MEMPHIS, Tenn. –Take a drive through Downtown Memphis and you’ll see proof of progress.
There’s new life at a building off of Riverside Drive once abandoned during the recession.
Condos and apartments are going up, block after block.
Business blossoms on Broad with shops and restaurants run by local entrepreneurs.
Memphis’ unemployment rate is at a new low of 4.4% percent.
Yet, there’s the story, the numbers don’t tell.
“People are still struggling,” said Memphis resident Kenneth Davis.
It’s the Westwood homeowner sprucing up to sell, but across the street from a house sitting in weeds.
It’s neighborhoods like Whitehaven, where down the street from Graceland hotel construction, empty store fronts and check cashing stores line the rest of the road.
Or just north the Pinch, where homes are boarded up, sit side by side, and promises of redevelopment have yet to be delivered.
Dr. Elena Delavega is with the University of Memphis Department of Social Work.
She told WREG, “It’s not as apparent, it’s not as obvious as putting a sign at the door, but the effect is still the same.”
Dr. Delavega is talking about the impact of exclusion from the economy.
The University of Memphis School of Social Work professor said that’s what happens when people can’t afford to participate.
According to the Associated Press, while the US economy added roughly 200,000 jobs a month since 2011, most of the positions are either low, or high paying, continuing to squeeze the middle class.
Research from Moody’s Analytics shows jobs in the lowest paying industries are the only categories to have fully recovered in Memphis.
WREG found hourly wages on average, for some of those workers are just over $8.00/hour.
Delavega said, “That is not enough for rent it is not enough to feed a family, transportation and anything else that you need.”
Plus, even those making more money, continue to sacrifice post recession.
“A lot of people have had to settle for part time work or work at much lower wages,” added Dr. Delavega.
It’s hard to imagine now, but Kenneth Davis and his family became homeless seven years ago.
“Believe it or not, I started hustling cans…just anything I could do to bring in a dollar,” said Davis.
He told WREG, “Literally, we gave away everything except for our clothes.”
Davis was in hotel maintenance, a manager, and one of the highest paid employees, but when business dwindled, so did his hours.
He supplemented his income with odd jobs, until the inevitable happened.
“I ended up being laid off at the hotel all together.”
The Davis’ lost the rental home they were planning to buy, two cars and all of their savings.
They were able to re-group through the Family Promise program, which uses churches to house displaced families, Davis even became a volunteer.
Then, he finally landed another job.
“Started at $8.50 an hour and after three weeks of doing that, a management position came open and I got bumped up to $12 an hour.”
Davis has since been able to essentially triple his original salary and he’s still with the same company.
He realizes it’s not everyone’s story, but hopes his serves as hope.
Plus, he says it proof that once the city invests in its people, it’ll get the return, it’s been waiting for.
“Now what you have are revitalized neighborhoods, a revitalized mindset, a better opportunity.”
The “New Economy”: Bouncing Back in Non-Traditional Ways
Andrea Fenise wasn’t always a designer.
In fact, during the recession, she was in pharmacy school.
“When you don’t have a lot of money, you learn how to be very creative and how to be resourceful,” said Fenise.
A lesson learned by so many during the the Great Recession, and in Fenise’s case, one that created the opportunity for her to follow her dream.
She spent some time selling in a boutique and online, and now her work is created and featured in a pop up shop on Main Street in Downtown Memphis.
“This is a designer work space for Made by Memphis.”
Fenise explained, “We’re part of an incubator program, so we literally make clothes downstairs and take them upstairs for retail for people to shop.”
A concept created to help sustain the local designers of Memphis Fashion Week.
Pop ups are also an example of how business is born in this new economy.
“Now people don’t have the capital to invest in a brick and mortar for say one year, five year term.”
But, with a pop up shop, an empty building gets rented out for several months, and an entrepreneur gets a place to sell products.
And when consumers can afford to spend, Fenise said it’s a win win.
“When they have extra money, and they actually support the local economy by shopping and spending, it works!”
