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Archive for Wednesday, November 16, 2011

Analysis: Kansas will take 3 years to recover jobs

A job seeker checks for new job postings Thursday at Glendale Workforce Services Center in Glendale, Calif., in this 2010 file photo. It will take Kansas three more years to fully recover the jobs lost in the Great Recession that started in 2008, according to a recent national economic analysis.

A job seeker checks for new job postings Thursday at Glendale Workforce Services Center in Glendale, Calif., in this 2010 file photo. It will take Kansas three more years to fully recover the jobs lost in the Great Recession that started in 2008, according to a recent national economic analysis.

November 16, 2011

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It will take Kansas three more years to fully recover the jobs lost in the Great Recession that started in 2008, according to a recent national economic analysis.

“It’s a very slow-moving economy right now,” said Bob Tomarelli, an economist at Massachusetts-based IHS Global Insight, which conducted the state-by-state study.

He said the projected recovery in Kansas matches the median time frame among all states — the fourth quarter of 2014 — mostly because the state didn’t experience as drastic of unemployment drops as states crippled by manufacturing job losses, such as Michigan and Ohio, or by the real estate bubble, such as California, Nevada and Florida.

But it also is not projected to recover as quickly as the Dakotas, Nebraska and Texas. North Dakota is gaining energy jobs from an oil boom, for example, and Texas is projected to return to its “pre-recession employment peak” in 2012.

The Kansas Department of Labor’s September estimate put the state’s unemployment rate at 6.6 percent, down from 6.9 percent in August. The seasonally adjusted unemployment rate was 6.7 percent, unchanged from August and down from 7 percent one year ago. According to the Bureau of Labor Statistics, the state’s unemployment rate reached a high of 7.6 percent in August 2009.

State labor officials last month warned job growth was still both tentative and anemic. The September jobless rate was 6.3 percent in Lawrence and 5.9 percent overall in Douglas County. The state is scheduled to release its October report next week.

Donna Ginther, a Kansas University economics professor, said compared with the Dakotas and Nebraska, Kansas is more dependent upon manufacturing, especially aviation production in the Wichita area.

“General aviation is a luxury good for businesses and people,” said Ginther, who is also director of KU’s Center for Science, Technology and Economic Policy. “As long as the stock market is gyrating and there’s a lot of uncertainty about future economic growth, it’s going to be slow to recover.”

Some areas in western Kansas have a much lower unemployment rate than the state average, likely because of their dependence on agricultural and energy sector jobs. Ellis, Finney, Ford and Seward counties all had September jobless rates below 5 percent, for example. But Ginther said agriculture and energy sectors typically don’t employ the same volume of workers the manufacturing and construction sectors do, making it more likely statewide the recovery will still take years.

Because the recession and financial crisis hit the state and nation so hard, it has likely increased public frustration for a quicker recovery, she said. Plus, there’s uncertainty surrounding the debt crisis in Europe along with an ongoing fiscal debate in Washington, D.C.

“Low growth is not much better than a recession,” Ginther said, “and that’s just where we are.”

Comments

ceciliagault 3 years, 1 month ago

The cost of higher education is ridiculous, my son wanted to go to college but we could not afford so we choose the High Speed Universities for his education while working now he working for fortune 500

just_another_bozo_on_this_bus 3 years, 1 month ago

How many user names have you used to spam this board with this the last few days?

mloburgio 3 years, 1 month ago

FalseHopeNoChange it's not when the keystone pipeline will harm something it's alrerady started. Keystone Pipeline Infographic: 'Built To Spill' TransCanada says their Keystone pipelines are the safest on the continent. But what about those 12 spills in the past year? Since its operation began in June of 2010, the Keystone 1 pipeline has suffered more spills than any other 1st year pipeline in U.S. history, a track record which does not bode well for the proposed Keystone XL which tracks across one of the largest aquifers in the world – the Ogallala – which supplies drinking water to millions of mid-Westerners and provides 30% of the nation’s groundwater used for irrigation. The Keystone pipeline map shows the spills documented in TransCanada's publicly released safety records alongside the proposed route for Keystone XL, indicating key risk areas near waterways and major metropolitan areas. http://www.huffingtonpost.com/2011/08/29/keystone-pipeline-infographic_n_941069.html

Safety: A rupture in the Keystone XL pipeline could cause a BP style oil spill in America’s heartland, over the source of fresh drinking water for 2 million people. NASA’s top climate scientist says that fully developing the tar sands in Canada would mean “essentially game over” for the climate. http://www.tarsandsaction.org/spread-the-word/key-facts-keystone-xl/

mloburgio 3 years, 1 month ago

Big Daddy got rid of thousands and thousands of jobs in the Gulf because natural oil might harm something. Gulf Oil Spill Job Losses Could Total 1 MILLION Over Next 5 Years

Five states are now suffering because of the BP spill. Florida, Alabama, Louisiana, and Mississippi are hit by oil slicks that are devastating their fisheries and tourism.

nixon00 3 years, 1 month ago

I have lived in the south for the past 11 years and this past summer was hugely successful in the Gulf areas. The beaches are beautiful, and the fishing is plentiful and the golf courses breath taking. Ask people who actually live there. Do not trust the media. That is how rumors get started. The oil spill was awful, but it was recovered quickly. Just want to set the record straight.

chootspa 3 years, 1 month ago

Big Daddy? I'm sure that's totally not dog whistling right there.

63BC 3 years, 1 month ago

The seasonally adjusted unemployment rate was 6.7 percent, unchanged from August and down from 7 percent one year ago. According to the Bureau of Labor Statistics, the state’s unemployment rate reached a high of 7.6 percent in August 2009.

So jobs are trending upward, slowly and unemployment downward, also gradually.

and Kansas Conscience writes "It's all the Gov's fault."

Which part? The fact that we're finally gaining some jobs now or that unemployment reached it's peak in August of 2009, seventeen months before he became Governor?

Sheesh. Y'all are worse than the mindless Obama-haters.

notanota 3 years, 1 month ago

the point isn't that he caused the economy to crash. It's that by doing things like cutting the arts funding, he's also doing nothing to make it better. A real leader would do more than remove money from the state economy and claim it will create jobs.

Richard Payton 3 years, 1 month ago

I've heard some companies in China are hiring much like North Dakota. China's energy policy must be like the pipeline filled with holes.

Jan Rolls 3 years, 1 month ago

It's going to take much longer than 3 years the way sam the shame is concentrating on everything but jobs. What a loser.

Kat Christian 3 years, 1 month ago

I do not believe the unemployment is that low. How do they know? They are basing this on people who are NOT receiving unemployment benefits. What about the folks whose benefits have fun out and they are still unemployed. How would they know to include these people in that count. Such bull!

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