While Working in a Local Business

is fine for the short term, the fact is you never recoup what you have lost if you worked at larger businesses.

Self-employment is a different animal altogether. I would consider it for myself, but I wouldn't hire anybody to help me.

Story:

A result is a new cadre of underemployed workers dotting American companies, occupying slots several rungs below where they are accustomed to working. These are not the more drastic examples of former professionals toiling away at “survival jobs” at Home Depot or Starbucks. They are the former chief financial officer working as comptroller, the onetime marketing director who is back to being an analyst, the former manager who is once again an “individual contributor.”

The phenomenon was probably inevitable in a labor market in which job seekers outnumber openings five to one. Employers are seizing the opportunity to stock up on discounted talent, despite the obvious risks that the new hires will become dissatisfied and leave. “They’re trying to really professionalize this company,” said Mr. Carroll, who is the sole breadwinner for his family of four and had lost his home to foreclosure. “I’ve been able to play a big role in that.”

In some cases, of course, the new employees fail to work out, forcing the company through the process of hiring and training someone else. But Mr. Carroll is just one of several recent hires at Cartwright who would be considered overqualified, including a billing clerk who is a certified public accountant and a human resources director who once oversaw that domain for 5,000 employees but is now dealing with just 65.