United States; members of Congress; State governors and lieuten­ ant governors; members of the State legislators; county chief executives and commissioners; city, town and township council members; mayors; and city, county, town, and township managers. (Many small communities have top government officials who are volunteers and receive no salary. These individuals are not in­ cluded in the employment or salary data cited in this Handbook statement.) Most chief executives are elected by their constituents, but many managers are hired by a local government executive, council, or commission, to whom they are directly responsible. These officials formulate and establish government policy and develop Federal, State, or local laws and regulations. Chiefexecutives, government—like their counterparts in the pri­ vate sector—have overall responsibility for the performance of their organizations. Working with legislators, they set goals and orga­ nize programs to attain them. These executives also appoint de­ partment heads, who oversee the civil servants who carry out programs enacted by legislative bodies. As in the private sector, government chief executives oversee budgets and insure that re­ sources are used properly and programs are carried out as planned. Chief executive officers carry out a number of other important functions, such as meeting with legislators and constituents to de­ termine the level of support for proposed programs. In addition, they often nominate citizens to boards and commissions, encour­ age business investment, and promote economic development in their communities. To do all of these varied tasks effectively, chiel executives of large governments rely on a staff of highly skilled aides and assistants to research issues that concern the public. Ex­ ecutives that control small governmental bodies, however, often do this work by themselves.  Management and Business and Financial Operations Occupations 87  Top executives devise strategies and formulate policies to ensure that specific goals and objectives are met.  Legislators are elected officials who develop, enact, or amend laws. They include U.S. Senators and Representatives, State sena­ tors and representatives, and county, city, and town commissioners and council members. Legislators introduce, examine, and vote on bills to pass official legislation. In preparing such legislation, they study staff reports and hear testimony from constituents, represen­ tatives of interest groups, board and commission members, and oth­ ers with an interest in the issue under consideration. They usually must approve budgets and the appointments of nominees for lead­ ership posts who are submitted by the chief executive. In some bodies, the legislative council appoints the city, town, or county manager. General and operations managers plan, direct, or coordinate the operations of companies or public and private sector organiza­ tions. The duties include formulating policies, managing daily op­ erations, and planning the use of materials and human resources, but are too diverse and general in nature to be classified in any one area of management or administration, such as personnel, purchas­ ing, or administrative services. In some organizations, the duties of general and operations managers may overlap the duties of chief executive officers. Working Conditions Top executives typically have spacious offices and support staff. General managers in large firms or nonprofit organizations usually have comfortable offices close to the top executives to whom they report. Long hours, including evenings and weekends, are standard for most top executives and general managers, though their sched­ ules may be flexible. Substantial travel between international, national, regional, and local offices to monitor operations and meet with customers, staff, and other executives often is required of managers and executives. Many managers and executives also attend meetings and confer­ ences sponsored by various associations. The conferences provide an opportunity to meet with prospective donors, customers, con­ tractors, or government officials and allow managers and execu­ tives to keep abreast of technological and managerial innovations. In large organizations, frequent job transfers between local of­ fices or subsidiaries are common. Top executives are under intense pressure to earn higher profits, provide better service, or attain fundraising and charitable goals. Executives in charge of poorly performing organizations or departments usually find their jobs in  jeopardy. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  The working conditions of chief executives and legislators vary with the size and budget of the governmental unit. Time spent at work ranges from a few hours a week for some local leaders to stressful weeks of 60 or more hours for members of the U.S. Con­ gress. Similarly, some jobs require only occasional out-of-town travel, while others involve long periods away from home, such as when attending sessions of the legislature. U.S. Senators and Representatives, governors and lieutenant gov­ ernors, and chief executives and legislators in municipalities work full time, year-round, as do most county and city managers. Many State legislators work full time on government business while the legislature is in session (usually for 2 to 6 months a year or every other year) and work only part time when the legislature is not in session. Some local elected officials work a schedule that is offi­ cially designated as part time, but actually is the equivalent of a full-time schedule when unpaid duties are taken into account. In addition to their regular schedules, most chief executives are on call to handle emergencies. Employment Top executives held about 3 million jobs in 2000. Employment was distributed as follows: General and operations managers..................................................... 2,398,000 Chief executives................................................................................... 547 qoo Legislators............................................................................................. 54,000  Top executives are found in every industry, but the services, re­ tail trade, and manufacturing industries employ about 3 out of 5. Chief executives and legislators in the Federal Government con­ sist of the 100 Senators, 435 Representatives, and the President and Vice President. State governors, lieutenant governors, legislators, chief executives, professional managers, and council and commis­ sion members of local governments make up the remainder. Government chief executives and legislators who do not hold full-time, year-round positions often continue to work in the occu­ pation they held before being elected. Training, Other Qualifications, and Advancement The formal education and experience of top executives varies as widely as the nature of their responsibilities. Many top executives have a bachelor’s or higher degree in business administration or liberal arts. College presidents typically have a doctorate in the field they originally taught, and school superintendents often have a master’s degree in education administration. (For information on lower-level managers in educational services, see the Handbook statement on education administrators.) A brokerage office man­ ager needs a strong background in securities and finance, and depart­ ment store executives generally have extensive experience in retail trade. Some top executives in the public sector have a background in public administration or liberal arts. Others might have a back­ ground related to their jobs. For example, a health commissioner might have a graduate degree in health services administration or business administration. (For information on lower level managers in health services, see the Handbook statement on medical and health services managers.) Since many top executive positions are filled by promoting ex­ perienced, lower level managers when an opening occurs, many are promoted from within the organization. In industries such as retail trade or transportation, for instance, it is possible for individuals without a college degree to work their way up within the company and become managers. Many companies prefer, however, that their top executives have specialized backgrounds and hire individuals who are managers in other organizations.  88 Occupational Outlook Handbook  Top executives must have highly developed personal skills. An analytical mind able to quickly assess large amounts of information and data is very important, as is the ability to consider and evaluate the interrelationships of numerous factors. Top executives also must be able to communicate clearly and persuasively. Other qualities critical for managerial success include leadership, self-confidence, motivation, decisiveness, flexibility, sound business judgment, and determination. Advancement may be accelerated by participation in company training programs that impart a broader knowledge of company policy and operations. Managers also can help their careers by be­ coming familiar with the latest developments in management tech­ niques at national or local training programs sponsored by various industry and trade associations. Managers who have experience in a particular field, such as accounting or engineering, may attend executive development programs to facilitate their promotion to an even higher level. Participation in conferences and seminars can expand knowledge of national and international issues influencing the organization and can help develop a network of useful contacts. General managers may advance to top executive positions, such as executive vice president, in their own firm or they may take a corresponding position in another firm. They may even advance to peak corporate positions such as chief operating officer or chief executive officer. Chief executive officers often become members of the board of directors of one or more firms, typically as a director of their own firm and often as chair of its board of directors. Some top executives establish their own firms or become independent consultants. Apart from meeting minimum age, residency, and citizenship requirements, candidates for a legislative position have no estab­ lished training or qualifications. Candidates come from a wide va­ riety of occupations, but many do have some political experience as staffers or members of government bureaus, boards, or commis­ sions. Successful candidates usually become well-known through their political campaigns and some have built voter name recogni­ tion through their work with community religious, fraternal, or so­ cial organizations. Increasingly, candidates target information to voters through ad­ vertising paid for by their respective campaigns, so fundraising skills are essential for candidates. Management-level work experience and public service help develop the fundraising, budgeting, public speaking, and problem-solving skills that are needed to run an ef­ fective political campaign. Candidates must make decisions quickly, sometimes on the basis of limited or contradictory information. They also should be able to inspire and motivate their constituents and staff. Additionally, they must know how to reach compromises and satisfy conflicting demands of constituents. National, State, and some local campaigns require massive amounts of energy and stamina, traits vital to successful candidates. Virtually all town, city, and county managers have at least a bachelor’s degree, and the majority hold a master’s degree. A master’s degree in public administration is recommended, includ­ ing courses in public financial management and legal issues in pub­ lic administration. Working in management support positions in government is a prime source of the experience and personal con­ tacts required to eventually secure a manager position. For example, applicants often gain experience as management analysts or assis­ tants in government departments working for committees, coun­ cils, or chief executives. In this capacity, they leam about planning, budgeting, civil engineering, and other aspects of running a gov­ ernment. With sufficient experience, they may be hired to manage a small government. Generally, a town, city, or county manager is first hired by a  smaller community. Advancement often takes the form of securing https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  positions with progressively larger towns, cities, or counties. A broad knowledge of local issues, combined with communication skills and the ability to compromise, are essential for advancement in this field. Advancement opportunities for elected officials are not clearly defined. Because elected positions normally require a period of residency and local public support is critical, officials usually ad­ vance to other offices only in the jurisdictions where they live. For example, council members may ran for mayor or for a position in the State government, and State legislators may run for governor or for Congress. Many officials are not politically ambitious, how­ ever, and do not seek advancement. Others lose their bids for re­ election or voluntarily leave the occupation. A lifetime career as a government chief executive or legislator is rare. Job Outlook Keen competition is expected for top executive positions because the prestige and high pay attract a large number of qualified appli­ cants. Because this is a large occupation, many openings will occur each year as executives transfer to other positions, start their own businesses, or retire. However, many executives who leave their jobs transfer to other executive positions, limiting the number of job openings for new entrants. Experienced managers whose accomplishments reflect strong leadership qualities and the ability to improve the efficiency or com­ petitive position of an organization will have the best opportuni­ ties. In an increasingly global economy, experience in international economics, marketing, information systems, and knowledge of sev­ eral languages also may be beneficial. Employment of top executives—including chief executives, gen­ eral and operations managers, and legislators—is expected to grow about as fast as the average for all occupations through 2010. Be­ cause top managers are essential to the success of any organization, they should be more immune to automation and corporate restruc­ turing—factors which are expected to adversely affect employment of lower level managers. Projected employment growth of top ex­ ecutives varies by industry, reflecting the projected change in in­ dustry employment over the 2000-10 period. For example, employment growth is expected to be faster than average in ser­ vices industries overall, especially business services. However, employment is projected to grow more slowly than average in some finance, insurance, and real estate industries, and decline in some manufacturing industries. Few new governments at any level are likely to form, and the number of chief executives and legislators in existing governments rarely changes. However, some increase will occur at the local level as counties, cities, and towns take on professional managers or move from volunteer to paid, career executives to deal with population growth, Federal regulations, and long-range planning. Elections give newcomers the chance to unseat incumbents or to fill vacated positions. The level of competition in elections var­ ies from place to place. There tends to be less competition in small communities that offer part-time positions with low or no salaries and little or no staff compared to large municipalities with presti­ gious full-time positions offering high salaries, staff, and greater exposure. Earnings Top executives are among the highest paid workers. However, sal­ ary levels vary substantially depending upon the level of manage­ rial responsibility, length of service, and type, size, and location of the firm. For example, a top manager in a very large corporation can earn significantly more than a counterpart in a small firm.  Management and Business and Financial Operations Occupations 89  Median annual earnings of general and operations managers in 2000 were $61,160. The middle 50 percent earned between $40,880 and $93,610. Because the specific responsibilities of general and operations managers vary significantly within industries, earnings also tend to vary considerably. Median annual earnings in the in­ dustries employing the largest numbers of general and operations managers in 2000 were: Computer and data processing services.............................................. $101 Management and public relations...................................................... 84 Local government.................................................................................. 54 Groceiy stores..................................................................................... 44 Eating and drinking places.................................................................. 3g  340 610 700 120 710  Median annual earnings of chief executives in 2000 were $ 113,810. Median annual earnings in the industries employing the largest numbers of chief executives in 2000 were: Management and public relations...................................................... $136,760 Engineering and architectural services............................................. 124 080 Commercial banks............................................................................ 120 840 Colleges and universities......................................................................... 94930 Local government..................................................................................... 69790  Salaries vary substantially by type and level of responsibilities and by industry. According to a survey by Abbott, Langer, & Asso­ ciates, the median income of chief executive officers in the non­ profit sector was $75,000 in 2000, but some of the highest paid made well over $450,000. In addition to salaries, total compensation often includes stock options, dividends, and other performance bonuses. The use of executive dining rooms and company cars, expense allowances, and company-paid insurance premiums and physical examinations also are among benefits commonly enjoyed by top executives in private industry. A number of chief executive officers also are provided with company-paid club memberships, a limousine with driver, and other amenities. Median annual earnings of legislators were $14,110 in 2000. The middle 50 percent earned between $12,530 and $34,720. The lowest 10 percent earned less than $ 11,560, and the highest 10 per­ cent earned more than $62,860. Earnings of public administrators vary widely, depending on the size of the governmental unit and on whether the job is part time, full time and year round, or full time for only a few months a year. Salaries range from little or nothing for a small town council mem­ ber to $400,000 a year for the President of the United States. According to the International Personnel Management Associa­ tion, city managers earned an average of $92,338, and county man­ agers $107,500, in 2000. The National Conference of State Legislatures reports that the annual salary for rank and file legisla­ tors in the 40 States and the District of Columbia that paid an annual   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  salary ranged from $15,000 to more than $60,000. In eight States, legislators received a daily salary plus an additional allowance for living expenses while legislatures were in session. The Council of State Governments reports in their Book of the States, 2000-2001 that gubernatorial annual salaries ranged from a low of $65,000 in Nebraska to a high of $179,000 in New York. In addition to a salary, most governors received benefits such as trans­ portation and an official residence. The governor of Florida has the largest staff with 310, while the governor of Nebraska has the small­ est with 15. In 2001, U.S. Senators and Representatives earned $145,100, the Senate and House Majority and Minority leaders earned $161,200, and the Vice President was paid $181,000. Related Occupations Top executives plan, organize, direct, control, and coordinate the operations of an organization and its major departments or programs. The members of the board of directors and lower level managers also are involved in these activities. Many other managerial occu­ pations have similar responsibilities; however, they are concentrated in specific industries or are responsible for a specific department within an organization. A few examples are administrative ser­ vices managers, education administrators, financial managers, and food service managers. Sources of Additional Information For a variety of information on top executives, including educa­ tional programs and job listings, contact: >- American Management Association, 1601 Broadway, 6th Floor, New York, NY 10019. Internet: http://www.amanet.org > National Management Association, 2210 Arbor Blvd., Dayton, OH 45439. Internet: http://www.nmal.org >- International Personnel Management Association, 1617 Duke St., Alex­ andria, VA 22314. Internet: http://www.ipma-hr.org  Information on appointed officials in local government can be obtained from: >- Council of State Governments, P.O. Box 11910, Iron Works Pike, Lex­ ington, KY 40578-1910. Internet: http://www.statesnews.org >- International City Management Association (ICMA), 777 North Capital St. NE., Suite 500, Washington, DC 20002. Internet: http://www.icma.org ► National Association of Counties, 440 First St. NW., 8th Floor, Wash­ ington, DC 20001. Internet: http://www.naco.org >- National League of Cities, 1301 Pennsylvania Ave. NW., Washington, DC 20004. Internet: http://www.nlc.org  For information on executive financial management careers and certification, contact: ► Financial Executives International, 10 Madison Ave., P.O. Box 1938, Morristown, NJ 07962. Internet: http://www.fei.org > Financial Management Association International, College of Business Administration, University of South Florida, Tampa, FL 33620-5500. Internet: http://www.fma.org  Professional and Related Occupations Architects, Surveyors, and Cartographers __ Architects, Except Landscape and Naval ____ _____ ____ ___ (0*NET 17-1011.00)  __________  Significant Points •  More than 28 percent were self-employed—about four times the proportion for all professional and related occupations.  •  •  Licensing requirements include a professional degree in architecture, a period of practical training and the passing of all divisions of the Architect Registration Examination. Architecture graduates may face competition, especially for jobs in the most prestigious firms; experience from working in a firm during school and knowledge of computer-aided design and drafting technology are advantages.  Nature of the Work People need places in which to live, work, play, leam, worship, meet, govern, shop, eat. These places may be private or public, indoors or out; rooms, buildings, or complexes, and together com­ prise neighborhoods, towns, suburbs and cities. Architects—licensed professionals trained in the art and science of building design— transform these needs into concepts and then develop the concepts into building images and plans that can be constructed by others. Architects design the overall aesthetic and functional look of buildings and other structures. The design of a building involves far more than its appearance. Buildings also must be functional, safe, and economical, and must suit the needs of the people who use them. Architects take all these things into consideration when they design buildings and other structures. Architects provide professional services to individuals and or­ ganizations planning a construction project. They may be involved in all phases of development, from the initial discussion with the client through the entire construction process. Their duties require specific skills—designing, engineering, managing, supervising, and communicating with clients and builders. The architect and client discuss the objectives, requirements, and budget of a project. In some cases, architects provide various predesign services—conducting feasibility and environmental im­ pact studies, selecting a site, or specifying the requirements the de­ sign must meet. For example, they may determine space requirements by researching the number and type of potential users of a building. The architect then prepares drawings and a report presenting ideas for the client to review. After the initial proposals are discussed and accepted, architects develop final construction plans. These plans show the building’s appearance and details for its construction. Accompanying these are drawings of the structural system; air-conditioning, heating, and ventilating systems; electrical systems; plumbing; and possibly site and landscape plans. They also specify the building materials and,   https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  in some cases, the interior furnishings. In developing designs, ar­ chitects follow building codes, zoning laws, fire regulations, and other ordinances, such as those requiring easy access by disabled persons. Throughout the planning stage, they make necessary changes. Although they have traditionally used pencil and paper to produce design and construction drawings, architects are increas­ ingly turning to computer-aided design and drafting (CADD) tech­ nology for these important tasks. Architects may also assist the client in obtaining construction bids, selecting a contractor, and negotiating the construction con­ tract. As construction proceeds, they may visit the building site to ensure the contractor is following the design, adhering to the sched­ ule, using the specified materials, and meeting quality work stan­ dards. The job is not complete until all construction is finished, required tests are made, and construction costs are paid. Some­ times, architects also provide postconstruction services, such as fa­ cilities management. They advise on energy efficiency measures, evaluate how well the building design adapts to the needs of occu­ pants, and make necessary improvements. Architects design a wide variety of buildings, such as office and apartment buildings, schools, churches, factories, hospitals, houses, and airport terminals. They also design complexes such as urban centers, college campuses, industrial parks, and entire communi­ ties. They also may advise on the selection of building sites, pre­ pare cost analysis and land-use studies, and do long-range planning for land development. Architects sometimes specialize in one phase of work. Some specialize in the design of one type of building for example, hos­ pitals, schools, or housing. Others focus on planning and predesign services or construction management, and do minimal design work. They often work with engineers, urban planners, interior designers, landscape architects, and other professionals. In fact, architects spend a great deal of their time in coordinating information from, and the work of, others engaged in the same project. Consequently, architects—particularly at larger firms—are now using the Internet  .  ....  •'  Architects increasingly use computer-aided design and drafting technology to produce design and construction drawings.  Professional and Related Occupations 91  to update designs and communicate changes for the sake of speed and cost savings. During the required training period leading up to licensing as architects, entry-level workers are called interns. This training pe­ riod, which generally lasts 3 years, gives them practical work expe­ rience which aids interns in preparing for the Architect Registration Examination (ARE). Typical duties may include preparing con­ struction drawings on CADD, building models, or assisting in the design of one part of a project. Working Conditions Architects usually work in a comfortable environment. Most of their time is spent in offices consulting with clients, developing reports and drawings, and working with other architects and engi­ neers. However, they often visit construction sites to review the progress of projects. Architects may occasionally be under stress, working nights and weekends to meet deadlines. In 2000, almost half of all architects worked more than 40 hours a week, in contrast to about 1 in 4 work­ ers in all occupations combined. Employment Architects held about 102,000 jobs in 2000. The majority of jobs were in architectural firms—most of which employ fewer than 5 workers. A few worked for general building contractors, and for government agencies responsible for housing, planning, or com­ munity development, such as the U.S. Departments of Defense and Interior, and the General Services Administration. Nearly 3 in 10 architects were self-employed. Training, Other Qualifications, and Advancement All States and the District of Columbia require individuals to be licensed (registered) before they may call themselves architects or contract to provide architectural services. Nevertheless, many ar­ chitecture school graduates work in the field while they are in the process of becoming licensed. However, a licensed architect is re­ quired to take legal responsibility for all work. Licensing require­ ments include a professional degree in architecture, a period of practical training or internship, and passage of all divisions of the ARE. In most States, the professional degree in architecture must be from one of the 111 schools of architecture with degree programs accredited by the National Architectural Accrediting Board (NAAB). However, State architectural registration boards set their own stan­ dards, so graduation from a nonNAAB-accredited program may meet the educational requirement for licensing in a few States. Three types of professional degrees in architecture are available through colleges and universities. The majority of all architectural degrees are from 5-year Bachelor of Architecture programs, intended for students entering from high school or with no previous architec­ tural training. In addition, a number of schools offer a 2-year Mas­ ter of Architecture program for students with a preprofessional undergraduate degree in architecture or a related area, or a 3- or 4year Master of Architecture program for students with a degree in another discipline. The choice of degree type depends upon each individual’s pref­ erence and educational background. Prospective architecture stu­ dents should consider the available options before committing to a program. For example, although the 5-year Bachelor of Architec­ ture program offers the fastest route to the professional degree, courses are specialized and, if the student does not complete the program, transferring to a nonarchitectural program may be diffi­ cult. A typical program includes courses in architectural history  and theory, building design, structures, technology, construction https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  methods, professional practice, math, physical sciences, and liberal arts. Central to most architectural programs is the design studio, where students put into practice the skills and concepts learned in the classroom. During the final semester of many programs, stu­ dents devote their studio time to creating an architectural project from beginning to end, culminating in a 3-dimensional model of their design. Many schools of architecture also offer post-professional de­ grees for those who already have a bachelor’s or master’s degree in architecture or other areas. Although graduate education beyond the professional degree is not required for practicing architects, it may be for research, teaching, and certain specialties. Architects must be able to visually communicate their ideas to clients. Artistic and drawing ability is very helpful in doing this, but not essential. More important are a visual orientation and the ability to conceptualize and understand spatial relationships. Good communication skills, the ability to work independently or as part of a team, and creativity are important qualities for anyone inter­ ested in becoming an architect. Computer literacy also is required as most firms use computers for writing specifications, 2- and 3­ dimensional drafting, and financial management. Knowledge of computer-aided design and drafting (CADD) is helpful and will become essential as architectural firms continue to adopt this tech­ nology. Recently, the profession recognized National CAD Stan­ dards (NCS); architecture students who master NCS may have an advantage in the job market. All State architectural registration boards require a training pe­ riod before candidates may sit for the ARE and become licensed. Most States have adopted the training standards established by the Intern Development Program, a program of the American Institute of Architects and the National Council of Architectural Registra­ tion Boards (NCARB). These standards stipulate broad and diver­ sified training under the supervision of a licensed architect over a 3-year period. New graduates usually begin as intem-architects in architectural firms, where they assist in preparing architectural docu­ ments or drawings. They also may do research on building codes and materials, or write specifications for building materials, instal­ lation criteria, the quality of finishes, and other related details. Graduates with degrees in architecture also enter related fields such as graphic, interior, or industrial design; urban planning; real estate development; civil engineering; or construction management. Af­ ter completing the on-the-job training period, interns are eligible to sit for the ARE. The examination tests candidates for their knowl­ edge, skills, and ability to provide the various services required in the design and construction of buildings. Candidates who pass the ARE and meet all standards established by their State board are licensed to practice in that State. After becoming licensed and gaining experience, architects take on increasingly responsible duties, eventually managing entire projects. In large firms, architects may advance to supervisory or managerial positions. Some architects become partners in estab­ lished firms; others set up their own practice. Several States require continuing education to maintain a license, and many more States are expected to adopt mandatory continuing education. Requirements vary by State, but usually involve the completion of a certain number of credits every year or two through seminars, workshops, formal university classes, conferences, self­ study courses, or other sources. A growing number of architects voluntarily seek certification by NCARB, which can facilitate their getting licensed to practice in additional States. Certification is awarded after independent verification of the applying architect’s educational transcripts, employment record, and professional refer­ ences. It is the primary requirement for reciprocity of licensing among State Boards that are NCARB members.  92 Occupational Outlook Handbook  Job Outlook Prospective architects may face competition for entry-level posi­ tions, especially if the number of architectural degrees awarded re­ mains at current levels or increases. Employment of architects is projected to grow about as fast as the average for all occupations through 2010 and additional job openings will stem from the need to replace architects who retire or leave the labor force for other reasons. However, many individuals are attracted to this occupa­ tion, and the number of applicants often exceeds the number of available jobs, especially in the most prestigious firms. Prospec­ tive architects who gain career-related experience in an architec­ tural firm while in school and who know CADD technology (especially that which conforms to the new national standards) will have a distinct advantage in obtaining an intern-architect position after graduation. Employment of architects is strongly tied to the level of local construction, particularly nonresidential structures such as office buildings, shopping centers, schools, and healthcare facilities. Af­ ter a boom in nonresidential construction during the 1980s, build­ ing slowed significantly during the first half of the 1990s. This trend is expected to continue because of slower labor force growth and increases in telecommuting and flexiplace work. However, as the stock of buildings ages, demand for remodeling and repair work should grow considerably. The needed renovation and rehabilita­ tion of old buildings, particularly in urban areas where space for new buildings is becoming limited, is expected to provide many job opportunities for architects. In addition, demographic trends and changes in healthcare delivery are influencing the demand for certain institutional structures, and should also provide more jobs for architects in the future. For example, increases in the schoolage population have resulted in new school construction. Addi­ tions to existing schools (especially colleges and universities), as well as overall modernization, will continue to add to demand for architects through 2010. Growth is expected in the number of adult care centers, assisted-living facilities, and community health clin­ ics, all of which are preferable, less costly alternatives to hospitals and nursing homes. Because construction—particularly office and retail—is sensi­ tive to cyclical changes in the economy, architects will face par­ ticularly strong competition for jobs or clients during recessions, and layoffs may occur. Those involved in the design of institu­ tional buildings such as schools, hospitals, nursing homes, and cor­ rectional facilities will be less affected by fluctuations in the economy. Even in times of overall good job opportunities, however, there may be areas of the country with poor opportunities. Architects who are licensed to practice in one State must meet the licensing requirements of other States before practicing elsewhere. Obtain­ ing licensure in other States, after initially receiving licensure in one State, is known as “reciprocity , and is much easier if an archi­ tect has received certification from the National Council of Archi­ tectural Registration Boards.  Median annual earnings of architects were $52,510 in 2000. The middle 50 percent earned between $41,060 and $67,720. The low­ est 10 percent earned less than $32,540 and the highest 10 percent earned more than $85,670. Earnings of partners in established architectural firms may fluc­ tuate because of changing business conditions. Some architects may have difficulty establishing their own practices and may go through a period when their expenses are greater than their income,  requiring substantial financial resources. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Related Occupations Architects design buildings and related structures. Constmction managers, like architects, are also engaged in the planning and co­ ordinating of activities concerned with the construction and main­ tenance of buildings and facilities. Others who engage in similar work are landscape architects, civil engineers, urban and regional planners, and designers, including interior designers, commercial and industrial designers, and graphic designers.  Sources of Additional Information Information about education and careers in architecture can be ob­ tained from:  .  >- Practice Management Professional Interest Area, The American Insti­ tute of Architects, 1735 New York Ave. NW„ Washington, DC 20006. Internet: http://www.aiaonline.com > Intern Development Program, National Council of Architectural Regis­ tration Boards, Suite 1100K, 1801 K Street NW„ Washington, D.C. 20006­  1310. Internet: http://www.ncarb.org >. Consortium for Design and Construction Careers, P.O. Box 1515, Oak Park, IL 60304-1515. Internet: http://www.archcareers.net  Landscape Architects (0*NET 17-1012.00)  Significant Points • •  •  Almost 26 percent are self-employed—nearly 4 times the proportion for all professionals. A bachelor’s degree in landscape architecture is the minimum requirement for entry-level jobs; many employers prefer to hire landscape architects who have completed at least one internship. Because many landscape architects work for small firms or are self-employed, benefits tend to be less generous than those provided to workers in large organizations.  Nature of the Work Everyone enjoys attractively designed residential areas, public parks and playgrounds, college campuses, shopping centers, golf courses, parkways, and industrial parks. Landscape architects design these areas so that they are not only functional, but also beautiful, and compatible with the natural environment. They plan the location of buildings, roads, and walkways, and the arrangement of flowers, shmbs, and trees. . Increasingly, landscape architects are becoming involved with projects in environmental remediation, such as preservation and res­ toration of wetlands. Historic preservation is another important objective to which landscape architects may apply their knowledge of the environment, as well as their design and artistic talents. Many types of organizations—from real estate development firms starting new projects to municipalities constructing airports or parks—hire landscape architects, who often are involved with the development of a site from its conception. Working with archi­ tects, surveyors, and engineers, landscape architects help determine the best arrangement of roads and buildings. They also collaborate with environmental scientists, foresters, and other professionals to find the best way to conserve or restore natural resources. Once these decisions are made, landscape architects create detailed plans indicating new topography, vegetation, walkways, and other land­ scaping details, such as fountains and decorative features.  Professional and Related Occupations 93  In planning a site, landscape architects first consider the nature and purpose of the project and the funds available. They analyze the natural elements of the site, such as the climate, soil, slope of the land, drainage, and vegetation; observe where sunlight falls on the site at different times of the day and examine the site from vari­ ous angles; and assess the effect of existing buildings, roads, walk­ ways, and utilities on the project. After studying and analyzing the site, landscape architects pre­ pare a preliminary design. To account for the needs of the client as well as the conditions at the site, they frequently make changes be­ fore a final design is approved. They also take into account any local, State, or Federal regulations, such as those protecting wet­ lands or historic resources. Computer-aided design (CAD) has be­ come an essential tool for most landscape architects in preparing designs. Many landscape architects also use video simulation to help clients envision the proposed ideas and plans. For larger scale site planning, landscape architects also use geographic information systems technology, a computer mapping system. Throughout all phases of the planning and design, landscape architects consult with other professionals involved in the project. Once the design is complete, they prepare a proposal for the client. They produce detailed plans of the site, including written reports, sketches, models, photographs, land-use studies, and cost estimates,' and submit them for approval by the client and by regulatory agen­ cies. When the plans are approved, landscape architects prepare working drawings showing all existing and proposed features. They also outline in detail the methods of construction and draw up a list of necessary materials. Although many landscape architects supervise the installation of their design, some are involved in the construction of the site. However, the developer or landscape contractor usually does this. Some landscape architects work on a variety of projects. Others specialize in a particular area, such as residential development, his­ toric landscape restoration, waterfront improvement projects, parks and playgrounds, or shopping centers. Still others work in regional planning and resource management; feasibility, environmental im­ pact, and cost studies; or site construction. Most landscape architects do at least some residential work, but relatively few limit their practice to individual homeowners. Resi­ dential landscape design projects usually are too small to provide suitable income compared with larger commercial or multiunit resi­ dential projects. Some nurseries offer residential landscape design services, but these services often are performed by lesser qualified landscape designers, or others with training and experience in re­ lated areas. Landscape architects who work for government agencies do site and landscape design for government buildings, parks, and other public lands, as well as park and recreation planning in national parks and forests. In addition, they prepare environmental impact statements and studies on environmental issues such as public landuse planning. Some restore degraded land, such as mines or land­ fills. Others architects use their skills in traffic-calming, the “art” of slowing traffic down through use of traffic design, enhancement of the physical environment, and greater attention to aesthetics. Working Conditions Landscape architects spend most of their time in offices creating plans and designs, preparing models and cost estimates, doing re­ search, or attending meetings with clients and other professionals involved in a design or planning project. The remainder of their time is spent at the site. During the design and planning stage, landscape architects visit and analyze the site to verify that the de­ sign can be incorporated into the landscape. After the plans and  specifications are completed, they may spend additional time at the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  —rw atm  After the plans and specifications for a project are complete, landscape architects may spend time at the site observing or supervising construction. site observing or supervising the construction. Those who work in large firms may spend considerably more time out of the office be­ cause of travel to sites outside the local area. Salaried employees in both government and landscape architec­ tural firms usually work regular hours; however, they may work overtime to meet a project deadline. Hours of self-employed land­ scape architects vary. Employment Landscape architects held about 22,000 jobs in 2000. About 1 out of 3 salaried workers were employed in firms that provide land­ scape architecture services. Architectural and engineering firms employed most of the rest. The Federal Government also employs these workers, primarily in the U.S. Departments of Agriculture, Defense, and Interior. About 1 of every 4 landscape architects were self-employed. Employment of landscape architects is concentrated in urban and suburban areas throughout the country; some landscape architects work in rural areas, particularly those employed by the Federal Government who plan and design parks and recreation areas. Training, Other Qualifications, and Advancement A bachelor s or master’s degree in landscape architecture usually is necessary for entry into the profession. The bachelor’s degree in landscape architecture takes 4 or 5 years to complete. There are two types of accredited master’s degree programs. The master’s degree as a first professional degree is a 3-year program designed for students with an undergraduate degree in another discipline; this is the most common type. The master’s degree as the second professional degree is a 2-year program for students who have a bachelor’s degree in landscape architecture and wish to teach or specialize in some aspect of landscape architecture, such as regional planning or golf course design. In 2000, 58 colleges and universities offered 75 undergraduate and graduate programs in landscape architecture that were accred­ ited by the Landscape Architecture Accreditation Board of the American Society of Landscape Architects. College courses required in this field usually include technical subjects such as surveying, landscape design and construction, land­ scape ecology, site design, and urban and regional planning. Other courses include history of landscape architecture, plant and soil sci­ ence, geology, professional practice, and general management. Many  94 Occupational Outlook Handbook  landscape architecture programs are adding courses that address environmental issues. In addition, most students at the undergradu­ ate level take a year of prerequisite courses such as English, math­ ematics, and social and physical sciences. The design studio is an important aspect of many landscape architecture curriculums. When­ ever possible, students are assigned real projects, providing them with valuable hands-on experience. While working on these projects, students become more proficient in the use of computer-aided de­ sign, geographic information systems, and video simulation. In 2000, 46 States required landscape architects to be licensed or registered. Licensing is based on the Landscape Architect Reg­ istration Examination (L.A.R.E.), sponsored by the Council of Land­ scape Architectural Registration Boards and administered over a 3-day period. Admission to the exam usually requires a degree from an accredited school plus 1 to 4 years of work experience, although standards vary from State to State. Currently, 16 States require the passage of a State examination in addition to the L. A.R.E. to satisfy registration requirements. State examinations, which usu­ ally are 1 hour in length and completed at the end of the L. A.R.E., focus on laws, environmental regulations, plants, soils, climate, and any other characteristics unique to the State. Because State requirements for licensure are not uniform, land­ scape architects may not find it easy to transfer their registration from one State to another. However, those who meet the national standards of graduating from an accredited program, serving 3 years of internship under the supervision of a registered landscape archi­ tect, and passing the L.A.R.E. can satisfy requirements in most States. Through this means, a landscape architect can obtain certi­ fication from the Council of Landscape Architectural Registration Boards, and so gain reciprocity (the right to work) in other States. In the Federal Government, candidates for entry positions should have a bachelor’s or master’s degree in landscape architecture. The Federal Government does not require its landscape architects to be licensed. Persons planning a career in landscape architecture should ap­ preciate nature, enjoy working with their hands, and possess strong analytical skills. Creative vision and artistic talent also are desir­ able qualities. Good oral communication skills are essential; land­ scape architects must be able to convey their ideas to other professionals and clients and to make presentations before large groups. Strong writing skills also are valuable, as is knowledge of computer applications of all kinds, including word processing, desk­ top publishing, and spreadsheets. Landscape architects use these tools to develop presentations, proposals, reports, and land impact studies for clients, colleagues, and superiors. The ability to draft and design using CAD software is essential. Many employers rec­ ommend that prospective landscape architects complete at least one summer internship with a landscape architecture firm in order to gain an understanding of the day-to-day operations of a small busi­ ness, including how to win clients, generate fees, and work within a budget. In States where licensure is required, new hires may be called “apprentices” or “intern landscape architects ’ until they become licensed. Their duties vary depending on the type and size of the employing firm. They may do project research or prepare working drawings, construction documents, or base maps of the area to be landscaped. Some are allowed to participate in the actual design of a project. However, interns must perform all work under the super­ vision of a licensed landscape architect. Additionally, all drawings and specifications must be signed and sealed by the licensed land­ scape architect, who takes legal responsibility for the work. After gaining experience and becoming licensed, landscape architects Digitized usually for FRASER can carry a design through all stages of development. After https://fraser.stlouisfed.org several years, they may become project managers, taking on the Federal Reserve Bank of St. Louis  responsibility for meeting schedules and budgets, in addition to overseeing the project design; and later, associates or partners, with a proprietary interest in the business. Many landscape architects are self-employed because start-up costs, after an initial investment in CAD software, are relatively low. Self-discipline, business acumen, and good marketing skills are important qualities for those who choose to open their own busi­ ness. Even with these qualities, however, some may struggle while building a client base. . Those with landscape architecture training also qualify for jobs closely related to landscape architecture, and may, after gaining some experience, become construction supervisors, land or environmen­ tal planners, or landscape consultants. Job Outlook Employment of landscape architects is expected to increase faster than the average for all occupations through the year 2010. Over­ all, several factors are expected to increase demand for landscape architectural services over the long run: Anticipated growth in resi­ dential, commercial, and heavy construction; continued emphasis on preservation and restoration of wetlands; and growth in land­ scape ecology, the use of techniques from landscape architecture to address environmental problems. Implementation of the Transportation Equity Act for the TwentyFirst Century is expected to spur employment for landscape archi­ tects, particularly in State and local governments. This Act, known as TEA-21, provides funds for surface transportation and transit programs, such as interstate highway maintenance and environmentfriendly pedestrian and bicycle trails. Also, growth in construction of residential and commercial building is expected to contribute to demand for landscape architects. However, opportunities will vary from year to year, and by geographic region, depending on local economic conditions. During a recession, when real estate sales and construction slow down, landscape architects may face layotfs and greater competition for jobs. The need to replace landscape architects who retire or leave the labor force for other reasons is expected to produce nearly as many job openings as employment growth. . As the cost of land rises, the importance of good site planning and landscape design grows. Increasingly, new development is con­ tingent upon compliance with environmental regulations and land use zoning, spurring demand for landscape architects to help plan sites and integrate man-made structures with the natural environ­ ment in the least disruptive way. Budget tightening in the Federal Government might restrict hir­ ing in the U.S. Forest Service and the National Park Service, agen­ cies that traditionally employ the most landscape architects in the Federal Government. Instead, such agencies may increasingly con­ tract out for landscape architecture services, providing additional employment opportunities in private landscape architecture firms. In addition to the work related to new development and con­ struction, landscape architects are expected to be involved in his­ toric preservation, land reclamation, and refurbishment of existing sites. Because landscape architects can work on many different types of projects, they may have an easier time than other design professionals finding employment when traditional construction slows down. . New graduates can expect to face competition for jobs in the largest and most prestigious landscape architecture firms. The num­ ber of professional degrees awarded in landscape architecture has remained steady over the years, even during times of fluctuating demand due to economic conditions. Opportunities will be best for landscape architects who develop strong technical skills—such as computer design—and communication skills, as well as knowledge  Professional and Related Occupations 95  of environmental codes and regulations. Those with additional train­ ing or experience in urban planning increase their opportunities for employment in landscape architecture firms that specialize in site planning as well as landscape design. Many employers prefer to hire entry-level landscape architects who have internship experi­ ence, which significantly reduces the amount of on-the-job training required. Earnings In 2000, median annual earnings for landscape architects were $43,540. The middle 50 percent earned between $32,990 and $59,490. The lowest 10 percent earned less than $26,300 and the highest 10 percent earned over $74,100. Landscape and horticul­ tural services employed more landscape architects than any other industry, and their median annual earnings were $37,820 in 2000. In 2001, the average annual salary for all landscape architects in the Federal Government in nonsupervisory, supervisory, and mana­ gerial positions was $62,824. Because many landscape architects work for small firms or are self-employed, benefits tend to be less generous than those pro­ vided to workers in large organizations. Related Occupations Landscape architects use their knowledge of design, construction, land-use planning, and environmental issues to develop a landscape project. Others whose work requires similar skills are architects, except landscape and naval; surveyors, cartographers, photogrammetrists, and surveying technicians; civil engineers; and urban and regional planners. Landscape architects also know how to grow and use plants in the landscape. Some conservation scientists and foresters and biological and medical scientists study plants in gen­ eral and do related work, while environmental scientists and geo­ scientists work in the area of environmental remediation. Sources of Additional Information Additional information, including a list of colleges and universities offering accredited programs in landscape architecture, is available from: ► American Society of Landscape Architects, Career Information, 636 Eye St. NW., Washington, DC 20001. Internet: http://www.asla.org  General information on registration or licensing requirements is available from: >- Council of Landscape Architectural Registration Boards, 12700 Fair Lakes Circle, Suite 110, Fairfax, VA22033. Internet: http://www.clarb.org  Surveyors, Cartographers, Photogrammetrists, and Surveying Technicians (Q*NET 17-1021.00, 17-1022.00, 17-3031.01, 17-3031.02)  • •  Significant Points Four out of 5 are employed in engineering services and in government. Computer skills enhance employment opportunities.  Nature of the Work Measuring and mapping the earth’s surface are the responsibilities of several different types of workers. Traditional land surveyors establish official land, air space, and water boundaries. They write of land for deeds, leases, and other legal documents; descriptions https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  define air space for airports; and measure construction and mineral sites. Other surveyors provide data relevant to the shape, contour, location, elevation, or dimension of land or land features. Cartog­ raphers compile geographic, political, and cultural information and prepare maps of large areas. Photogrammetrists measure and ana­ lyze aerial photographs to prepare detailed maps and drawings. Surveying technicians assist land surveyors by operating survey in­ struments and collecting information in the field, and by perform­ ing computations and computer-aided drafting in offices. Mapping technicians calculate mapmaking information from field notes. They also draw topographical maps and verify their accuracy. Land surveyors manage survey parties who measure distances, directions, and angles between points and elevations of points, lines, and contours on, above, and below the earth’s surface. They plan the fieldwork, select known survey reference points, and determine the precise location of important features in the survey area. Sur­ veyors research legal records, look for evidence of previous bound­ aries, and analyze the data to determine the location of boundary lines. They also record the results of the survey, verify the accuracy of data, and prepare plots, maps, and reports. Surveyors who estab­ lish boundaries must be licensed by the State in which they work, and are known as Professional Land Surveyors. Professional Land Surveyors are sometimes called to provide expert testimony in court cases concerning surveying matters. A survey party gathers the information needed by the land sur­ veyor. A typical survey party consists of a party chief and one or more surveying technicians and helpers. The party chief, who may be either a land surveyor or a senior surveying technician, leads day-to-day work activities. Surveying technicians assist the party chief by adjusting and operating surveying instruments, such as the theodolite (used to measure horizontal and vertical angles) and elec­ tronic distance-measuring equipment. Surveying technicians or assistants position and hold the vertical rods, or targets, that the theodolite operator sights on to measure angles, distances, or eleva­ tions. They also may hold measuring tapes, if electronic distance­ measuring equipment is not used. Surveying technicians compile notes, make sketches, and enter the data obtained from surveying instruments into computers. Survey parties may include laborers or helpers who perform less-skilled duties, such as clearing brush from sight lines, driving stakes, or carrying equipment. New technology is changing the nature of the work of surveyors and surveying technicians. For larger projects, surveyors are in­ creasingly using the Global Positioning System (GPS), a satellite system that precisely locates points on the earth by using radio sig­ nals transmitted via satellites. To use this system, a surveyor places a satellite signal receiver—a small instrument mounted on a tri­ pod—on a desired point. The receiver simultaneously collects in­ formation from several satellites to establish a precise position. The receiver also can be placed in a vehicle for tracing out road sys­ tems. Because receivers now come in different sizes and shapes and the cost of the receivers has fallen, much more surveying work is being done using GPS. Surveyors then must interpret and check the results produced by the new technology. Cartographers measure, map, and chart the earth’s surface, which involves everything from geographical research and data compila­ tion to actual map production. They collect, analyze, and interpret both spatial data—such as latitude, longitude, elevation, and dis­ tance—and nonspatial data—such as population density, land use patterns, annual precipitation levels, and demographic characteris­ tics. Cartographers prepare maps in either digital or graphic form, using information provided by geodetic surveys, aerial photographs, and satellite data. Photogrammetrists prepare detailed maps and drawings from aerial photographs, usually of areas that are inacces­ sible, difficult, or less cost-efficient to survey by other methods.  96 Occupational Outlook Handbook  ...  / trm,i After completing fieldwork, surveyors record the results of their survey as plots, maps, and reports.  cartographers spend virtually all of their time in offices and sel­ dom visit the sites they are mapping.  Employment Surveyors, cartographers, photogrammetrists, and surveying tech­ nicians held about 121,000 jobs in 2000. Engineering and archi­ tectural services firms employed about 63 percent of these workers. Federal, State, and local governmental agencies employed an additional 16 percent. Major Federal Government employers are the U.S. Geological Survey (USGS), the Bureau of Land Manage­ ment (BLM), the Army Corps of Engineers, the Forest Service (USFS), the National Oceanic and Atmospheric Administration (NOAA), the National Imagery and Mapping Agency (NIMA), and the Federal Emergency Management Agency (FEMA). Most surveyors in State and local government work for highway depart­ ments and urban planning and redevelopment agencies. Construc­ tion firms, mining and oil and gas extraction companies, and public utilities also employ surveyors, cartographers, photogrammetrists, and surveying technicians. About 5,000 were self-employed in 2000.  Map editors develop and verify map contents from aerial photo­ graphs and other reference sources. Some States require photogrammetrists to be licensed as Professional Land Surveyors. Some surveyors perform specialized functions that are closer to those of a cartographer than to those of a traditional surveyor. For example, geodetic surveyors use high-accuracy techniques, includ­ ing satellite observations (remote sensing), to measure large areas of the earth’s surface. Geophysical prospecting surveyors mark sites for subsurface exploration, usually petroleum related. Marine or hydrographic surveyors survey harbors, rivers, and other bodies of water to determine shorelines, topography of the bottom, water depth, and other features. The work of surveyors and cartographers is changing because of advancements in technology. These advancements include not only the GPS, but also new earth resources data satellites, improved aerial photography, and geographic information systems (GIS)—which are computerized data batiks of spatial data. From the older spe­ cialties of photogrammetrist and cartographer, a new type of map­ ping scientist is emerging. The geographic information specialist combines the functions of mapping science and surveying into a broader field concerned with the collection and analysis of geo­ graphic information.  Working Conditions Surveyors usually work an 8-hour day, 5 days a week, and may spend a lot of time outdoors. Sometimes they work longer hours during the summer, when weather and light conditions are most suitable for fieldwork. Seasonal demands for longer hours are re­ lated to demand for specific surveying services. Home purchases are traditionally related to the start and end of the school year; con­ struction is related to the materials to be used (concrete and asphalt are restricted by outside temperatures, unlike wood framing); and aerial photography is most effective when the leaves are off the _ trees. Land surveyors and technicians engage in active, and sometimes strenuous, work. They often stand for long periods, walk consider­ able distances, and climb hills with heavy packs of instruments and other equipment. They can also be exposed to all types of weather. Traveling often is part of the job; they may commute long distances, stay overnight, or temporarily relocate near a survey site. surveyors can spend considerable time indoors plan­ Digitized forWhile FRASER ning surveys, analyzing data, and preparing reports and maps, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Training, Other Qualifications, and Advancement Most people prepare for a career as a licensed surveyor by combin­ ing postsecondary school courses in surveying with extensive onthe-job training. However, as technology advances, a 4-year college degree is becoming more of a prerequisite. About 25 universities now offer 4-year programs leading to a B.S. degree in surveying. Junior and community colleges, technical institutes, and vocational schools offer 1-, 2-, and 3-year programs in both surveying and surveying technology. All 50 States and all U.S. territories (Puerto Rico, Guam, Marianna Islands, and Virgin Islands) license land surveyors. For licensure, most State licensing boards require that individuals pass a written examination given by the National Council of Examiners for Engineering and Surveying. Most States also require that sur­ veyors pass a written examination prepared by the State licensing board. In addition, they must meet varying standards of formal education and work experience in the field. In the past, many indi­ viduals started as members of survey crews and worked their way up to become licensed surveyors with little formal training in sur­ veying. However, because of advancing technology and rising licensing standards, formal education requirements are increas­ ing. At present, most States require some formal post-high school coursework and 10 to 12 years of surveying experience to gain licensure. However, requirements vary among States. Generally, the quickest route to licensure is a combination of 4 years of college, 2 to 4 years of experience (a few States do not require any), and passing the licensing examinations. An in­ creasing number of States require a bachelor’s degree in surveying or in a closely related field, such as civil engineering or forestry (with courses in surveying), regardless of the number of years of experience. High school students interested in surveying should take courses in algebra, geometry, trigonometry, drafting, mechanical drawing, and computer science. High school graduates with no formal train­ ing in surveying usually start as apprentices. Beginners with postsecondary school training in surveying usually can start as tech­ nicians or assistants. With on-the-job experience and formal train­ ing in surveying—either in an institutional program or from a correspondence school—workers may advance to senior survey tech­ nician, then to party chief, and in some cases, to licensed surveyor (depending on State licensing requirements).  Professional and Related Occupations 97  The National Society of Professional Surveyors, a member orga­ nization of the American Congress on Surveying and Mapping, has a voluntary certification program for surveying technicians. Techni­ cians are certified at four levels requiring progressive amounts of experience, in addition to the passing of written examinations. Al­ though not required for State licensure, many employers require cer­ tification for promotion to positions with greater responsibilities. Surveyors should have the ability to visualize objects, distances, sizes, and abstract forms. They must work with precision and accu­ racy because mistakes can be costly. Members of a survey party must be in good physical condition because they work outdoors and often carry equipment over difficult terrain. They need good eyesight, coordination, and hearing to communicate verbally and manually (using hand signals). Surveying is a cooperative process, so good interpersonal skills and the ability to work as part of a team are important. Good office skills are also essential. Surveyors must be able to research old deeds and other legal documents and pre­ pare reports that document their work. Cartographers and photogrammetrists usually have a bachelor’s degree in a field such as engineering, forestry, geography, or a physi­ cal science. Although it is possible to enter these positions through previous experience as a photogrammetric or cartographic techni­ cian, most cartographic and photogrammetric technicians now have had some specialized postsecondary school training. With the de­ velopment of GIS, cartographers and photogrammetrists need ad­ ditional education and stronger technical skills—including more experience with computers—than in the past. The American Society for Photogrammetry and Remote Sens­ ing has a voluntary certification program for photogrammetrists. To qualify for this professional distinction, individuals must meet work experience standards and pass an oral or written examination.  Job Outlook Overall employment of surveyors, cartographers, photogramme­ trists, and surveying technicians is expected to grow about as fast as the average for all occupations through the year 2010. The wide­ spread availability and use of advanced technologies, such as GPS, GIS, and remote sensing, are increasing both the accuracy and pro­ ductivity of survey, photogrammetric, and mapping work. How­ ever, job openings will continue to result from the need to replace workers who transfer to other occupations or leave the labor force altogether. Prospects will be best for surveying and mapping technicians, whose numbers are expected to grow slightly faster than the aver­ age for all occupations through 2010. The short training period needed to leam to operate the equipment, the current lack of any formal testing or licensing, and the relatively lower wages all make for a healthy demand for these technicians, as well as for a readily available supply. As technologies become more complex, opportunities will be best for surveyors, cartographers, and photogrammetrists who have at least a bachelor’s degree and strong technical skills. Increasing demand for geographic data, as opposed to traditional surveying services, will mean better opportunities for cartographers and pho­ togrammetrists involved in the development and use of geographic and land information systems. New technologies, such as GPS and GIS, also may enhance employment opportunities for surveyors and surveying technicians who have the educational background enabling them to use these systems, but upgraded licensing require­ ments will continue to limit opportunities for professional advance­ ment for those with less education. Opportunities for surveyors, cartographers, and photogramme­ Digitized for should FRASER trists remain concentrated in engineering, architectural, and https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  surveying services firms. However, nontraditional areas such as urban planning and natural resource exploration and mapping also should provide areas of employment growth, particularly with re­ gard to producing maps for management of natural emergencies and updating maps with the newly available technology. Contin­ ued growth in construction through 2010 should require surveyors to lay out streets, shopping centers, housing developments, facto­ ries, office buildings, and recreation areas, while setting aside flood plains, wetlands, wildlife habitats and environmentally sensitive areas for protection. However, employment may fluctuate from year to year along with construction activity, or mapping needs for land and resource management.  Earnings Median annual earnings of surveyors were $36,700 in 2000. The middle 50 percent earned between $26,480 and $49,030. The low­ est 10 percent earned less than $19,570, and the highest 10 percent earned more than $62,980. Median annual earnings of cartographers and photogrammetrists were $39,410 in 2000. The middle 50 percent earned between $29,200 and $51,930. The lowest 10 percent earned less than $23,560 and the highest 10 percent earned more than $64,780. Median hourly earnings of surveying and mapping technicians were $ 13.48 in 2000. The middle 50 percent of all surveying tech­ nicians earned between $10.46 and $17.81 in 2000. The lowest 10 percent earned less than $8.45, and the highest 10 percent earned more than $22.40. Median hourly earnings of surveying and map­ ping technicians employed in engineering and architectural services were $12.39 in 2000, while those employed by local governments had median hourly earnings of $15.77. In 2001, land surveyors in nonsupervisoiy, supervisory, and mana­ gerial positions in the Federal Government earned an average sal­ ary of $57,416; cartographers, $62,369; geodetic technicians, $53,143, surveying technicians, $34,623; and cartographic techni­ cians, $40,775.  Related Occupations Surveying is related to the work of civil engineers, architects, and landscape architects, because an accurate survey is the first step in land development and construction projects. Cartography and geo­ detic surveying are related to the work of environmental scientists and geoscientists, who study the earth’s internal composition, sur­ face, and atmosphere. Cartography also is related to the work of geographers and urban and regional planners, who study and de­ cide how the earth’s surface is to be used.  Sources of Additional Information Information about career opportunities, licensure requirements, and the surveying technician certification program is available from: >- National Society of Professional Surveyors, Suite #403,  6 Montgomery Village Ave., Gaithersburg, MD 20879. Internet: http ://www.acsm.net/nsps/index.html Information on a career as a geodetic surveyor is available from: >■ American Association of Geodetic Surveying (AAGS), Suite #403,  6 Montgomery Village Ave., Gaithersburg, MD 20879. Internet: http://www.acsm.net  General information on careers in photogrammetry and remote sensing is available from: >■ ASPRS: The Imaging and Geospatial Information Society, 5410 Grosvenor Lane, Suite 210, Bethesda, MD 20814-2160. Internet:  http://www.asprs.org  98 Occupational Outlook Handbook  Drafters and Engineering Technicians Drafters__ ____ ____________ ____ (0*NET 17-3011.01, 17-3011.02,17-3012.01, 17-3012.02, 17-3013.00)  Significant Points •  •  The type and quality of postsecondary drafting programs vary considerably; prospective students should be careful in selecting a program. Opportunities should be best for individuals who have at least 2 years of postsecondary training in drafting and considerable skill and experience using computeraided drafting (CAD) systems. Demand for particular drafting specializations varies geographically, depending on the needs of local  •  industry. Nature of the Work  Drafters prepare technical drawings and plans used by production and construction workers to build everything from manufactured products, such as toys, toasters, industrial machinery, or spacecraft, to structures, such as houses, office buildings, or oil and gas pipe­ lines. Their drawings provide visual guidelines, showing the tech­ nical details of the products and structures and specifying dimensions, materials to be used, and procedures and processes to be followed. Drafters fill in technical details, using drawings, rough sketches, specifications, codes, and calculations previously made by engineers, surveyors, architects, or scientists. For example, they use their knowledge of standardized building techniques to draw in the details of a structure. Some drafters use their knowledge of engineering and manufacturing theory and standards to draw the parts of a machine in order to determine design elements, such as the number and kind of fasteners needed to assemble it. They use technical handbooks, tables, calculators, and computers to do this. Traditionally, drafters sat at drawing boards and used pencils, pens, compasses, protractors, triangles, and other drafting devices to prepare a drawing manually. Most drafters now use computeraided drafting (CAD) systems to prepare drawings. Consequently, some drafters are referred to as CAD operators. CAD systems em­ ploy computer workstations to create a drawing on a video screen. The drawings are stored electronically so that revisions or duplica­ tions can be made easily. These systems also permit drafters to easily and quickly prepare variations of a design. Although draft­ ers use CAD extensively, it is only a tool. Persons who produce technical drawings using CAD still function as drafters, and need the knowledge of traditional drafters—relating to drafting skills and standards—in addition to CAD skills. Despite the near-uni­ versal use of CAD systems, manual drafting still is used in certain applications. Drafting work has many specialties, and titles may denote a par­ ticular discipline of design or drafting. Aeronautical drafters pre­ pare engineering drawings detailing plans and specifications used for the manufacture of aircraft, missiles, and related parts. Architectural drafters draw architectural and structural features of buildings and other structures. They may specialize by the type of structure, such as residential or commercial, or by the kind of  material used, such as reinforced concrete, masonry, steel, or timber. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  //■///  Drafters use computer-aided drafting systems to prepare drawings. Civil drafters prepare drawings and topographical and relief maps used in major construction or civil engineering projects, such as highways, bridges, pipelines, flood control projects, and water and sewage systems.  Electrical drafters prepare wiring and layout diagrams used by workers who erect, install, and repair electrical equipment and wir­ ing in communication centers, powerplants, electrical distribution systems, and buildings. Electronic drafters draw wiring diagrams, circuitboard assem­ bly diagrams, schematics, and layout drawings used in the manu­ facture, installation, and repair of electronic devices and components. Mechanical drafters prepare detail and assembly drawings of a wide variety of machinery and mechanical devices, indicating di­ mensions, fastening methods, and other requirements. Process piping or pipeline drafters prepare drawings used for layout, construction, and operation of oil and gas fields, refineries, chemical plants, and process piping systems.  Working Conditions  Drafters usually work in comfortable offices furnished to accommo­ date their tasks. They may sit at adjustable drawing boards or draft­ ing tables when doing manual drawings, although most drafters work  Professional and Related Occupations 99  at computer terminals much of the time. Because they spend long periods in front of computer terminals doing detailed work, draft­ ers may be susceptible to eyestrain, back discomfort, and hand and wrist problems. Employment Drafters held about 213,000 jobs in 2000. More than 40 percent of drafters worked in engineering and architectural services firms that design construction projects or do other engineering work on a con­ tract basis for organizations in other industries. Another 29 percent worked in durable goods manufacturing industries, such as machin­ ery, electrical equipment, and fabricated metals. The remainder were mostly employed in the construction; government; transportation, communications, and utilities; and personnel-supply services in­ dustries. About 10,000 were self-employed in 2000. Training, Other Qualifications, and Advancement Employers prefer applicants who have completed postsecondary school training in drafting, which is offered by technical institutes, community colleges, and some 4-year colleges and universities. Employers are most interested in applicants who have well-devel­ oped drafting and mechanical drawing skills; a knowledge of draft­ ing standards, mathematics, science, and engineering technology; and a solid background in computer-aided drafting and design tech­ niques. In addition, communication and problem-solving skills are important. Individuals planning careers in drafting should take courses in math, science, computer technology, design or computer graphics, and any high school drafting courses available. Mechanical ability and visual aptitude also are important. Prospective drafters should be able to draw three-dimensional objects as well as draw freehand. They also should do detailed work accurately and neatly. Artistic ability is helpful in some specialized fields, as is knowledge of manufacturing and construction methods. In addition, prospective drafters should have good interpersonal skills because they work closely with engineers, surveyors, architects, other professionals, and sometimes customers. Training and coursework differ somewhat within the drafting specialties. The initial training for each specialty is similar. All incorporate math and communication skills, for example, but coursework relating to the specialty varies. In an electronics draft­ ing program, for example, students learn the ways that electronic components and circuits are depicted in drawings. Entry-level or junior drafters usually do routine work under close supervision. After gaining experience, intermediate-level drafters progress to more difficult work with less supervision. They may be required to exercise more judgment and perform calculations when preparing and modifying drawings. Drafters may eventually ad­ vance to senior drafter, designer, or supervisor. Many employers pay for continuing education and, with appropriate college degrees, drafters may go on to become engineering technicians, engineers, or architects. Many types of publicly and privately operated schools provide some form of drafting training. The kind and quality of programs vary considerably. Therefore, prospective students should be care­ ful in selecting a program. They should contact prospective employers regarding their preferences and ask schools to provide information about the kinds of jobs obtained by graduates, type and condition of instructional facilities and equipment, and faculty qualifications. Technical institutes offer intensive technical training but less gen­ eral education than junior and community colleges. Certificates or diplomas based on completion of a certain number of course hours Digitized for be FRASER may rewarded. Many technical institutes offer 2-year associate https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  degree programs, which are similar to, or part of, the programs of­ fered by community colleges or State university systems. Other technical institutes are run by private, often for-profit, organiza­ tions, sometimes called proprietary schools. Their programs vary considerably in both length and type of courses offered. Community colleges offer curriculums similar to those in tech­ nical institutes but include more courses on theory and liberal arts. Often, there is little or no difference between technical institute and community college programs. However, courses taken at commu­ nity colleges are more likely to be accepted for credit at 4-year col­ leges than are those at technical institutes. After completing a 2-year associate degree program, graduates may obtain jobs as drafters or continue their education in a related field at 4-year colleges. Fouryear colleges usually do not offer drafting training, but college courses in engineering, architecture, and mathematics are useful for obtaining a job as a drafter. Area vocational-technical schools are postsecondary public institutions that serve local students and emphasize training needed by local employers. Many offer introductory drafting instruction. Most require a high school diploma, or its equivalent, for admission. Technical training obtained in the Armed Forces also can be applied in civilian drafting jobs. Some additional training may be necessary, depending on the technical area or military specialty. The American Design Drafting Association (ADDA) has estab­ lished a certification program for drafters. Although drafters usu­ ally are not required to be certified by employers, certification demonstrates that the understanding of nationally recognized prac­ tices and knowledge standards have been met. Individuals who wish to become certified must pass the Drafter Certification Test, which is administered periodically at ADDA-authorized testsites! Applicants are tested on their knowledge and understanding of ba­ sic drafting concepts such as geometric construction, working draw­ ings, and architectural terms and standards. Job Outlook Employment of drafters is expected to grow about as fast as the average for all occupations through 2010. Industrial growth and increasingly complex design problems associated with new prod­ ucts and manufacturing processes will increase the demand for draft­ ing services. Further, drafters are beginning to break out of the traditional drafting role and increasingly do work traditionally per­ formed by engineers and architects, thus increasing the need for drafters. However, the greater use of CAD equipment by drafters, as well as by architects and engineers, should limit demand for lesserskilled drafters. In addition to those created by employment growth, many job openings are expected to arise as drafters move to other occupations or leave the labor force. Opportunities should be best for individuals who have at least 2 years of postsecondary training in a drafting program that provides strong technical skills, and who have considerable skill and experi­ ence using CAD systems. CAD has increased the complexity of drafting applications while enhancing the productivity of drafters. It also has enhanced the nature of drafting by creating more possi­ bilities for design and drafting. As technology continues to ad­ vance, employers will look for drafters with a strong background in fundamental drafting principles, a higher level of technical sophis­ tication, and an ability to apply this knowledge to a broader range of responsibilities. Demand for particular drafting specialties varies throughout the country because employment usually is contingent upon the needs of local industry. Employment of drafters remains highly concen­ trated in industries that are sensitive to cyclical changes in the economy, such as engineering and architectural services and durable-goods manufacturing. During recessions, drafters may be  100 Occupational Outlook Handbook  laid off. However, a growing number of drafters should continue to be employed on a temporary or contract basis, as more compa­ nies turn to the personnel-supply services industry to meet their changing needs. Earnings Earnings for drafters vary by specialty and level of responsibility. Median hourly earnings of architectural and civil drafters were $16.93 in 2000. The middle 50 percent earned between $13.79 and $20.86. The lowest 10 percent earned less than $11.18, and the highest 10 percent earned more than $26.13. Median hourly earn­ ings of architectural and civil drafters in engineering and architec­ tural services in 2000 were $16.75. Median hourly earnings of electrical and electronics drafters were $18.37 in 2000. The middle 50 percent earned between $14.19 and $23.76. The lowest 10 percent earned less than $11.30, and the highest 10 percent earned more than $29.46. In engineering and architectural services, the average hourly earnings for electrical and electronics drafters were $17.30. Median hourly earnings of mechanical drafters were $18.19 in 2000. The middle 50 percent earned between $14.43 and $23.20. The lowest 10 percent earned less than $11.70, and the highest 10 percent earned more than $28.69. The average hourly earnings for mechanical drafters in engineering and architectural services were $16.98. Related Occupations Other workers who prepare or analyze detailed drawings and make precise calculations and measurements include architects, except landscape and naval; landscape architects; designers; engineers; en­ gineering technicians; science technicians; and surveyors, cartog­ raphers, photogrammetrists, and surveying technicians. Sources of Additional Information Information on schools offering programs in drafting and related fields is available from: >- Accrediting Commission of Career Schools and Colleges of Technology, 2101 Wilson Blvd., Suite 302, Arlington, VA 22201. Internet: http://www.accsct.org  Information about certification is available from: >- American Design Drafting Association, P.O. Box 11937, Columbia, SC 29211. Internet: http://www.adda.org  Engineering Technicians__ ______ (0*NET 17-3021.00, 17-3022.00, 17-3023.01, 17-3023.02, 17-3023.03, 17-3024.00, 17-3025.00, 17-3026.00, 17-3027.00)  Significant Points •  Electrical and electronic engineering technicians make up about 45 percent of all engineering technicians.  •  Because the type and quality of training programs vary considerably, prospective students should carefully investigate training programs before enrolling. Opportunities will be best for individuals with an associate degree or extensive job training in engineering technology.  •  Nature of the Work  Digitized Engineering for FRASER technicians use the principles and theories of science, engineering, and mathematics to solve technical problems in research https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  and development, manufacturing, sales, construction, inspection, and maintenance. Their work is more limited in scope and more practically oriented than that of scientists and engineers. Many en­ gineering technicians assist engineers and scientists, especially in research and development. Others work in quality control—inspect­ ing products and processes, conducting tests, or collecting data. In manufacturing, they may assist in product design, development, or production. Although many workers who repair or maintain vari­ ous types of electrical, electronic, or mechanical equipment often are called technicians, these workers are covered in the Handbook section on installation, maintenance, and repair occupations. Engineering technicians who work in research and development build or set up equipment, prepare and conduct experiments, col­ lect data, calculate or record the results, and help engineers or sci­ entists in other ways, such as making prototype versions of newly designed equipment. They also assist in design work, often using computer-aided design equipment. Most engineering technicians specialize in certain areas, learn­ ing skills and working in the same disciplines as engineers. Occu­ pational titles, therefore, tend to follow the same structure as those of engineers. Aerospace engineering and operations technicians install, con­ struct, maintain, and test systems used to test, launch, or track air­ craft and space vehicles. They may calibrate test equipment and determine the cause of equipment malfunctions. Using computer and communications systems, aerospace engineering and operations technicians often record and interpret test data. Chemical engineering technicians usually are employed in in­ dustries producing pharmaceuticals, chemicals, and petroleum prod­ ucts, among others. They work in laboratories as well as processing plants. They help develop new chemical products and processes, test processing equipment and instrumentation, gather data, and monitor quality. Civil engineering technicians help civil engineers plan and build highways, buildings, bridges, dams, wastewater treatment systems, and other structures, and perform related surveys and studies. Some estimate construction costs and specify materials to be used, and some may even prepare drawings or perform land-surveying duties. Others may set up and monitor instruments used to study traffic conditions. (Separate statements on cost estimators; drafters; and surveyors, cartographers, photogrammetrists, and surveying tech­ nicians can be found elsewhere in the Handbook.) Electrical and electronics engineering technicians help design, develop, test, and manufacture electrical and electronic equipment such as communication equipment, radar, industrial and medical measuring or control devices, navigational equipment, and com­ puters. They may work in product evaluation and testing, using measuring and diagnostic devices to adjust, test, and repair equip­ ment. (Workers who only repair electrical and electronic equip­ ment are discussed in the statement on electrical and electronics installers and repairers found elsewhere in the Handbook. Many of these repairers often are referred to as electronics technicians.) Electrical and electronic engineering technology is also applied to a wide variety of systems such as communications and process controls. Electromechanical engineering technicians combine fun­ damental principles of mechanical engineering technology with knowledge of electrical and electronic circuits to design, develop, test, and manufacture electrical and computer-controlled mechani­ cal systems. Environmental engineering technicians work closely with en­ vironmental engineers and scientists in developing methods and devices used in the prevention, control, or correction of environ­ mental hazards. They inspect and maintain equipment affecting air pollution and recycling. Some inspect water and wastewater  Professional and Related Occupations 101  — wmm  Some engineering technicians help engineers by setting up equipment and conducting experiments. treatment systems to ensure that pollution control requirements are met. Industrial engineering technicians study the efficient use of per­ sonnel, materials, and machines in factories, stores, repair shops, and offices. They prepare layouts of machinery and equipment, plan the flow of work, make statistical studies, and analyze produc­ tion costs. Mechanical engineering technicians help engineers design, de­ velop, test, and manufacture industrial machinery, consumer prod­ ucts, and other equipment. They may assist in product tests—by setting up instrumentation for auto crash tests, for example. They may make sketches and rough layouts, record data, make compu­ tations, analyze results, and write reports. When planning pro­ duction, mechanical engineering technicians prepare layouts and drawings of the assembly process and of parts to be manufactured. They estimate labor costs, equipment life, and plant space. Some test and inspect machines and equipment in manufacturing departments or work with engineers to eliminate production problems. Working Conditions Most engineering technicians work at least 40 hours a week in labo­ ratories, offices, or manufacturing or industrial plants, or on con­ struction sites. Some may be exposed to hazards from equipment, chemicals, or toxic materials. Employment Engineering technicians held about 519,000 jobs in 2000. About 233,000 of these were electrical and electronics engineering tech­ nicians. About 35 percent of all engineering technicians worked in durable goods manufacturing, mainly in the electrical and electronic equipment, industrial machinery and equipment, instruments and related products, and transportation equipment industries. Another 26 percent worked in service industries, mostly in engineering or business services companies that do engineering work on contract for government, manufacturing firms, or other organizations. In 2000, the Federal Government employed about 23,000 engi­ neering technicians. The major employer was the Department of Defense, followed by the Departments of Transportation, Agricul­ ture, and Interior, the Tennessee Valley Authority, and the National Aeronautics and Space Administration. State governments em­  ployed about 22,000, and local governments, about 21,000. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Training, Other Qualifications, and Advancement Although it may be possible to qualify for a few engineering tech­ nician jobs without formal training, most employers prefer to hire someone with at least a 2-year associate degree in engineering tech­ nology. Training is available at technical institutes, community colleges, extension divisions of colleges and universities, public and private vocational-technical schools, and the Armed Forces. Persons with college courses in science, engineering, and math­ ematics may qualify for some positions but may need additional specialized training and experience. Although employers usually do not require engineering technicians to be certified, such certifi­ cation may provide jobseekers a competitive advantage. Prospective engineering technicians should take as many high school science and math courses as possible to prepare for postsecondary programs in engineering technology. Most 2-year associate degree programs accredited by the Technology Accredi­ tation Commission of the Accreditation Board for Engineering and Technology (TAC/ABET) require, at a minimum, college algebra and trigonometry, and one or two basic science courses. Depend­ ing on the specialty, more math or science may be required. The type of technical courses required also depends on the spe­ cialty. For example, prospective mechanical engineering techni­ cians may take courses in fluid mechanics, thermodynamics, and mechanical design; electrical engineering technicians may take classes in electric circuits, microprocessors, and digital electronics; and those preparing to work in environmental engineering technol­ ogy need courses in environmental regulations and safe handling of hazardous materials. Because many engineering technicians may assist in design work, creativity is desirable. Good communication skills and the ability to work well with others also is important because these workers often are part of a team of engineers and other technicians. Engineering technicians usually begin by performing routine duties under the close supervision of an experienced technician, technologist, engineer, or scientist. As they gain experience, they are given more difficult assignments with only general supervision. Some engineering technicians eventually become supervisors. Many publicly and privately operated schools provide technical training; the type and quality ofprograms vary considerably. There­ fore, prospective students should be careful in selecting a program. They should contact prospective employers regarding their prefer­ ences and ask schools to provide information about the kinds of jobs obtained by graduates, instructional facilities and equipment, and faculty qualifications. Graduates of ABET-accredited programs usually are recognized to have achieved an acceptable level of com­ petence in the mathematics, science, and technical courses required for this occupation. Technical institutes offer intensive technical training through ap­ plication and practice, but less theory and general education than community colleges. Many offer 2-year associate degree programs, and are similar to or part of a community college or State university system. Other technical institutes are run by private, often for-profit, organizations, sometimes called proprietary schools. Their programs vary considerably in length and types of courses offered, although some are 2-year associate degree programs. Community colleges offer curriculums that are similar to those in technical institutes, but that may include more theory and lib­ eral arts. Often there may be little or no difference between tech­ nical institute and community college programs, as both offer associate degrees. After completing the 2-year program, some graduates get jobs as engineering technicians, while others con­ tinue their education at 4-year colleges. However, there is a dif­ ference between an associate degree in pre-engineering and one in engineering technology. Students who enroll in a 2-year pre-  102 Occupational Outlook Handbook  engineering program may find it very difficult to find work as an engineering technician should they decide not to enter a 4-year engineering program, because pre-engineering programs usually focus less on hands-on applications and more on academic prepa­ ratory work. Conversely, graduates of 2-year engineering tech­ nology programs may not receive credit for many of the courses they have taken if they choose to transfer to a 4-year engineering program. Colleges with these 4-year programs usually do not of­ fer engineering technician training, but college courses in science, engineering, and mathematics are useful for obtaining a job as an engineering technician. Many 4-year colleges offer bachelor s degrees in engineering technology, but graduates of these programs often are hired to work as technologists or applied engineers, not technicians. Area vocational-technical schools, another source of technical training, include postsecondary public institutions that serve local students and emphasize training needed by local employers. Most require a high school diploma or its equivalent for admission. Other training in technical areas may be obtained in the Armed Forces. Many military technical training programs are highly re­ garded by employers. However, skills acquired in military programs are often narrowly focused, so they may not be useful in civilian industry, which often requires broader training. Therefore, some additional training may be needed, depending on the acquired skills and the kind of job. The National Institute for Certification in Engineering Technolo­ gies (NICET) has established a voluntary certification program for engineering technicians. Certification is available at various lev­ els, each level combining a written examination in 1 of more than 30 specialties with a certain amount of job-related experience, a supervisory evaluation, and a recommendation.  Job Outlook  Opportunities will be best for individuals with an associate degree or extensive job training in engineering technology. As technology becomes more sophisticated, employers continue to look for tech­ nicians who are skilled in new technology and require a minimum of additional job training. An increase in the number ofjobs affect­ ing public health and safety should create job opportunities for cer­ tified engineering technicians. Overall employment of engineering technicians is expected to increase about as fast as the average for all occupations through 2010. As production of technical products continues to grow, com­ petitive pressures will force companies to improve and update manu­ facturing facilities and product designs more rapidly than in the past. However, the growing availability and use of advanced tech­ nologies, such as computer-aided design and drafting and computer simulation, will continue to increase productivity and limit job growth. In addition to growth, many job openings will stem from the need to replace technicians who retire or leave the labor force. Like engineers, employment of engineering technicians is in­ fluenced by local and national economic conditions. As a result, the employment outlook varies with industry and specialization. Some types of engineering technicians, such as civil engineering and aerospace engineering and operations technicians, experience greater cyclical fluctuations in employment than do others. Increas­ ing demand for more sophisticated electrical and electronic prod­ ucts, as well as the expansion of these products and systems into all areas of industry and manufacturing processes, will contribute to average growth in the largest specialty electrical and electron­ ics engineering technicians. At the same time, new specializations will contribute to growth among all other engineering technicians;  fire protection engineering, water quality control, and environmental https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  technology are some of many new specialties for which demand is increasing.  Earnings Median annual earnings of electrical and electronics engineering technicians were $40,020 in 2000. The middle 50 percent earned between $31,570 and $49,680. The lowest 10 percent earned less than $25,210, and the highest 10 percent earned more than $58,320. Median annual earnings in the industries employing the largest num­ bers of electrical and electronics engineering technicians in 2000 are shown below. Federal Government................................. Telephone communication....................... Engineering and architectural services . Electrical goods........................................ Electronic components and accessories  $50,000 45,640 40,690 38,120 35,500  Median annual earnings of civil engineering technicians were $35,990 in 2000. The middle 50 percent earned between $27,810 and $44,740. The lowest 10 percent earned less than $21,830, and the highest 10 percent earned more than $54,770. Median annual earnings in the industries employing the largest numbers of civil engineering technicians in 2000 are shown below. Local government.................................... Engineering and architectural services State government.....................................  $39,080 36,670 32,160  In 2000, the average annual salary for aerospace engineering and operations technicians in the aircraft and parts industry was $53,340, and the average annual salary for environmental engineer­ ing technicians in engineering and architectural services was $29,960. The average annual salary for industrial engineering tech­ nicians in computer and data processing services and electric com­ ponents and accessories was $73,320 and $36,300, respectively. In engineering and architectural services, the average annual salary for mechanical engineering technicians was $40,580.  Related Occupations Engineering technicians apply scientific and engineering principles usually acquired in postsecondary programs below the baccalaure­ ate level. Similar occupations include science technicians; draft­ ers; surveyors, cartographers, photogrammetrists, and surveying technicians; and broadcast and sound engineering technicians and radio operators.  Sources of Additional Information For $3.50, a full package of guidance materials and information (product number SP-01) on a variety of engineering technician and technology careers is available from: >- Junior Engineering Technical Society (JETS), 1420 King St., Suite 405, Alexandria, VA 22314-2794. Free information is available on the JETS Internet site: http://www.jets.org  Information on ABET-accredited engineering technology pro­ grams is available from: >- Accreditation Board for Engineering and Technology, Inc., Ill Market Place, Suite 1050, Baltimore, MD 21202. Internet: http://www.abet.org  Information on certification of engineering technicians is avail­ able from:  >- National Institute for Certification in Engineering Technologies (NICET), 1420 King St., Alexandria, VA 22314-2794. Internet: http://www.nicet.org  Professional and Related Occupations 103  Engineers (0*NET 17-2011.00, 17-2021.00, 17-2031.00, 17-2041.00, 17-2051.00, 17-2061.00, 17-2071.00, 17-2072.00, 17-2081.00, 17-2111.01, 17­ 2111.02, 17-2111.03, 17-2112.00, 17-2121.01, 17-2121.02, 17-2131.00, 17-2141.00, 17-2151.00, 17-2161.00, 17-2171.00, 17-2199.99)  Significant Points •  Overall job opportunities in engineering are expected to be good, but to vary by specialty.  •  A bachelor’s degree is required for most entry-level jobs.  •  Starting salaries are significantly higher than those of college graduates in other fields.  •  Continuing education is critical to keep abreast of the latest technology.  Nature of the Work Engineers apply the theories and principles of science and math­ ematics to research and develop economical solutions to technical problems. Their work is the link between perceived social needs and commercial applications. Engineers design products, machin­ ery to build those products, factories in which those products are made, and the systems that ensure the quality of the products and efficiency of the workforce and manufacturing process. Engineers design, plan, and supervise the construction of buildings, highways, and transit systems. They develop and implement improved ways to extract, process, and use raw materials, such as petroleum and natural gas. They develop new materials that both improve the performance of products and take advantage of advances in tech­ nology. They harness the power of the sun, the Earth, atoms, and electricity for use in supplying the Nation’s power needs, and cre­ ate millions of products using power. They analyze the impact of the products they develop or the systems they design on the envi­ ronment and people using them. Engineering knowledge is ap­ plied to improving many things, including the quality of health care, the safety of food products, and the efficient operation of financial systems. Engineers consider many factors when developing a new prod­ uct. For example, in developing an industrial robot, engineers de­ termine precisely what function the robot needs to perform; design and test the robot’s components; fit the components together in an integrated plan; and evaluate the design’s overall effectiveness, cost, reliability, and safety. This process applies to many different prod­ ucts, such as chemicals, computers, gas turbines, helicopters, and toys. In addition to design and development, many engineers work in testing, production, or maintenance. These engineers supervise pro­ duction in factories, determine the causes of breakdowns, and test manufactured products to maintain quality. They also estimate the time and cost to complete projects. Some move into engineering management or into sales. In sales, an engineering background en­ ables them to discuss technical aspects and assist in product plan­ ning, installation, and use. (See the statements on engineering and natural sciences managers and sales engineers elsewhere in the  Handbook.) https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Most engineers specialize. More than 25 major specialties are recognized by professional societies, and the major branches have numerous subdivisions. Some examples include structural, environmental, and transportation engineering, which are sub­ divisions of civil engineering; and ceramic, metallurgical, and polymer engineering, which are subdivisions of materials engi­ neering. Engineers also may specialize in one industry, such as motor vehicles, or in one field of technology, such as turbines or semiconductor materials. This statement, which contains an overall discussion of engi­ neering, is followed by separate statements on 14 engineering branches: aerospace; agricultural; biomedical; chemical; civil; com­ puter hardware; electrical and electronics, except computer; envi­ ronmental; industrial, including health and safety; materials; mechanical; mining and geological, including mining safety; nuclear; and petroleum engineering. (Computer software engineers are dis­ cussed elsewhere in the Handbook.) Some branches of engineer­ ing not covered in detail in the Handbook, but for which there are established college programs, include architectural engineering— the design of a building’s internal support structure; and marine engineering—the design and installation of ship machinery and pro­ pulsion systems. Engineers in each branch have a base of knowledge and training that can be applied in many fields. Electronics engineers, for example, work in the medical, computer, communications, and mis­ sile guidance fields. Because there are many separate problems to solve in a large engineering project, engineers in one field often work closely with specialists in other scientific, engineering, and business occupations. Engineers use computers to produce and analyze designs; to simu­ late and test how a machine, structure, or system operates; and to generate specifications for parts. New communications technolo­ gies using computers are changing the way engineers work on de­ signs. Engineers can collaborate on designs with other engineers around the country or even abroad, using the Internet or related communications systems. Many engineers also use computers to monitor product quality and control process efficiency. They spend a great deal of time writing reports and consulting with other engi­ neers, as complex projects often require an interdisciplinary team of engineers. Supervisory engineers are responsible for major com­ ponents or entire projects. Working Conditions Most engineers work in office buildings, laboratories, or industrial plants. Others may spend time outdoors at construction sites, mines, and oil and gas exploration and production sites, where they moni­ tor or direct operations or solve onsite problems. Some engineers travel extensively to plants or worksites. Many engineers work a standard 40-hour week. At times, dead­ lines or design standards may bring extra pressure to a job. When this happens, engineers may work longer hours and experience con­ siderable stress. Employment  In 2000, engineers held 1.5 million jobs. The following tabulation shows the distribution of employment by engineering specialty.  104 Occupational Outlook Handbook  Employment  Percent  ..  1,465,000  100  Electrical and electronics............................. ..  288,000 232,000 221,000 198,000 60,000 52,000 50,000 33,000 33,000 14,000 9,000 7,200  20 16 15 14 4 4 3 2 2 1 1 <1  6,500 5,100 2,400 253,000  <1 <1 <1 17  Specialty  Civil....................................................... .. Mechanical...................................................... .. Industrial, including health and safety...... .. Computer hardware....................................... ..  .. Aerospace.............................................. Chemical................................................ Materials................................................ Nuclear.................................................. Petroleum............................................... ... Biomedical............................................. ... Mining and geological, including mining safety............................................. ... Marine engineers and naval architects..... ... All other engineers.......................................  Almost half of all wage and salary engineering jobs were found in manufacturing industries, such as transportation equipment, elec­ trical and electronic equipment, industrial machinery, and instru­ ments and related products. About 401,000 wage and salary jobs were in services industries, primarily in engineering and architec­ tural services, research and testing services, and business services, where firms designed construction projects or did other engineer­ ing work on a contractual basis. Engineers also worked in the con­ struction and transportation, communications and utilities industries. Federal, State, and local governments employed about 179,000 engineers in 2000. Almost half of these were in the Federal Gov­ ernment, mainly in the Departments of Defense, Transportation, Ag­ riculture, Interior, and Energy, and in the National Aeronautics and Space Administration. Most engineers in State and local govern­ ment agencies worked in highway and public works depart­ ments. In 2000, about 43,000 engineers were self-employed, many as consultants. Engineers are employed in every State, in small and large cities, and in rural areas. Some branches of engineering are concentrated in particular industries and geographic areas, as discussed later in this chapter. Training, Other Qualifications, and Advancement A bachelor’s degree in engineering is required for almost all entrylevel engineering jobs. College graduates with a degree in a physi­ cal science or mathematics occasionally may qualify for some engineering jobs, especially in specialties in high demand. Most engineering degrees are granted in electrical, electronics, mechani­ cal, or civil engineering. However, engineers trained in one branch may work in related branches. For example, many aerospace engi­ neers have training in mechanical engineering. This flexibility al­ lows employers to meet staffing needs in new technologies and specialties in which engineers are in short supply. It also allows engineers to shift to fields with better employment prospects or to those that more closely match their interests. Most engineering programs involve a concentration of study in an engineering specialty, along with courses in both mathematics and science. Most programs include a design course, sometimes accompanied by a computer or laboratory class or both. In addition to the standard engineering degree, many colleges offer 2- or 4-year degree programs in engineering technology. These programs, which usually include various hands-on laboratory classes that focus on current issues, prepare students for practical design and production work, rather than for jobs which require more theo­ Digitizedretical for FRASER and scientific knowledge. Graduates of 4-year technology https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  programs may get jobs similar to those obtained by graduates with a bachelor’s degree in engineering. Engineering technology gradu­ ates, however, are not qualified to register as professional engineers under the same terms as graduates with degrees in engineering. Some employers regard technology program graduates as having skills between those of a technician and an engineer. Graduate training is essential for engineering faculty positions and many research and development programs, but is not required for the majority of entry-level engineering jobs. Many engineers obtain graduate degrees in engineering or business administration to learn new technology and broaden their education. Many high-level ex­ ecutives in government and industry began their careers as engineers. About 330 colleges and universities offer bachelor’s degree pro­ grams in engineering that are accredited by the Accreditation Board for Engineering and Technology (ABET), and about 250 colleges offer accredited bachelor’s degree programs in engineering tech­ nology. ABET accreditation is based on an examination of an engi­ neering program’s student achievement, program improvement, faculty, curricular content, facilities, and institutional commitment. Although most institutions offer programs in the major branches of engineering, only a few offer programs in the smaller specialties. Also, programs of the same title may vary in content. For example, some programs emphasize industrial practices, preparing students for a job in industry, whereas others are more theoretical and are designed to prepare students for graduate work. Therefore, stu­ dents should investigate curricula and check accreditations care­ fully before selecting a college. Admissions requirements for undergraduate engineering schools include a solid background in mathematics (algebra, geometry, trigo­ nometry, and calculus) and sciences (biology, chemistry, and phys­ ics), and courses in English, social studies, humanities, and computers. Bachelor’s degree programs in engineering typically are designed to last 4 years, but many students find that it takes between 4 and 5 years to complete their studies. In a typical 4-year college curriculum, the first 2 years are spent studying mathemat­ ics, basic sciences, introductory engineering, humanities, and so­ cial sciences. In the last 2 years, most courses are in engineering, usually with a concentration in one branch. For example, the last 2 years of an aerospace program might include courses in fluid me­ chanics, heat transfer, applied aerodynamics, analytical mechanics, flight vehicle design, trajectory dynamics, and aerospace propul­ sion systems. Some programs offer a general engineering curricu­ lum; students then specialize in graduate school or on the job. Some engineering schools and 2-year colleges have agreements whereby the 2-year college provides the initial engineering educa­ tion, and the engineering school automatically admits students for their last 2 years. In addition, a few engineering schools have arrange­ ments whereby a student spends 3 years in a liberal arts college study­ ing pre-engineering subjects and 2 years in an engineering school studying core subjects, and then receives a bachelor’s degree from each school. Some colleges and universities offer 5-year master’s degree programs. Some 5- or even 6-year cooperative plans com­ bine classroom study and practical work, permitting students to gain valuable experience and finance part of their education. All 50 States and the District of Columbia usually require licensure for engineers who offer their services directly to the public. Engineers who are licensed are called Professional Engineers (PE). This licensure gen­ erally requires a degree from an ABET-accredited engineering pro­ gram, 4 years of relevant work experience, and successful completion of a State examination. Recent graduates can start the licensing pro­ cess by taking the examination in two stages. The initial Fundamen­ tals of Engineering (FE) examination can be taken upon graduation. Engineers who pass this examination commonly are called Engineers in Training (EIT) or Engineer Interns (El). The EIT certification  Professional and Related Occupations 105  usually is valid for 10 years. After acquiring suitable work experi­ ence, EITs can take the second examination, the Principles and Prac­ tice of Engineering Exam. Several States have imposed mandatory continuing education requirements for relicensure. Most States rec­ ognize licensure from other States. Many civil, electrical, mechani­ cal, and chemical engineers are licensed as PEs. Engineers should be creative, inquisitive, analytical, and detailoriented. They should be able to work as part of a team and to communicate well, both orally and in writing. Communication abili­ ties are becoming more important because much of their work is becoming more diversified, meaning that engineers interact with specialists in a wide range of fields outside engineering. Beginning engineering graduates usually work under the super­ vision of experienced engineers and, in large companies, also may receive formal classroom or seminar-type training. As new engi­ neers gain knowledge and experience, they are assigned more diffi­ cult projects with greater independence to develop designs, solve problems, and make decisions. Engineers may advance to become technical specialists or to supervise a staff or team of engineers and technicians. Some may eventually become engineering managers or enter other managerial or sales jobs. (See the statements under management and business and financial operations occupations, and sales and related occupations elsewhere in the Handbook.) Job Outlook Overall engineering employment is expected to increase more slowly than the average for all occupations. However, overall job opportu­ nities in engineering are expected to be good through 2010 because the number of engineering degrees granted is not expected to increase significantly over the 2000-10 period. Proj ected employment growth and, thus, job opportunities vary by specialty, ranging from a decline in employment of mining and geological engineers to faster-than-average growth among environmental engineers. Competitive pressures and advancing technology will force companies to improve and update product designs and to optimize their manufacturing processes. Employers will rely on engineers to further increase productivity, as investment in plant and equipment increases to expand output of goods and services. New computer and communications systems have improved the design process, enabling engineers to produce and ana­ lyze various product designs much more rapidly than in the past and to collaborate on designs with other engineers throughout the world. Despite these widespread applications, computer technology is not expected to limit employment opportunities. Finally, additional en­ gineers will be needed to improve or build new roads, bridges, water and pollution control systems, and other public facilities. Many engineering jobs are related to developing technologies used in national defense. Because defense expenditures—particu­ larly expenditures for aircraft, missiles, and other weapons systems— are not expected to return to previously high levels, job outlook may not be as favorable for engineers working in defense-related fields although defense expenditures are expected to increase. The number of bachelor’s degrees awarded in engineering be­ gan declining in 1987 and has continued to stay at about the same level through much of the 1990s. The total number of graduates from engineering programs is not expected to increase significantly over the projection period. Although only a relatively small proportion of engineers leaves the profession each year, many job openings will arise from replace­ ment needs. A greater proportion of replacement openings is cre­ ated by engineers who transfer to management, sales, or other professional occupations than by those who leave the labor force. Most industries are less likely to lay off engineers than other workers. Many engineers work on long-term research and devel­  opment projects or in other activities that continue even during https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  economic slowdowns. In industries such as electronics and aero­ space, however, large cutbacks in defense expenditures and gov­ ernment research and development funds, as well as the trend toward contracting out engineering work to engineering services firms, have resulted in significant layoffs for engineers. It is important for engineers, like those working in other techni­ cal occupations, to continue their education throughout their ca­ reers because much of their value to their employer depends on their knowledge of the latest technology. Although the pace of tech­ nological change varies by engineering specialty and industry, ad­ vances in technology have significantly affected every engineering discipline. Engineers in high-technology areas, such as advanced electronics or information technology, may find that technical knowl­ edge can become obsolete rapidly. Even those who continue their education are vulnerable to layoffs if the particular technology or product in which they have specialized becomes obsolete. By keep­ ing current in their field, engineers are able to deliver the best solu­ tions and greatest value to their employers. Engineers who have not kept current in their field may find themselves passed over for promotions or vulnerable to layoffs, should they occur. On the other hand, it often is these high-technology areas that offer the greatest challenges, the most interesting work, and the highest salaries. Therefore, the choice of engineering specialty and employer involves an assessment not only of the potential rewards but also of the risk of technological obsolescence. Related Occupations Engineers apply the principles of physical science and mathematics in their work. Other workers who use scientific and mathematical principles include architects, except landscape and naval; engineer­ ing and natural sciences managers; computer and information sys­ tems managers; mathematicians; drafters; engineering technicians; sales engineers; science technicians; and physical and life scien­ tists, including agricultural and food scientists, biological and medi­ cal scientists, conservation scientists and foresters, atmospheric scientists, chemists and materials scientists, environmental scien­ tists and geoscientists, and physicists and astronomers. Sources of Additional Information High school students interested in obtaining a full package of guid­ ance materials and information (product number SP-01) on a vari­ ety of engineering disciplines should contact the Junior Engineering Technical Society by sending $3.50 to: >■ JETS-Guidance, 1420 King St., Suite 405, Alexandria, VA 22314-2794. Internet: http://www.jets.org  High school students interested in obtaining information on ABET-accredited engineering programs should contact: >■ The Accreditation Board for Engineering and Technology, Inc., Ill Market Place, Suite 1050, Baltimore, MD 21202-4012. Internet: http://www.abet.org  Non-licensed engineers and college students interested in obtaining information on Professional Engineer licensure should contact: > The National Society of Professional Engineers, 1420 King St., Alexan­ dria, VA 22314-2794. Internet: http://www.nspe.org ► National Council of Examiners for Engineers and Surveying, P.O. Box 1686, Clemson, SC 29633-1686. Internet: http://www.ncees.org  Information on general engineering education and career re­ sources is available from: >- American Society for Engineering Education, 1818 N St. NW., Suite 600, Washington, DC 20036-2479. Internet: http://www.asee.org  Information on obtaining an engineering position with the Fed­ eral Government is available from the Office of Personnel Manage­ ment (OPM) through a telephone-based system. Consult your telephone directory under U.S. Government for a local number or  106 Occupational Outlook Handbook  call (912) 757-3000; Federal Relay Service: (800) 877-8339. The first number is not tollffee, and charges may result. Information also is available from the OPM Internet site: http://www.usajobs.opm.gov. Non-high school students and those wanting more detailed in­ formation should contact societies representing the individual branches of engineering. Each can provide information about careers in the particular branch. The individual statements that follow also provide other information in detail on aerospace; agricultural; bio­ medical; chemical; civil; computer hardware; electrical and elec­ tronics, except computer; environmental; industrial, including health and safety; materials; mechanical; mining and geological, including mining safety; nuclear; and petroleum engineering.  Aerospace Engineers (0*NET 17-2011.00)  Nature of the Work Aerospace engineers are responsible for developing extraordinary machines, from airplanes that weigh over a half a million pounds to spacecraft that travel over 17,000 miles an hour. They design, develop, and test aircraft, spacecraft, and missiles and supervise the manufacturing of these products. Aerospace engineers who work with aircraft are considered aeronautical engineers, and those working specifically with spacecraft are considered astronautical engineers. Aerospace engineers develop new technologies for use in avia­ tion, defense systems, and space exploration, often specializing in areas such as structural design, guidance, navigation and control, instrumentation and communication, or production methods. They often use Computer-Aided Design (CAD), robotics, and lasers and advanced electronic optics to assist them. They also may special­ ize in a particular type of aerospace product, such as commercial transports, military fighter jets, helicopters, spacecraft, or missiles and rockets. Aerospace engineers may be experts in aerodynamics, ....... ^  Employment Aerospace engineers held about 50,000 jobs in 2000. Almost onehalf worked in the aircraft and parts and guided missile and space vehicle manufacturing industries. Federal Government agencies, primarily the Department of Defense and the National Aeronautics and Space Administration, provided almost 15 percent of jobs. Engineering and architectural services, research and testing services, and search and navigation equipment firms accounted for most of the remaining jobs. Job Outlook Employment of aerospace engineers is expected to grow about as fast as the average for all occupations through 2010. The decline in Defense Department expenditures for military aircraft, missiles, and other aerospace systems has restricted defense-related employment opportunities in recent years. However, an expected increase in defense spending in these areas may result in increased employ­ ment of aerospace engineers in defense-related areas during the 2000-10 period. Demand should increase for aerospace engineers to design and produce civilian aircraft, due to the need to accom­ modate increasing passenger traffic and to replace much of the present fleet with quieter and more fuel-efficient aircraft. Addi­ tional opportunities for aerospace engineers will be created with aircraft manufacturers to search for ways to use existing technol­ ogy for new purposes. Some employment opportunities also will occur in industries not typically associated with aerospace, such as motor vehicles. Most job openings, however, will result from the need to replace aerospace engineers who transfer to other occupa­ tions or leave the labor force. Earnings Median annual earnings of aerospace engineers were $67,930 in 2000. The middle 50 percent earned between $56,410 and $82,570. The lowest 10 percent earned less than $47,700, and the highest 10 percent earned more than $94,310. Median annual earnings in the industries employing the largest numbers of aerospace engineers in 2000 were: Federal Government.............................................................................. Search and navigation equipment....................................................... Aircraft and parts.................................................................................. Guided missiles, space vehicles, and parts......................................  $74,170 71,020 68,230 65,830  According to a 2001 salary survey by the National Association of Colleges and Employers, bachelor’s degree candidates in aero­ space engineering received starting offers averaging $46,918 a year, master’s degree candidates were offered $59,955, and Ph.D. candi­ dates were offered $64,167. Sources of Additional Information For further information about aerospace engineers, contact: >• Aerospace Industries Association, 1250 Eye St. NW., Washington, DC 20005. Internet: http://www.aia-aerospace.org >- American Institute ofAeronautics and Astronautics, Inc., Suite 500,1801 Alexander Bell Dr., Reston, VA 20191 -4344. Internet: http://www.aiaa.org  _____ Aerospace engineers use computer-aided design to develop new  technologies. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  thermodynamics, celestial mechanics, propulsion, acoustics, or guid­ ance and control systems. Aerospace engineers typically are employed within the aerospace industry, although their skills are becoming increasingly valuable in other fields. For example, aerospace engineers in the motor ve­ hicles manufacturing industry design vehicles that have lower air resistance, increasing the fuel efficiency of vehicles.  (See introduction to the section on engineers for information on working conditions, training requirements, and other sources of ad­ ditional information.)  Professional and Related Occupations 107  Sources of Additional Information General information about agricultural engineers can be obtained from:  Agricultural Engineers (0*NET 17-2021.00)  >- American Society ofAgricultural Engineers, 2950 Niles Rd., St. Joseph, MI 49085-9659. Internet: http://www.asae.org  Nature of the Work Agricultural engineers apply knowledge of engineering technology and biological science to agriculture. They design agricultural ma­ chinery and equipment and agricultural structures. They develop ways to conserve soil and water and to improve the processing of agricultural products. Agricultural engineers work in research and development, production, sales, or management.  (See introduction to the section on engineers for information on working conditions, training requirements, and other sources of ad­ ditional information.)  Biomedical Engineers (0*NET 17-2031.00)  Employment More than one third of the 2,400 agricultural engineers employed in 2000 worked for engineering and management services, supply­ ing consultant services to farmers and farm-related industries. Oth­ ers worked in a wide variety of industries, including crops and livestock as well as manufacturing and government.  Job Outlook Employment of agricultural engineers is expected to increase about as fast as the average for all occupations through 2010. Increasing demand for agricultural products, continued efforts for more effi­ cient agricultural production, and increasing emphasis on the con­ servation of resources should result in job opportunities for agricultural engineers. However, most openings will be created by the need to replace agricultural engineers who transfer to other oc­ cupations or leave the labor force.  Earnings Median annual earnings of agricultural engineers were $55,850 in 2000. The middle 50 percent earned between $44,220 and $71,460. The lowest 10 percent earned less than $33,660, and the highest 10 percent earned more than $91,600. According to a 2001 salary survey by the National Association of Colleges and Employers, bachelor’s degree candidates in agri­ cultural engineering received starting offers averaging $46,065 a year and master’s degree candidates, on average, were offered $49,808.  Nature of the Work By combining biology and medicine with engineering, biomedical engineers develop devices and procedures that solve medical and health-related problems. Many do research, along with life scien­ tists, chemists, and medical scientists, on the engineering aspects of the biological systems of humans and animals. Biomedical en­ gineers also design devices used in various medical procedures, such as the computers used to analyze blood or the laser systems used in corrective eye surgery. They develop artificial organs, imaging sys­ tems such as ultrasound, and devices for automating insulin injec­ tions or controlling body functions. Most engineers in this specialty require a sound background in one of the more basic engineering specialties, such as mechanical or electronics engineering, in addi­ tion to specialized biomedical training. Some specialties within biomedical engineering include biomaterials, biomechanics, medi­ cal imaging, rehabilitation, and orthopedic engineering. Employment Biomedical engineers held about 7,200 jobs in 2000. Manufactur­ ing industries employed 30 percent of all biomedical engineers, pri­ marily in the medical instruments and supplies industries. Many others worked for health services. Some also worked on a contract basis for government agencies or as independent consultants. Job Outlook Employment of biomedical engineers is expected to increase faster than the average for all occupations through 2010. The aging popu­ lation and the focus on health issues will increase the demand for  IfM  "  I ........ t  ■m-id A,,  ... -■ An agricultural engineer sets up tests to measure the amount of Digitized nutrients for FRASER to be applied to a field. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Some specialties within biomedical engineering include biomaterials, biomechanics, medical imaging, rehabilitation, and orthopedic engineering.  108 Occupational Outlook Handbook  better medical devices and systems designed by biomedical engi­ neers. For example, computer-assisted surgery and cellular and tis­ sue engineering are being more heavily researched and are developing rapidly. In addition, the rehabilitation and orthopedic engineering specialties are growing quickly, increasing the need for more biomedical engineers. Along with the demand for more so­ phisticated medical equipment and procedures is an increased con­ cern for cost efficiency and effectiveness that also will increase the need for biomedical engineers. Earnings Median annual earnings of biomedical engineers were $57,480 in 2000. The middle 50 percent earned between $45,760 and $74,120. The lowest 10 percent earned less than $36,860 and the highest 10 percent earned more than $90,530. According to a 2001 salary survey by the National Association of Colleges and Employers, bachelor’s degree candidates in bio­ medical engineering received starting offers averaging $47,850 a year and master’s degree candidates, on average, were offered $62,600. Sources of Additional Information For further information about biomedical engineers, contact: >• Biomedical Engineering Society, 8401 Corporate Dr., Suite 110, Landover, MD 20785-2224. Internet: http://mecca.org/BME/BMES/society/index.htm  (See introduction to the section on engineers for information on working conditions, training requirements, and other sources of ad­ ditional information.)  Chemical Engineers (0*NET 17-2041.00)  Nature of the Work Chemical engineers apply the principles of chemistry and engineer­ ing to solve problems involving the production or use of chemicals, building a bridge between science and manufacturing. They design equipment and develop processes for large-scale chemical manu­ facturing, plan and test methods of manufacturing the products and treating the by-products, and supervise production. Chemical engi­ neers also work in a variety of manufacturing industries other than chemical manufacturing, such as those producing electronics, pho­ tographic equipment, clothing, and pulp and paper. They also work in the healthcare, biotechnology, and business services industries. The knowledge and duties of chemical engineers overlap many fields. Chemical engineers apply principles of chemistry, physics, mathematics, and mechanical and electrical engineering. They fre­ quently specialize in a particular operation such as oxidation or polymerization. Others specialize in a particular area, such as pol­ lution control or the production of specific products such as fertil­ izers and pesticides, automotive plastics, or chlorine bleach. They must be aware of all aspects of chemicals manufacturing and how it affects the environment, the safety of workers, and customers. Be­ cause chemical engineers use computer technology to optimize all phases of research and production, they need to understand how to apply computer skills to process analysis, automated control sys­ tems, and statistical quality control.  Employment Chemical engineers held about 33,000 jobs in 2000. Manufactur­ ing industries employed 73 percent of all chemical engineers, pri­ Digitizedmarily for FRASER in the chemicals, electronics, petroleum refining, paper, and https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  sL*.  tlti  Among manufacturing industries, specialty chemicals, plastics materials, pharmaceuticals, biotechnology, and electronics may provide the best opportunities for chemical engineers.  related industries. Most others worked for engineering services, research and testing services, or consulting firms that design chemi­ cal plants. Some also worked on a contract basis for government agencies or as independent consultants. Job Outlook Chemical engineering graduates may face competition for jobs as the number of openings in traditional fields is projected to be lower than the number of graduates. Employment of chemical engineers is projected to grow more slowly than the average for all occupa­ tions though 2010. Although overall employment in the chemical manufacturing industry is expected to decline, chemical companies will continue to research and develop new chemicals and more ef­ ficient processes to increase output of existing chemicals, resulting in some new jobs for chemical engineers. Among manufacturing industries, specialty chemicals, plastics materials, pharmaceuticals, biotechnology, and electronics may provide the best opportunities. Much of the projected growth in employment of chemical engi­ neers, however, will be in nonmanufacturing industries, especially services industries such as research and testing services. Earnings Median annual earnings of chemical engineers were $65,960 in 2000. The middle 50 percent earned between $53,440 and $80,840. The lowest 10 percent earned less than $45,200, and the highest 10 per­ cent earned more than $93,430. According to a 2001 salary survey by the National Association of Colleges and Employers, bachelor’s degree candidates in chemi­ cal engineering received starting offers averaging $51,073 a year, master’s degree candidates averaged $57,221, andPh.D. candidates averaged $75,521. Sources of Additional Information Further information about chemical engineers is available from: ► American Institute of Chemical Engineers, Three ParkAve., New York, NY 10016-5901. Internet: http://www.aiche.org >• American Chemical Society, Department of Career Services, 1155 16th St. NW., Washington, DC 20036. Internet: http://www.acs.org  (See introduction to the section on engineers for information on working conditions, training requirements, and other sources of addi­ tional information.)  Professional and Related Occupations 109  Civil Engineers  in remote areas or in foreign countries. In some jobs, civil engi­ neers move from place to place to work on different projects.  (0*NET 17-2051.00)  Nature of the Work Civil engineers design and supervise the construction ofroads, build­ ings, airports, tunnels, dams, bridges, and water supply and sewage systems. Civil engineering, considered one of the oldest engineer­ ing disciplines, encompasses many specialties. The major special­ ties within civil engineering are structural, water resources, environmental, construction, transportation, and geotechnical en­ gineering. Many civil engineers hold supervisory or administrative posi­ tions, from supervisor of a construction site to city engineer. Oth­ ers may work in design, construction, research, and teaching. Employment Civil engineers held about 232,000 jobs in 2000. A little over half were employed by firms providing engineering consulting services, primarily developing designs for new construction projects. Al­ most one third of the jobs were in Federal, State, and local govern­ ment agencies. The construction and manufacturing industries accounted for most of the remaining employment. About 12,000 civil engineers were self-employed, many as consultants. Civil engineers usually work near major industrial and commer­ cial centers, often at construction sites. Some projects are situated  I*’. -r> ^  Job Outlook Employment of civil engineers is expected to increase about as fast as the average for all occupations through 2010. Spurred by gen­ eral population growth and an expanding economy, more civil en­ gineers will be needed to design and construct higher capacity transportation, water supply, pollution control systems, and large buildings and building complexes. They also will be needed to repair or replace existing roads, bridges, and other public structures. There may be additional opportunities within noncivil engineering firms, such as management consulting or computer services firms. In addition to job growth, openings will result from the need to replace civil engineers that transfer to other occupations or leave the labor force. Because construction and related industries—including those pro­ viding design services—employ many civil engineers, employment opportunities will vary by geographic area and may decrease dur­ ing economic slowdowns, when construction often is curtailed. Earnings Median annual earnings of civil engineers were $55,740 in 2000. The middle 50 percent earned between $45,150 and $69,470. The lowest 10 percent earned less than $37,430, and the highest 10 per­ cent earned more than $86,000. Median annual earnings in the industries employing the largest numbers of civil engineers in 2000 were: Federal Government............................................................................. $63,530 Heavy construction, except highway................................................... 62,010 Local government..................................................................................... 56,830 State government...................................................................................... 54,630 Engineering and architectural services................................................ 54,550  According to a 2001 salary survey by the National Association of Colleges and Employers, bachelor’s degree candidates in civil engineering received starting offers averaging $40,616 a year, master’s degree candidates received an average offer of $44,080, and Ph.D. candidates were offered $62,280 as an initial salary. Sources of Additional Information Further information about civil engineers can be obtained from: ► American Society of Civil Engineers, 1801 Alexander Bell Dr., Reston, VA 20191-4400. Internet: http://www.asce.org  (See introduction to the section on engineers for information on working conditions, training requirements, and other sources of ad­ ditional information.)  Computer Hardware Engineers  /  u /.// DigitizedCivil for FRASER engineers check on construction sites and monitor progress. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  (0*NET 17-2061.00)  Nature of the Work Computer hardware engineers research, design, develop, and test computer hardware and supervise its manufacture and installation. Hardware refers to computer chips, circuit boards, computer sys­ tems, and related equipment such as keyboards, modems, and print­ ers. (Computer software engineers—often simply called computer engineers—design and develop the software systems that control computers. These workers are covered elsewhere in the Handbook.) The work of computer hardware engineers is very similar to that of electronics engineers, but unlike electronics engineers, computer hardware engineers work with computers and computer-related  110 Occupational Outlook Handbook Computer and office equipment......................................................... Computer and data processing services............................................ Electronic components and accessories ........................................... Telephone communication...................................................................  $75,730 69,490 67,800 59,160  Starting salaries for computer engineers with a bachelor’s de­ gree can be significantly higher than salaries of bachelor’s degree graduates in many other fields. According to the National Associa­ tion of Colleges and Employers, starting salary offers in 2001 for bachelor’s degree candidates in computer engineering averaged $53,924 a year; master’s degree candidates averaged $58,026; and Ph.D. candidates averaged $70,140. Sources of Additional Information For further information about computer hardware engineers, contact: >■ IEEE Computer Society, 1730 Massachusetts Ave. NW., Washington, DC 20036-1992. Internet: http://www.computer.org  Computer hardware engineers work with circuit boards, computer chips, keyboards, modems, and scanners.  (See introduction to the section on engineers for information on working conditions, training requirements, and other sources of ad­ ditional information.)  Electrical and Electronics Engineers equipment exclusively. (See the statement on electrical and elec­ tronics engineers elsewhere in the Handbook.) In addition to de­ sign and development, computer hardware engineers may supervise the manufacturing and installation of computers and computer-re­ lated equipment. The rapid advances in computer technology are largely a result of the research, development, and design efforts of computer hardware engineers. To keep up with technology change, these engineers must continually update their knowledge. Employment The number of computer hardware engineers is relatively small com­ pared with the number of other computer-related workers who work with software or computer applications. Computer hardware engi­ neers held about 60,000 jobs in 2000. About 25 percent were em­ ployed in computer and data processing services. About 1 out of 10 worked in computer and office equipment manufacturing, but many also are employed in communications industries and engi­ neering consulting firms. Job Outlook Computer hardware engineers are expected to have favorable job opportunities. Employment of computer hardware engineers is pro­ jected to increase faster than the average for all occupations through 2010, reflecting rapid employment growth in the computer and of­ fice equipment industry, which employs the greatest number of com­ puter engineers. Consulting opportunities for computer hardware engineers should grow as businesses need help managing, upgrad­ ing, and customizing increasingly complex systems. Growth in embedded systems, a technology that uses computers to control other devices such as appliances or cell phones, also will increase the demand for computer hardware engineers. In addition to job open­ ings arising from employment growth, other vacancies will result from the need to replace workers who move into managerial posi­ tions, transfer to other occupations, or leave the labor force. Earnings Median annual earnings of computer hardware engineers were $67,300 in 2000. The middle 50 percent earned between $52,960 and $86,280. The lowest 10 percent earned less than $42,620, and the highest 10 percent earned more than $107,360. Median annual earnings in the industries employing the largest numbers of com­  puter hardware engineers in 2000 were: https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  (0*NET 17-2071.00, 17-2072.00)  Nature of the Work From geographical information systems that can continuously pro­ vide the location of a vehicle to giant electric power generators, electrical and electronics engineers are responsible for a wide range of technologies. Electrical and electronics engineers design, de­ velop, test, and supervise the manufacture of electrical and elec­ tronic equipment. Some of this equipment includes power generating, controlling, and transmission devices used by electric utilities; and electric motors, machinery controls, lighting, and wir­ ing in buildings, automobiles, aircraft, radar and navigation sys­ tems, and broadcast and communications systems. Many electrical and electronics engineers also work in areas closely related to com­ puters. However, engineers whose work is related exclusively to computer hardware are considered computer hardware engineers, an occupation covered elsewhere in the Handbook. Electrical and electronics engineers specialize in different areas such as power generation, transmission, and distribution; commu­ nications; and electrical equipment manufacturing, or a subdivi­ sion of these areas—industrial robot control systems or aviation  i!  .~J  An electrical engineer working for a consulting firm looks for defective circuits.  Professional and Related Occupations 111  electronics, for example. Electrical and electronics engineers de­ sign new products, write performance requirements, and develop maintenance schedules. They also test equipment, solve operating problems, and estimate the time and cost of engineering projects.  Federal Government............................................................................. $70,890 Search and navigation equipment......................................................... 68,930 Electronic components and accessories.............................................. 63,890 Electrical goods......................................................................................... 62,860 Telephone communication...................................................................... 57,710  Employment Electrical and electronics engineers held about 288,000 jobs in 2000, making their occupation the largest branch of engineering. Most jobs were in engineering and business consulting firms, govern­ ment agencies, and manufacturers of electrical and electronic and computer and office equipment, industrial machinery, and profes­ sional and scientific instruments. Transportation, communications, and utilities firms as well as personnel supply services and com­ puter and data processing services firms accounted for most of the remaining jobs. California, Texas, New York, and New Jersey—States with many large electronics firms—employ nearly one-third of all electrical and electronics engineers.  According to a 2001 salary survey by the National Association of Colleges and Employers, bachelor’s degree candidates in electri­ cal and electronics engineering received starting offers averaging $51,910 a year; master’s degree candidates averaged $63,812; and Ph.D. candidates averaged $79,241.  Job Outlook Electrical and electronics engineering graduates should have favor­ able job opportunities. The number ofjob openings resulting from employment growth and the need to replace electrical engineers who transfer to other occupations or leave the labor force is ex­ pected to be in rough balance with the supply of graduates. Em­ ployment of electrical and electronics engineers is expected to grow about as fast as the average for all occupations through 2010. Projected job growth stems largely from increased demand for electrical and electronic goods, including advanced communica­ tions equipment, defense-related electronic equipment, and con­ sumer electronics products. The need for electronics manufacturers to invest heavily in research and development to remain competi­ tive and gain a scientific edge will provide openings for graduates who have learned the latest technologies. Opportunities for elec­ tronics engineers in defense-related firms should improve as air­ craft and weapons systems are upgraded with improved navigation, control, guidance, and targeting systems. However, job growth is expected to be fastest in services industries—particularly consult­ ing firms that provide electronic engineering expertise. Continuing education is important for electrical and electronics engineers. Engineers who fail to keep up with the rapid changes in technology risk becoming more susceptible to layoffs or, at a mini­ mum, more likely to be passed over for advancement. Earnings Median annual earnings of electrical engineers were $64,910 in 2000. The middle 50 percent earned between $51,700 and $80,600. The lowest 10 percent earned less than $41,740, and the highest 10 percent earned more than $94,490. Median annual earnings in the industries employing the largest numbers of electrical engineers in 2000 were: Computer and office equipment........................................................ Measuring and controlling devices.................................................... Search and navigation equipment...................................................... Electronic components and accessories........................................... Engineering and architectural services.............................................  $69,700 67,570 67,330 65,830 65,040  Median annual earnings of electronics engineers, except com­ puter, were $64,830 in 2000. The middle 50 percent earned be­ tween $52,430 and $79,960. The lowest 10 percent earned less than $43,070, and the highest 10 percent earned more than $94,330. Median annual earnings in the industries employing the largest num­ Digitizedbers for FRASER of electronics engineers in 2000 were: https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Sources of Additional Information Information on electrical and electronics engineers is available from: >- Institute of Electrical and Electronics Engineers, 445 Hoes Lane, Piscatway, NJ 08855-1331. Internet: http://www.ieee.org  (See introduction to the section on engineers for information on working conditions, training requirements, and other sources of ad­ ditional information.)  Environmental Engineers (0*NET 17-2081.00)  Nature of the Work Using the principles of biology and chemistry, environmental engi­ neers develop methods to solve problems related to the environ­ ment. They are involved in water and air pollution control, recycling, waste disposal, and public health issues. Environmental engineers conduct hazardous-waste management studies, evaluate the signifi­ cance of the hazard, offer analysis on treatment and containment, and develop regulations to prevent mishaps. They design munici­ pal sewage and industrial wastewater systems. They analyze scien­ tific data, research controversial proj ects, and perform quality control checks. Environmental engineers are concerned with local and world­ wide environmental issues. They study and attempt to minimize the effects of acid rain, global warming, automobile emissions, and ozone depletion. They also are involved in the protection of wildlife. Many environmental engineers work as consultants, helping their clients comply with regulations and clean up hazardous sites, in­ cluding brownfields, which are abandoned urban or industrial sites that may contain environmental hazards. Employment Environmental engineers held about 52,000 jobs in 2000. More than one-third worked in engineering and management services and about 16,000 were employed in Federal, State, and local govern­ ment agencies. Most of the rest worked in various manufacturing industries. Job Outlook Employment of environmental engineers is expected to increase faster than the average for all occupations through 2010. More environmental engineers will be needed to meet environmental regu­ lations and to develop methods of cleaning up existing hazards. A shift in emphasis toward preventing problems rather than control­ ling those that already exist, as well as increasing public health con­ cerns, also will spur demand for environmental engineers. However, political factors determine the job outlook for environmental engi­ neers more than that for other engineers. Looser environmental regulations would reduce job opportunities; stricter regulations would enhance opportunities.  112 Occupational Outlook Handbook  Sources of Additional Information Further information about environmental engineers can be obtained from: >- American Academy of Environmental Engineers, 130 Holiday Court, Suite 100, Annapolis, MD21401. Internet: http://www.enviro-engrs.org  (See the introduction to the section on engineers for information on working conditions, training requirements, and other sources of additional information.)  Industrial Engineers, Including Health and Safety _ tlill  (Q*NET 17-2111.01, 17-2111.02, 17-2111.03, 17-2112.00)  •w  Although the type ofjob that environmental engineers have often determines whether they work outdoors, most work in offices the majority of the time. Even though employment of environmental engineers should be less affected by economic conditions than that of most other types of engineers, a significant economic downturn could reduce the emphasis on environmental protection, reducing employment op­ portunities. Environmental engineers need to keep abreast of a range of environmental issues to ensure steady employment because their area of focus may change frequently—for example, from hazard­ ous wastesite cleanup to the prevention of water pollution.  Nature of the Work Industrial engineers determine the most effective ways for an organi­ zation to use the basic factors of production—people, machines, materials, information, and energy—to make a product or to provide a service. They are the bridge between management goals and opera­ tional performance. They are more concerned with increasing pro­ ductivity through the management of people, methods of business organization, and technology than are engineers in other specialties, who generally work more with products or processes. Although most industrial engineers work in manufacturing industries, they also work in consulting services, healthcare, and communications. To solve organizational, production, and related problems most efficiently, industrial engineers carefully study the product and its requirements, use mathematical methods such as operations research to meet those requirements, and design manufacturing and infor­ mation systems. They develop management control systems to aid in financial planning and cost analysis, design production planning and control systems to coordinate activities and ensure product qual­ ity, and design or improve systems for the physical distribution of goods and services. Industrial engineers determine which plant lo­ cation has the best combination of raw materials availability, trans­ portation facilities, and costs. Industrial engineers use computers for simulations and to control various activities and devices, such as assembly lines and robots. They also develop wage and salary administration systems and job evaluation programs. Many indus­ trial engineers move into management positions because the work is closely related.  ££T£'  ‘ SSrSsH'  Earnings Median annual earnings of environmental engineers were $57,780 in 2000. The middle 50 percent earned between $45,740 and $71,280. The lowest 10 percent earned less than $37,210, and the highest 10 percent earned more than $87,290. Median annual earn­ ings in the industries employing the largest numbers of environ­ mental engineers in 2000 were: Engineering and architectural services............................................. State government................................................................................... Management and public relations......................................................  $53,580 53,210 52,110  According to a 2001 salary survey by the National Association of Colleges and Employers, bachelor’s degree candidates in envi­ ronmental engineering received starting offers averaging $51,167 a   https://fraser.stlouisfed.org year. Federal Reserve Bank of St. Louis  Health and safety engineers anticipate and evaluate hazardous conditions and develop hazard control methods.  Professional and Related Occupations 113  The work of health and safety engineers is similar to that of in­ dustrial engineers in that they are concerned with the entire produc­ tion process. They promote worksite or product safety and health by applying knowledge of industrial processes, as well as mechani­ cal, chemical, and psychological principles. They must be able to anticipate and evaluate hazardous conditions as well as develop hazard control methods. They also must be familiar with the appli­ cation of health and safety regulations. Employment Industrial engineers, including health and safety, held about 198,000 jobs in 2000. More than 65 percent of these jobs were in manufac­ turing industries. Because their skills can be used in almost any type of organization, industrial engineers are more widely distrib­ uted among manufacturing industries than are other engineers. Their skills can be readily applied outside manufacturing as well. Some work in engineering and management services, utilities, and business services; others work for government agencies or as inde­ pendent consultants. Job Outlook Despite industrial growth and more complex business operations, overall employment of industrial engineers, including health and safety, is expected to grow more slowly than the average for all occupations through 2010, reflecting greater use of automation in factories and offices. Employment of industrial engineers is ex­ pected to grow more slowly than average while health and safety engineers are expected to grow about as fast as average. Because the main function of industrial and health and safety engineers is to make a higher quality product as efficiently and as safely as possible, their services should be in demand in the manu­ facturing sector as firms seek to reduce costs and increase produc­ tivity. There also is an increased demand for industrial engineers within the financial services sector, as more emphasis is put on in­ formation technology. Also, the growing concern for health and safety within work environments should increase the need for health and safety engineers. Earnings Median annual earnings of industrial engineers were $58,580 in 2000. The middle 50 percent earned between $47,530 and $71,050. The lowest 10 percent earned less than $38,140, and the highest 10 percent earned more than $86,370. Median annual earnings in the manufacturing industries employing the largest numbers of indus­ trial engineers in 2000 were: Motor vehicles and equipment........................................................... Electronic components and accessories........................................... Computer and office equipment........................................................ Computer and data processing services............................................ Aircraft and parts..................................................................................  $63,010 62,560 62,260 60,510 58,290  Median annual earnings of health and safety engineers were $54,630 in 2000. The middle 50 percent earned between $44,230 and $67,500. The lowest 10 percent earned less than $34,710, and the highest 10 percent earned more than $82,320. In 2000, the median annual earnings of health and safety engineers in railroads were $56,970. According to a 2001 salary survey by the National Association of Colleges and Employers, bachelor’s degree candidates in indus­ trial engineering received starting offers averaging about $48,320 a year; master’s degree candidates averaged $56,265 a year; and Ph.D. Digitizedcandidates for FRASERwere initially offered $59,800. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Sources of Additional Information For further information about industrial engineers, contact: ► Institute of Industrial Engineers, Inc., 25 Technology Park/Atlanta, Norcross, GA 30092. Internet: http://www.iienet.org  General information about safety engineers is available from: >- American Society of Safety Engineers, 1800 E Oakton St., Des Plaines, IL 60018. Internet: http://www.asse.org  Information about certification of safety professionals, includ­ ing safety engineers, is available from: > Board of Certified Safety Professionals, 208 Burwash Ave., Savoy, IL 61874. Internet: http://www.bcsp.org  (See introduction to the section on engineers for information on working conditions, training requirements, and other sources of addi­ tional information.)  Materials Engineers (Q*NET 17-2131.00)  Nature of the Work Materials engineers are involved in the extraction, development, processing, and testing of the materials used to create a diversity of products, from computer chips and television screens to golf clubs and snow skis. They work with metals, ceramics, plastics, semi­ conductors, and combinations of materials called composites to cre­ ate new materials that meet certain mechanical, electrical, and chemical requirements. They also are involved in selecting materi­ als for new applications. There are numerous new developments within materials engineer­ ing that make it possible to manipulate and use materials in various ways. For example, materials engineers have developed the ability to create and then study materials at an atomic level using advanced processes, electrons, neutrons, or x-rays and to replicate the charac­ teristics of materials and their components with computers. Materials engineers specializing in metals can be considered met­ allurgical engineers, while those specializing in ceramics can be considered ceramic engineers. Most metallurgical engineers work in one of the three main branches of metallurgy—extractive or chemical, physical, and process. Extractive metallurgists are con­ cerned with removing metals from ores and refining and alloying them to obtain useful metal. Physical metallurgists study the na­ ture, structure, and physical properties of metals and their alloys, and relate them to the methods of processing them into final prod­ ucts. Process metallurgists develop and improve metalworking pro­ cesses such as casting, forging, rolling, and drawing. Ceramic engineers develop ceramic materials and the processes for making ceramic materials into useful products. Ceramics include all nonmetallic, inorganic materials that generally require high tempera­ tures in their processing. Ceramic engineers work on products as diverse as glassware, automobile and aircraft engine components, fiber-optic communication lines, tile, and electric insulators. Employment Materials engineers held about 33,000 jobs in 2000. Because ma­ terials are building blocks for other goods, materials engineers are widely distributed among manufacturing industries. In fact, 84 per­ cent of materials engineers worked in manufacturing industries, primarily metal production and processing, electronic and other elec­ trical equipment, transportation equipment, and industrial machin­ ery and equipment. They also worked in services industries such as engineering and management and research and testing services. Most remaining materials engineers worked for Federal and State governments.  114 Occupational Outlook Handbook  Sources of Additional Information For further information about materials engineers, contact: >- Minerals, Metals, & Materials Society, 184 Thom Hill Rd., Warrendale, PA 15086. Internet: http://www.tms.org >■ ASM International Foundation, Materials Park, OH 44073-0002. Internet: http://www.asm-intl.org  (See introduction to the section on engineers for information on working conditions, training requirements, and other sources of addi­ tional information.)  Mechanical Engineers (0*NET 17-2141.00)  HP...:  „, :^|g§  wiss  Materials engineers work with metals, ceramics, plastics, semiconductors, and composites to create new materials.  Job Outlook Employment of materials engineers is expected to grow more slowly than the average for all occupations through 2010. More materials engineers will be needed to develop new materials for electronics and plastics products. However, many of the manufacturing indus­ tries in which materials engineers are concentrated—such as pri­ mary metals and stone, clay, and glass products—are expected to experience declines in employment, reducing employment oppor­ tunities for materials engineers. As firms contract out to meet their materials engineering needs, however, employment growth is ex­ pected in many services industries, including research and testing, personnel supply, health, and engineering and architectural services. In addition to growth, job openings will result from the need to replace materials engineers who transfer to other occupations or leave the labor force.  Earnings Median annual earnings of materials engineers were $59,100 in 2000. The middle 50 percent earned between $47,320 and $72,900. The lowest 10 percent earned less than $37,680, and the highest 10 percent earned more than $87,630. According to a 2001 salary survey by the National Association of Colleges and Employers, bachelor’s degree candidates in mate­ Digitizedrials for FRASER engineering received starting offers averaging $49,936 a year. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Nature of the Work Mechanical engineers research, develop, design, manufacture, and test tools, engines, machines, and other mechanical devices. They work on power-producing machines such as electric generators, internal combustion engines, and steam and gas turbines. They also develop power-using machines such as refrigeration and air-condi­ tioning equipment, machine tools, material handling systems, el­ evators and escalators, industrial production equipment, and robots used in manufacturing. Mechanical engineers also design tools needed by other engineers for their work. The field of nanotechnology, which involves the creation of high-performance materials and components by integrating atoms and molecules, is introducing entirely new principles to the design process. Computers assist mechanical engineers by accurately and effi­ ciently performing computations and by aiding the design process by permitting the modeling and simulation of new designs. Com­ puter-Aided Design (CAD) and Computer-Aided Manufacturing (CAM) are used for design data processing and for developing al­ ternative designs. Mechanical engineers work in many industries, and their work varies by industry and function. Some specialties include applied mechanics; computer-aided design and manufacturing; energy sys­ tems; pressure vessels and piping; and heating, refrigeration, and air-conditioning systems. Mechanical engineering is one of the broadest engineering disciplines. Mechanical engineers may work in production operations in manufacturing or agriculture, mainte­ nance, or technical sales; many are administrators or managers.  ■■I  A mechanical engineer works on designs for a hospital building.  Professional and Related Occupations 115  Employment Mechanical engineers held about 221,000 jobs in 2000. More than 1 out of 2 jobs were in manufacturing—mostly in machinery, trans­ portation equipment, electrical equipment, instruments, and fabri­ cated metal products industries. Engineering and management services, business services, and the Federal Government provided most of the remaining jobs. Job Outlook Employment of mechanical engineers is projected to grow about as fast as the average for all occupations though 2010. Although overall manufacturing employment is expected to grow slowly, employ­ ment of mechanical engineers in manufacturing should increase more rapidly as the demand for improved machinery and machine tools grows and industrial machinery and processes become increasingly complex. Also, emerging technologies in information technology, biotechnology, and nanotechnology will create new job opportuni­ ties for mechanical engineers. Employment of mechanical engineers in business and engineer­ ing services firms is expected to grow faster than average as other industries in the economy increasingly contract out to these firms to solve engineering problems. In addition to job openings from growth, many openings should result from the need to replace work­ ers who transfer to other occupations or leave the labor force. Earnings Median annual earnings of mechanical engineers were $58,710 in 2000. The middle 50 percent earned between $47,600 and $72,850. The lowest 10 percent earned less than $38,770, and the highest 10 percent earned more than $88,610. Median annual earnings in the industries employing the largest numbers of mechanical engineers in 2000 were: Personnel supply services.................................................................... Federal government............................................................................... Engineering and architectural services............................................. Motor vehicles and equipment........................................................... Construction and related machinery.................................................  $g 1 080 66 320 59  800  59 400  54,480  According to a 2001 salary survey by the National Association of Colleges and Employers, bachelor’s degree candidates in me­ chanical engineering received starting offers averaging $48,426 a year, master’s degree candidates had offers averaging $55,994, and Ph.D. candidates were initially offered $72,096. Sources of Additional Information Further information about mechanical engineers is available from: ► The American Society of Mechanical Engineers, Three Park Ave., New York, NY 10016. Internet: http://www.asme.org  (See introduction to the section on engineers for information on working conditions, training requirements, and other sources of ad­ ditional information.)  Mining and Geological Engineers, Including Mining Safety Engineers (0*NET 17-2151.00)  Nature of the Work Mining and geological engineers find, extract, and prepare coal, met­ Digitizedals, for and FRASER minerals for use by manufacturing industries and utilities. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Mining engineers work with geologists to discuss plans forfurther mine excavation.  They design open pit and underground mines, supervise the con­ struction of mine shafts and tunnels in underground operations, and devise methods for transporting minerals to processing plants. Min­ ing engineers are responsible for the safe, economical, and envi­ ronmentally sound operation of mines. Some mining engineers work with geologists and metallurgical engineers to locate and appraise new ore deposits. Others develop new mining equipment or direct mineral processing operations to separate minerals from the dirt, rock, and other materials with which they are mixed. Mining engi­ neers frequently specialize in the mining of one mineral or metal, such as coal or gold. With increased emphasis on protecting the environment, many mining engineers work to solve problems re­ lated to land reclamation and water and air pollution. Mining safety engineers use their knowledge of mine design and practices to ensure the safety of workers and to comply with State and Federal safety regulations. They inspect walls and roof sur­ faces, test air samples, and examine mining equipment for compli­ ance with safety practices. Employment Mining and geological engineers, including mining safety engineers, held about 6,500 jobs in 2000. While one-half worked in the min­ ing industry, other mining engineers worked in government agen­ cies or engineering consulting firms. Mining engineers usually are employed at the location of natu­ ral deposits, often near small communities, and sometimes outside the United States. Those in research and development, manage­ ment, consulting, or sales, however, often are located in metropoli­ tan areas. Job Outlook Employment of mining and geological engineers, including mining safety engineers, is expected to decline through 2010. Most of the industries in which mining engineers are concentrated—such as coal, metal, and mineral mining, as well as stone, clay, and glass prod­ ucts manufacturing—are expected to experience declines in employment. Although no job openings are expected to result from employ­ ment growth, there should be openings resulting from the need to replace mining engineers who transfer to other occupations or leave the labor force. A large number of mining engineers currently  116 Occupational Outlook Handbook  employed are approaching retirement age. In addition, relatively few schools offer mining engineering programs, and the small number of graduates is not expected to increase. Mining operations around the world recruit graduates of U.S. mining engineering programs. Consequently, job opportunities may be better worldwide than within the United States. As a result, graduates should be prepared for the possibility of frequent travel or even living abroad. Earnings Median annual earnings of mining and geological engineers, in­ cluding mining safety engineers, were $60,820 in 2000. The middle 50 percent earned between $47,320 and $78,720. The lowest 10 percent earned less than $36,070, and the highest 10 percent earned  flttS*®  more than $100,050. According to a 2001 salary survey by the National Association of Colleges and Employers, bachelor’s degree candidates in mining engineering received starting offers averaging $42,507 a year and master’s degree candidates, on average, were offered $54,038. Sources of Additional Information For general information about mining engineers, contact: >- The Society for Mining, Metallurgy, and Exploration, Inc., P.O. Box 625002, Littleton, CO 80162-5002. Internet: http://www.smenet.org (See introduction to the section on engineers for information on working conditions, training requirements, and other sources of ad­ ditional information.)  Nuclear Engineers (0*NET 17-2161.00)  ___ 111 'i  _________ ________  Nuclear engineers design, develop, monitor, and operate nuclear Nature of the Work Nuclear engineers research and develop the processes, instruments, and systems used to derive benefits from nuclear energy and radiation. They design, develop, monitor, and operate nuclear plants used to generate power. They may work on the nuclear fuel CyCle—the production, handling, and use of nuclear fuel and the safe disposal of waste produced by nuclear energy—or on fusion energy. Some specialize in the development of nuclear power sources for spacecraft; others find industrial and medical uses for radioactive materials, such as equipment to diagnose and treat medical problems. Employment Nuclear engineers held about 14,000 jobs in 2000. About 58 per­ cent were in utilities, 26 percent in engineering consulting firms, and 14 percent in the Federal Government. More than half of all federally employed nuclear engineers were civilian employees of the Navy, and most of the rest worked for the Department of Energy. Most nonfederally employed nuclear engineers worked for public utilities or engineering consulting companies. Some worked for defense manufacturers or manufacturers of nuclear power equipment.  Job Outlook Good opportunities should exist for nuclear engineers because the small number of nuclear engineering graduates is likely to be in rough balance with the number of job openings. Because this is a small occupation, projected job growth will generate few openings,  consequently, most openings will result from the need to replace https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  plants used to generate power.  nuclear engineers who transfer to other occupations or leave the labor force. Little or no change in employment of nuclear engineers is expected through 2010. Due to public concerns over the cost and safety of nuclear power, no commercial nuclear power plants are under construction in the United States. Nevertheless, nuclear engineers will be needed to operate existing plants. In addition, nuclear engineers will be needed to work in defense-related areas, to develop nuclear medical technology, and to improve and en­ force waste management and safety standards. Earnings Median annual earnings of nuclear engineers were $79,360 in 2000. The middle 50 percent earned between $67,590 and $89,310. The lowest 10 percent earned less than $58,030, and the highest 10 per­ cent earned more than $105,930. In 2000, the median annual earn­ ings of nuclear engineers in electric services were $77,890. In the Federal Government, nuclear engineers in supervisory, nonsupervisory, and management positions earned an average of $71,700 a year in 2001. ' According to a 2001 salary survey by the National Association of Colleges and Employers, bachelor’s degree candidates in nuclear engineering received starting offers averaging $49,609 a year and master’s degree candidates, on average, were offered $56,299.  Professional and Related Occupations 117  Sources of Additional Information General information about nuclear engineers is available from: > American Nuclear Society, 555 North Kensington Ave., LaGrange Park, IL 60525. Internet: http://www.ans.org  (See introduction to the section on engineers for information on working conditions, training requirements, and other sources of ad­ ditional information.)  Petroleum Engineers (0*NET 17-2171.00)  Nature of the Work Petroleum engineers search the world for reservoirs containing oil or natural gas. Once these are discovered, petroleum engineers work with geologists and other specialists to understand the geo­ logic formation and properties of the rock containing the reser­ voir, determine the drilling methods to be used, and monitor drill­ ing and production operations. They design equipment and pro­ cesses to achieve the maximum profitable recovery of oil and gas. Petroleum engineers rely heavily on computer models to simulate  iM,  reservoir performance using different recovery techniques. They also use computer models for simulations of the effects of various drilling options. Because only a small proportion of oil and gas in a reservoir will flow out under natural forces, petroleum engineers develop and use various enhanced recovery methods. These include injecting wa­ ter, chemicals, gases, or steam into an oil reservoir to force out more of the oil, and computer-controlled drilling or fracturing to connect a larger area of a reservoir to a single well. Because even the best techniques in use today recover only a portion of the oil and gas in a reservoir, petroleum engineers research and develop technology and methods to increase recovery and lower the cost of drilling and production operations.  Employment Petroleum engineers held about 9,000 jobs in 2000, mostly in oil and gas extraction, petroleum refining, and engineering and archi­ tectural services. Employers include major oil companies and hun­ dreds of smaller, independent oil exploration, production, and service companies. Engineering consulting firms and government agen­ cies also employ many petroleum engineers. Most petroleum engineers work where oil and gas are found. Large numbers are employed in Texas, Louisiana, Oklahoma, and California, including offshore sites. Many American petroleum engineers also work overseas in oil-producing countries.  Job Outlook Employment of petroleum engineers is expected to decline through 2010 because most of the potential petroleum-producing areas in the United States already have been explored. Even so, favorable opportunities are expected for petroleum engineers because the number ofjob openings is likely to exceed the relatively small num­ ber of graduates. All job openings should result from the need to replace petroleum engineers who transfer to other occupations or leave the labor force. Also, petroleum engineers work around the world, and many foreign employers seek U.S.-trained petroleum engineers. In fact, the best employment opportunities may be in other countries.  ||l§|i|ig  nm ■fsf  Earnings Median annual earnings of petroleum engineers were $78,910 in 2000. The middle 50 percent earned between $60,610 and $100,210. The lowest 10 percent earned less than $48,120, and the highest 10 percent earned more than $118,630. According to a 2001 salary survey by the National Association of Colleges and Employers, bachelor’s degree candidates in petroleum engineering received starting offers averaging $53,878 year and master’s degree candidates, on average, were offered $58,500.  Sources of Additional Information For further information about petroleum engineers, contact: > Society of Petroleum Engineers, P.O. Box 833836, Richardson, TX 75083-3836. Internet: http://www.spe.org  Favorable job opportunities are expectedfor petroleum engineers.  https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  (See introduction to the section on engineers for information on working conditions, training requirements, and other sources of addi­ tional information.)  118 Occupational Outlook Handbook  Art and Design Occupations Artists and Related Workers (0*NET 27-1011.00, 27-1013.01, 27-1013.02, 27-1013.03, 27-1013.04, 27-1014.00)  _______ ________ ________ _________  Significant Points • •  •  More than half are self-employed—about 7 times the proportion in all professional and related occupations. Artists usually develop their skills through a bachelor’s degree program or other postsecondary training in art  t *  or design. Keen competition is expected for both salaried jobs and freelance work, because many talented people are attracted to the visual arts.  Nature of the Work Artists create art to communicate ideas, thoughts, or feelings. 1 hey use a variety of methods—painting, sculpting, or illustration—and an assortment of materials, including oils, watercolors, acrylics, pastels, pencils, pen and ink, plaster, clay, and computers. Artists works may be realistic, stylized, or abstract and may depict objects, people, nature, or events. Artists generally fall into one of three categories. Art directors formulate design concepts and presentation approaches for visual communications media. Fineartists, including painters, sculptors, and illustrators create original artwork using a variety of media and techniques. Multi-media artists and animators create special effects, animation, or other visual images using film, video, com­ puters or other electronic media. (Designers, including graphic designers, are discussed elsewhere in the Handbook.) Art directors develop design concepts and review the material that is to appear in periodicals, newspapers, and other printed or digital media. They decide how best to present the information visually, so it is eye-catching, appealing, and organized. They de­ cide which photographs or artwork to use and oversee the layout design and production of the printed material. They may direct workers engaged in art work, layout design, and copy writing. Fine artists typically display their work in museums, commer­ cial art galleries, corporate collections, and private homes. Some of their artwork may be commissioned (done on request from cli­ ents), but most is sold by the artist or through private art galleries or dealers. The gallery and artist predetermine how much each will earn from the sale. Only the most successful fine artists are able to support themselves solely through the sale of their works. Most fine artists must work in an unrelated field to support their art careers. Some work in museums or art galleries as fine arts directors or as curators, who plan and set up art exhibits. Others work as art critics for newspapers or magazines, or as consultants to foundations or institutional collectors. Usually, fine artists specialize in one or two art forms, such as painting, illustrating, sketching, sculpting, printmaking, and restor­ ing. Painters, illustrators, cartoonists, and sketch artists work with two-dimensional art forms. These artists use shading, perspective, and color to produce realistic scenes or abstractions. Illustrators typically create pictures for books, magazines, and other publications; and commercial products, such as textiles, wrapping paper, stationery, greeting cards and calendars. Increasingly, illustra­  tors work in digital format, preparing work directly on a computer. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  |g|  Fine artists, such as sculptors, often work in private studios.  Medical and scientific illustrators combine drawing skills with knowledge of the biological sciences. Medical illustrators draw illustrations of human anatomy and surgical procedures. Scientific illustrators draw illustrations of animals and plants. These illustra­ tions are used in medical and scientific publications and in audiovi­ sual presentations for teaching purposes. Medical illustrators also work for lawyers, producing exhibits for court cases. Cartoonists draw political, advertising, social, and sports car­ toons. Some cartoonists work with others who create the idea or story and write the captions. Most cartoonists have comic, critical, or dramatic talents in addition to drawing skills. Sketch artists create likenesses of subjects using pencil, char­ coal, or pastels. Sketches are used by law enforcement agencies to assist in identifying suspects, by the news media to depict court­ room scenes, and by individual patrons for their own enjoyment. Sculptors design three-dimensional art works—either by mold­ ing and joining materials such as clay, glass, wire, plastic, fabric, or metal or by cutting and carving forms from a block of plaster, wood, or stone. Some sculptors combine various materials to create mixedmedia installations. Some incorporate light, sound, and motion into their works. Printmakers create printed images from designs cut or etched into wood, stone, or metal. After creating the design, the artist inks the surface of the woodblock, stone, or plate and uses a printing  Professional and Related Occupations 119  press to roll the image onto paper or fabric. Some make prints by pressing the inked surface onto paper by hand, or by graphically encoding data and processing it, using a computer. The digitized images are printed on paper using computer printers. Painting restorers preserve and restore damaged and faded paint­ ings. They apply solvents and cleaning agents to clean the sur­ faces, reconstruct or retouch damaged areas, and apply preservatives to protect the paintings. This is very detailed work and usually is reserved for experts in the field. Multi-media artists and animators work primarily in computer and data processing services, advertising, and the motion picture and television industries. They draw by hand and use computers to create the large series of pictures that form the animated images or special effects seen in movies, television programs, and computer games. Some draw storyboards for television commercials, mov­ ies, and animated features. Storyboards present television com­ mercials in a series of scenes similar to a comic strip and allow an advertising agency to evaluate proposed commercials with the com­ pany doing the advertising. Storyboards also serve as guides to placing actors and cameras and to other details during the produc­ tion of commercials.  Working Conditions Most artists work in fine or commercial art studios located in office buildings, or in private studios in their homes. Some fine artists share studio space, where they also may exhibit their work. Studio surroundings usually are well lighted and ventilated; however, fine artists may be exposed to fumes from glue, paint, ink, and other materials. Artists who sit at drafting tables or use computers for extended periods may experience back pain, eyestrain, or fatigue. Artists employed by publishing companies, advertising agencies, and design firms generally work a standard 40-hour week. During busy periods, they may work overtime to meet deadlines. Selfemployed artists can set their own hours, but may spend much time and effort selling their artwork to potential customers or clients and building a reputation.  Employment Artists held about 147,000 jobs in 2000. More than half were selfemployed. Of the artists who were not self-employed, many worked in motion picture, television, computer software, printing, publish­ ing, and public relations firms. Some self-employed artists offer their services to advertising agencies, design firms, publishing houses, and other businesses.  Training, Other Qualifications, and Advancement Training requirements for artists vary by specialty. Although for­ mal training is not strictly necessary for fine artists, it is very diffi­ cult to become skilled enough to make a living without some training. Many colleges and universities offer degree programs leading to the Bachelor in Fine Arts (BFA) and Master in Fine Arts (MFA) degrees. Coursework usually includes core subjects, such as En­ glish, social science, and natural science, in addition to art history and studio art. Independent schools of art and design also offer postsecondary studio training in the fine arts leading to an Associate in Art (AA) or Bachelor in Fine Arts (BFA) degree. Typically, these programs focus more intensively on studio work than the academic programs in a university setting. Formal educational programs in art also provide training in Digitizedcomputer for FRASER techniques. Computers are used widely in the visual arts, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  and knowledge and training in them are critical for many jobs in these fields. Those who want to teach fine arts at pubic elementary or sec­ ondary schools must have a teaching certificate in addition to a bachelor s degree. An advanced degree in fine arts or arts adminis­ tration is necessary for management or administrative positions in government or in foundations or for teaching in colleges and uni­ versities. (See the statements for teachers-postsecondaiy; and teachers-preschool, kindergarten, elementary, middle, and secondary school teachers elsewhere in the Handbook.) Illustrators learn drawing and sketching skills through training in art programs and extensive practice. Most employers prefer can­ didates with a bachelor’s degree; however, some illustrators are contracted based on their portfolios of past work. Medical illustrators must have both a demonstrated artistic abil­ ity and a detailed knowledge of living organisms, surgical and medi­ cal procedures, and human and animal anatomy. A 4-year bachelor s degree combining art and premedical courses usually is preferred, followed by a master’s degree in medical illustration. This degree is offered in only five accredited schools in the United States. Evidence of appropriate talent and skill, displayed in an artist’s portfolio, is an important factor used by art directors, clients, and others in deciding whether to hire or contract out work. The portfo­ lio is a collection of hand-made, computer-generated, photographic, or printed samples of the artist’s best work. Assembling a success­ ful portfolio requires skills usually developed in a bachelor’s de­ gree program or other postsecondary training in art or visual communications. Internships also provide excellent opportunities for artists to develop and enhance their portfolios. Artists hired by advertising agencies often start with relatively routine work. While doing this work, however, they may observe and practice their skills on the side. Many artists freelance on a part-time basis while continuing to hold a full-time job until they are established. Others freelance part-time while still in school, to develop experience and to build a portfolio of published work.' Freelance artists try to develop a set of clients who regularly contract for work. Some freelance artists are widely recognized for their skill in specialties such as magazine or children’s book illus­ tration. These artists may earn high incomes and can pick and choose the type of work they do. Fine artists advance professionally as their work circulates and as they establish a reputation for a particular style. Many of the most successful artists continually develop new ideas, and their work often evolves over time.  Job Outlook Employment of artists and related workers is expected to grow as fast as the average for all occupations through the year 2010. Be­ cause the arts attract many talented people with creative ability, the number of aspiring artists continues to grow. Consequently, com­ petition for both salaried jobs and freelance work in some areas is expected to be keen. Art directors work in a variety of industries, such as printing, publishing, motion picture production and distribution, and design' Despite an expanding number of opportunities, they should experi­ ence keen competition for the available openings. Fine artists mostly work on a freelance, or commission, basis and may find it difficult to earn a living solely by selling their artwork. Only the most successful fine artists receive major com­ missions for their work. Competition among artists for the privi­ lege of being shown in galleries is expected to remain acute. And grants from sponsors such as private foundations, State and local  120 Occupational Outlook Handbook  arts councils, and the National Endowment for the Arts, should remain competitive. Nonetheless, studios, galleries, and individual clients are always on the lookout for artists who display outstand­ ing talent, creativity, and style. Population growth, rising incomes, and growth in the number of people who appreciate the fine arts will contribute to the demand for fine artists. Talented fine artists who have developed a mastery of artistic techniques and skills, including computer skills, will have the best job prospects. The need for artists to illustrate and animate materials for maga­ zines, journals, and other printed or electronic media will spur de­ mand for illustrators and animators of all types. Growth in the entertainment industry, including cable and other pay television broadcasting and motion picture production and distribution, will provide new job opportunities for illustrators, cartoonists, and ani­ mators. Competition for most jobs, however, will be strong, be­ cause job opportunities are relatively few and the number of people interested in these positions usually exceeds the number of avail­ able openings. Employers should be able to choose from among the most qualified candidates.  Median annual earnings of salaried art directors were $56,880 in 2000. The middle 50 percent earned between $41,290 and $80,350. The lowest 10 percent earned less than $30,130, and the highest 10 percent earned more than $109,440. Median annual earnings were $63,510 in advertising, the industry employing the largest numbers of salaried art directors. Median annual earnings of salaried fine artists, including paint­ ers, sculptors, and illustrators were $31,190 in 2000. The middle 50 percent earned between $20,460 and $42,720. The lowest 10 percent earned less than $14,690, and the highest 10 percent earned more than $58,580. Median annual earnings of salaried multi-media artists and ani­ mators were $41,130 in 2000. The middle 50 percent earned be­ tween $30,700 and $54,040. The lowest 10 percent earned less than $23,740, and the highest 10 percent earned more than $70,560. Median annual earnings were $44,290 in computer and data pro­ cessing services, the industry employing the largest numbers of sala­ ried multi-media artists and animators. Earnings for self-employed artists vary widely. Some charge only a nominal fee while they gain experience and build a reputa­ tion for their work. Others, such as well-established freelance fine artists and illustrators, can earn more than salaried artists. Many, however, find it difficult to rely solely on income earned from sell­ ing paintings or other works of art. Like other self-employed work­ ers, freelance artists must provide their own benefits. Related Occupations Other workers who apply art skills include architects, except land­ scape and naval; archivists, curators, and museum technicians; de­ signers; landscape architects; and photographers. Some computer-related occupations require art skills, including computer software engineers and desktop publishers. Sources of Additional Information For general information about art and design and a list of accred­ ited college-level programs, contact: ► The National Association of Schools of Art and Design, 11250 Roger Bacon Dr., Suite 21, Reston, VA 20190. Internet: http://www.arts-accredit.org/nasad/default.htm  For information on careers in medical illustration, contact: >- The Association of Medical Illustrators, 2965 Flowers Road South, Suite   105, Atlanta, GA 30341. Internet: http://medical-illustrators.org https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Designers  ______  (0*NET 27-1021.00, 27-1022.00, 27-1023.00, 27-1024.00, 27-1025.00, 27-1026.00, 27-1027.01, 27-1027.02)  ____  Significant Points •  •  •  Three out of 10 designers are self-employed—almost 5 times the proportion for all professional and related occupations. Creativity is crucial in all design occupations; most designers need a bachelor’s degree, and candidates with a master’s degree hold an advantage. Keen competition is expected for most jobs, despite projected faster-than-average employment growth, because many talented individuals are attracted to careers as designers.  Nature of the Work Designers are people with a desire to create. They combine practi­ cal knowledge with artistic ability to turn abstract ideas into formal designs for the merchandise we buy, the clothes we wear, the publi­ cations we read, and the living and office space we inhabit. De­ signers usually specialize in a particular area of design, such as automobiles, industrial or medical equipment, or home appliances; clothing and textiles; floral arrangements; publications, logos, signage, or movie or TV credits; interiors of homes or office build­ ings; merchandise displays; or movie, television, and theater sets. The first step in developing a new design or altering an existing one is to determine the needs of the client, the ultimate function for which the design is intended, and its appeal to customers. When creating a design, designers often begin by researching the desired design characteristics, such as size, shape, weight, color, materials used, cost, ease of use, fit, and safety. Designers then prepare sketches—by hand or with the aid of a computer—to illustrate the vision for the design. After consulting with the client, an art or design director, or a product development team, designers create detailed designs using drawings, a structural model, computer simulations, or a full-scale prototype. Many de­ signers increasingly are using computer-aided design (CAD) tools to create and better visualize the final product. Computer models allow greater ease and flexibility in exploring a greater number of design alternatives, thus reducing design costs and cutting the time it takes to deliver a product to market. Industrial designers use computer-aided industrial design (CAID) tools to create designs and machine-readable instructions that communicate with automated production tools. Designers sometimes supervise assistants who carry out their creations. Designers who run their own businesses also may de­ vote a considerable amount of time to developing new business contacts, reviewing equipment and space needs, and performing administrative tasks, such as reviewing catalogues and ordering samples. Design encompasses a number of different fields. Many designers specialize in a particular area of design, whereas others work in more than one area. Commercial and industrial designers, including designers of commercial products and equipment, develop countless manufac­ tured products, including airplanes; cars; children’s toys; computer equipment; furniture; home appliances; and medical, office, and recreational equipment. They combine artistic talent with research on product use, customer needs, marketing, materials, and produc­ tion methods to create the most functional and appealing design  Professional and Related Occupations 121  that will be competitive with others in the marketplace. Industrial designers typically concentrate in an area of sub-specialization such as kitchen appliances, auto interiors, or plastic-molding machinery. Fashion designers design clothing and accessories. Some highfashion designers are self-employed and design for individual clients. Other high-fashion designers cater to specialty stores or high-fashion department stores. These designers create original garments, as well as those that follow established fashion trends. Most fashion design­ ers, however, work for apparel manufacturers, creating designs of men’s, women’s, and children’s fashions for the mass market. Floral designers cut and arrange live, dried, or artificial flowers and foliage into designs, according to the customer’s order. They trim flowers and arrange bouquets, sprays, wreaths, dish gardens, and terrariums. They usually work from a written order indicating the occasion, customer preference for color and type of flower, price, the time at which the floral arrangement or plant is to be ready, and the place to which it is to be delivered. The variety of duties per­ formed by floral designers depends on the size of the shop and the number of designers employed. In a small operation, floral designers may own their shops and do almost everything, from growing and purchasing flowers to keeping financial records. Graphic designers use a variety of print, electronic, and film me­ dia to create designs that meet clients’ commercial needs. Using computer software, they develop the overall layout and design of magazines, newspapers, journals, corporate reports, and other publi­ cations. They also may produce promotional displays and marketing brochures for products and services, design distinctive company logos for products and businesses, and develop signs and signage systems— called environmental graphics—for business and government. An increasing number of graphic designers develop material to appear on Internet home pages. Graphic designers also produce the credits that appear before and after television programs and movies. Interior designers plan the space and furnish the interiors of pri­ vate homes, public buildings, and business or institutional facili­ ties, such as offices, restaurants, retail establishments, hospitals, hotels, and theaters. They also plan the interiors when existing struc­ tures are renovated or expanded. Most interior designers specialize. For example, some may concentrate in residential design, and oth­ ers may further specialize by focusing on particular rooms, such as kitchens or baths. With a client’s tastes, needs, and budget in mind, interior designers prepare drawings and specifications for non-load bearing interior construction, furnishings, lighting, and finishes. Increasingly, designers use computers to plan layouts, which can easily be changed to include ideas received from the client. Interior  Interior designers frequently carry sample books to meetings with  Digitizedclients. for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  designers also design lighting and architectural details—such as crown molding, built-in bookshelves, or cabinets—coordinate col­ ors, and select furniture, floor coverings, and window treatments. Interior designers must design space to conform to Federal, State, and local laws, including building codes. Designs for public areas also must meet accessibility standards for the disabled and elderly. Merchandise displayers and window dressers, or visual mer­ chandisers, plan and erect commercial displays, such as those in windows and interiors of retail stores or at trade exhibitions. Those who work on building exteriors erect major store decorations, in­ cluding building and window displays, and spot lighting. Those who design store interiors outfit store departments, arrange table displays, and dress mannequins. In large retail chains, store layouts typically are designed corporately, through a central design depart­ ment. To retain the chain’s visual identity and ensure that a particu­ lar image or theme is promoted in each store, designs are distributed to individual stores by e-mail, downloaded to computers equipped with the appropriate design software, and adapted to meet individual store size and dimension requirements. Set and exhibit designers create sets for movie, television, and theater productions and design special exhibition displays. Set de­ signers study scripts, confer with directors and other designers, and conduct research to determine the appropriate historical period, fash­ ion, and architectural styles. They then produce sketches or scale models to guide in the construction of the actual sets or exhibit spaces. Exhibit designers work with curators, art and museum di­ rectors, and trade show sponsors to determine the most effective use of available space. Working Conditions Working conditions and places of employment vary. Designers em­ ployed by manufacturing establishments, large corporations, or de­ sign firms generally work regular hours in well-lighted and comfortable settings. Self-employed designers tend to work longer hours. Designers who work on a contract, or job, basis frequently adjust their workday to suit their clients’ schedules, meeting with them during evening or weekend hours when necessary. Designers may transact business in their own offices or studios or in clients’ homes or offices, or they may travel to other locations, such as showrooms, design centers, clients’ exhibit sites, and manufacturing facilities! Designers who are paid by the assignment are under pressure to please clients and to find new ones to maintain a constant income. All designers face frustration at times when their designs are rejected or when they cannot be as creative as they wish. With the increased use of computers in the workplace and the advent of Internet websites, more designers conduct business, research design alternatives, and purchase supplies electronically than ever before. Occasionally, industrial designers may work additional hours to meet deadlines. Similarly, graphic designers usually work regular hours, but may work evenings or weekends to meet production schedules. In contrast, set and exhibit designers work long and irregular hours; often, they are under pressure to make rapid changes. Merchandise displayers and window trimmers who spend most of their time designing space typically work in office-type settings; however, those who also construct and install displays spend much of their time doing physical labor, such as those tasks performed by a carpenter or someone constructing and moving stage scenery. (Carpenters are discussed elsewhere in the Handbook) Fashion designers may work long hours to meet production deadlines or prepare for fashion shows. In addition, fashion designers may be required to travel to production sites across the United States and overseas. Interior designers generally work under deadlines and may work extra hours to finish a job. Also, they regularly carry  122 Occupational Outlook Handbook  heavy, bulky sample books to meetings with clients. Floral design­ ers usually work regular hours in a pleasant work environment, but holiday, wedding, and funeral orders often require overtime. Employment . Designers held about 492,000 jobs in 2000. About one-third were self-employed. Employment was distributed as follows: Graphic designers.................................................. Floral designers.......................................;............. Merchandise displayers and window trimmers Commercial and industrial designers................ Interior designers.................................................. Fashion designers................................................. Set and exhibit designers.....................................  190.000  102.000 76,000 50.000 46.000 16.000  12,000  Designers work in a number of different industries, depending on their design specialty. Most industrial designers, for example, work for engineering or architectural consulting firms or for large corpora­ tions. Most salaried interior designers work for furniture and home furnishings stores, interior designing services, and architectural firms. Others are self-employed and do freelance work—full time or part time—in addition to a salaried job in another occupation. Set and exhibit designers work for theater companies; film and television production companies; and museums, art galleries, and convention and conference centers. Fashion designers generally work for textile, apparel, and pattern manufacturers; wholesale dis­ tributors of clothing, furnishings, and accessories; or for fashion salons, high-fashion department stores, and specialty shops. Most floral designers work for retail flower shops or in floral depart­ ments located inside grocery and department stores. Training, Other Qualifications, and Advancement Creativity is crucial in all design occupations. People in this field must have a strong sense of the esthetic—an eye for color and de­ tail, a sense of balance and proportion, and an appreciation for beauty. Despite the advancement of computer-aided design, sketching ability remains an important advantage in most types of design, especially fashion design. A good portfolio—a collection of examples of a person’s best work—often is the deciding factor in getting a job. A bachelor’s degree is required for most entry-level design posi­ tions, except for floral design and visual merchandising. Esthetic ability is important for floral design and visual merchandising, but formal preparation typically is not necessary. Many candidates in industrial design pursue a master’s degree to better compete for open positions. Interior design is the only design field subject to government regu­ lation. According to the American Society for Interior Designers, 19 States and the District of Columbia require interior designers to be licensed or registered. Passing the National Council for Interior Design qualification examination is required for licensure. To take the exam, one must complete at least 2 years of postsecondary edu­ cation in design, at least 2 years of practical work experience in the field, plus additional related education or experience to total at least 6 years of combined education and experience in design. Because licensing is not mandatory in all States, membership in a profes­ sional association is an indication of an interior designer’s qualifica­ tions and professional standing—and can aid in obtaining clients. In fashion design, employers seek individuals with a 2- or 4-year degree who are knowledgeable in the areas of textiles, fabrics, and ornamentation, as well as trends in the fashion world. Set and ex­ hibit designers typically have college degrees in design. A Master of Fine Arts (MFA) degree from an accredited university program fur­ ther establishes one’s design credentials. Membership in the United Artists, Local 829, is a nationally recognized standard of Digitized Scenic for FRASER https://fraser.stlouisfed.org achievement for scenic designers. Federal Reserve Bank of St. Louis  Most floral designers learn their skills on the job. When employ­ ers hire trainees, they generally look for high school graduates who have a flair for arranging and a desire to learn. Completion of for­ mal training, however, is an asset for floral designers, particularly for advancement to the chief floral designer level. Vocational and technical schools offer programs in floral design, usually lasting less than a year, while 2- and 4-year programs in floriculture, horticul­ ture, floral design, or ornamental horticulture are offered by com­ munity and junior colleges, and colleges and universities. Formal training for some design professions also is available in 2- and 3-year professional schools that award certificates or associ­ ate degrees in design. Graduates of 2-year programs normally qualify as assistants to designers. The Bachelor of Fine Arts degree is granted at 4-year colleges and universities. The curriculum in these schools includes art and art history, principles of design, designing and sketching, and specialized studies for each of the individual design disciplines, such as garment construction, textiles, mechani­ cal and architectural drawing, computerized design, sculpture, ar­ chitecture, and basic engineering. A liberal arts education, with courses in merchandising, business administration, marketing, and psychology, along with training in art, is recommended for design­ ers who want to freelance. Additionally, persons with training or experience in architecture qualify for some design occupations, particularly interior design. Because computer-aided design is increasingly common, many employers expect new designers to be familiar with its use as a design tool. For example, industrial designers extensively use com­ puters in the aerospace, automotive, and electronics industries. In­ terior designers use computers to create numerous versions of interior space designs—images can be inserted, edited, and replaced easily and without added cost—making it possible for a client to see and choose among several designs. The National Association of Schools of Art and Design currently accredits about 200 postsecondary institutions with programs in art and design; most of these schools award a degree in art. Some award degrees in industrial, interior, textile, graphic, or fashion de­ sign. Many schools do not allow formal entry into a bachelor’s degree program until a student has successfully finished a year of basic art and design courses. Applicants may be required to submit sketches and other examples of their artistic ability. The Foundation for Interior Design Education Research also accredits interior design programs and schools. Currently, there are more than 120 accredited professional programs in the United States and Canada, primarily located in schools of art, architec­ ture, and home economics. Individuals in the design field must be creative, imaginative, per­ sistent, and able to communicate their ideas in writing, visually, and verbally. Because tastes in style and fashion can change quickly, designers need to be well-read, open to new ideas and influences, and quick to react to changing trends. Problem-solving skills and the ability to work independently and under pressure are important traits. People in this field need self-discipline to start projects on their own, to budget their time, and to meet deadlines and produc­ tion schedules. Good business sense and sales ability also are im­ portant, especially for those who freelance or run their own business. Beginning designers usually receive on-the-job training, and nor­ mally need 1 to 3 years of training before they can advance to higherlevel positions. Experienced designers in large firms may advance to chief designer, design department head, or other supervisory po­ sitions Some designers become teachers in design schools and colleges and universities. Many faculty members continue to con­ sult privately or operate small design studios to complement their classroom activities. Some experienced designers open their own firms.  Professional and Related Occupations 123  Job Outlook Despite projected faster-than-average employment growth, design­ ers in most fields—with the exception of floral design—are ex­ pected to face keen competition for available positions. Many talented individuals are attracted to careers as designers. Individu­ als with little or no formal education in design, as well as those who lack creativity and perseverance, will find it very difficult to establish and maintain a career in design. Floral design should be the least competitive of all design fields because of the relatively low pay and limited opportunities for advancement, as well as the relatively high job turnover of floral designers in retail flower shops. Overall, the employment of designers is expected to grow faster than the average for all occupations through the year 2010. In addi­ tion to those that result from employment growth, many job open­ ings will arise from the need to replace designers who leave the field. Increased demand for industrial designers will stem from the continued emphasis on product quality and safety; the demand for new products that are easy and comfortable to use; the development of high-technology products in medicine, transportation, and other fields; and growing global competition among businesses. Demand for graphic designers should increase because of the rapidly increas­ ing demand for Web-based graphics and the expansion of the video entertainment market, including television, movies, videotape, and made-for-Intemet outlets. Rising demand for professional design of private homes, offices, restaurants and other retail establishments, and institutions that care for the rapidly growing elderly population should spur employment growth of interior designers. Demand for fashion designers should remain strong, because many consumers continue to demand new fashions and apparel styles. Earnings Median annual earnings for commercial and industrial designers were $48,780 in 2000. The middle 50 percent earned between $36,460 and $64,120. The lowest 10 percent earned less than $27,290, and the highest 10 percent earned more than $77,790. Median annual earnings for fashion designers were $48,530 in 2000. The middle 50 percent earned between $34,800 and $73,780. The lowest 10 percent earned less than $24,710, and the highest 10 percent earned more than $103,970. Median annual earnings were $52,860 in apparel, piece goods, and notions—the industry employ­ ing the largest numbers of fashion designers. Median annual earnings for floral designers were $ 18,360 in 2000. The middle 50 percent earned between $14,900 and $22,110. The lowest 10 percent earned less than $12,570, and the highest 10 per­ cent earned more than $27,860. Median annual earnings were $20,160 in grocery stores and $ 17,760 in miscellaneous retail stores, including florists. Median annual earnings for graphic designers were $34,570 in 2000. The middle 50 percent earned between $26,560 and $45,130. The lowest 10 percent earned less than $20,480, and the highest 10 percent earned more than $58,400. Median annual earnings in the industries employing the largest numbers of graphic designers were as follows: Management and public relations...................................................... Advertising.............................................................................................  $37 57Q 37’o80  Mailing, reproduction, and stenographic services..........................  36,130  Commercial printing............................................................  29 730  Newspapers...........................................................................................  28 170  Median annual earnings for interior designers were $36,540 in 2000. The middle 50 percent earned between $26,800 and $51,140. The lowest 10 percent earned less than $19,840, and the highest 10 percent earned more than $66,470. Median annual earnings were $40,710 in engineering and architectural services and $34,890 in  furniture and home furnishings stores. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Median annual earnings of merchandise displayers and window dressers were $20,930 in 2000. The middle 50 percent earned be­ tween $16,770 and $26,840. The lowest 10 percent earned less than $ 13,790, and the highest 10 percent earned more than $31,130. Median annual earnings were $22,210 in groceries and related prod­ ucts and $18,820 in department stores. Median annual earnings for set and exhibit designers were $31,440 in 2000. The middle 50 percent earned between $21,460 and $42,800. The lowest 10 percent earned less than $13,820, and the highest 10 percent earned more than $57,400. According to the Industrial Designers Society of America, the median base salary, excluding deferred compensation, bonuses, roy­ alties, and commissions, for an industrial designer with 1 to 2 years of experience was about $36,500 in 2000. Staff designers with 5 years of experience earned $45,000, whereas senior designers with 8 years of experience earned $64,000. Industrial designers in mana­ gerial, executive, or ownership positions earned substantially moreup to $600,000 annually; however, the $80,000 to $180,000 range was more representative. The American Institute of Graphic Arts (AIGA) reported 1999 median earnings for graphic designers with increasing levels of re­ sponsibility. Staff-level graphic designers earned $36,000, while senior designers, who may supervise junior staff or have some de­ cision-making authority that reflects their knowledge of graphic design, earned $50,000. Solo designers, who freelance or work independently of a company, reported median earnings of $50,000. Design directors, the creative heads of design firms or in-house corporate design departments, earned $80,000. Graphic designers with business responsibilities for the operation of a firm as owners, partners, or principals earned $90,000. Related Occupations Workers in other occupations who design or arrange objects, mate­ rials, or interiors to enhance their appearance and function include artists and related workers; architects, except landscape and naval; engineers, landscape architects, and photographers. Some computerrelated occupations require design skills, including computer soft­ ware engineers and desktop publishers. Sources of Additional Information For general information about art and design and a list of accred­ ited college-level programs, contact: ► National Association of Schools of Art and Design, 11250 Roger Bacon Dr„ Suite 21, Reston, VA 20190. Internet:  http://www.arts-accredit.org/nasad/default.htm  For information on industrial design careers and a list of aca­ demic programs in industrial design, write to: >- Industrial Designers Society of America, 1142 Walker Rd., Great Falls, VA 22066. Internet: http://www.idsa.org  For information about graphic design careers, contact: *■ American Institute of Graphic Arts, 164 FifthAve., New York, NY10010. Internet: http://www.aiga.org  For information on degree, continuing education, and licensure programs in interior design and interior design research, contact: > American Society for Interior Designers, 608 Massachusetts Ave NE Washington, DC 20002-6006. Internet: http://www.asid.org  For information on degree, continuing education, and licensure programs, and general information on the interior design profes­ sion, contact: >- International Interior Design Association, 997 Merchandise Mart, Chi­ cago, IL 60654. Internet: http://www.iida.org  For a list of schools with accredited programs in interior design, contact: >- Foundation for Interior Design Education Research, 146 Monroe Center NW., Suite 1318, Grand Rapids, MI 49503. Internet: http://www.fider.org  For information about careers in floral design, contact: >- Society of American Florists, 1601 Duke St., Alexandria, VA22314.  124 Occupational Outlook Handbook  Entertainers and Performers, Sports and Related Occupations Actors, Producers, and Directors (0*NET 27-2011.00, 27-2012.01, 27-2012.02, 27-2012.03, 27-2012.04, 27-2012.05)  _______________________  Significant Points •  Actors endure long periods of unemployment, intense competition for roles, and frequent rejections in  •  •  auditions. Formal training through a university or acting conservatory is typical; however, many actors, producers, and directors find work based on experience and talent alone. Because earnings for actors are erratic, many supple­ ment their incomes by holding jobs in other fields.  Nature of the Work  Actors, producers, and directors express ideas and create images in theater,’ film, radio, television, and other performing arts media. They interpret a writer’s script to entertain, inform, or instruct an audi­ ence. Although the most famous actors, producers, and directors work in film, network television, or theater in New York or Los Angeles, far more work in local or regional television studios, the­ aters, or film production companies engaged in advertising, public relations, or independent, small-scale movie productions. Actors perform in stage, radio, television, video, or motion pic­ ture productions. They also work in cabarets, nightclubs, theme parks, and commercials, and in “industrial” films produced for train­ ing and educational purposes. Most actors struggle to find steady work; only a few ever achieve recognition as stars. Some wellknown, experienced performers may be cast in supporting roles. Others work as “extras,” with no lines to deliver, or make briet,  development of script ideas, arrange financing, and determine the size and cost of stage, radio, television, video, or motion picture productions. Producers hire directors, principal cast members, and key production staff members. They also negotiate contracts with artistic and design personnel in accordance with collective bargain­ ing agreements and guarantee payment of salaries, rent, and other expenses. Producers coordinate the activities of writers, directors, managers, and agents to ensure that each project stays on schedule and within budget. Directors are responsible for the creative decisions of a produc­ tion. They interpret scripts, express concepts to set and costume designers, audition and select cast members, conduct rehearsals, and direct the work of cast and crew. Directors approve the design elements of a production, including sets, costumes, choreography, and music.  Working Conditions  Actors, producers, and directors work under constant pressure. To succeed, they need patience and commitment to their craft. Actors strive to deliver flawless performances, often while working in un­ desirable and unpleasant conditions. Producers and directors expe­ rience stress from the need to adhere to budgets, union work rules, and production schedules; organize rehearsals; and meet with de­ signers, financial backers, and production executives. Acting assignments typically are short term—ranging from 1 day to a few months—which means that there often are long periods of unemployment between jobs. The uncertain nature of the work results in unpredictable earnings and intense competition for even the lowest paid jobs. Often, actors, producers, and directors must hold other jobs to sustain a living. When performing, actors typically work long, irregular hours. For example, stage actors may perform one show at night while rehearsing another during the day. They also might travel with a  cameo appearances speaking only one or two lines. Some actors  show when it tours the country. Movie actors may work on loca­ tion, sometimes under adverse weather conditions, and may spend  also teach in high school or university drama departments, acting  considerable time in their trailers or dressing rooms waiting to per­  conservatories, or public programs. Producers are entrepreneurs, overseeing the business and finan­  form their scenes. Actors who perform in television often appear on camera with little preparation time because scripts tend to be  cial decisions of a production.  revised frequently or written moments before taping. , Evening and weekend work is a regular part of a stage actor s life. On weekends, more than one performance may be held per  They select scripts and approve  Digitized Actors for FRASER may perform for television, film, or stage productions. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  day. Actors and directors working on movies or television pro­ grams, especially those who shoot on location, may work in the early morning or late evening hours to do nighttime filming or to tape scenes inside public facilities outside of normal business hours. Actors should be in good physical condition and have the neces­ sary stamina and coordination to move about theater stages and large movie and television studio lots. They also need to maneuver about complex technical sets while staying in character and projecting their voices audibly. Actors must be fit to endure heat from stage or studio lights and the weight of heavy costumes. Producers and di­ rectors should anticipate such hazards and ensure the safety of ac­ tors by conducting extra rehearsals on the set so that actors can learn the layout of set pieces and props, allowing time for warmups and stretching exercises to guard against physical and vocal inju­ ries, and providing adequate breaks to prevent heat exhaustion and dehydration.  Professional and Related Occupations 125  Employment In 2000, actors, producers, and directors held about 158,000 jobs, primarily in motion pictures, theater, television, and radio. Because many others were between jobs, the total number of actors, produc­ ers, and directors available for work was higher. Employment in the theater is cyclical—higher in the fall and spring seasons—and concentrated in New York and other major cities with large com­ mercial houses for musicals and touring productions. Also, many cities support established professional regional theaters that oper­ ate on a seasonal or year-round basis. In summer, stock companies in suburban and resort areas also pro­ vide employment opportunities. Actors, producers, and directors may find work on cruise lines and in theme parks. Many smaller non­ profit professional companies, such as repertory companies, dinner theaters, and theaters affiliated with drama schools, acting conserva­ tories, and universities provide employment opportunities for local amateur talent and professional entertainers. Auditions typically are held in New York for many productions across the country and for shows that go on the road. Employment in motion pictures and films for television is cen­ tered in New York and in Hollywood. However, small studios are located throughout the country. Many films are shot on location and may employ local professional and nonprofessional actors. In television, opportunities are concentrated in the network centers of New York and Los Angeles, but cable television services and local television stations around the country also employ many actors, pro­ ducers, and directors. Training, Other Qualifications, and Advancement Persons who become actors, producers, and directors follow many paths. Employers generally look for people with the creative in­ stincts, innate talent, and intellectual capacity to perform. Actors should possess a passion for performing and enjoy entertaining others. Most aspiring actors participate in high school and college plays, work in college radio stations, or perform with local com­ munity theater groups. Local and regional theater experience and work in summer stock, on cruise lines, or in theme parks help many young actors hone their skills and earn qualifying credits towards membership in one of the actors’ unions. Union membership and work experience in smaller communities may lead to work in larger cities, notably New York or Los Angeles. In television and film, actors and directors typically start in smaller television markets or with independent movie production companies, then work their way up to larger media markets and major studio productions. In­ tense competition, however, ensures that only a few actors reach star billing. Formal dramatic training, either through an acting conservatory or a university program, generally is necessary; however, some people successfully enter the field without it. Most people study­ ing for a bachelor’s degree take courses in radio and television broad­ casting, communications, film, theater, drama, or dramatic literature. Many continue their academic training and receive a Master of Fine Arts (MFA) degree. Advanced curriculums may include courses in stage speech and movement, directing, playwriting, and design, as well as intensive acting workshops. Actors at all experience levels may pursue workshop training through acting conservatories or by being mentored by a drama coach. Actors also research roles so that they can grasp concepts quickly during rehearsals and understand the story’s setting and background. Sometimes actors learn a foreign language or train with a dialect coach to develop an accent to make their characters more realistic. Actors need talent, creative ability, and training that will enable  them to portray different characters. Because competition for parts https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  is fierce, versatility and a wide range of related performance skills, such as singing, dancing, skating, juggling, and miming are espe­ cially useful in lifting actors above the average and getting them noticed by producers and directors. Actors must have poise, stage presence, the capability to affect an audience, and the ability to fol­ low direction. Modeling experience also may be helpful. Physical appearance often is a deciding factor in being selected for particu­ lar roles. Many professional actors rely on agents or managers to find work, negotiate contracts, and plan their careers. Agents generally earn a percentage of the pay specified in an actor’s contract. Other actors rely solely on attending open auditions for parts. Trade publica­ tions list the time, date, and location of these auditions. To become a movie extra, one must usually be listed by a casting agency, such as Central Casting, a no-fee agency that supplies ex­ tras to the major movie studios in Hollywood. Applicants are ac­ cepted only when the number of persons of a particular type on the list—for example, athletic young women, old men, or small chil­ dren—falls below the foreseeable need. In recent years, only a very small proportion of applicants has succeeded in being listed. There are no specific training requirements for producers. They come from many different backgrounds. Talent, experience, and business acumen are very important determinants of success for producers. Actors, writers, film editors, and business managers commonly enter the field. Also, many people who start out as ac­ tors move into directing, while some directors might try their hand at acting. Producers often start in a theatrical management office, working for a press agent, managing director, or business manager. Some start in a performing arts union or service organization. Oth­ ers work behind the scenes with successful directors, serve on boards of directors, or promote their own projects. No formal training exists for producers; however, a growing number of colleges and universities now offer degree programs in arts management and managing nonprofits. As the reputations and box-office draw of actors, producers, and directors grow, they might work on bigger budget productions, on network or syndicated broadcasts, or in more prestigious theaters. Actors may advance to lead roles and receive star billing. A few actors move into acting-related jobs, such as drama coaches or di­ rectors of stage, television, radio, or motion picture productions. Some teach drama privately or in colleges and universities. Job Outlook Employment of actors, producers, and directors is expected to grow faster than the average for all occupations through 2010. Although a growing number of people will aspire to enter these professions, many will leave the field early because the work, when it is avail­ able, is hard, the hours are long, and the pay is low. Despite fasterthan-average employment growth, competition for jobs will be stiff, in part because of the large number of highly trained and talented actors auditioning for roles. Only performers with the most stamina and talent will regularly find employment. Expanding cable and satellite television operations, increasing production and distribution of major studio and independent films, and continued growth and development of interactive media, such as direct-for-web movies and videos, should increase demand for actors, producers, and directors. A strong Broadway and Off-Broad­ way community and vibrant regional theater network are expected to offer many job opportunities. Earnings Median annual earnings of actors were $25,920 in 2000. The middle 50 percent earned between $16,950 and $59,769. The lowest 10 percent earned less than $12,700, and the highest 10 percent earned  126 Occupational Outlook Handbook  more than $93,620. Median annual earnings in the industries em­ ploying the largest numbers of actors were as follows: Motion picture production and services.................. Producers, orchestras, and entertainers................... Miscellaneous amusement and recreation services  $54,440 28,310 13,500  Minimum salaries, hours of work, and other conditions of em­ ployment are covered in collective bargaining agreements between show producers and the unions representing workers. Actors’ Eq­ uity Association (Equity) represents stage actors; Screen Actors Guild (SAG) covers actors in motion pictures, including television, commercials, and films; and the American Federation of Television and Radio Artists (AFTRA) represents television and radio studio performers. While these unions generally determine minimum sala­ ries, any actor or director may negotiate for a salary higher than the minimum. . On July 1,2001, the members of SAG and AFTRA negotiated a new joint contract covering all unionized employment. Under the contract motion picture and television actors with speaking parts earned a minimum daily rate of $636 or $2,206 for a 5-day week. Actors also receive contributions to their health and pension plans and additional compensation for reruns and foreign telecasts of the productions in which they appear. According to Equity, the minimum weekly salary for actors in Broadway productions as of June 25, 2001 was $1,252. Actors in Off-Broadway theaters received minimums ranging from $440 to $551 a week as of October 30, 2000, depending on the seating ca­ pacity of the theater. Regional theaters that operate under an Eq­ uity agreement pay actors $500 to $728 per week. For touring productions, actors receive an additional $106 per day for living expenses ($112 per day in larger, higher-cost cities). According to Equity, fewer than 15 percent of its dues-paying members actually worked during any given week during 2000. Median earnings for those able to find employment in 2000 were less than $10,000. Some well-known actors—stars—earn well above the minimum; their salaries are many times the figures cited, creating the false impression that all actors are highly paid. For example, of the nearly 100,000 SAG members, only about 50 might be considered stars. The’average income that SAG members earn from acting, less than $5,000 a year, is low because employment is erratic. Therefore, most actors must supplement their incomes by holding jobs in other fields. Many actors who work more than a set number of weeks per year are covered by a union health, welfare, and pension fund, which includes hospitalization insurance and to which employers contrib­ ute. Under some employment conditions, Equity and AFTRA mem­ bers receive paid vacations and sick leave. Median annual earnings of producers and directors were $41,030 in 2000. The middle 50 percent earned between $29,000 and $60,330. The lowest 10 percent earned less than $21,050, and the highest 10 percent earned more than $87,770. Median annual earn­ ings in the industries employing the largest numbers of producers and directors were as follows: Motion picture production and services Producers, orchestras, and entertainers Radio and television broadcasting........  $50,280 38,820 34,630  Many stage directors belong to the Society of Stage Directors and Choreographers (SSDC), and film and television directors be­ long to the Directors Guild of America (DAG). Earnings of stage directors vary greatly. According to the SSDC, summer theaters compensation, including “royalties (based on the number of Digitized offer for FRASER https://fraser.stlouisfed.org performances), usually ranging from $2,500 to $8,000 for a 3- to 4Federal Reserve Bank of St. Louis  week run. Directing a production at a dinner theater usually will pay less than directing one at a summer theater, but has more poten­ tial for income from royalties. Regional theaters may hire directors for longer periods, increasing compensation accordingly. The high­ est paid directors work on Broadway and commonly earn $50,000 per show. However, they also receive payment in the form of royal­ ties—a negotiated percentage of gross box office receipts that can exceed their contract fee for long-running box office successes. Producers seldom get a set fee; instead, they get a percentage of a show’s earnings or ticket sales. Related Occupations People who work in performing arts occupations that may require acting skills include announcers; dancers and choreographers; and musicians, singers, and related workers. Others working in theaterrelated occupations are hairdressers, hairstylists, and cosmetologists, fashion designers; set and exhibit designers; sound engineering tech­ nicians; and writers and authors. Sources of Additional Information For general information about theater arts and a list of accredited college-level programs, contact:  >• National Association of Schools of Theater, 11250 Roger Bacon Dr., Suite 21, Reston, VA 20190. Internet:  http://www.arts-accredit.org/nast/default.htm  For general information on actors, producers, and directors, contact ** >. Actors Equity Association, 165 West 46th St., New York, NY 10036. Internet: http://www.actorsequity.org Screen Actors Guild, 5757 Wilshire Blvd., Los Angeles, CA 90036­ 3600. Internet: http://www.sag.org > American Federation of Television and Radio Artists—Screen Actors Guild, 4340 East-West Hwy., Suite 204, Bethesda, MD 20814-4411. Internet: http://www.aftra.org or http://www.sag.org  Athletes, Coaches, Umpires, and Related Workers___ ______ (0*NET 27-2021.00, 27-2022.00, 27-2023.00)  Significant Points • •  •  Work hours are often irregular; travel may be extensive. Very few athletes, coaches, umpires and related workers make it to professional rank; career-ending injuries are a constant danger for athletes. Job opportunities for coaches, sports instructors, and sports officials will be best in high school and other amateur sports.  Nature of the Work We are a nation of sports fans—and sports players. Interest in watch­ ing sports continues to grow, resulting in expanding leagues, com­ pletely new leagues, and more and larger venues in which to witness amateur and professional competitions. Recreational participation in sports is at an all-time high as the general population seeks the benefits of sport and exercise for its positive effect on overall health and well being. Some of those who participate in amateur sports dream of becoming paid professional athletes, coaches, or sports officials, but very few beat the long odds and have the opportunity to make a living from professional athletics. Those who do find  that careers are short and jobs are insecure—so having an alterna­ tive plan for a career is essential. For many, that alternative is a job in the ranks of coaches in amateur athletics, teaching and directing their sports in high schools, colleges and universities, and clubs. Athletes and sports competitors compete in organized, offici­ ated sports events to entertain spectators. When playing a game, athletes are required to understand the strategies of their game while obeying the rules and regulations of the sport. These events in­ clude both team sports—such as baseball, basketball, football, hockey, and soccer—and individual sports—such as golf, tennis,' and bowling. As the type of sport varies, so does the level of play, ranging from unpaid high school athletics to professional sports in which the best from around the world compete before national tele­ vision audiences. In addition to competing in athletic events, athletes spend many hours practicing skills and teamwork under the guidance of a coach or sports instructor. Most athletes spend hours in hard practices every day. They also spend additional hours viewing films, critiqu­ ing their own performances and techniques and scouting their op­ ponents tendencies and weaknesses. Some athletes may also be advised by strength trainers in an effort to gain muscle and stamina, while also preventing injury. Competition at all levels is extremely intense and job security is always precarious. As a result, many athletes train year round to maintain excellent form, technique, and peak physical condition; very little downtime from the sport exists at the professional level. Athletes also must confonn to regimented diets during the height of their sports season to supplement any physical training program. Many athletes push their bodies to the limit, so career-ending injury is always a risk. Even minor injuries to an athlete may be sufficient opportunity for another athlete to play, excel, and become a permanent replacement. Coaches organize, instruct, and teach amateur and professional athletes in fundamentals of individual and team sports. In indi­ vidual sports, instructors may often fill this role. Coaches train athletes for competition by holding practice sessions to perform drills and improve the athlete’s skills and conditioning. Using their expertise in the sport, coaches instruct the athlete on proper form and technique in beginning and later in advanced exercises attempt­ ing to maximize the players potential. Along with overseeing ath­ letes as they refine their individual skills, coaches also are responsible for managing the team during both practice sessions and competi­ tions. They may also select, store, issue, and inventory equipment, materials, and supplies. During competitions, for example, coaches substitutes players for optimum team chemistry and success. In addition, coaches direct team strategy and may call specific plays during competition to surprise or overpower the opponent. To choose the best plays, coaches evaluate or “scout” the opposing team prior to the competition, allowing them to determine game strategies and practice specific plays. As coaches, advocating good sportsmanship, promoting a com­ petitive spirit, tutoring fairness, and teaching teamwork are all im­ portant responsibilities. Many coaches in high schools are primarily teachers of academic subjects and supplement their income by coach­ ing part-time. College coaches consider it a full-time discipline and may be away from home frequently as they travel to scout and recruit prospective players. Coaches sacrifice many hours of their free time throughout their careers, particularly full-time coaches at the professional level, whose seasons are much longer than those at the amateur level. Sports instructors teach professional and nonprofessional athletes on an individual basis. They organize, instruct, train, and lead ath­ letes of indoor and outdoor sports such as bowling, tennis, golf, and swimming. Because activities are as diverse as weight lifting, gym­  nastics, scuba diving, and may include self-defense training such as https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Professional and Related Occupations 127  karate, instructors tend to specialize in one or a few types of activi­ ties. Like a coach, sports instructors may also hold daily practice sessions and be responsible for any needed equipment and supplies. Using their knowledge of their sport, physiology, and corrective tech­ niques, they determine the type and level of difficulty of exercises, prescribe specific drills, and relentlessly correct individuals’ tech­ niques. Some instructors also teach and demonstrate use of training apparatus, such as trampolines or weights, while correcting athlete’s weaknesses and enhancing their conditioning. Using their exper­ tise in the sport, sports instructors evaluate the athlete and their op­ ponents to devise a competitive game strategy. Coaches and sports instructors sometimes differ in their approach to athletes because of the focus of their work. For example, while coaches manage the team during a game to optimize its chance for victory, sports instructors—such as those who work for professional tennis players—often are not permitted to instruct their athletes during competition. Sports instructors spend more of their time with athletes working one-on-one, allowing them to design cus­ tomized training programs for each individual they train. Motivat­ ing athletes to play hard challenges most coaches and sports instructors but is vital for success. Many derive great satisfaction working with children or young adults, helping them to learn new physical and social skills, improving their physical condition, while also achieving success. Umpires, referees, and other sports officials officiate competi­ tive athletic and sporting events. They observe the play and detect infractions of rules and impose penalties established by the sports’ regulations. Umpires, referees, and sports officials anticipate play and position themselves to best see the action, assess the situation, and determine any violations. Some sports officials, such as box­ ing referees, may work independently, while others such as um­ pires the sports officials of baseball—work in groups. Regardless of the sport, the job is highly stressful because officials are often required to assess the play and make a decision in a matter of a split second and some competitors, coaches, and spectators are likely to disagree strenuously. Professional scouts evaluate the skills of both amateur and pro­ fessional athletes to determine talent and potential. As a sports intelligence agent, the scout’s primary duty is to seek out top ath­ letic candidates for the team they represent, ultimately contributing to team success. At the professional level, scouts typically work for scouting organizations, or more often as freelance scouts. In locating new talent, scouts perform their work in secrecy so as to not tip off players that interest them to their opponents. At the  -  -/  ■A-  si---r.tr . ASei ■  V.::  mm  i 99HhHN  >■ ■  Athletes generally work outdoors, and most participate seasonally.  128 Occupational Outlook Handbook  college level, the head scout is often an assistant coach, although freelance scouts may aid colleges by providing reports about ex­ ceptional players to coaches. Scouts at this level seek talented high school athletes by reading newspapers, contacting high school coaches and alumni, attending high school games, and studying vid­ eotapes of prospects’ performances. Working Conditions Irregular work hours are the trademark of the athlete. They are also common for the coach, and full-time umpires, referees, and other sports officials. Athletes, coaches, and sports officials often work Saturdays, Sundays, evenings, and even holidays. They usually work more than 40 hours a week for several months during the sports season, if not most of the year. Some coaches in educational insti­ tutions may coach more than one sport, particularly at the high school level. . Athletes, coaches, and sports officials who participate in compe­ titions that are held outdoors may be exposed to all weather condi­ tions of the season; those involved in events that are held indoors work in more climate-controlled comfort. Athletes, coaches, and some sports officials travel frequently to sporting events by either by bus or airplane. Scouts also travel extensively in locating talent, often by automobile. Employment Athletes, coaches, and sports officials and related workers held about 129,000 jobs in 2000. Coaches and scouts held 99,000 jobs; ath­ letes, 18,000; and umpires, referees, and other sports officials, 11,000. Nearly 30 percent were self-employed, earning prize money or 'fees for lessons, scouting or officiating assignments, or other services. Among the 70 percent employed in wage and salary jobs, nearly half held jobs in public and private education. About 29 percent worked in miscellaneous amusement and recreation services, including golf and tennis clubs, gymnasiums, health clubs, judo and karate schools, riding stables, swim clubs, and other sports and recreation related facilities. About 11 percent worked in the com­ mercial sports industry. Training, Other Qualifications, and Advancement Education and training requirements for athletes, coaches, and sports officials vary greatly by the level and type of sport. Regardless of the sport or occupation, jobs require immense overall knowledge of the game, usually acquired through years of experience at lower levels. Athletes usually begin competing in their sports while in elementary or middle school and continue through high school and often college. They play in amateur tournaments and on high school and college teams, where the best attract the attention of profes­ sional scouts. Most schools require that participating athletes main­ tain specific academic standards to remain eligible to play. Becoming a professional athlete is the culmination of years of effort. Athletes who seek to compete professionally must have extraordinary talent, desire, and dedication to training. For high school coach and sports instructor jobs, schools usu­ ally first look to hire existing teachers willing to take on the jobs part time. If no one suitable is found they hire someone from out­ side. Some entry-level positions for coaches or instructors only require experience derived as a participant in the sport or activity. Many coaches begin their careers as assistant coaches to gain the necessary knowledge and experience needed to become a head coach. Head coach jobs at larger schools that strive to compete at the highest levels of a sport require substantial experience as a head coach at another school or as an assistant coach. To reach the ranks of professional coaching, it usually takes years of coaching experi­  ence and a winning record in the lower ranks. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Public secondary school coaches and sports instructors at all lev­ els usually must have a bachelor’s degree and meet State require­ ments for licensure as a teacher. (For information on teachers, including those specializing in physical education, see the section on teachers—preschool, kindergarten, elementary, middle, and sec­ ondary elsewhere in the Handbook.) Licensure may not be required for coach and sports instructor jobs in private schools. Degree pro­ grams specifically related to coaching include exercise and sports science, physiology, kinesiology, nutrition and fitness, physical edu­ cation, and sports medicine. For sports instructors, certification is highly desirable for those interested in becoming a tennis, golf, karate, or any other kind of instructor. Often one must be at least 18 years old and CPR certi­ fied. There are many certifying organizations specific to the vari­ ous sports and their training requirements vary depending on their standards. Participation in a clinic, camp, or school usually is re­ quired for certification. Part-time workers and those in smaller fa­ cilities are less likely to need formal education or training. Each sport has specific requirements for umpires, referees, and other sports officials. Referees, umpires, and other sports officials often begin their careers by volunteering for intramural, commu­ nity, and recreational league competitions. For high school and college refereeing, candidates must be certified by an officiating school and get through a probationary period for evaluation. Some larger college conferences often require officials to have certifica­ tion and other qualifications, such as residence in or near the con­ ference boundaries along with previous experience that typically includes several years officiating high school, community college, or other college conference games. Standards are even more stringent for officials in professional sports. For professional baseball umpire jobs, for example, a high school diploma or equivalent is usually sufficient, plus 20/20 vision and quick reflexes. To qualify for the professional ranks, however, prospective candidates must attend professional umpire training school. Currently, there are two schools whose curriculums have been approved by the Professional Baseball Umpires Corporation (PBUC) for training. Top graduates are then selected for further evalu­ ation while officiating in a rookie minor league. Umpires then usu­ ally need 8 to 10 years of experience in various minor leagues before being considered for major league jobs. Jobs as scouts require experience playing a sport at the college or professional level that enables them to spot young players who possess extraordinary athletic abilities and skills. Most beginning scout jobs are as part-time talent spotters in a particular area or region. Hard work and a record of success often lead to full-time jobs responsible for bigger territories. Some scouts advance to scout­ ing director jobs or various administrative positions in sports. Athletes, coaches, and sports officials must relate well to others and possess good communication and leadership skills. Coaches also must be resourceful and flexible to successfully instruct and motivate individuals or groups of athletes. Job Outlook Jobs for athletes, coaches, umpires, and related workers are expected to increase about as fast as the average for all occupations through the year 2010. Employment will grow as the public continues to increasingly participate in sports as a form of entertainment, recre­ ation, and physical conditioning. Job growth will in part be driven by the growing numbers of baby boomers approaching retirement, where they are expected to become more active participants of lei­ sure time activities such as golf and tennis and require instruction. The large numbers of the children of baby boomers in high schools and colleges will also be active participants in athletics and require coaches and instructors.  Professional and Related Occupations 129  Opportunities will be best for coaches and instructors as employ­ ment increases about as fast as the average. A higher value is being placed upon physical fitness within our society with Americans of all ages engaging in more physical fitness activities, such as participat­ ing in amateur athletic competitionjoining athletic clubs, and being encouraged to participate in physical education. Employment of coaches and instructors also will increase with expansion of school and college athletic programs and growing demand for private sports instruction. Employment growth within education will continue to be driven largely by local school boards. Population growth dictates the construction of additional schools, particularly in the expanding suburbs. However, funding for athletic programs is often one of the first areas to be cut when budgets become tight, but the popularity of team sports often enables shortfalls to be offset somewhat by assis­ tance from booster clubs and parents. Persons seeking coach or in­ structor jobs who are qualified to teach academic subjects in addition to physical education are likely to have the best job prospects. Competition for professional athlete jobs should continue to be intense. Employment will increase as new professional sports leagues are established and existing ones undergo expansion. Opportunities to make a living as a professional in individual sports such as golf, tennis, and others should grow as new tournaments are added and prize money distributed to participants grows. Most athlete’s pro­ fessional careers last only several years due to debilitating injuries and age, so a large proportion of the athletes in these jobs are re­ placed every year, creating job opportunities. However, a far greater number of talented young men and women dream of becoming a sports superstar and will be competing for limited opportunities. Opportunities should be favorable for persons seeking part-time umpire, referee, and other sports official jobs in high school level amateur sports, but competition is expected for higher paying jobs at the college level, and even greater competition for jobs in profes­ sional sports. Competition is expected to be keen for jobs as scouts, particularly for professional teams. Earnings  Median annual earnings of athletes were $32,700 in 2000. The lowest 10 percent earned less than $12,630, but more than 25 per­ cent earned $ 145,600 or more annually. Median annual earnings of umpires and related workers were $18,540 in 2000. The middle 50 percent earned between $14,310 and $28,110. The lowest 10 percent earned less than $12,550, and the highest 10 percent earned more than $35,830. Median annual earnings of coaches and scouts were $28,020 in 2000. The middle 50 percent earned between $ 17,870 and $41,920. The lowest 10 percent earned less than $13,210, and the highest 10 percent earned more than $58,520. Median annual earnings in the industries employing the largest number of coaches and scouts in 2000 were as follows: Colleges and universities............................................................... Elementary and secondary schools.................................................... Miscellaneous amusement, recreation services..............................  Sources of Additional Information For general information on coaching, contact: ► National High School Athletic Coaches Association, P.O. Box 4342, Hamden, CT 06514. Internet: http://www.hscoaches.org For information about athletics at the collegiate level, contact: >- National Collegiate Athletic Association, 700 W. Washington St., P.O. Box 6222, Indianapolis, IN 46206-6222. Internet: http://www.ncaa.org For information about sports officiating team and individual sports, contact: ► National Association of Sports Officials, 2017 Lathrop Ave., Racine, WI 53405. Internet: http://www.naso.org  Dancers and Choreographers (0*NET 27-2031.00, 27-2032.00)  Significant Points •  Many dancers stop performing by their late thirties; however, some remain in the field as choreographers, dance teachers, or artistic directors.  •  Most dancers begin formal training at an early age— between 5 and 15—and many have their first professional audition by age 17 or 18.  •  Dancers and choreographers face intense competition—only the most talented find regular work.  Nature of the Work From ancient times to the present, dancers have expressed ideas, stories, rhythm, and sound with their bodies. They use a variety of dance forms that allow free movement and self-expression, includ­ ing classical ballet, modem dance, and culturally specific dance styles. Many dancers combine performance work with teaching or choreography. Dancers perform in a variety of settings, such as musical produc­ tions, and may present folk, ethnic, tap, jazz, and other popular kinds of dance. They also perform in opera, musical theater, television, movies, music videos, and commercials, in which they may sing and act. Dancers most often perform as part of a group, although a few top artists perform solo. Many dancers work with choreographers, who create original dances and develop new interpretations of existing dances. Because  rm  m  ■  32 ggo 27 970 23 650  Earnings vary by education level, certification, and geographic region. Some instructors and coaches are paid a salary, while oth­ ers may be paid by the hour, per session, or based on the number of participants. Related Occupations Athletes and coaches have extensive knowledge of physiology and sports, and instruct, inform, and encourage participants. Other workers with similar duties include dietitians and nutritionists; physical thera­ pists; recreation and fitness workers; recreational therapists; and teach­  ers—preschool, kindergarten, elementary, middle, and secondary. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Dancers spend considerable time practicing in rehearsal halls or dance studios.  130 Occupational Outlook Handbook  few dance routines are written down, choreographers instruct per­ formers at rehearsals to achieve the desired effect. In addition, cho­ reographers often are involved in auditioning performers. Working Conditions Dance is strenuous. Many dancers stop performing by their late thirties because of the physical demands on the body. However, some continue to work in the field as choreographers, dance teach­ ers and coaches, or artistic directors. Others move into administra­ tive positions, such as company manager. Some celebrated dancers, however, continue performing beyond the age of 50. Daily rehearsals require very long hours. Many dance compa­ nies tour for part of the year to supplement a limited performance schedule at home. Dancers who perform in musical productions and other family entertainment spend much of their time on the road; others work in nightclubs or on cruise ships. Most dance performances are in the evening, while rehearsals and practice take place during the day. As a result, dancers often work very long and late hours. Generally, dancers and choreographers work in modem and temperature-controlled facilities; however, some studios may be older and less comfortable. Employment . Professional dancers and choreographers held about 26,000 jobs at any one time in 2000. Many others were between engagements, so that the total number of people available for work as dancers over the course of the year was greater. Dancers and choreographers worked in a variety of settings, including eating and drinking estab­ lishments, theatrical and television productions, dance studios and schools, dance companies and bands, concert halls, and theme parks. Dancers who give lessons worked in secondary schools, colleges and universities, and private studios. New York City is home to many major dance companies; how­ ever, full time professional dance companies operate in most major cities. Training, Other Qualifications, and Advancement Training varies depending upon the type of dance and is a continu­ ous part of all dancers’ careers. Many dancers and dance instructors believe dancers should start with a good foundation in classical dance before selecting a particular dance style. Ballet training for women usually begins at 5 to 8 years of age with a private teacher or through an independent ballet school. Serious training traditionally begins between the ages of 10 and 12. Men often begin their ballet training between the ages of 10 and 15. Students who demonstrate potential in their early teens receive more intensive and advanced professional training. At about this time, students should begin to focus their training on a particular style and decide whether to pursue additional training through a dance company’s school or a college dance pro­ gram. Leading dance school companies often have summer training programs from which they select candidates for admission to their regular full-time training program. Formal training for modem and culturally specific dancers often begins later than training in ballet; however, many folk dance forms are taught to very young children. Many dancers have their first professional auditions by age 17 or 18. Training is an important component of professional dancers careers. Dancers normally spend 8 hours a day in class and re­ hearsal, keeping their bodies in shape and preparing for perfor­ mances. Their daily training period includes time to warm up and cool down before and after classes and rehearsals. Because of the strenuous and time-consuming dance training required, some dancers view formal education as secondary. How­ ever, a broad, general education including music, literature, his­  tory’ and the visual arts is helpful in the interpretation of dramatic https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  episodes, ideas, and feelings. Dancers sometimes conduct research , > to leam more about the part they are playing. Many colleges and universities confer bachelor’s or master s degrees in dance, typically through departments of music, theater, or fine arts. Many programs concentrate on modem dance, but some also offer courses in jazz, culturally specific, ballet, or classical tech­ niques; dance composition, history, and criticism; and movement analysis. A college education is not essential to obtain employment as a professional dancer; however, many dancers obtain degrees in unre­ lated fields to prepare themselves for careers after dance. Comple­ tion of a college program in dance and education is essential in order to qualify to teach dance in college, high school, or elementary school. Colleges and conservatories sometimes require graduate degrees, but may accept performance experience. A college background is not necessary, however, for teaching dance or choreography in local rec­ reational programs. Studio schools usually require teachers to have experience as performers. Because of the rigorous practice schedules of most dancers, self­ discipline, patience, perseverance, and a devotion to dance are es­ sential for success in the field. Dancers also must possess good problem-solving skills and an ability to work with people. Good health and physical stamina also are necessary attributes. Above all, dancers must have flexibility, agility, coordination, grace, a sense of rhythm, a feeling for music, and a creative ability to express them­ selves through movement. Dancers seldom perform unaccompanied, so they must be able to function as part of a team. They should also be highly motivated and prepared to face the anxiety of intermittent employment and rejections when auditioning for work. For dancers, advancement takes the form of a growing reputation, more frequent work, bigger and better roles, and higher pay. Choreographers typically are older dancers with years of experi­ ence in the theater. Through their performance as dancers, they develop reputations as skilled artists that often lead to opportuni­ ties to choreograph productions. Job Outlook Dancers and choreographers face intense competition for jobs. Only the most talented find regular employment. Employment of dancers and choreographers is expected to in­ crease about as fast as the average for all occupations through 2010, reflecting the public’s continued interest in this form of artistic ex­ pression. However, funding from public and private organizations is not expected to keep pace with rising production costs, resulting in slower employment growth. Although job openings will arise each year because dancers and choreographers retire or leave the occupation for other reasons, the number of applicants will con­ tinue to vastly exceed the number of job openings. National dance companies should continue to provide most jobs in this field. Opera companies and dance groups affiliated with colleges and universities and with television and motion pictures also will offer some opportunities. Moreover, the growing popu­ larity of dance in recent years has resulted in increased opportuni­ ties to teach dance. Additionally, music video channels will provide some opportunities for both dancers and choreographers.  Median annual earnings of dancers were $22,470 in 2000. The middle 50 percent earned between $ 14,260 and $34,600. The low­ est 10 percent earned less than $12,520, and the highest 10 percent earned more than $55,220. Median annual earnings were $29,980 in the producers, orchestras, and entertainers industry and $16,290 in eating and drinking places.  Professional and Related Occupations 131  Median annual earnings of choreographers were $27,010 in 2000. The middle 50 percent earned between $17,970 and $42,080. The lowest 10 percent earned less than $ 13,370, and the highest 10 per­ cent earned more than $55,800. Median annual earnings were $25,860 in dance studios, schools, and halls. Dancers on tour received an additional allowance for room and board, and extra compensation for overtime. Earnings from danc­ ing are usually low because employment is part year and irregular. Dancers often supplement their income by working as guest artists with other dance companies, teaching dance, or taking jobs unre­ lated to the field. Earnings of many professional dancers are governed by union contracts. Dancers in the major opera ballet, classical ballet, and modem dance corps belong to the American Guild of Musical Art­ ists, Inc., AFL-CIO; those who appear on live or videotaped televi­ sion programs belong to the American Federation of Television and Radio Artists; those who perform in films and on television belong to the Screen Actors Guild; and those in musical theater are mem­ bers of Actors’ Equity Association. The unions and producers sign basic agreements specifying minimum salary rates, hours of work, benefits, and other conditions of employment. However, the con­ tract each dancer signs with the producer of the show may be more favorable than the basic agreement. Dancers and choreographers covered by union contracts are en­ titled to some paid sick leave, paid vacations, and various health and pension benefits, including extended sick pay and family leave provisions provided by their unions. Employers contribute toward these benefits. Those not covered by union contracts usually do not enjoy such benefits. Related Occupations People who work in other performing arts occupations include ac­ tors, producers, and directors; and musicians, singers, and related workers. Those directly involved in the production of dance pro­ grams include set and exhibit designers; fashion designers; sound engineering technicians; and hairdressers, hairstylists, and cosme­ tologists. Like dancers, athletes, coaches, umpires, and related workers in most sports need strength, flexibility, and agility. Sources of Additional Information For general information about dance and a list of accredited col­ lege-level programs, contact: >- National Association of Schools ofDance, 11250 Roger Bacon Dr., Suite 21, Reston, VA 20190. Internet: http://www.arts-accredit.org/nasd/default.htm >- Dance/USA, 1156 15th St. NW., Suite 820, Washington, DC 20005. Internet: http://www.danceusa.org  Nature of the Work Musicians, singers, and related workers play musical instruments, sing, compose, arrange, or conduct groups in instrumental or vocal performances. They may perform solo or as part of a group. Musi­ cians, singers, and related workers entertain live audiences in night­ clubs, concert halls, and theaters featuring opera, musical theater, or dance. Although most of these entertainers play for live audiences, some perform exclusively for recording or production studios. Regardless of the setting, musicians, singers, and related workers spend considerable time practicing, alone and with their band, or­ chestra, or other musical ensemble. Musicians often gain their reputation or professional standing in a particular kind of music or performance. However, those who learn several related instruments, such as the flute and clarinet, and can perform equally well in a several musical styles, have better employment opportunities. Instrumental musicians, for example, may play in a symphony orchestra, rock group, or jazz combo one night, appear in another ensemble the next, and in a studio band the following day. Some play a variety of string, brass, woodwind, or percussion instruments or electronic synthesizers. Singers interpret music using their knowledge of voice produc­ tion, melody, and harmony. They sing character parts or perform in their own individual style. Singers are often classified according to their voice range—soprano, contralto, tenor, baritone, or bass—or by the type of music they sing, such as opera, rock, popular, folk, rap, or country and western. Music directors conduct, direct, plan, and lead instrumental or vocal performances by musical groups, such as orchestras, choirs, and glee clubs. Conductors lead instrumental music groups, such as symphony orchestras, dance bands, show bands, and various popu­ lar ensembles. These leaders audition and select musicians, choose the music most appropriate for their talents and abilities, and direct rehearsals and performances. Choral directors lead choirs and glee clubs, sometimes working with a band or orchestra conductor. Di­ rectors audition and select singers and lead them at rehearsals and performances to achieve harmony, rhythm, tempo, shading, and other desired musical effects. Composers create original music such as symphonies, operas, sonatas, radio and television jingles, film scores, or popular songs. They transcribe ideas into musical notation using harmony, rhythm, melody, and tonal structure. Although most composers and songwriters practice their craft on instruments and transcribe the notes with pen and paper, some use computer software to compose and edit their music.  Musicians, Singers, and Related Workers (0*NET 27-2041.01, 27-2041.02, 27-2041.03, 27-2042.01, 27-2042.02)  Significant Points •  Part-time schedules and intermittent unemployment are common; many musicians supplement their income with earnings from other sources. • Aspiring musicians begin studying an instrument or training their voices at an early age. • Competition for jobs is keen; those who can play several instruments and types of music should enjoy  the best job prospects. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  One-third ofjobs for salaried musicians, singers, and related workers are in religious organizations.  132 Occupational Outlook Handbook  Arrangers transcribe and adapt musical composition to a par­ ticular style for orchestras, bands, choral groups, or individuals. Components of music—including tempo, volume, and the mix of instmments needed—are arranged to express the composer’s mes­ sage. While some arrangers write directly into a musical composi­ tion, others use computer software to make changes. Working Conditions Musicians typically perform at night and on weekends. They spend much of their remaining time practicing or in rehearsal. Full-time musicians with long-term employment contracts, such as those with symphony orchestras and television and film production compa­ nies, enjoy steady work and less travel. Nightclub, solo, or recital musicians frequently travel to perform in a variety of local settings and may tour nationally or internationally. Because many musi­ cians find only part-time or intermittent work, experiencing unem­ ployment between engagements, they often supplement their income with other types of jobs. The stress of constantly looking for work leads many musicians to accept permanent, full-time jobs in other occupations, while working only part time as musicians. Most instrumental musicians work closely with a variety of other people, including their colleagues, agents, employers, sponsors, and audiences. Although they usually work indoors, some perform out­ doors for parades, concerts, and dances. In some nightclubs and restaurants, smoke and odors may be present, and lighting and ven­ tilation may be inadequate. Employment Musicians, singers, and related workers held about 240,000 jobs in 2000. More than 40 percent worked part time, and more than 40 percent were self-employed. Many jobs were found in cities in which entertainment and recording activities are concentrated, such as New York, Los Angeles, and Nashville. Musicians, singers, and related workers are employed in a vari­ ety of settings. More than half of those who earn a wage or salary are employed by religious organizations. Classical musicians may perform with professional orchestras or in small chamber music groups like trios or quartets. Musicians may work in opera, musi­ cal theater, and ballet productions. They also perform in nightclubs and restaurants, and for weddings and other events. Well-known musicians and groups may perform in concert, appear on radio and television broadcasts, and make recordings and music videos. The Armed Forces also offer careers in their bands and smaller musical groups. Training, Other Qualifications, and Advancement Aspiring musicians begin studying an instrument at an early age. They may gain valuable experience playing in a school or com­ munity band or orchestra or with a group of friends. Singers usually start training when their voices mature. Participation in school musicals or choirs often provides good early training and experience. Musicians need extensive and prolonged training to acquire the necessary skills, knowledge, and ability to interpret music. Like other artists, musicians and singers continually strive to stretch themselves, musically, and explore different music forms. Formal training may be obtained through private study with an accom­ plished musician, in a college or university music program, or in a music conservatory. For university or conservatory study, an audi­ tion generally is necessary. Courses typically include musical theory, music interpretation, composition, conducting, and perfor­ mance in their particular instrument or voice. Music directors, Digitizedcomposers, for FRASER conductors, and arrangers need considerable related work experience or advanced training in these subjects. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Many colleges, universities, and music conservatories grant bachelor’s or higher degrees in music. A master’s or doctoral de­ gree is usually required to teach advanced music courses in col­ leges and universities; a bachelor’s degree may be sufficient to teach basic courses. A degree in music education qualifies graduates for a State certificate to teach music in public elementary or secondary schools. Musicians who do not meet public school music educa­ tion requirements may teach in private schools and recreation asso­ ciations, or instruct individual students in private sessions. Musicians must be knowledgeable about the broad range of music styles, but keenly aware of the form that interests them most. This broader range of interest, knowledge, and training can help expand employment opportunities and musical abilities. Voice training and private instrumental lessons, especially when young, also help de­ velop technique and enhance performance. Young persons considering careers in music should have musi­ cal talent, versatility, creativity, poise, and a good stage presence. Because quality performance requires constant study and practice, self-discipline is vital. Moreover, musicians who play concert and nightclub engagements and who tour must have physical stamina to endure frequent travel and an irregular performance schedule. Musicians and singers always must make their performances look effortless; therefore, preparations and practice are important. They also must be prepared to face the anxiety of intermittent employ­ ment and rejections when auditioning for work. Advancement for musicians usually means becoming better known and performing for higher earnings. Successful musicians often rely on agents or managers to find them performing engage­ ments, negotiate contracts, and develop their careers. Job Outlook Competition for musician, singer, and related worker jobs is ex­ pected to be keen. The vast number of persons with the desire to perform will exceed the number of openings. Talent alone is no guarantee of success. Many people start out to become musicians or singers, but leave the profession because they find the work difficult, the discipline demanding, and the long periods of inter­ mittent unemployment unendurable. Overall employment of musicians, singers, and related workers is expected to grow about as fast as the average for all occupations through 2010. Most new wage and salary jobs for musicians will arise in religious organizations, where the majority of these workers are employed. Average growth also is expected for self-employed musicians, who generally perform in nightclubs, concert tours, and other venues. Although growth in demand for musicians will gener­ ate a number ofjob opportunities, many openings also will arise from the need to replace those who leave the field each year because they are unable to make a living solely as musicians or for other reasons. Earnings Median annual earnings of salaried musicians and singers were $36,740 in 2000. The middle 50 percent earned between $19,590 and $59,330. The lowest 10 percent earned less than $13,250, and the highest 10 percent earned more than $88,640. Median annual earnings were $41,520 in the producers, orchestras, and entertain­ ers industry and $16,570 in religious organizations. Median annual earnings of salaried music directors and com­ posers were $31,510 in 2000. The middle 50 percent earned be­ tween $21,080 and $45,000. The lowest 10 percent earned less than $13,530, and the highest 10 percent earned more than $66,140. Earnings often depend on the number of hours and weeks worked, a performer’s professional reputation, and setting. The most suc­ cessful musicians earn performance or recording fees that far ex­ ceed the median earnings indicated above.  Professional and Related Occupations 133  According to the American Federation of Musicians, minimum salaries in major orchestras ranged from $24,720 to $100,196 per year during the 2000-01 performing season. Each orchestra works out a separate contract with its local union. Top orchestras have a season ranging from 24 to 52 weeks, with 18 orchestras reporting 52-week contracts. In regional orchestras, minimum salaries are often less because fewer performances are scheduled. Community orchestras often have more limited levels of funding and offer sala­ ries that are much lower for seasons of shorter duration. Regional orchestra musicians often are paid per service without guarantees. Although musicians employed by some symphony orchestras work under master wage agreements, which guarantee a season’s work up to 52 weeks, many other musicians face relatively long periods of unemployment between jobs. Even when employed, many musicians and singers work part time in unrelated occupa­ tions. Thus, their earnings usually are lower than earnings in many other occupations. Moreover, because they may not work steadily for one employer, some performers cannot qualify for unemploy­ ment compensation, and few have typical benefits such as sick leave or paid vacations. For these reasons, many musicians give private  lessons or take jobs unrelated to music to supplement their earnings as performers. Many musicians belong to a local of the American Federation of Musicians. Professional singers usually belong to a branch of the American Guild of Musical Artists. Related Occupations Musical instrument repairers and tuners (part of precision instru­ ment and equipment repairers) require technical knowledge of mu­ sical instruments. Others whose work involves music include actors, producers, and directors; announcers; broadcast and sound engineer­ ing technicians and radio operators; and dancers and choreographers. Sources of Additional Information For general information about music and music teacher education and a list of accredited college-level programs, contact: ► National Association of Schools ofMusic, 11250 Roger Bacon Dr., Suite 21, Reston, VA 22091. Internet: http://www.arts-accredit.org/nasm/nasm.htm  Media and Communication-Related Occupations Announcers (0*NET 27-3011.00, 27-3012.00)  Significant Points •  Competition for announcer jobs will continue to be keen.  •  Jobs at small stations usually have low pay, but offer the best opportunities for beginners.  •  Related work experience at a campus radio station or as an intern at a commercial station can be helpful in breaking into the occupation.  Nature of the Work Announcers in radio and television perform a variety of tasks on and off the air. They announce station program information such as program schedules and station breaks for commercials or public service information, and they introduce and close programs. An­ nouncers read prepared scripts or ad-lib commentary on the air when presenting news, sports, weather, time, and commercials. If a writ­ ten script is required, they may do the research and writing. An­ nouncers also interview guests and moderate panels or discussions. Some provide commentary for the audience during sporting events, parades, and other events. Announcers are often well-known to radio and television audiences and may make promotional appear­ ances and remote broadcasts for their stations. Radio announcers often are called discjockeys. Some disc jock­ eys specialize in one kind of music. They announce music selec­ tions and may decide what music to play. While on the air, they comment on the music, weather, and traffic. They may take re­ quests from listeners, interview guests, and manage listener contests. Newscasters or anchors work at large stations and specialize in news, sports, or weather. (See the related statement on news analysts, reporters, and correspondents elsewhere in the Handbook.) DigitizedShow for FRASER hosts may specialize in a certain area of interest such as https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Announcers read prepared scripts or ad-lib commentary on the air.  134 Occupational Outlook Handbook  politics, personal finance, sports, or health. They contribute to the preparation of the program content; interview guests; and discuss issues with viewers, listeners, or an in-studio audience. Announcers at smaller stations may cover all of these areas and tend to have more off-air duties as well. They may operate the control board, monitor the transmitter, sell commercial time to ad­ vertisers, keep a log of the station’s daily programming, and do production work. Consolidation and automation make it possible for announcers to do some work previously performed by broad­ cast technicians. (See the statement on broadcast and sound engi­ neering technicians and radio operators elsewhere in the Handbook.) Announcers use the control board to broadcast programming, com­ mercials, and public service announcements according to schedule. Public radio and television announcers are involved with station fundraising efforts. Announcers frequently participate in community activities. Sports announcers, for example, may serve as masters of ceremo­ nies at sports club banquets or may greet customers at openings of sporting goods stores. Although most announcers are employed in radio and television broadcasting, some are employed in the cable television or motion picture production industries. Other announcers may use a public address system to provide information to the audience at sporting and other events. Some disc jockeys announce and play music at clubs, dances, restaurants, and weddings. Working Conditions Announcers usually work in well-lighted, air-conditioned, sound­ proof studios. The broadcast day is long for radio and TV stations— some are on the air 24 hours a day—so announcers can expect to work unusual hours. Many present early morning shows, when most people are getting ready for work or commuting, while others do late night programs. Announcers often work within tight schedule constraints, which can be physically and mentally stressful. For many announcers, the intangible rewards—creative work, many personal contacts, and the satisfaction of becoming widely known—far outweigh the disad­ vantages of irregular and often unpredictable hours, work pressures, and disrupted personal lives. Employment Announcers held about 71,000 jobs in 2000. Nearly all were staff announcers employed in radio and television broadcasting, but some were freelance announcers who sold their services for individual assignments to networks and stations, or to advertising agencies and other independent producers. Many announcing jobs are part time. Training, Other Qualifications, and Advancement Entry into this occupation is highly competitive. Formal training in broadcasting from a college or technical school (private broadcast­ ing school) is valuable. Station officials pay particular attention to taped auditions that show an applicant’s delivery and—in televi­ sion—appearance and style on commercials, news, and interviews. Those hired by television stations usually start out as production assistants, researchers, or reporters and are given a chance to move into announcing if they show an aptitude for “on-air work. New­ comers to TV broadcasting also may begin as news camera opera­ tors. (See the statement on television, video, and motion picture camera operators and editors elsewhere in the Handbook.) A beginner’s chance of landing an on-air job is remote, except possi­ bly for a small radio station. In radio, newcomers usually start out taping interviews and operating equipment. Announcers usually begin at a station in a small community  and, if qualified, may move to a better paying job in a large city. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  They also may advance by hosting a regular program as a disc jockey, sportscaster, or other specialist. Competition is particu­ larly intense for employment by networks, and employers look for college graduates with at least several years of successful announc­ ing experience. Announcers must have a pleasant and well-controlled voice, good timing, excellent pronunciation, and must know correct grammar usage. Television announcers need a neat, pleasing appearance as well. Knowledge of theater, sports, music, business, politics, and other subjects likely to be covered in broadcasts improves chances for success. Announcers also must be computer-literate because programming is created and edited by computer. In addition, they should be able to ad-lib all or part of a show and to work under tight deadlines. The most successful announcers attract a large audience by combining a pleasing personality and voice with an appealing style. High school and college courses in English, public speaking, drama, foreign languages, and computer science are valuable, and hobbies such as sports and music are additional assets. Students may gain valuable experience at campus radio or TV facilities and at commercial stations while serving as interns. Paid or unpaid internships provide students with hands-on training and the chance to establish contacts in the industry. Unpaid interns often receive college credit and are allowed to observe and assist station employ­ ees. Although the Fair Labor Standards Act limits the work unpaid interns may perform in a station, unpaid internships are the rule; sometimes they lead to paid internships. Paid internships are valu­ able because interns do work ordinarily done by regular employees and may even go on the air. Persons considering enrolling in a broadcasting school should contact personnel managers of radio and television stations as well as broadcasting trade organizations to determine the school’s repu­ tation for producing suitably trained candidates. Job Outlook Competition for jobs as announcers will be keen because the broad­ casting field attracts many more job seekers than there are jobs. Small radio stations are more inclined to hire beginners, but the pay is low. Interns usually receive preference for available positions. Because competition for ratings is so intense in major metropolitan areas, large stations will continue to seek announcers who have proven that they can attract and retain a large audience. Announcers who are knowledgeable in business, consumer, and health news may have an advantage over others. While specializa­ tion is more common at large stations and the networks, many small stations also encourage it. Employment of announcers is expected to decline through 2010 due to the lack of growth of new radio and television stations. Open­ ings in this relatively small field also will arise from the need to replace those who transfer to other kinds of work or leave the labor force. Some announcers leave the field because they cannot ad­ vance to better paying jobs. Changes in station ownership, format, and ratings frequently cause periods of unemployment for many announcers. Increasing consolidation of radio and television stations, new technology, and the growth of alternative media sources will con­ tribute to the expected decline in employment of announcers. Con­ solidation in broadcasting may lead to increased use of syndicated programming and programs originating outside a station’s viewing or listening area. Digital technology will increase the productivity of announcers, reducing the time spent on off-air technical and pro­ duction work. In addition, all traditional media, including radio and television, may suffer losses in audience as the American pub­ lic increases its use of personal computers.  Professional and Related Occupations 135  Earnings Salaries in broadcasting vary widely but in general are relatively low, except for announcers who work for large stations in major markets or for networks. Earnings are higher in television than in radio and higher in commercial than in public broadcasting. Median hourly earnings of announcers in 2000 were $9.52. The middle 50 percent earned between $6.84 and $14.28. The lowest 10 percent earned less than $5.94, and the highest 10 percent earned more than $24.35. Median hourly earnings of announcers in 2000 were $9.54 in the radio and television broadcasting industry. Related Occupations The success of announcers depends upon how well they communi­ cate. Others who must be skilled at oral communication include news analysts, reporters, and correspondents; interpreters and trans­ lators; sales and related occupations; public relations specialists; and teachers. Many announcers also must entertain their audience, so their work is similar to other entertainment-related occupations such as actors, directors, and producers; dancers and choreogra­ phers; and musicians, singers, and related workers. Sources of Additional Information General information on the broadcasting industry is available from: >■ National Association of Broadcasters, 1771 N St. NW., Washington, DC 20036. Internet: http://www.nab.org  Broadcast and Sound Engineering Technicians and Radio Operators (0*NET 27-4011.00, 27-4012.00, 27-4013.00, 27-4014.00)  •  • •  Significant Points Job applicants will face strong competition for the better paying jobs at radio and television stations serving large cities. Television stations employ, on average, many more technicians than do radio stations. Evening, weekend, and holiday work is common.  Nature of the Work Broadcast and sound engineering technicians install, test, repair, set up, and operate the electronic equipment used to record and transmit radio and television programs, cable programs, and mo­ tion pictures. They work with television cameras, microphones, tape recorders, lighting, sound effects, transmitters, antennas, and other equipment. Some broadcast and sound engineering techni­ cians produce movie soundtracks in motion picture production stu­ dios, control the sound of live events, such as concerts, or record music in a recording studio. In the control room of a radio or television-broadcasting studio, these technicians operate equipment that regulates the signal strength, clarity, and range of sounds and colors of recordings or broadcasts. They also operate control panels to select the source of the material. Technicians may switch from one camera or stu­ dio to another, from film to live programming, or from network to local programming. By means of hand signals and, in television, telephone headsets, they give technical directions to other studio personnel. Audio and video equipment operators operate specialized elec­ tronic equipment to record stage productions, live programs or  events, and studio recordings. They edit and reproduce tapes for https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  mUS  Broadcast and sound engineering technicians and radio operators work with television cameras, microphones, tape recorders, lighting, sound effects, transmitters, antennas, and other equipment. compact discs, records and cassettes, for radio and television broad­ casting and for motion picture productions. The duties of audio and video equipment operators can be divided into two categories: technical and production activities used in the production of sound and picture images for film or videotape from set design to camera operation and post production activities where raw images are trans­ formed to a final print or tape. Radio operators mainly receive and transmit communications using a variety of tools. They are also responsible for repairing equipment using such devices as electronic testing equipment, hand tools, and power tools. These help to maintain communication sys­ tems in an operative condition. Broadcast and sound engineering technicians and radio opera­ tors perform a variety of duties in small stations. In large stations and at the networks, technicians are more specialized, although job assignments may change from day to day. The terms “operator,” “engineer,” and “technician” often are used interchangeably to de­ scribe these jobs. Transmitter operators monitor and log outgoing signals and operate transmitters. Maintenance technicians set up, adjust, service, and repair electronic broadcasting equipment. Au­ dio control engineers regulate volume and sound quality of televi­ sion broadcasts, while video control engineers regulate their fidelity, brightness, and contrast. Recording engineers operate and main­ tain video and sound recording equipment. They may operate equip­ ment designed to produce special effects, such as the illusions of a bolt of lightning or a police siren. Sound mixers or re-recording mixers produce the sound track of a movie, television, or radio pro­ gram. After filming or recording, they may use a process called dubbing to insert sounds. Field technicians set up and operate broad­ casting portable field transmission equipment outside the studio. Television news coverage requires so much electronic equipment, and the technology is changing so rapidly, that many stations assign technicians exclusively to news. Chiefengineers, transmission engineers, and broadcastfield su­ pervisors supervise the technicians who operate and maintain broad­ casting equipment. Working Conditions Broadcast, sound engineering, audio and video equipment techni­ cians, and radio operators generally work indoors in pleasant sur­ roundings. However, those who broadcast news and other programs from locations outside the studio may work outdoors in all types of  136 Occupational Outlook Handbook  weather. Technicians doing maintenance may climb poles or an­ tenna towers, while those setting up equipment do heavy lifting. Technicians in large stations and the networks usually work a 40-hour week under great pressure to meet broadcast deadlines, but may occasionally work overtime. Technicians in small stations rou­ tinely work more than 40 hours a week. Evening, weekend, and holiday work is usual, because most stations are on the air 18 to 24 hours a day, 7 days a week. Those who work on motion pictures may be on a tight schedule to finish according to contract agreements. Employment Broadcast and sound engineering technicians and radio operators held about 87,000 jobs in 2000. Their employment was distributed among the following detailed occupations: Audio and video equipment technicians........................................... Broadcast technicians........................................................................... Sound engineering technicians........................................................... Radio operators .....................................................................................  37,000 36,000 11 >000 2,900  About 1 out of 3 worked in radio and television broadcasting. Almost 15 percent worked in the motion picture industry. About 4 percent worked for cable and other pay- television services. A few were self-employed. Television stations employ, on average, many more technicians than do radio stations. Some technicians are em­ ployed in other industries, producing employee communications, sales, and training programs. Technician jobs in television are lo­ cated in virtually all cities, whereas jobs in radio are also found in many small towns. The highest paying and most specialized jobs are concentrated in New York City, Los Angeles, Chicago, and Washington, DC—the originating centers for most network pro­ grams. Motion picture production jobs are concentrated in Los Angeles and New York City. Training, Other Qualifications, and Advancement The best way to prepare for a broadcast and sound engineering tech­ nician job is to obtain technical school, community college, or col­ lege training in broadcast technology or in engineering or electronics. This is particularly true for those who hope to advance to supervi­ sory positions or jobs at large stations or the networks. In the mo­ tion picture industry people are hired as apprentice editorial assistants and work their way up to more skilled jobs. Employers in the mo­ tion picture industry usually hire experienced freelance technicians on a picture-by-picture basis. Reputation and determination are important in getting jobs. Beginners leam skills on the job from experienced technicians and supervisors. They often begin their careers in small stations and, once experienced, move on to larger ones. Large stations usu­ ally only hire technicians with experience. Many employers pay tuition and expenses for courses or seminars to help technicians keep abreast of developments in the field. Audio and video equipment technicians generally need a high school diploma. Many recent entrants have a community college degree or various other forms of post-secondary degrees, although that is not always a requirement. They may substitute on-the-job training for formal education requirements. Experience in a re­ cording studio, as an assistant, is a great way of getting experience and knowledge simultaneously. Radio operators do not usually require any formal training. This is an entry-level position that generally requires on-the-job train­ ing. The Federal Communications Commission no longer requires the licensing of broadcast technicians, as the Telecommunications  Act of 1996 eliminated this licensing requirement. Certification by https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  the Society of Broadcast Engineers is a mark of competence and experience. The certificate is issued to experienced technicians who pass an examination. By offering the Radio Operator and the Tele­ vision Operator levels of certification, the Society of Broadcast Engineers has filled the void left by the elimination of the FCC license. Prospective technicians should take high school courses in math, physics, and electronics. Building electronic equipment from hobby kits and operating a “ham,” or amateur radio, are good experience, as is work in college radio and television stations. Broadcast and sound engineering technicians and radio opera­ tors must have manual dexterity and an aptitude for working with electrical, electronic, and mechanical systems and equipment. Experienced technicians can become supervisory technicians or chief engineers. A college degree in engineering is needed to be­ come chief engineer at a large TV station.  Job Outlook  People seeking entry-level jobs as technicians in the field of radio and television broadcasting are expected to face strong competition in major metropolitan areas, where pay generally is higher and the number of qualified job seekers exceed the number of openings. There, stations seek highly experienced personnel. Prospects for entry-level positions generally are better in small cities and towns for beginners with appropriate training. The overall employment of broadcast and sound engineering tech­ nicians and radio operators is expected to grow about as fast as the average for all occupations through the year 2010. An increase in the number of programming hours should require additional tech­ nicians. However, employment growth in radio and television broad­ casting may be tempered somewhat because of slow growth in the number of new radio and television stations and laborsaving tech­ nical advances, such as computer-controlled programming and re­ mote control of transmitters. Technicians who know how to install transmitters will be in demand as television stations replace exist­ ing analog transmitters with digital transmitters. Stations will be­ gin broadcasting in both analog and digital formats, eventually switching entirely to digital. Employment of broadcast and sound engineering technicians is expected to grow about as fast as average through 2010. The ad­ vancements in technology will enhance the capabilities of techni­ cians to help produce a higher quality of programming for radio and television. Employment of audio and video equipment techni­ cians also is expected to grow about as fast as average through 2010. Not only will these workers have to set up audio and video equip­ ment, but it will be necessary for them to maintain and repair this machinery. Employment of radio operators, on the other hand, will grow more slowly than other areas in this field of work. Automa­ tion will negatively impact these workers as many stations now operate transmitters and control programming remotely. Employment of broadcast and sound engineering technicians and radio operators in the cable industry should grow rapidly because of new products coming to market, such as cable modems, which deliver high-speed Internet access to personal computers, and digi­ tal set-top boxes, which transmit better sound and pictures, allow­ ing cable operators to offer many more channels than in the past. These new products should cause traditional cable subscribers to sign up for additional services. Employment in the motion picture industry also will grow fast. However, job prospects are expected to remain competitive, be­ cause of the large number of people attracted to this relatively small field. Numerous job openings also will result from the need to replace experienced technicians who leave the occupations. Many leave  Professional and Related Occupations 137  these occupations for electronic jobs in other areas, such as com­ puter technology or commercial and industrial repair. Earnings Television stations usually pay higher salaries than radio stations; commercial broadcasting usually pays more than public broadcast­ ing; and stations in large markets pay more than those in small ones. Median annual earnings of broadcast technicians in 2000 were $26,950. The middle 50 percent earned between $18,060 and $44,410. The lowest 10 percent earned less than $13,860, and the highest 10 percent earned more than $63,340. Median annual earnings of sound engineering technicians in 2000 were $39,480. The middle 50 percent earned between $24,730 and $73,720. The lowest 10 percent earned less than $17,560, and the highest 10 percent earned more than $ 119,400. Median annual earnings of audio and video equipment techni­ cians in 2000 were $30,310. The middle 50 percent earned be­ tween $21,980 and $44,970. The lowest 10 percent earned less than $16,630, and the highest 10 percent earned more than $68,720. Median annual earnings of radio operators in 2000 were $29,260. The middle 50 percent earned between $23,090 and $39,830. The lowest 10 percent earned less than $17,570, and the highest 10 per­ cent earned more than $54,590. Related Occupations Broadcast and sound engineering technicians and radio operators need the electronics training and hand coordination necessary to operate technical equipment, and they generally complete special­ ized postsecondary programs. Similar occupations include engi­ neering technicians, science technicians, health technologists and technicians, electrical and electronics installers and repairers, and communications equipment operators. Sources of Additional Information For information on careers for broadcast and sound engineering technicians and radio operators, write to: > National Association of Broadcasters, 1771 N St. NW, Washington, DC 20036. Internet: http://www.nab.org  For information on certification, contact: ► Society of Broadcast Engineers, 9247 North Meridian St., Suite 305, Indianapolis, IN 46260. Internet: http://www.sbe.org  For information on careers in the motion picture and television industry, contact: >• Society of Motion Picture and Television Engineers (SMPTE), 595 West Hartsdale Ave., White Plains, NY 10607. Internet: http://www.smpte.org  Nature of the Work News analysts, reporters, and correspondents play a key role in our society. They gather information, prepare stories, and make broad­ casts that inform us about local, State, national, and international events; present points of view on current issues; and report on the actions of public officials, corporate executives, special-interest groups, and others who exercise power. News analysts examine, interpret, and broadcast news received from various sources, and also are called newscasters or news an­ chors. News anchors present news stories and introduce video­ taped news or live transmissions from on-the-scene reporters. Some newscasters at large stations and networks usually specialize in a particular type of news, such as sports or weather. Weathercasters, also called weather reporters, report current and forecasted weather conditions. They gather information from national satellite weather services, wire services, and local and regional weather bureaus. Some weathercasters are trained meteorologists and can develop their own weather forecasts. (See the statement on atmospheric scientists elsewhere in the Handbook.) Sportscasters select, write, and deliver sports news. This may include interviews with sports personalities and coverage of games and other sporting events. In covering a story, reporters investigate leads and news tips, look at documents, observe events at the scene, and interview people. Reporters take notes and also may take photographs or shoot vid­ eos. At their office, they organize the material, determine the focus or emphasis, write their stories, and edit accompanying video mate­ rial. Many reporters enter information or write stories on laptop computers, and electronically submit them to their offices from re­ mote locations. In some cases, newswriters write a story from in­ formation collected and submitted by reporters. Radio and television reporters often compose stories and report “live” from the scene. At times, they later tape an introduction or commentary to their story in the studio. Some journalists also interpret the news or offer opinions to readers, viewers, or listeners. In this role, they are called commentators or columnists. General assignment reporters write news, such as an accident, a political rally, the visit of a celebrity, or a company going out of business, as assigned. Large newspapers and radio and television stations assign reporters to gather news about specific categories or beats, such as crime or education. Some reporters specialize in fields such as health, politics, foreign affairs, sports, theater, consumer affairs, social events, science, business, and religion. Investigative  i^aii  News Analysts, Reporters, and Correspondents (0*NET 27-3021.00, 27-3022.00)  Significant Points • Most employers prefer individuals with a bachelor’s degree in journalism and experience. • Competition will be keen for jobs at large metropolitan newspapers and broadcast stations and on national magazines; most entry-level openings arise on small publications. • Jobs often are stressful because of irregular hours, frequent night and weekend work, and pressure to  meet deadlines. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  In covering a story, news analysts, reporters, and correspondents investigate leads and tips, observe events at the scene, and interview people.  138 Occupational Outlook Handbook  reporters cover stories that take many days or weeks of information gathering. Some publications use teams of reporters instead of as­ signing specific beats, allowing reporters to cover a greater variety of stories. News teams may include reporters, editors, graphic art­ ists, and photographers, working together to complete a story. News correspondents report on news occurring in the large U.S. and foreign cities where they are stationed. Reporters on small pub­ lications cover all aspects of the news. They take photographs, write headlines, lay out pages, edit wire service copy, and write editorials. Some also solicit advertisements, sell subscriptions, and perform general office work. Working Conditions The work of news analysts, reporters, and correspondents usually is hectic. They are under great pressure to meet deadlines and broad­ casts sometimes are made with little time for preparation. Some work in comfortable, private offices; others work in large rooms filled with the sound of keyboards and computer printers, as well as the voices of other reporters. Curious onlookers, police, or other emergency workers can distract those reporting from the scene for radio and television. Covering wars, political uprisings, fires, floods, and similar events often is dangerous. Working hours vary. Reporters on morning papers often work from late afternoon until midnight. Those on afternoon or evening papers generally work from early morning until early afternoon or mid afternoon. Radio and television reporters usually are assigned to a day or evening shift. Magazine reporters usually work during the day. Reporters sometimes have to change their work hours to meet a deadline, or to follow late-breaking developments. Their work de­ mands long hours, irregular schedules, and some travel. Many sta­ tions and networks are on the air 24 hours a day, so newscasters can expect to work unusual hours. Employment News analysts, reporters, and correspondents held about 78,000 jobs in 2000. Nearly half worked for newspapers—either large city dailies or suburban and small town dailies or weeklies. About 28 percent worked in radio and television broadcasting, and others worked for magazines and wire services. About 12,000 news ana­ lysts, reporters, and correspondents were self-employed. Training, Other Qualifications, and Advancement Most employers prefer individuals with a bachelor’s degree in jour­ nalism, but some hire graduates with other majors. They look for experience on school newspapers or broadcasting stations and in­ ternships with news organizations. Large city newspapers and sta­ tions also may prefer candidates with a degree in a subject-matter specialty such as economics, political science, or business. Large newspapers and broadcasters also require a minimum of 3 to 5 years of experience as a reporter. Bachelor’s degree programs in journalism are available at over 400 colleges or universities. About three-fourths of the courses in a typical curriculum are in liberal arts; the remainder are in journal­ ism. Journalism courses include introductory mass media, basic reporting and copy editing, history ofjournalism, and press law and ethics. Students planning a career in broadcasting take courses in radio and television newscasting and production. Those planning newspaper or magazine careers usually specialize in news-editorial journalism. Those planning careers in new media, such as online newspapers or magazines, require a merging of traditional and new journalism skills. To create a story for online presentation, they to know how to use computer software to combine online story Digitizedneed for FRASER text with audio and video elements and graphics. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Many community and junior colleges offer journalism courses or programs; credits may be transferable to 4-year journalism programs. About 120 schools offered a master’s degree in journalism in 2000; about 35 schools offered a Ph.D. degree. Some graduate programs are intended primarily as preparation for news careers, while others prepare journalism teachers, researchers and theorists, and advertising and public relations workers. High school courses in English, journalism, and social studies provide a good foundation for college programs. Useful college liberal arts courses include English with an emphasis on writing, sociology, political science, economics, history, and psychology. Courses in computer science, business, and speech are useful, as well. Fluency in a foreign language is necessary in some jobs. Although reporters need good word-processing skills, computer graphics and desktop publishing skills also are useful. Computerassisted reporting involves the use of computers to analyze data in search of a story. This technique and the interpretation of the re­ sults require strong math skills and familiarity with databases. Knowledge of news photography also is valuable for entry-level positions, which sometimes combine reporter/camera operator or reporter/photographer responsibilities. Experience in a part-time or summer job or an internship with a news organization is very important. (Most newspapers, magazines, and broadcast news organizations offer reporting and editing intern­ ships.) Work on high school and college newspapers, at broadcast­ ing stations, or on community papers or U.S. Armed Forces publications also helps. In addition, journalism scholarships, fel­ lowships, and assistantships awarded to college journalism students by universities, newspapers, foundations, and professional organi­ zations are helpful. Experience as a stringer or freelancer, a part­ time reporter who is paid only for stories printed, also is advantageous. Reporters should be dedicated to providing accurate and impar­ tial news. Accuracy is important, both to serve the public and be­ cause untrue or libelous statements can lead to costly lawsuits. A nose for news, persistence, initiative, poise, resourcefulness, a good memory, and physical stamina are important, as well as the emo­ tional stability to deal with pressing deadlines, irregular hours, and dangerous assignments. Broadcast reporters and news analysts must be comfortable on camera. All reporters must be at ease in unfa­ miliar places and with a variety of people. Positions involving onair work require a pleasant voice and appearance. Most reporters start at small publications or broadcast stations as general assignment reporters or copy editors. Large publications and stations hire few recent graduates; as a rule, they require new reporters to have several years of experience. Beginning reporters cover court proceedings and civic and club meetings, summarize speeches, and write obituaries. With experi­ ence, they report more difficult assignments, cover an assigned beat, or specialize in a particular field. Some news analysts and reporters can advance by moving to large newspapers or stations. A few experienced reporters become col­ umnists, correspondents, writers, announcers, or public relations spe­ cialists. Others become editors in print journalism or program managers in broadcast journalism, who supervise reporters. Some eventually become broadcasting or publications industry managers. Job Outlook Employment of news analysts, reporters, and correspondents is ex­ pected to grow more slowly than the average for all occupations through the year 2010—the result of mergers, consolidations, and closures of newspapers; decreased circulation; increased expenses; and a decline in advertising profits. Despite little change in overall employment, some job growth is expected in radio and television  Professional and Related Occupations 139  stations, and even more rapid growth is expected in new media ar­ eas, such as online newspapers and magazines. Job openings also will result from the need to replace workers who leave these occu­ pations permanently. Some news analysts, reporters, and correspon­ dents find the work too stressful and hectic or do not like the lifestyle, and transfer to other occupations. Competition will continue to be keen for jobs on large metro­ politan newspapers and broadcast stations and on national maga­ zines. Talented writers who can handle highly specialized scientific or technical subjects have an advantage. Also, newspapers increas­ ingly are hiring stringers and freelancers. Most entry-level openings arise on small publications, as report­ ers and correspondents become editors or reporters on larger publi­ cations or leave the field. Small town and suburban newspapers will continue to offer most opportunities for persons seeking to enter this field. Journalism graduates have the background for work in closely related fields such as advertising and public relations, and many take jobs in these fields. Other graduates accept sales, managerial, or other nonmedia positions, because of the difficulty in finding media jobs. The newspaper and broadcasting industries are sensitive to eco­ nomic ups and downs, because these industries depend on advertis­ ing revenue. During recessions, few new reporters are hired, and some reporters lose their jobs. Earnings Salaries for news analysts, reporters, and correspondents vary widely but, in general, are relatively high, except at small stations and small publications, where salaries often are very low. Median annual earn­ ings of news analysts, reporters, and correspondents were $29,110 in 2000. The middle 50 percent earned between $21,320 and $45,540. The lowest 10 percent earned less than $16,540, and the highest 10 percent earned more than $69,300. Median annual earn­ ings of news analysts, reporters, and correspondents were $33,550 in radio and television broadcasting and $26,900 in newspapers in  General information on the broadcasting industry is available from: > National Association of Broadcasters, 1771 N St. NW., Washington, DC 20036. Internet: http://www.nab.org  Career information, including pamphlets entitled Newspaper Ca­ reer Guide and Newspaper: What’s In It For Mel, is available from: > Newspaper Association ofAmerica, 1921 Gallows Rd., Suite 600, Vienna, VA 22182. Internet: http://www.naa.org  Information on careers in journalism, colleges and universities offering degree programs in journalism or communications, and jour­ nalism scholarships and internships may be obtained from: >- Dow Jones Newspaper Fund, Inc., RO. Box 300, Princeton, NJ 08543­ 0300. Internet: http://www.dowjones.com  Information on union wage rates for newspaper and magazine reporters is available from: >• Newspaper Guild, Research and Information Department, 501 3rd St. NW., Suite 250, Washington, DC 20001. Internet:  http://www.newsguild.org  For a list of schools with accredited programs in journalism, send a stamped, self-addressed envelope to: >- Accrediting Council on Education in Journalism and Mass Communi­ cations, University of Kansas School of Journalism and Mass Communi­ cations, Stauffer-Flint Hall, Lawrence, KS 66045. Internet:  http://www.ukans.edu/~acejmc  Information on newspaper careers and community newspapers is available from: > National Newspaper Association, 1010 North Glebe Rd., Suite 450, Ar­ lington, VA 22201. Internet: http://www.nnafoundation.org  Names and locations of newspapers and a list of schools and departments of journalism are published in the Editor and Pub­ lisher International Year Book, available in most public libraries and newspaper offices.  Photographers (0*NET 27-4021.01, 27-4021.02)  2000. According to a 1999 survey conducted by the National Associa­ tion of Broadcasters and the Broadcast Cable Financial Manage­ ment Association, the annual average salary, including bonuses, was $83,400 for weekday anchors and $44,200 for those working on weekends. Television news reporters earned on average $33,700. Weekday sportscasters typically earned $68,900, while weekend sportscasters earned $37,200. Weathercasters averaged $68,500 during the week and $36,500 on weekends. According to the 2001 survey, the annual average salary, including bonuses, was $55,100 for radio news reporters and $53,300 for sportscasters in radio broad­ casting. Related Occupations News analysts, reporters, and correspondents must write clearly and effectively to succeed in their profession. Others for whom good writing ability is essential include writers and editors, and public relations specialists. Many news analysts, reporters, and correspon­ dents also must communicate information orally. Others for whom oral communication skills are vital are announcers, interpreters and translators, sales and related occupations, and teachers. Sources of Additional Information For information on careers in broadcast news and related scholar­ ships and internships, contact: ► Radio and Television News Directors Foundation, 1000 Connecticut Ave.  NW., Suite 615, Washington, DC 20036. Internet: http://www.rtndf.org https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Significant Points • • •  Technical expertise, a “good eye,” imagination, and creativity are essential. Only the most skilled and talented who have good business sense maintain long-term careers. More than half of all photographers are self-employed, a much higher proportion than the average for all occupations.  Nature of the Work Photographers produce and preserve images that paint a picture, tell a story, or record an event. To create commercial quality photo­ graphs, photographers need both technical expertise and creativity. Producing a successful picture requires choosing and presenting a subject to achieve a particular effect and selecting the appropriate equipment. For example, photographers may enhance the subject’s appearance with lighting or draw attention to a particular aspect of the subject by blurring the background. Today, many cameras adjust settings like shutter speed and aper­ ture automatically. They also let the photographer adjust these set­ tings manually, allowing greater creative and technical control over the picture-taking process. In addition to automatic and manual cameras, photographers use an array of film, lenses, and equip­ ment—from filters, tripods, and flash attachments to specially con­ structed lighting equipment.  140 Occupational Outlook Handbook  Photographers use either a traditional camera or a newer digital camera that electronically records images. A traditional camera records images on silver halide film that is developed into prints. Some photographers send their film to laboratories for processing. Color film requires expensive equipment and exacting conditions for correct processing and printing. (See the statement on photo­ graphic process workers and processing machine operators else­ where in the Handbook.) Other photographers, especially those who use black and white film or require special effects, prefer to develop and print their own photographs. Photographers who do their own film developing must have the technical skill to operate a fully equipped darkroom or the appropriate computer software to process prints digitally. Recent advances in electronic technology now make it possible for the professional photographer to develop and scan standard 35mm or other types of film, and use flatbed scanners and photofinishing laboratories to produce computer-readable, digital images from film. After converting the film to a digital image, photographers can edit and electronically transmit images, making it easier and faster to shoot, develop, and transmit pictures from remote locations. Using computers and specialized software, photographers also can manipulate and enhance the scanned or digital image to create a desired effect. Images can be stored on compact disk (CD) the same way as music. Digital technology also allows the production of larger, more colorful, and more accurate prints or images for use in advertising, photographic art, and scientific research. Some pho­ tographers use this technology to create electronic portfolios, as well. Because much photography now involves the use of com­ puter technology, photographers must have hands-on knowledge of computer editing software. Some photographers specialize in areas such as portrait, commer­ cial and industrial, scientific, news, or fine arts photography. Por­ trait photographers take pictures of individuals or groups of people and often work in their own studios. Some specialize in weddings or school photographs and may work on location. Portrait photog­ raphers who are business owners arrange for advertising, schedule appointments, set and adjust equipment, develop and retouch nega­ tives, and mount and frame pictures. They also purchase supplies, keep records, bill customers, and may hire and train employees. Commercial and industrial photographers take pictures of vari­ ous subjects, such as buildings, models, merchandise, artifacts, and landscapes. These photographs are used in a variety of media, in­ cluding books, reports, advertisements, and catalogs. Industrial photographers often take pictures of equipment, machinery, prod­ ucts, workers, and company officials. The pictures then are used for analyzing engineering projects, publicity, or as records of equip­ ment development or deployment, such as placement of an offshore rig. This photography frequently is done on location. Scientific photographers photograph a variety of subjects to illus­ trate or record scientific or medical data or phenomena, using knowledge of scientific procedures. They typically possess addi­ tional knowledge in areas such as engineering, medicine, biology, or chemistry. News photographers, also called photojournalists, photograph newsworthy people; places; and sporting, political, and community events for newspapers, journals, magazines, or television. Some news photographers are salaried staff; others are self-employed and are known as freelance photographers. Fine arts photographers sell their photographs as fine artwork. In addition to technical proficiency, fine arts photographers need artistic talent and creativity. or freelance, photographers may license the use Digitized forSelf-employed, FRASER of their photographs through stock photo agencies or contract with https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  I '  : :‘,;T !|j  Photographers must possess technical expertise, a good eye, and imagination.  clients or agencies to provide photographs as necessary. Stock agen­ cies grant magazines and other customers the right to purchase the use of photographs, and, in turn, pay the photographer on a com­ mission basis. Stock photo agencies require an application from the photographer and a sizable portfolio. Once accepted, a large number of new submissions usually are required from the photog­ rapher each year. Working Conditions Working conditions for photographers vary considerably. Photog­ raphers employed in government and advertising agencies usually work a 5-day, 40-hour week. On the other hand, news photogra­ phers often work long, irregular hours and must be available to work on short notice. Many photographers work part time or variable schedules. Portrait photographers usually work in their own studios but also may travel to take photographs at the client’s location, such as a school, a company office, or a private home. News and commer­ cial photographers frequently travel locally, stay overnight on as­ signments, or travel to distant places for long periods. Some photographers work in uncomfortable, or even dangerous surroundings, especially news photographers covering accidents, natural disasters, civil unrest, or military conflicts. Many photogra­ phers must wait long hours in all kinds of weather for an event to take place and stand or walk for long periods while carrying heavy equipment. News photographers often work under strict deadlines. Self-employment allows for greater autonomy, freedom of ex­ pression, and flexible scheduling. However, income can be uncer­ tain and the continuous, time-consuming search for new clients can be stressful. Some self-employed photographers hire assistants who help seek out new business. Employment Photographers held about 131,000 jobs in 2000. More than half were self-employed, a much higher proportion than the average for all occupations. Some self-employed photographers contracted with advertising agencies, magazines, or others to do individual projects at a predetermined fee, while others operated portrait studios or provided photographs to stock photo agencies. Most salaried photographers worked in portrait or commercial photography studios. Newspapers, magazines, television broadcast­ ers, advertising agencies, and government agencies employed most of the others. Most photographers worked in metropolitan areas.  Professional and Related Occupations 141  Training, Other Qualifications, and Advancement Employers usually seek applicants with a “good eye,” imagination, and creativity, as well as a good technical understanding of photog­ raphy. Entry-level positions in photojournalism, industrial, or sci­ entific photography generally require a college degree in journalism or photography. Freelance and portrait photographers need techni­ cal proficiency, whether gained through a degree program, voca­ tional training, or extensive work experience. Many universities, community and junior colleges, vocationaltechnical institutes, and private trade and technical schools offer pho­ tography courses. Basic courses in photography cover equipment, processes, and techniques. Bachelor’s degree programs, especially those including business courses, provide a well-rounded education. Art schools offer useful training in design and composition. Individuals interested in photography should subscribe to pho­ tographic newsletters and magazines, join camera clubs, and seek summer or part-time employment in camera stores, newspapers, or photo studios. Photographers may start out as assistants to experienced pho­ tographers. Assistants learn to mix chemicals, develop film, print photographs, and the other skills necessary to run a portrait or com­ mercial photography business. Freelance photographers also should develop an individual style of photography in order to differentiate themselves from the competition. Some photographers enter the field by submitting unsolicited photographs to magazines and art directors at advertising agencies. For freelance photographers, a good portfolio of their work is critical. Photographers need good eyesight, artistic ability, and hand-eye coordination. They should be patient, accurate, and detail-oriented. Photographers should be able to work well with others, as they fre­ quently deal with clients, graphic designers, or advertising and pub­ lishing specialists. Increasingly, photographers need to know computer software programs and applications that allow them to prepare and edit images. Portrait photographers need the ability to help people relax in front of the camera. Commercial and fine arts photographers must be imaginative and original. News photographers not only must be good with a camera, but also must understand the story behind an event so their pictures match the story. They must be decisive in recognizing a potentially good photograph and act quickly to cap­ ture it. Photographers who operate their own businesses, or freelance, need business skills as well as talent. These individuals must know how to prepare a business plan; submit bids; write contracts; hire models, if needed; get permission to shoot on locations that nor­ mally are not open to the public; obtain releases to use photographs of people; license and price photographs; secure copyright protec­ tion for their work; and keep financial records. After several years of experience, magazine and news photog­ raphers may advance to photography or picture editor positions. Some photographers teach at technical schools, film schools, or universities. Job Outlook Photographers can expect keen competition for job openings because the work is attractive to many people. The number of individuals interested in positions as commercial and news photographers usu­ ally is much greater than the number of openings. Those who suc­ ceed in landing a salaried job or attracting enough work to earn a living by freelancing are likely to be the most creative, able to adapt to rapidly changing technologies, and adept at operating a business. Related work experience, job-related training, or some unique skill or talent—such as a background in computers or electronics—also Digitizedare for FRASER beneficial to prospective photographers. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Employment of photographers is expected to increase about as fast as the average for all occupations through 2010. Demand for portrait photographers should increase as the population grows. And, as the number of electronic versions of magazines, journals, and newspapers grows on the Internet, photographers will be needed to provide digital images. Employment growth of photographers will be constrained some­ what by the widespread use of digital photography. Besides in­ creasing photographers’ productivity, improvements in digital technology will allow individual consumers and businesses to pro­ duce, store, and access photographic images on their own. Declines in the newspaper industry will reduce demand for photographers to provide still images for print. Earnings Median annual earnings of salaried photographers were $22,300 in 2000. The middle 50 percent earned between $16,790 and $33,020. The lowest 10 percent earned less than $13,760, and the highest 10 percent earned more than $46,890. Median annual earnings in the industries employing the largest numbers of salaried photographers were as follows: Radio and television broadcasting..................................................... Mailing, reproduction, and stenographic services......................... Newspapers............................................................................................ Photographic studios, portrait............................................................  $29,890 29,610 28,660 19,290  Salaried photographers—more of whom work full time—tend to earn more than those who are self-employed. Because most freelance and portrait photographers purchase their own equipment, they incur considerable expense acquiring and maintaining cam­ eras and accessories. Unlike news and commercial photographers, few fine arts photographers are successful enough to support them­ selves solely through their art. Related Occupations  Other occupations requiring artistic talent include architects, except landscape and naval; artists and related workers; designers; and tele­ vision, video, and motion picture camera operators and editors. Sources of Additional Information Career information on photography is available from: ► Professional Photographers ofAmerica, Inc., 229 Peachtree St. NE., Suite 2200, Atlanta, GA30303. Internet: http://www.ppa.com ► National Press Photographers Association, Inc., 3200 Croasdaile Dr., Suite 306, Durham, NC 27705. Internet: http://www.nppa.org/default.cfm  Public Relations Specialists (0*NET 27-3031.00)  Significant Points •  Although employment is projected to increase much faster than the average, keen competition is expected for entry-level jobs.  •  Opportunities should be best for college graduates who combine a degree in public relations or other communications-related fields with a public relations internship or other related work experience. The ability to write and speak well is essential.  •  142 Occupational Outlook Handbook Nature of the Work An organization’s reputation, profitability, and even its continued existence can depend on the degree to which its targeted publics support its goals and policies. Public relations specialists serve as advocates for businesses, nonprofit associations, universities, hos­ pitals, and other organizations, and build and maintain positive re­ lationships with the public. As managers recognize the growing importance of good public relations to the success of their organi­ zations, they increasingly rely on public relations specialists for advice on the strategy and policy of such programs. Public relations specialists handle organizational functions such as media, community, consumer, and governmental relations; po­ litical campaigns; interest-group representation; conflict mediation; or employee and investor relations. However, public relations is not only “telling the organization’s story.” Understanding the atti­ tudes and concerns of consumers, employees, and various other groups also is a vital part of the job. To improve communications, public relations specialists establish and maintain cooperative rela­ tionships with representatives of community, consumer, employee, and public interest groups and with representatives from print and broadcast journalism. Informing the general public, interest groups, and stockholders of an organization’s policies, activities, and accomplishments is an im­ portant part of a public relations specialist’s job. The work also in­ volves keeping management aware of public attitudes and concerns of the many groups and organizations with which they must deal.  Public relations specialists prepare press releases and contact people in the media who might print or broadcast their material. Many radio or television special reports, newspaper stories, and magazine articles start at the desks of public relations specialists. Sometimes the subject is an organization and its policies towards its employees or its role in the community. Often the subject is a public issue, such as health, energy, or the environment. Public relations specialists also arrange and conduct programs to keep up contact between organization representatives and the public. For example, they set up speaking engagements and often prepare speeches for company officials. These specialists repre­ sent employers at community projects; make film, slide, or other visual presentations at meetings and school assemblies; and plan conventions. In addition, they are responsible for preparing annual reports and writing proposals for various projects. In government, public relations specialists—who may be called press secretaries, information officers, public affairs specialists, or communications specialists—keep the public informed about the activities of government agencies and officials. For example, pub­ lic affairs specialists in the Department of State keep the public informed of travel advisories and of U.S. positions on foreign is­ sues. A press secretary for a member of Congress keeps constitu­ ents aware of the representative’s accomplishments. In large organizations, the key public relations executive, who often is a vice president, may develop overall plans and policies with other executives. In addition, public relations departments employ public relations specialists to write, research, prepare mate­ rials, maintain contacts, and respond to inquiries. People who handle publicity for an individual or who direct pub­ lic relations for a small organization may deal with all aspects of the job. They contact people, plan and research, and prepare mate­ rial for distribution. They also may handle advertising or sales pro­ motion work to support marketing. Working Conditions Some public relations specialists work a standard 35- to 40-hour week, but unpaid overtime is common. Occasionally, they must be at the job or on call around the clock, especially if there is an emer­ gency or crisis. Public relations offices are busy places; work sched­ ules can be irregular and frequently interrupted. Schedules often have to be rearranged so that workers can meet deadlines, deliver speeches, attend meetings and community activities, or travel.  ?  Public relations specialists maintain contact with management and  Digitizedpublic for FRASER organizations and groups. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Employment Public relations specialists held about 137,000 jobs in 2000. About 6 out of 10 salaried public relations specialists worked in services industries—management and public relations firms, membership organizations, educational institutions, healthcare organizations, social service agencies, and advertising agencies, for example. Oth­ ers worked for communications firms, financial institutions, and government agencies. About 8,600 public relations specialists were self-employed. Public relations specialists are concentrated in large cities, where press services and other communications facilities are readily avail­ able and many businesses and trade associations have their head­ quarters. Many public relations consulting firms, for example, arc in New York, Los Angeles, Chicago, and Washington, DC. There is a trend, however, for public relations jobs to be dispersed through­ out the Nation, closer to clients. Training, Other Qualifications, and Advancement There are no defined standards for entry into a public relations career. A college degree combined with public relations experi­ ence, usually gained through an internship, is considered excellent  preparation for public relations work; in fact, internships are be­ coming vital to obtaining employment. The ability to write and speak well is essential. Many entry-level public relations special­ ists have a college major in public relations, journalism, advertis­ ing, or communications. Some firms seek college graduates who have worked in electronic or print journalism. Other employers seek applicants with demonstrated communications skills and train­ ing or experience in a field related to the firm’s business—science, engineering, sales, or finance, for example. Many colleges and universities offer bachelor’s and postsecondary degrees in public relations, usually in a journalism or communications department. In addition, many other colleges offer at least one course in this field. A common public relations sequence includes courses in public relations principles and tech­ niques; public relations management and administration, including organizational development; writing, emphasizing news releases, proposals, annual reports, scripts, speeches, and related items; vi­ sual communications, including desktop publishing and computer graphics; and research, emphasizing social science research and survey design and implementation. Courses in advertising, jour­ nalism, business administration, finance, political science, psychol­ ogy, sociology, and creative writing also are helpful. Specialties are offered in public relations for business, government, and non­ profit organizations. Many colleges help students gain part-time internships in public relations that provide valuable experience and training. The Armed Forces also can be an excellent place to gain training and experi­ ence. Membership in local chapters of the Public Relations Stu­ dent Society ofAmerica (affiliated with the Public Relations Society of America) or the International Association of Business Commu­ nicators provides an opportunity for students to exchange views with public relations specialists and to make professional contacts that may help them find a job in the field. A portfolio of published articles, television or radio programs, slide presentations, and other work is an asset in finding a job. Writing for a school publication or television or radio station provides valuable experience and ma­ terial for one’s portfolio. Creativity, initiative, good judgment, and the ability to express thoughts clearly and simply are essential. Decision-making, prob­ lem-solving, and research skills also are important. People who choose public relations as a career need an outgoing personality, self-confidence, an understanding of human psychol­ ogy, and an enthusiasm for motivating people. They should be com­ petitive, yet flexible, and able to function as part of a team. Some organizations, particularly those with large public rela­ tions staffs, have formal training programs for new employees. In smaller organizations, new employees work under the guidance of experienced staff members. Beginners often maintain files of ma­ terial about company activities, scan newspapers and magazines for appropriate articles to clip, and assemble information for speeches and pamphlets. They also may answer calls from the press and public, work on invitation lists and details for press confer­ ences, or escort visitors and clients. After gaining experience, they write news releases, speeches, and articles for publication or design and carry out public relations programs. Public relations special­ ists in smaller firms usually get all-around experience, whereas those in larger firms tend to be more specialized. The Public Relations Society of America accredits public rela­ tions specialists who have at least 5 years of experience in the field and have passed a comprehensive 6-hour examination (5 hours writ­ ten, 1 hour oral). The International Association of Business Com­ municators also has an accreditation program for professionals in the communications field, including public relations specialists. Digitized Those for FRASER who meet all the requirements of the program earn the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Professional and Related Occupations 143  Accredited Business Communicator designation. Candidates must have at least 5 years of experience in a communication field and pass a written and oral examination. They also must submit a port­ folio of work samples demonstrating involvement in a range of com­ munication projects and a thorough understanding of communication planning. Employers may consider professional recognition through accreditation a sign of competence in this field, which could be especially helpful in a competitive job market. Promotion to supervisory jobs may come as public relations spe­ cialists show that they can handle more demanding assignments. In public relations firms, a beginner may be hired as a research assis­ tant or account assistant and be promoted to account executive, ac­ count supervisor, vice president, and, eventually, senior vice president. A similar career path is followed in corporate public relations, although the titles may differ. Some experienced public relations specialists start their own consulting firms. (For more information on public relations managers, see the Handbook state­ ment on advertising, marketing, promotions, public relations, and sales managers.) Job Outlook Keen competition will likely continue for entry-level public rela­ tions jobs as the number of qualified applicants is expected to ex­ ceed the number ofjob openings. Many people are attracted to this profession due to the high-profile nature of the work and the rela­ tive ease of entry. Opportunities should be best for college gradu­ ates who combine a degree in journalism, public relations, advertising, or another communications-related field with a public relations internship or other related work experience. Applicants without the appropriate educational background or work experi­ ence will face the toughest obstacles. Employment of public relations specialists is expected to in­ crease much faster than the average for all occupations through 2010. The need for good public relations in an increasingly com­ petitive business environment should spur demand for public rela­ tions specialists in organizations of all sizes. Employment in public relations firms should grow as firms hire contractors to provide public relations services rather than support full-time staff. In ad­ dition to employment growth, job opportunities should result from the need to replace public relations specialists who take other jobs or who leave the occupation altogether.  Earnings Median annual earnings for salaried public relations specialists were $39,580 in 2000. The middle 50 percent earned between $29,610 and $53,620; the lowest 10 percent earned less than $22,780, and the top 10 percent earned more than $70,480. Median annual earn­ ings in the industries employing the largest numbers of public rela­ tions specialists in 2000 were: Management and public relations...................................................... $43,690 Local government..................................................................................... 40,760 State government................................................................................... 39,560 Colleges and universities........................................................................ 35,080  According to a joint survey conducted by the International As­ sociation of Business Communicators and the Public Relations Society of America, the median annual income for a public rela­ tions specialist was $39,000 in 1999. Related Occupations Public relations specialists create favorable attitudes among vari­ ous organizations, special interest groups, and the public through effective communication. Other workers with similar jobs include advertising, marketing, promotions, public relations, and sales  144 Occupational Outlook Handbook  managers; demonstrators, product promoters, and models; news ana­ lysts, reporters, and correspondents; lawyers; and police and detec­ tives involved in community relations.  fig*  Sources of Additional Information A comprehensive directory of schools offering degree programs, a sequence of study in public relations, a brochure on careers in pub­ lic relations, and a $5 brochure entitled, Where Shall I go to Study Advertising and Public Relations?, are available from:  iiJ"  .  ,  >- Public Relations Society of America, Inc., 33 Irving Place, New York, NY 10003-2376. Internet: http://www.prsa.org  For information on accreditation for public relations specialists, contact:  >■ International Association of Business Communicators, One Hallidie Plaza, Suite 600, San Francisco, CA 94102. Internet: http://www.iabc.com  Television, Video, and Motion Picture Camera Operators and Editors  * llmll Film and video editors use sophisticated digital equipment to edit images and mix sound.  (0*NET 27-4031.00, 27-4032.00)  • •  •  Significant Points Technical expertise, a “good eye,” imagination, and creativity are essential. Keen competition for job openings is expected, because many talented peopled are attracted to the field. About one-fourth of camera operators are selfemployed.  Nature of the Work Television, video, and motion picture camera operators produce images that tell a story, inform or entertain an audience, or record an event. Film and video editors edit soundtracks, film, and video for the motion picture, cable, and broadcast television industries. Some camera operators do their own editing. Making commercial quality movies and video programs requires technical expertise and creativity. Producing successful images re­ quires choosing and presenting interesting material, selecting ap­ propriate equipment, and applying a good eye and steady hand to assure smooth natural movement of the camera. Camera operators use television, video, or motion picture cam­ eras to shoot a wide range of subjects, including television series, studio programs, news and sporting events, music videos, motion pictures, documentaries, and training sessions. Some film or vid­ eotape private ceremonies and special events. Those who record images on videotape are often called videographers. Many are employed by independent television stations, local affiliates, large cable and television networks, or smaller, independent production companies. Studio camera operators work in a broadcast studio and usually videotape their subjects from a fixed position. News camera operators, also called electronic news gathering (ENG) operators, work as part of a reporting team, following newsworthy events as they unfold. To capture live events, they must anticipate the action and act quickly. ENG operators may need to edit raw footage on the spot for relay to a television affiliate for broadcast. Camera operators employed in the entertainment field use mo­ tion picture cameras to film movies, television programs, and com­ mercials. Those who film motion pictures are also known as cinematographers. Some specialize in filming cartoons or special Digitizedeffects. for FRASER They may be an integral part of the action, using cameras https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  in any of several different camera mounts. For example, the cam­ era operator can be stationary and shoot whatever passes in front of the lens, or the camera can be mounted on a track, with the camera operator responsible for shooting the scene from different angles or directions. Other camera operators sit on cranes and follow the action, while crane operators move them into position. Steadicam operators mount a harness and carry the camera on their shoulders to provide a more solid picture while they move about the action. Camera operators who work in the entertainment field often meet with directors, actors, editors, and camera assistants to discuss ways of filming, editing, and improving scenes. Working Conditions Working conditions for camera operators and editors vary consid­ erably. Those employed in government, television and cable net­ works, and advertising agencies usually work a 5-day, 40-hour week. On the other hand, ENG operators often work long, irregular hours and must be available to work on short notice. Camera operators and editors working in motion picture production also may work long, irregular hours. ENG operators and those who cover major events, such as con­ ventions or sporting events, frequently travel locally, stay overnight on assignments, or travel to distant places for longer periods. Cam­ era operators filming television programs or motion pictures may travel to film on location. Some camera operators work in uncomfortable, or even danger­ ous surroundings, especially ENG operators covering accidents, natural disasters, civil unrest, or military conflicts. Many camera operators must wait long hours in all kinds of weather for an event to take place and stand or walk for long periods while carrying heavy equipment. ENG operators often work under strict deadlines. Employment Television, video, and motion picture camera operators held about 27,000 jobs in 2000; and film and video editors held about 16,000. One-fourth of camera operators were self-employed. Some selfemployed camera operators contracted with television networks, documentary or independent filmmakers, advertising agencies, or trade show or convention sponsors to do individual projects for a predetermined fee, often at a daily rate. Most salaried camera operators were employed by television broadcasting stations or motion picture studios. Half of the salaried  Professional and Related Occupations 145  film and video editors worked for motion picture studios. Most camera operators and editors worked in metropolitan areas. Training, Other Qualifications, and Advancement Employers usually seek applicants with a “good eye,” imagination, and creativity, as well as a good technical understanding of camera operation. Camera operators and editors usually acquire their skills through on-the-job training or formal postsecondary training at vo­ cational schools, colleges, universities, or photographic institutes. Formal education may be required for some positions. Many universities, community and junior colleges, vocationaltechnical institutes, and private trade and technical schools offer courses in camera operation and videography. Basic courses cover equipment, processes, and techniques. Bachelor’s degree programs, especially those including business courses, provide a well-rounded education. Individuals interested in camera operations should subscribe to videographic newsletters and magazines, join clubs, and seek sum­ mer or part-time employment in cable and television networks, motion picture studios, or camera and video stores. Camera operators in entry-level jobs learn to set up lights, cam­ eras, and other equipment. They may receive routine assignments requiring camera adjustments or decisions on what subject matter to capture. Camera operators in the film and television industries usually are hired for a project based on recommendations from in­ dividuals such as producers, directors of photography, and camera assistants from previous projects, or through interviews with the producer. ENG and studio camera operators who work for televi­ sion affiliates usually start in small markets to gain experience. Camera operators need good eyesight, artistic ability, and handeye coordination. They should be patient, accurate, and detail-ori­ ented. Camera operators also should have good communication skills, and, if needed, the ability to hold a camera by hand for ex­ tended periods. Camera operators who operate their own businesses, or freelance, need business skills as well as talent. These individuals must know how to submit bids; write contracts; get permission to shoot on lo­ cations that normally are not open to the public; obtain releases to use film or tape of people; price their services; secure copyright protection for their work; and keep financial records. With increased experience, operators may advance to more de­ manding assignments or positions with larger or network television stations. Advancement for ENG operators may mean moving to larger media markets. Other camera operators and editors may be­ come directors of photography for movie studios, advertising agen­ cies, or television programs. Some teach at technical schools, film schools, or universities. Job Outlook Camera operators and editors can expect keen competition for job openings because the work is attractive to many people. The num­ ber of individuals interested in positions as videographers and movie camera operators usually is much greater than the number of open­ ings. Those who succeed in landing a salaried job or attracting enough work to earn a living by freelancing are likely to be the most creative, highly motivated, able to adapt to rapidly changing technologies, and adept at operating a business. Related work ex­ perience or job-related training also are beneficial to prospective camera operators. Employment of camera operators and editors is expected to grow faster than the average for all occupations through 2010. Rapid expansion of the entertainment market, especially motion picture production and distribution, will spur growth of camera operators. In addition,  computer and Internet services provide new outlets for https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  interactive productions. Camera operators will be needed to film made-for-the-Intemet broadcasts such as live music videos, digital movies, sports, and general information or entertainment program­ ming. These images can be delivered directly into the home either on compact discs or over the Internet. Modest growth also is ex­ pected in radio and television broadcasting. Earnings Median annual earnings for television, video, and motion picture cam­ era operators were $27,870 in 2000. The middle 50 percent earned between $19,230 and $44,150. The lowest 10 percent earned less than $14,130, and the highest 10 percent earned more than $63,690. Median annual earnings were $31,560 in motion picture produc­ tion and services and $23,470 in radio and television broadcasting. Median annual earnings for film and video editors were $34,160 in 2000. The middle 50 percent earned between $24,800 and $52,000. The lowest 10 percent earned less than $18,970, and the highest 10 percent earned more than $71,280. Median annual earn­ ings were $36,770 in motion picture production and services, the industry employing the largest numbers of film and video editors. Many camera operators who work in film or video are freelancers; their earnings tend to fluctuate each year. Because most freelance camera operators purchase their own equipment, they incur consid­ erable expense acquiring and maintaining cameras and accessories. Related Occupations Related arts and media occupations include artists and related work­ ers, broadcast and sound engineering technicians and radio opera­ tors, designers, and photographers. Sources of Additional Information Information about career and employment opportunities for camera operators and film and video editors is available from local offices of State employment service agencies, local offices of the relevant trade unions, and local television and film production companies who employ these workers.  Writers and Editors (0*NET 27-3041.00, 27-3042.00, 27-3043.01, 27-3043.02, 27-3043.04)  Significant Points •  Most jobs require a college degree either in the liberal arts—communications, journalism, and English are preferred—or a technical subject for technical writing positions.  •  Competition is expected to be less for lower paying, entry-level jobs at small daily and weekly newspapers, trade publications, and radio and television broadcasting stations in small markets.  •  Persons who fail to gain better paying jobs or earn enough as independent writers usually are able to transfer readily to communications-related jobs in other occupations.  Nature of the Work Writers and editors communicate through the written word. Writ­ ers and editors generally fall into one of three categories. Writers and authors develop original fiction and nonfiction for books, maga­ zines and trade journals, newspapers, online publications, company  146 Occupational Outlook Handbook  newsletters, radio and television broadcasts, motion pictures, and advertisements. Technical writers develop scientific or technical materials, such as scientific and medical reports, equipment manu­ als, appendices, or operating and maintenance instructions. They also may assist in layout work. Editors select and prepare material for publication or broadcast and review and prepare a writer’s work for publication or dissemination. . Nonfiction writers either select a topic or are assigned one, of­ ten by an editor or publisher. Then, they gather information through personal observation, library and Internet research, and interviews. Writers select the material they want to use, organize it, and use the written word to express ideas and convey information. Writers also revise or rewrite sections, searching for the best organization or the right phrasing. Reporters and correspondents—including newswriters, columnists, and editorial writers—are described else­ where in the Handbook. Creative writers, poets, and lyricists, including novelists, play­ wrights, and screenwriters, create original works—such as prose, poems, plays, and song lyrics—for publication or performance. Some works may be commissioned (at the request of a sponsor); others may be written for hire (based on completion of a draft or an outline). Copy writers prepare advertising copy for use by publica­ tion or broadcast media, or to promote the sale of goods and ser­ vices. Newsletter writers produce information for distribution to association members, corporate employees, organizational clients, or the public. Writers and authors also construct crossword puzzles and prepare speeches. Technical writers put scientific and technical information into easily understandable language. They prepare scientific and tech­ nical reports, operating and maintenance manuals, catalogs, parts lists, assembly instructions, sales promotion materials, and project proposals. They also plan and edit technical reports and oversee preparation of illustrations, photographs, diagrams, and charts. Science and medical writers prepare a range of formal documents presenting detailed information on the physical or medical sciences. They impart research findings for scientific or medical professions, organize information for advertising or public relations needs, and interpret data and other information for a general readership. Many writers prepare material directly for the Internet. For ex­ ample, they may write for electronic newspapers or magazines, cre­ ate short fiction, or produce technical documentation only available online. Also, they may write the text of Web sites. These writers should be knowledgeable about graphic design, page layout and desktop publishing software. Additionally, they should be familiar with interactive technologies of the Web so they can blend text, graphics, and sound together. Freelance writers sell their work to publishers, publication enter­ prises, manufacturing firms, public relations departments, or adver­ tising agencies. Sometimes, they contract with publishers to write a book or article. Others may be hired on a job-basis to complete spe­ cific assignments such as writing about a new product or technique. Editors review, rewrite, and edit the work of writers. They may also do original writing. An editor’s responsibilities vary depend­ ing on the employer and type and level of editorial position held. In the publishing industry, an editor’s primary duties are to plan the contents of books, technical journals, trade magazines, and other general interest publications. Editors decide what material will appeal to readers, review and edit drafts of books and articles, offer comments to improve the work, and suggest possible titles. Addi­ tionally, they oversee the production of the publications. Major newspapers and newsmagazines usually employ several types of editors. The executive editor oversees assistant editors who have responsibility for particular subjects, such as local news, inter­ Digitizednational for FRASER news, feature stories, or sports. Executive editors generally https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  have the final say about what stories are published and how they are covered. The managing editor usually is responsible for the daily operation of the news department. Assignment editors determine which reporters will cover a given story. Copy editors mostly re­ view and edit a reporter’s copy for accuracy, content, grammar, and style. In smaller organizations, like small daily or weekly newspapers or membership newsletter departments, a single editor may do ev­ erything or share responsibility with only a few other people. Ex­ ecutive and managing editors typically hire writers, reporters, or other employees. They also plan budgets and negotiate contracts with freelance writers, sometimes called “stringers” in the news industry. In broadcasting companies, program directors have simi­ lar responsibilities. Editors and program directors often have assistants. Many as­ sistants, such as copy editors or production assistants, hold entrylevel jobs. They review copy for errors in grammar, punctuation, and spelling, and check copy for readability, style, and agreement with editorial policy. They suggest revisions, such as changing words or rearranging sentences to improve clarity or accuracy. They also do research for writers and verify facts, dates, and statistics. Pro­ duction assistants arrange page layouts of articles, photographs, and advertising; compose headlines; and prepare copy for printing. Publication assistants who work for publishing houses may read and evaluate manuscripts submitted by freelance writers, proofread printers’ galleys, or answer letters about published material. Pro­ duction assistants on small papers or in radio stations compile ar­ ticles available from wire services or the Internet, answer phones, and make photocopies. Most writers and editors use personal computers or word pro­ cessors. Many use desktop or electronic publishing systems, scan­ ners, and other electronic communications equipment. Working Conditions Some writers and editors work in comfortable, private offices; oth­ ers work in noisy rooms filled with the sound of keyboards and computer printers as well as the voices of other writers tracking  jfcsfci  Most writers and editors use computers and other communications equipment to compose and transmit content.  Professional and Related Occupations 147  down information over the telephone. The search for information sometimes requires travel to diverse workplaces, such as factories, offices, or laboratories, but many have to be content with telephone interviews, the library, and the Internet. For some writers, the typical workweek runs 35 to 40 hours. However, writers occasionally may work overtime to meet produc­ tion deadlines. Those who prepare morning or weekend publica­ tions and broadcasts work some nights and weekends. Freelance writers generally work more flexible hours, but their schedules must conform to the needs of the client. Deadlines and erratic work hours, often part of the daily routine for these jobs, may cause stress, fa­ tigue, or burnout. Changes in technology and electronic communications also af­ fect a writer’s work environment. For example, laptops allow writ­ ers to work from home or while on the road. Writers and editors who use computers for extended periods may experience back pain, eyestrain, or fatigue. Employment Writers and editors held about 305,000 jobs in 2000. About 126,000 jobs were for writers and authors; 57,000 were for technical writ­ ers; and 122,000 were for editors. Nearly one-fourth of jobs for writers and editors were salaried positions with newspapers, maga­ zines, and book publishers. Substantial numbers, mostly technical writers, work for computer software firms. Other salaried writers and editors work in educational facilities, advertising agencies, ra­ dio and television broadcasting studios, public relations firms, and business and nonprofit organizations, such as professional associa­ tions, labor unions, and religious organizations. Some develop pub­ lications and technical materials for government agencies or write for motion picture companies. Jobs with major book publishers, magazines, broadcasting com­ panies, advertising agencies, and public relations firms are concen­ trated in New York, Chicago, Los Angeles, Boston, Philadelphia, and San Francisco. Jobs with newspapers, business and profes­ sional journals, and technical and trade magazines are more widely dispersed throughout the country. Thousands of other individuals work as freelance writers, earn­ ing some income from their articles, books, and less commonly, television and movie scripts. Most support themselves with income derived from other sources. Training, Other Qualifications, and Advancement A college degree generally is required for a position as a writer or editor. Although some employers look for a broad liberal arts back­ ground, most prefer to hire people with degrees in communications, journalism, or English. For those who specialize in a particular area, such as fashion, business, or legal issues, additional background in the chosen field is expected. Knowledge of a second language is helpful for some positions. Technical writing requires a degree in, or some knowledge about, a specialized field—engineering, business, or one of the sciences, for example. In many cases, people with good writing skills can leam specialized knowledge on the job. Some transfer from jobs as technicians, scientists, or engineers. Others begin as research as­ sistants, or trainees in a technical information department, develop technical communication skills, and then assume writing duties. Writers and editors must be able to express ideas clearly and logically and should love to write. Creativity, curiosity, a broad range of knowledge, self-motivation, and perseverance also are valu­ able. Writers and editors must demonstrate good judgment and a strong sense of ethics in deciding what material to publish. Editors also need tact and the ability to guide and encourage others in their Digitized work. for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  For some jobs, the ability to concentrate amid confusion and to work under pressure is essential. Familiarity with electronic pub­ lishing, graphics, and video production equipment increasingly is needed. Online newspapers and magazines require knowledge of computer software used to combine online text with graphics, au­ dio, video, and 3-D animation. High school and college newspapers, literary magazines, com­ munity newspapers, and radio and television stations all provide valuable, but sometimes unpaid, practical writing experience. Many magazines, newspapers, and broadcast stations have internships for students. Interns write short pieces, conduct research and inter­ views, and leam about the publishing or broadcasting business. In small firms, beginning writers and editors hired as assistants may actually begin writing or editing material right away. Opportu­ nities for advancement can be limited, however. In larger busi­ nesses, jobs usually are more formally structured. Beginners generally do research, factchecking, or copy editing. They take on full-scale writing or editing duties less rapidly than do the employ­ ees of small companies. Advancement often is more predictable, though, coming with the assignment of more important articles. Job Outlook Employment of writers and editors is expected to increase faster than the average for all occupations through the year 2010. Em­ ployment of salaried writers and editors for newspapers, periodi­ cals, book publishers, and nonprofit organizations is expected to increase as demand grows for their publications. Magazines and other periodicals increasingly are developing market niches, appeal­ ing to readers with special interests. Also, online publications and services are growing in number and sophistication, spurring the demand for writers and editors. Businesses and organizations are developing newsletters and Internet websites and more companies are experimenting with publishing materials directly for the Internet. Advertising and public relations agencies, which also are growing, should be another source of new jobs. Demand for technical writ­ ers and writers with expertise in specialty areas, such as law, medi­ cine, or economics, is expected to increase because of the continuing expansion of scientific and technical information and the need to communicate it to others. In addition to job openings created by employment growth, many openings will occur as experienced workers retire, transfer to other occupations, or leave the labor force. Replacement needs are rela­ tively high in this occupation; many freelancers leave because they cannot earn enough money. Despite projections of fast employment growth and numerous replacement needs, the outlook for most writing and editing jobs is expected to be competitive. Many people with writing or journal­ ism training are attracted to the occupation. Opportunities should be best for technical writers and those with training in a specialized field. Rapid growth and change in the high technology and elec­ tronics industries result in a greater need for people to write users’ guides, instruction manuals, and training materials. Developments and discoveries in the law, science, and technology generate de­ mand for people to interpret technical information for a more gen­ eral audience. This work requires people who are not only technically skilled as writers, but also familiar with the subject area. Also, individuals with the technical skills for working on the Internet may have an advantage finding a job as a writer or editor. Opportunities for editing positions on small daily and weekly newspapers and in small radio and television stations, where the pay is low, should be better than those in larger media markets. Some small publications hire freelance copy editors as backup for staff editors or as additional help with special projects. Aspiring writers and editors benefit from academic preparation in another  148 Occupational Outlook Handbook  discipline as well, either to qualify them as writers specializing in that discipline or as a career alternative if they are unable to get a  the industries employing the largest numbers of editors were as  job in writing.  Computer and data processing services  Earnings Median annual earnings for salaried writers and authors were $42,270 in 2000. The middle 50 percent earned between $29,090 and $57,330. The lowest 10 percent earned less than $20,290, and the highest 10 percent earned more than $81,370. Median annual earnings were $26,470 in the newspaper industry. Median annual earnings for salaried technical writers were $47,790 in 2000. The middle 50 percent earned between $37,280 and'$60,000. The lowest 10 percent earned less than $28,890, and the highest 10 percent earned more than $74,360. Median annual earnings in computer and data processing services were $51,220. . Median annual earnings for salaried editors were $39,370 in 2000. The middle 50 percent earned between $28,880 and $54,320. The lowest 10 percent earned less than $22,460, and the highest 10 percent earned more than $73,330. Median annual earnings in  follows: Periodicals.................................................. Newspapers............................................... Books...........................................................  $45,800 42.560 37.560 37,550  Related Occupations Writers and editors communicate ideas and information. Other com­ munications occupations include announcers; interpreters and trans­ lators; news analysts, reporters, and correspondents; and public relations specialists. Sources of Additional Information For information on careers in technical writing, contact: ► Society for Technical Communication, Inc., 901N. Stuart St., Suite 904, Arlington, VA 22203. Internet: http://www.stc.org  For information on union wage rates for newspaper and maga­ zine editors, contact:  xhe Newspaper Guild-CWA, Research and Information Department, 501  Third St. NW., Suite 250, Washington, DC 20001.  Community and Social Services Occupations Clergy Nature of the Work Religious beliefs—such as Buddhist, Christian, Jewish, or Moslem—are significant influences in the lives of millions of Ameri­ cans, and prompt many to participate in organizations that reinforce their faith. Even within a religion many denominations may exist, with each group having unique traditions and responsibilities as­ signed to its clergy. For example, Christianity has more than 70 denominations, while Judaism has 4 major branches, as well as groups within each branch, with diverse customs. Clergy are religious and spiritual leaders, and teachers and inter­ preters of their traditions and faith. Most members of the clergy serve in a pulpit. They organize and lead regular religious services and officiate at special ceremonies, including confirmations, wed­ dings, and funerals. They may lead worshipers in prayer, administer the sacraments, deliver sermons, and read from sacred texts such as the Bible, Torah, or Koran. When not conducting worship services, clergy organize, supervise, and lead religious education programs for their congregations. Clergy visit the sick or bereaved to provide comfort and they counsel persons who are seeking religious or moral guidance or who are troubled by family or personal problems. They also may work to expand the membership of their congregations and solicit donations to support their activities and facilities. Clergy who serve large congregations often share their duties with associates or more junior clergy. Senior clergy may spend considerable time on administrative duties. They oversee the man­ agement of buildings, order supplies, contract for services and re­ pairs, and supervise the work of staff and volunteers. Associate or assistant members of the clergy sometimes specialize in an area of religious service, such as music, education, or youth counseling. Clergy also work with committees and officials, elected by the con­ gregation, who guide the management of the congregation’s finances and real estate. Other members of the clergy serve their religious communities Digitizedin forways FRASER that do not call for them to hold positions in congregations. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Some serve as chaplains in the U.S. Armed Forces and in hospitals, while others help to carry out the missions of religious community and social services agencies. A few members of the clergy serve in administrative or teaching posts in schools at all grade levels, in­ cluding seminaries. Working Conditions Members of the clergy typically work irregular hours and many put in longer than average work days. Those who do not work in con­ gregational settings may have more routine schedules. In 2000, almost one-fifth of full-time clergy worked 60 or more hours a week, more than 3 times that of all workers in professional occupations. Although many of their activities are sedentary and intellectual in nature, clergy frequently are called on short notice to visit the sick, comfort the dying and their families, and provide counseling to those in need. Involvement in community, administrative, and educa­ tional activities sometimes require clergy to work evenings, early mornings, holidays, and weekends. Because of their roles as leaders regarding spiritual and morality issues, some members of the clergy often feel obligated to address and resolve both societal problems and the personal problems of their congregants, which can lead to stress. Training and Other Qualifications Educational requirements for entry into the clergy vary greatly. Simi­ lar to other professional occupations, about 3 out of 4 members of the clergy have completed at least a bachelor’s degree. Many de­ nominations require that clergy complete a bachelor’s degree and a graduate-level program of theological study; others will admit any­ one who has been “called to the vocation. Some faiths do not allow women to become clergy; however, those that do are experi­ encing increases in the numbers of women seeking ordination. Men and women considering careers in the clergy should consult their religious leaders to verify specific entrance requirements. Individuals considering a career in the clergy should realize they are choosing not only a career but also a way of life. In fact, most members of the clergy remain in their chosen vocation throughout  Professional and Related Occupations 149  their lives; in 2000, almost 9 percent of clergy were 65 or older, compared with only 3 percent of workers in all occupations. Religious leaders must exude confidence and motivation, while remaining tolerant and able to listen to the needs of others. They should be capable of making difficult decisions, working under pres­ sure, and living up to the moral standards set by their faith and community. The following statements provide more detailed information on Protestant ministers, Rabbis, and Roman Catholic priests.  Protestant Ministers (0*NET 21-2011.00)  Significant Points •  •  Entry requirements vary greatly; many denominations require a bachelor’s degree followed by study at a theological seminary, whereas others have no formal educational requirements.  Competition for positions will vary among denominations and geographic regions.  Nature of the Work Protestant ministers lead their congregations in worship services and administer the various rites of the church, such as baptism, con­ firmation, and Holy Communion. The services that ministers con­ duct differ among the numerous Protestant denominations and even among congregations within a denomination. In many denomina­ tions, ministers follow a traditional order of worship; in others, they adapt the services to the needs of youth and other groups within the congregation. Most services include Bible readings, hymn singing, prayers, and a sermon. In some denominations, Bible readings by members of the congregation and individual testimonials consti­ tute a large part of the service. In addition to these duties, ministers officiate at weddings, funerals, and other occasions. Each Protestant denomination has its own hierarchical structure. Some ministers are responsible only to the congregation they serve, whereas others are assigned duties by elder ministers or by the bish­ ops of the diocese they serve. In some denominations, ministers are reassigned to a new pastorate by a central governing body or diocese every few years.  i  , ‘  . .,w  The services that Protestant ministers conduct differ among the  Digitizednumerous for FRASER denominations. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Ministers who serve small congregations usually work person­ ally with parishioners. Those who serve large congregations may share specific aspects of the ministry with one or more associates or assistants, such as a minister of education or a minister of music. Employment There are many denominations; however, most ministers are em­ ployed by the five largest Protestant bodies—Baptist, Episcopalian, Lutheran, Methodist, and Presbyterian. Although most ministers are located in urban areas, many serve two or more smaller congregations in less densely populated areas. Some small churches increasingly employ part-time ministers who are seminary students, retired ministers, or holders of secular jobs. Unpaid pastors serve other churches with meager funds. In addi­ tion, some churches employ specially trained members of the laity to conduct nonliturgical functions. Training and Other Qualifications Educational requirements for entry into the Protestant ministry vary greatly. Many denominations require, or at least strongly prefer, a bachelor s degree followed by study at a theological seminary. How­ ever, some denominations have no formal educational requirements, and others ordain persons having various types of training from Bible colleges or liberal arts colleges. Many denominations now allow women to be ordained, but some do not. Persons considering a career in the ministry should first verify the ministerial require­ ments with their particular denomination. In general, each large denomination has its own schools of the­ ology that reflect its particular doctrine, interests, and needs. How­ ever, many of these schools are open to students from other denominations. Several interdenominational schools associated with universities give both undergraduate and graduate training cover­ ing a wide range of theological points of view. In 1999-2000, the Association of Theological Schools in the United States and Canada accredited 206 Protestant denominational theological schools. These schools only admit students who have received a bachelor’s degree or its equivalent from an accredited college. After college graduation, many denominations require a 3-year course of professional study in one of these accredited schools, or seminaries, for the degree of Master of Divinity. The standard curriculum for accredited theological schools con­ sists of four major categories: Biblical studies, history, theology, and practical theology. Courses of a practical nature include pasto­ ral care, preaching, religious education, and administration. Many accredited schools require that students work under the supervision of a faculty member or experienced minister. Some institutions offer Doctor of Ministry degrees to students who have completed additional study—usually 2 or more years—and served at least 2 years as a minister. Scholarships and loans often are available for students of theological institutions. Persons who have denominational qualifications for the minis­ try usually are ordained after graduation from a seminary or after serving a probationary pastoral period. Denominations that do not require seminary training ordain clergy at various appointed times. Some churches ordain ministers with only a high school education. Women and men entering the clergy often begin their careers as pastors of small congregations or as assistant pastors in large churches. Pastor positions in large metropolitan areas or in large congregations often require many years of experience. Job Outlook Job opportunities as Protestant ministers should be best for gradu­ ates of theological schools. The degree of competition for posi­ tions will vary among denominations and geographic regions. For  150 Occupational Outlook Handbook  example, relatively favorable prospects are expected for ministers in evangelical churches. Competition, however, will be keen for responsible positions serving large, urban congregations. Minis­ ters willing to work part time or for small, rural congregations should have better opportunities. Many job openings will stem from the need to replace ministers who retire, die, or leave the ministry. For newly ordained Protestant ministers who are unable to find parish positions, employment alternatives include working in youth counseling, family relations, and social welfare organizations; teaching in religious educational institutions; or serving as chap­ lains in the Armed Forces, hospitals, universities, and correctional institutions. Earnings Salaries of Protestant clergy vary substantially, depending on expe­ rience, denomination, size and wealth of the congregation, and geo­ graphic location. For example, some denominations tie a minister’s pay to the average pay of the congregation or the community. As a result, ministers serving larger, wealthier congregations often earned significantly higher salaries than those in smaller, less affluent areas or congregations. Ministers with modest salaries sometimes earn additional income from employment in secular occupations. Sources of Additional Information Persons who are interested in entering the Protestant ministry should seek the counsel of a minister or church guidance worker. Theo­ logical schools can supply information on admission requirements. For information on special requirements for ordination, prospec­ tive ministers also should contact the ordination supervision body  Rabbis serve as teachers of the principles and practice ofJudaism. and civic leaders in their communities to help find solutions to local problems. . Rabbis also may write for religious and lay publications and teach in theological seminaries, colleges, and universities.  Rabbis  Employment Although the majority of rabbis served congregations representing the four main branches of Judaism, many rabbis functioned in other settings. Some taught in Jewish studies programs at colleges and universities, whereas others served as chaplains in hospitals, col­ leges, or the military. Additionally, some rabbis held positions in one of the many social service or Jewish community agencies. Although rabbis serve Jewish communities throughout the Nation, they are concentrated in major metropolitan areas with large  (0*NET 21-2011.00)  Jewish populations.  of their particular denomination.  Significant Points •  •  Ordination usually requires completion of a college degree followed by a 4- or 5-year program at a Jewish seminary. Job opportunities for rabbis are expected in all four major branches of Judaism through the year 2010.  Nature of the Work Rabbis serve Orthodox, Conservative, Reform, and Reconstruction­ ist Jewish congregations. Regardless of the branch of Judaism they serve or their individual points of view, all rabbis preserve the sub­ stance of Jewish religious worship. Congregations differ in the extent to which they follow the traditional form of worship—for example, in the wearing of head coverings, in the use of Hebrew as the language of prayer, and in the use of instrumental music or a choir. Additionally, the format of the worship service and, there­ fore, the ritual that the rabbi uses may vary even among congrega­ tions belonging to the same branch of Judaism. Rabbis have greater independence in religious expression than other clergy, because of the absence of a formal religious hierarchy in Judaism. Instead, rabbis are responsible directly to the board of trustees of the congregation they serve. Those serving large con­ gregations may spend considerable time in administrative duties, working with their staffs and committees. Large congregations fre­ quently have associate or assistant rabbis, who often serve as edu­ cational directors. All rabbis play a role in community relations.  For example, many rabbis serve on committees, alongside business https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Training and Other Qualifications To become eligible for ordination as a rabbi, a student must com­ plete a course of study in a seminary. Entrance requirements and the curriculum depend upon the branch of Judaism with which the seminary is associated. Most seminaries require applicants to be college graduates. Jewish seminaries typically take 5 years for completion of stud­ ies, with an additional preparatory year required for students with­ out sufficient grounding in Hebrew and Jewish studies. In addition to the core academic program, training generally includes fieldwork and internships providing hands-on experience and, in some cases, study in Jerusalem. Seminary graduates are awarded the title Rabbi and earn the Master of Arts in Hebrew Letters degree. After more advanced study, some earn the Doctor of Hebrew Letters degree. In general, the curricula of Jewish theological seminaries pro­ vide students with a comprehensive knowledge of the Bible, the Torah, rabbinic literature, Jewish history, Hebrew, theology, and courses in education, pastoral psychology, and public speaking. Students receive extensive practical training in dealing with social problems in the community. Training for alternatives to the pulpit, such as leadership in community services and religious education, is increasingly stressed. Some seminaries grant advanced academic degrees in such fields as biblical and Talmudic research. All Jew­ ish theological seminaries make scholarships and loans available. Major rabbinical seminaries include the Jewish Theological Semi­ nary of America, which educates rabbis for the Conservative branch, the Hebrew Union College—Jewish Institute of Religion, which educates rabbis for the Reform branch; and the Reconstructionist  Professional and Related Occupations 151  Rabbinical College, which educates rabbis in the newest branch of Judaism. Seminaries educate and ordain Orthodox rabbis. Although the number of Orthodox seminaries is relatively high, the number of students attending each seminary is low. The Rabbi Isaac Elchanan Theological Seminary and the Beth Medrash Govoha Seminary are representative Orthodox seminaries. In all cases, rabbinic training is rigorous. When students have become sufficiently learned in the Torah, the Bible, and other religious texts, they may be ordained with the approval of an authorized rabbi, acting either independently or as a representative of a rabbinical seminary. Newly ordained rabbis usually begin as spiritual leaders of small congregations, assistants to experienced rabbis, directors of Hillel Foundations on college campuses, teachers in educational insti­ tutions, or chaplains in the U.S. Armed Forces. As a rule, experi­ enced rabbis fill the pulpits of large, well-established Jewish congregations. Job Outlook Job opportunities for rabbis are expected in all four major branches of Judaism through the year 2010. Rabbis willing to work in small, underserved communities should have the best prospects. Graduates of Orthodox seminaries who seek pulpits should have opportunities as growth in enrollments slows and as many gradu­ ates seek alternatives to the pulpit. Rapidly expanding membership is expected to create employment opportunities for Reconstructionist rabbis. Conservative and Reform rabbis should have job opportu­ nities serving congregations or in other settings because of the large size of these two branches of Judaism. Earnings In addition to their annual salary, benefits received by rabbis may include housing, health insurance, and a retirement plan. Income varies widely, depending on the size and financial status of the con­ gregation, as well as denominational branch and geographic loca­ tion. Rabbis may earn additional income from gifts or fees for officiating at ceremonies such as bar or bat mitzvahs and weddings. Sources of Additional Information Persons who are interested in becoming rabbis should discuss their plans with a practicing rabbi. Information on the work of rabbis and allied occupations can be obtained from: Rabbinical Council of America, 305 7th Ave., New York, NY 10001. Internet: http://www.rabbis.org (Orthodox) The Jewish Theological Seminary of America, 3080 Broadway, New York, NY 10027. Internet: http://www.jtsa.edu (Conservative) Hebrew Union College-Jewish Institute of Religion, One West 4th St., New York, NY 10012. Internet: http://www.huc.edu (Reform) Reconstructionist Rabbinical College, 1299 Church Rd., Wyncote, PA 19095. Internet: http://www.rrc.edu (Reconstructionist)  Roman Catholic Priests  Nature of the Work Priests in the Catholic Church may be categorized as either dioc­ esan or religious. Both types of priests have the same priesthood faculties, acquired through ordination by a bishop. Differences lie in their way of life, type of work, and the Church authority to which they are responsible. Diocesan priests commit their lives to serv­ ing the people of a diocese, a church administrative region, and generally work in parishes, schools, or other Catholic institutions as assigned by the bishop of their diocese. Diocesan priests take oaths of celibacy and obedience. Religious priests belong to a reli­ gious order, such as the Jesuits, Dominicans, or Franciscans. In addition to the vows taken by diocesan priests, religious priests take a vow of poverty. Diocesan priests attend to the spiritual, pastoral, moral, and edu­ cational needs of the members of their church. A priest’s day usu­ ally begins with morning meditation and mass and may end with an individual counseling session or an evening visit to a hospital or home. Many priests direct and serve on church committees, work in civic and charitable organizations, and assist in community projects. Some counsel parishioners preparing for marriage or the birth of a child. Religious priests receive duty assignments from their superiors in their respective religious orders. Some religious priests spe­ cialize in teaching, whereas others serve as missionaries in for­ eign countries, where they may live under difficult and primitive conditions. Other religious priests live a communal life in monas­ teries, where they devote their lives to prayer, study, and assigned work. Both religious and diocesan priests hold teaching and adminis­ trative posts in Catholic seminaries, colleges and universities, and high schools. Priests attached to religious orders staff many of the Church s institutions of higher education and many high schools, whereas diocesan priests usually are concerned with the parochial schools attached to parish churches and with diocesan high schools. Members of religious orders do much of the missionary work con­ ducted by the Catholic Church in this country and abroad. Employment According to The Official Catholic Directory, there were approxi­ mately 45,000 priests in 2000; about 30,000 were diocesan priests. Priests are found in nearly every city and town and in many rural communities; however, the majority is in metropolitan areas, where most Catholics reside.  impi  (0*NET 21-2011.00)  Significant Points •  Preparation generally requires 8 years of study beyond high school, usually including a college degree followed by 4 or more years of theology study at a seminary.  •  The shortage of Roman Catholic priests is expected to   continue, resulting in a very favorable outlook. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  Some Roman Catholic priests specialize in teaching.  152 Occupational Outlook Handbook Training and Other Qualifications Men exclusively are ordained as priests. Women may serve in church positions that do not require priestly ordination. Preparation for the priesthood generally requires 8 years of study beyond high school, usually including a college degree followed by 4 or more years of theology study at a seminary. Preparatory study for the priesthood may begin in the first year of high school, at the college level, or in theological seminaries after college graduation. Nine high-school seminary programs— five free-standing high school seminaries and four programs within Catholic high schools—provided a college preparatory program in 2000. Programs emphasize and support religious formation in ad­ dition to a regular, college-preparatory curriculum. Latin may be required, and modem languages are encouraged. In Hispanic com­ munities, knowledge of Spanish is mandatory. Those who begin training for the priesthood in college do so in one of 42 priesthood formation programs offered either through Catholic colleges or universities or in freestanding college semi­ naries. Preparatory studies usually include training in philosophy, religious studies, and prayer. Today, most candidates for the priesthood have a 4-year degree from an accredited college or university, then attend one of 46 theo­ logical seminaries (also called theologates) and earn either the Master of Divinity or the Master of Arts degree. Thirty-four theologates primarily train diocesan priests, whereas 12 theologates provide in­ formation mostly for priesthood candidates from religious orders. (Slight variations in training reflect the differences in their expected duties.) Theology coursework includes sacred scripture; dogmatic, moral, and pastoral theology; homiletics (art of preaching); church history; liturgy (sacraments); and canon (church) law. Fieldwork experience usually is required. Young men are never denied entry into seminaries because of lack of funds. In seminaries for diocesan priests, scholarships or loans are available, and contributions of benefactors and the Catho­ lic Church finance those in religious seminaries—who have taken a vow of poverty and are not expected to have personal resources. Graduate work in theology beyond that required for ordination also is offered at a number of American Catholic universities or at ecclesiastical universities around the world, particularly in Rome. Also, many priests do graduate work in fields unrelated to theol­ ogy. Priests are encouraged by the Catholic Church to continue their studies, at least informally, after ordination. In recent years, the Church has stressed continuing education for ordained priests in the social sciences, such as sociology and psychology. A newly ordained diocesan priest usually works as an assistant pastor. Newly ordained priests of religious orders are assigned to the specialized duties for which they have been trained. Depending on the talents, interests, and experience of the individual, many opportunities for additional responsibility exist within the Church. Job Outlook The shortage of Roman Catholic priests is expected to continue, resulting in a very favorable job outlook through the year 2010. Many priests will be needed in the years ahead to provide for the spiritual, educational, and social needs of the increasing number of Catholics. In recent years, the number of ordained priests has been insufficient to fill the needs of newly established parishes and other Catholic institutions and to replace priests who retire, die, or leave the priesthood. This situation is likely to continue, as seminary enrollments remain below the levels needed to overcome the cur­ rent shortfall of priests. In response to the shortage of priests, permanent deacons and teams of clergy and laity increasingly are performing certain tradi­  tional functions within the Catholic Church. The number of ordained https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis  deacons has increased 30 percent over the past 20 years, and this trend should continue. Throughout most of the country, permanent deacons have been ordained to preach and perform liturgical func­ tions, such as baptisms, marriages, and funerals, and to provide ser­ vice to the community. Deacons are not authorized to celebrate Mass, nor are they allowed to administer the Sacraments of Recon­ ciliation and the Anointing of the Sick. Teams of clergy and laity undertake some liturgical and nonliturgical functions, such as hos­ pital visits and religious teaching. Earnings Salaries of diocesan priests vary from diocese to diocese. Accord­ ing to a biennial survey of the National Federation of Priests Coun­ cil, low-end salaries averaged $12,936 per year in 1999; high-end salaries averaged $ 15,483 per year. In addition to a salary, diocesan priests receive a package of benefits that may include a car allow­ ance, room and board in the parish rectory, health insurance, and a retirement plan. Diocesan priests who do special work related to the church, such as teaching, usually receive a salary which is less than a lay person in the same position would receive. The difference between the usual salary for these jobs and the salary that the priest receives is called “contributed service.” In some situations, housing and related ex­ penses may be provided; in other cases, the priest must make his own arrangements. Some priests doing special work receive the same compensation that a lay person would receive. Religious priests take a vow of poverty and are supported by their religious order. Any personal earnings are given to the order. Their vow of poverty is recognized by the Internal Revenue Ser­ vice, which exempts them from paying Federal income tax. Sources of Additional Information Young men interested in entering the priesthood should seek the guidance and counsel of their parish priests and diocesan vocational office. For information regarding the different religious orders and the diocesan priesthood, as well as a list of the seminaries that pre­ pare students for the priesthood, contact the diocesan director of vocations through the office of the local pastor or bishop. Individuals seeking additional information about careers in the Catholic Ministry should contact their local diocese. For information on training programs for the Catholic ministry, contact:  ► Center for Applied Research in the Apostolate (CARA), Georgetown University, 2300 Wisconsin Ave. NW., Suite 400, Washington,