Many say economic effect depends on type of jobs that are cut

Washington State University employees aren't the only ones anxiously awaiting more news about job cuts.

Pullman business owners are in a wait-and-see mode to find out how reductions to university staff could affect their sales.

Prune Orchard owner Debbie Yates said it's hard to plan for a potential drop in revenue at her Main Street eclectic home and garden store without news about who exactly could lose their jobs.

Business is stable for now, but she said it's difficult to pinpoint the reason for any slump in sales because of the economy and the generally crummy spring weather that may be keeping people inside.

"We're all riding a roller coaster," she said. "Any loss of people from town is a loss of a customer or potential customer ... but I don't think it's going to be a door-closer."

WSU President Elson S. Floyd announced Friday that somewhere between 130 and 140 positions on the Pullman campus could be cut, along with several academic programs. There also will be a reorganization of some administrative units.

The job reductions are part of the university's preliminary plan to reduce spending by about $54 million for the upcoming biennium. The final budget plans will be released June 1.

Sam Dial of Sam Dial Jewelers said he doesn't expect the proposed layoffs to make a significant dent in business, unless the people who lose their jobs include his top customers.

"It's never good to lay off people," he said. "But 150 isn't as bad as it could be."

Pullman Realtor Gary Schell said it's too early to know how layoffs will affect the city's real estate business.

He said it will depend on what positions are cut, whether those employees rent or own homes, or if they even live in Pullman. Many university employees commute from Moscow or smaller communities in the outlying ares.

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Schell said he doesn't think the housing market will be flooded, but the kind of houses up for sale will depend on the income of those laid off and whether they decide to leave the area and sell their homes.

"It's kind of a best guesstimate right now," he said. "Really, we just don't know."

Design Effects Interiors owner Joanne Anderson also isn't sure how layoffs at WSU will impact her business, but said she expects "it will certainly have some affect on our community."

Anderson supplies home furnishings for both residential and commercial projects and also caters to walk-ins. For now, she's just trying to be responsible when she buys products so she'll continue to sell items that can't be purchased elsewhere around the area.

"I do hope people will keep buying local," she said.

Minh Lam, owner of Minh's Bakery, said he hopes customers keep coming into his Northwest Stadium Way restaurant.

He said proximity to the growing Schweitzer Engineering Laboratories and faithful student customers may help offset any effects the layoffs may cause.

Yates said she'll continue to operate her business as usual until more information is released.

The people being laid off "probably don't even know what they're going to do ... so how should I?" she asked. "Right now, I'm really not concerned. Maybe I should be."

Hillary Hamm can be reached at (208) 882-5561, ext. 307, or by e-mail at hhamm@dnews.com.

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