These Gen Xers on the Job Hunt Are Turning to Self-Employment

Since shedding his job as a Walmart supervisor, 50-year-old DJ Perdue has utilized to about 10 jobs a day for the previous yr and a half. After months of rejections, he determined to launch TeenyTown, an indoor play house for teenagers in Union Metropolis, California.

“I needed to do one thing,” Perdue instructed Enterprise Insider. “And it was one thing that I had all the time wished to do.”

Perdue wished to deal with his 4 youngsters. He mentioned he used his severance bundle and bonus from his final job to construct a enterprise whereas he was out of labor.

Whereas attendance at TeenyTown has been regular, he mentioned it is not sufficient to help his household but. Perdue mentioned he makes sufficient to cowl hire and utilities on the play house, however has had hassle affording the rest. His fiancée, who continues to be employed, has taken on a lot of the burden, he mentioned.

“I am principally two months away from shedding my enterprise if I do not discover a job quickly, as a result of I am unable to maintain consuming off of that cash,” mentioned Perdue. He added that he not too long ago needed to promote his residence and transfer to a less-expensive rental property.

Perdue is not alone in turning to self-employment after a job loss. Enterprise Insider spoke with three different Gen Xers who mentioned they made such a pivot.

For some, private ventures are a short lived stop-gap. For others, self-employment appears like a lifeline whereas job looking in a stagnant-feeling labor market.

Whatever the purpose, self-employment is a comparatively frequent alternative for Gen X. A Enterprise Insider evaluation of knowledge from the Census Bureau’s Present Inhabitants Survey confirmed that 12% of employed folks aged 44 to 59 have been self-employed in 2024.

Giving up on the job hunt

Whereas the job market is hard for everybody, it may be particularly difficult for seasoned employees who’ve pay and title expectations. Many additionally face concerns about ageism or being seen as overqualified.

Rick J. Sanchez, 49, started his profession in {hardware} and software program distribution gross sales earlier than opening an Allstate insurance coverage and monetary providers observe. He later moved to working in enterprise growth and startups. However when he reentered the job market in 2023, he struggled to land a task.

“You’ll be able to’t put founder or president or board chair of something in your résumé and get a name again,” Sanchez mentioned.

After a yr and a half of job searching, Sanchez launched Mentratik, a PR and disaster communications agency.

“We have solely been in existence for a few yr,” Sanchez mentioned. “But it surely certain beats pounding the pavement in search of work day-after-day.”

Making a pivot

Within the first quarter of 2024, 3% of all companies had totally shut down inside the earlier yr, in line with US Bureau of Labor Statistics knowledge. Even with companies’ excessive failure charge, some pursue private initiatives to remain lively and reclaim a way of function when the system feels stacked against them.

After being laid off in April, 48-year-old Rob Santoliquito additionally determined to strike out on his personal, opening a a Screenmobile franchise in West Chester, Pennsylvania, which focuses on display screen substitute. Much like Sanchez, he is appreciated the contemporary begin. Santoliquito mentioned he instructed his spouse when he started his final job, “If this does not work out, I am by no means going again.”

Santoliquito mentioned he has no regrets about his profession, which supplied him a secure path and excessive compensation whereas it lasted. Lately, nonetheless, he is seen the general labor market as a “shrinking pie” and mentioned that firms are keen to cut back head rely, particularly for costlier employees.

Sallie Griffiths, a former C-suite chief who spent decades building business development groups and coaching realtors, mentioned she’s additionally observed as she’s gotten older that the identical sorts of alternatives are not as plentiful.

After her final layoff in Could 2024, Griffith was employed full-time at a franchise, making round 1 / 4 of what she used to make. She continues to tackle aspect gigs, piecing collectively a residing by means of part-time work like managing a regulation agency within the US Virgin Islands and canine sitting.

Griffith additionally began a consulting business to assist information entrepreneurs in beginning new companies and created a basis to assist underserved girls in her neighborhood get higher-paying jobs.

“Proper now, I am spinning about 5 totally different plates at any given time,” Griffith mentioned.

Madison Hoff contributed to this text.

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