As of July 1, the White Dove Cafe had to close on Sundays because the restaurant couldn't hire enough people to cover the day's shifts. Other employers, who did not want to be named, said that they have lost potential workers to dotcom companies that were able pay twice as much. Turnover is rapid, and owners say they feel lucky to keep an employee for a week, much less get them to show up for the first day of work. With so many jobs going unfilled, employers are working harder and spending more to hire workers. In many cases, the employees they can find are less qualified and require more training.
Customers end up paying higher prices and putting up with less service.
I think every business is having trouble. We're basically at negative unemployment right now. High-tech jobs are going unfilled. According to California's Employment Development Department, the unemployment rate for the city of San Jose was 2.3 percent in August, and in Santa Clara County it was 2.0 percent. The unemployment rate for San Jose was 3.6 percent in August of last year.