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Welcome to South Republic Corea.
Now, enjoy your lunch. OK?



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MBAs Take New Look
At Government Jobs
By STEVEN WEINSTEIN


Ryan Leirvik is a 2002 graduate of the Weatherhead School of Management at Case Western University in Cleveland. He has the kind of experience at International Business Machines Corp. that would make him an attractive candidate for a lucrative job as a consultant or systems analyst. Instead, Leirvik is doing something that until recently would have been considered M.B.A. career suicide: He's going to work for the federal government.

Leirvik will be working as a strategic planner at the Federal Bureau of Investigation, part of the team that will implement an agency-wide reorganization. He attributes his interest to patriotism but doesn't believe he's making a sacrifice.

"My interest was piqued after Sept. 11, but I decided that working for an agency like the FBI gave me the perfect opportunity to bring private-sector experience to public life," he says. "What's going on with the FBI affects all Americans. I can lend a perspective on what the private sector would do." The starting salary isn't as much as he would be making elsewhere, he admits. But, he says, "It serves as a good investment for dividends later. There's plenty of room to grow."

Leirvik is part of a budding new trend among M.B.A.s, who have considered the federal government a deadend for unimaginative bureaucrats who made a fraction as much as their counterparts in consulting or investment banking. Sept. 11, combined with a tepid job market, is changing some minds. To be sure, the government can't compete financially with the top spots in the private sector. But it can offer job security -- a fact that looks increasingly attractive in the wake of corporate layoffs and failed companies.

Recruitment Ramps Up

The government is still playing catch-up with the private sector in recruitment. But with half the federal work force eligible for retirement within the next five years, and the government ramping up its watchdogs in the wake of Sept. 11 and a rash of business scandals, this effort has taken on new urgency. "It could be the beginning of a trend," says Mel Penn, corporate relations executive at the Michael F. Price College of Business at Oklahoma University and president of the M.B.A. Career Services Council, an association of graduate management career counselors. "Certainly the government has a demographic problem and it's growing worse by the day." But whether government agencies will take steps to become more competitive remains to be seen, he says.

Several government agencies, including the FBI, Central Intelligence Agency, Agency for International Development, the National Marine Fisheries Service, the General Accounting Office and the Department of Health and Human Services, have either announced plans to ramp up their M.B.A. recruitment or are already seeking graduates at job fairs and in placement offices. And they're out to impress. The GAO, for example, shows a video montage of TV news generated by the agency's investigations at M.B.A. job fairs.

These agencies may not be able to offer the same starting salaries as the Goldman Sachs Group. But they offer a less tangible reward: the sense of mission missing from many corporate jobs." Besides, Leirvik adds, "Let's say I'd gone into a consulting firm: I'd be doing [the same work] over and over again. Here, I'll be able to implement the process. This is ongoing, more hands-on. I'll be seeing a project through all the stages."

'The West Wing' Effect

Some of these agencies have promised fast-track promotions and even a signing bonus of $5,000 for top candidates. Stories of dot-com flameouts, bankruptcies and raided pension funds have made the government more attractive as well. After all, the federal government will never go out of business. Further down the road, M.B.A.s who choose to move into the private sector will bring with them valuable contacts and insider knowledge of how government operates.

"What seems to be happening now is that with layoffs in every industry, some agencies are seizing the moment, increasing salaries and matching perks," notes Ryan D'Agostino, senior editor of the magazine MBA Jungle. "They're shaking the whole image of government as dusty and boring by hiring really smart people and giving them a whole lot of room to move up. It's not just 'Here's your desk for the next 30 years.' " As D'Agostino points out, George W. Bush, America's first M.B.A. president, is trying to run the federal government like a private corporation, including using professional managers.

Historically, interest in government service has come in waves. When Franklin Roosevelt initiated the New Deal, flocks of businessmen joined him. John F. Kennedy lured Harvard grads, the "best and the brightest," to help implement his social policies. By the time Ronald Reagan proclaimed that government was "the problem, not the solution," Vietnam and Watergate had soured top applicants. The government became a career backwater filled with time-servers or scoundrels.

Max Stiergood, president of the Partnership for Public Service, a nonprofit organization in Washington formed to boost recruitment for the federal government, says the television show "The West Wing" is fueling a perception of government work as fulfilling and even glamorous. "Because of Sept. 11, the government is relevant in a way it hasn't been for generations," Stiergood says. "The government needs to respond by getting out the word about new opportunities."

In the News

Mary Ellison, chief recruiter for the U.S. Securities and Exchange Commission, is trying to present an image of an agency on the forefront of today's biggest corporate news stories. In the wake of scandals such as those at Enron Corp., Global Crossing Ltd. and WorldCom Inc., she reports a new level of interest for professionals needed to police highly complex stock transactions and bookkeeping. "Every time we're in the news, we get hits on our Web site," she says. "There's been a dramatic increase in the last six to eight months, so we're very encouraged by that." Still, the pay can't compete with Wall Street. At the top of the scale, a financial economist at the SEC could pull in only $90,000 in annual base pay.

The SEC has always maintained a high-quality work force, which meant increased workloads for the understaffed agency during the boom years. Now, however, the SEC is fielding more phone calls from professionals with industry experience and from high-ranking schools. Rather than playing down the revolving door between regulators and the regulated, Ellison emphasizes the advantage SEC experience can bring to professionals when they return to the private sector. "I say it in front of every group: 'If you're serious about the securities industry, you'll want to spend time with us,' " she says. In some cases, she adds, the direction has reversed, with many executives leaving the private sector to join her agency. "We're different from other agencies," she notes. "Many have a stint in the industry and then return to us."

In the past, government recruiters "were avoided like the plague" on campus, says Fran Cort, dean at the Weatherhead School of Management. For the first time in the school's history, the FBI and CIA were included in an M.B.A. job fair, with a long line of students grabbing applications. What especially impresses Cort is the fact that most students who chose government work had other job offers. "Students' sensitivities were definitely heightened to a more patriotic view," Cort says. "But with the job market trickier this year, it was more attractive." One 2002 Weatherhead grad has even accepted a job as a midlevel manager in the U.S. Postal Service, long considered the dead-letter office of fast-track management.

More Meaningful Work

After Joe Lesser received his M.B.A. in 2000 from American University, he looked at some private-sector jobs. But he joined the AID as an economic-development specialist, a job that combines his interest in business and international affairs. "After two years, the salary is as high or higher than if I had stayed in the private sector," he says. He's developing technology trade within Eastern Europe, a job that gives him, he says, "more fulfillment and meaning in my work."

Deb Berube goes Lesser one better. After receiving an M.B.A. from Wheeling Jesuit University in the 1990s, she went on to earn a master's in health administration and a law degree. Her job as a staff attorney in the U.S. Department of Health and Human Services allows her to bring all of her education and prior experience to bear -- but without the grueling 60-hour workweeks she put in at a law firm. "In the legal field, if you have a brief due, you have to get it done," she says. "Now, it's more human. The quality of life is better. If you work on Saturdays, you get comp time."

For many, however, job fulfillment doesn't replace the security of a fat paycheck. The government still may be a tough sell to students who want to start families or have to pay off hefty business-school loans. Peace Corps veteran Ben Nichols, another 2002 Weatherhead M.B.A., believes in the government's ability to help cure social ills and is considering jobs at the Department of Housing and Urban Development or the African bureau of AID But his concern that a government job can't support his family in Washington led him to turn down a job there. So he's negotiating for a similar job - at the same salary -- in Cleveland, where he now lives.

In order to woo candidates like Nichols, the government must streamline its hiring process and guarantee rewards down the line for high performance, Stiergood says. "Perceptions affect reality," he notes. "The federal government has done a poor job of talking itself up. But the government is in transition and has begun addressing what needs to be done. People make generalizations about the government that they don't make about the private sector."


-- Mr. Weinstein a free-lance writer in New York.





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