Transcript Document

Workforce Development Region 2: Report III
Nisa Miranda, Director
University Center for Economic Development
Huntsville/Madison County Chamber of Commerce
Huntsville, Alabama
CBER & UCED, THE UNIVERSITY OF ALABAMA
April 6, 2009
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Region 2 Workforce Report III: Supply
Unemployment of 8.0% in February 2009 with 32,625 out of work means
that the region has a roughly 125,000-strong available labor pool, that
includes 92,067 underemployed workers who are looking for better jobs.
The underemployed are willing to commute farther and longer, some for 20 or
more minutes longer (42%) and 20 or more extra miles (29%).
Labor Force
406,882
Employed
374,257
Underemployment rate
24.6%
Number of underemployed workers
92,067
Unemployed
32,625
Available labor pool
124,692
Note: Based on February 2009 labor force data and 2008 underemployment rate.
Source: Center for Business and Economic Research, The University of Alabama;
and Labor Market Information Division, Alabama Department of Industrial Relations.
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Region 2 Workforce Report III: Supply
About 4,530 more people commuted
to the region for work, than
commuted out in 2000.
25,574
21,240
There is also very significant commuting
within the region.
This suggests that roads, highways,
and transportation systems must be
maintained properly to ensure
uninterrupted movement of workers.
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Region 2 Workforce Report III: Supply
Congestion is rising in the region as more people are traveling
to work and even though average commute time and distance
inched down in 2008.
Congestion can slow down economic development. Hence the need
to maintain transportation infrastructure and systems.
Percent of workers
Average commute time (one-way)
Less than 20 minutes
20 to 40 minutes
40 minutes to an hour
More than an hour
2004
59.0
28.0
8.6
1.3
2005/2006
55.0
28.7
9.6
2.0
2008
55.8
31.4
8.2
1.0
Average commute distance (one-way)
Less than 10 miles
10 to 25 miles
25 to 45 miles
More than 45 miles
2004
46.2
31.6
13.1
4.7
2005/2006
45.7
31.2
13.0
4.9
2008
44.9
37.6
11.2
3.6
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Region 2 Workforce Report III: Supply
The region has better educational attainment and faster population
growth than the state.
Population growth (2000-2007)
Alabama: 4.1%
Region 2: 7.7%
Projected population growth (2000-2010)
Alabama: 8.8%
Region 2: 12.2%
Educational Attainment (Age 25 and over population, 2000)
high school graduates
bachelor’s or higher degree
Alabama
75.3%
19.0%
Region 2
75.8%
20.9%
Madison
85.4%
34.3%
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Region 2 Workforce Report III: Supply
Prime working age group (20-64) will grow slower than general population.
Older worker participation will become important and necessary.
Alabama Population by Age Group, Census 2000 and Projections
Age Group
0-19
20-24
25-29
30-34
35-39
40-44
45-49
50-54
55-59
60-64
65+
2000
213,316
47,346
51,060
55,058
64,096
61,995
54,050
50,071
40,575
34,428
94,340
2006
223,443
54,504
48,390
53,394
57,722
64,914
64,768
57,497
51,338
41,293
106,076
2016
231,054
62,633
58,971
57,167
53,907
58,100
61,298
68,164
66,170
55,715
137,109
2025
242,640
62,062
61,152
65,416
63,176
60,399
55,697
61,579
62,384
66,773
176,175
20-64 Total
458,679
493,820
542,125
558,638
Total Population
766,335
823,339
910,288
977,453
3.4%
9.8%
10.6%
8.6%
13.1%
18.7%
Change from 2006
0-19
20-64
Total Population
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Region 2 Workforce Report III: Supply
Job satisfaction: CS 45.4%; S 32.0%; N 14.9%; D 4.9%; CD 2.4%.
Underemployed: CS 29.6%; S 29.6%; N 24.0%; D 10.7%; CD 6.1%.
Job aspects: earnings, retention, work, hours, shift, conditions, commute.
Workers are most satisfied with the work that they do and least satisfied
with the earnings they receive. Underemployed workers are less satisfied
with their jobs and they are much more dissatisfied with their earnings.
Willingness to train: CW 50.4%; W 12.8%; N 13.3%; U 4.6%; CU 17.5%.
Underemployed: CW 62.4%; W 12.0%; N 10.5%; U 3.5%; CU 10.2%.
The underemployed are more willing to train:
CW + W: 90.7% vs. 80.8% if paid by government
CW + W: 55.4% vs. 45.1% if paid by both
CW + W: 15.7% vs. 15.1% if paid by trainee
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Region 2 Workforce Report III: Demand
The five largest employment sectors provided 222,904 jobs, 63 percent
of the regional total, in the second quarter of 2007.
Manufacturing *
Retail trade
Health care and social assistance
Professional, scientific, and technical services *
Accommodation and food services
* Paid more than the $3,123 regional average monthly wage.
Highest and Lowest Average Monthly Wages by Industry in 2007, Quarter 2
Professional, scientific, and technical services
$5,491
Wholesale trade
$4,174
Mining
$4,154
Utilities
$3,868
Manufacturing
$3,786
Accommodation and food services
$1,218
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Region 2 Workforce Report III: Demand
Of a total 843 occupations and over the 2006-2016 period, 40 are highdemand (minimum 10 annual job openings, growth- and wagesweighted), 40 are fast-growing (2.81 percent minimum annual growth
rate, at least 5 job openings), and 50 are high-earning occupations
(least salary is $71,645).
The 50 highest earning occupations are mainly in health, management,
legal, engineering, computer, postsecondary education, and science
fields. Five of the top 10 are in health.
Seven occupations are high-earning, fast-growing, and in high demand.
12 are both high-earning and in high demand.
27 are both fast-growing and high-demand.
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Region 2 Workforce Report III: Demand
Fast growing jobs (2.81% annual growth minimum in decreasing rank by annual openings 5505; high-demand, growth- and wages-weighted with minimum 10 annual openings; $40K+)
Combined Food Preparation and Serving Workers
Registered Nurses
Computer Systems Analysts
Management Analysts
Computer Software Engineers, Applications
Home Health Aides
Network and Computer Systems Administrators
Medical Assistants
Network Systems and Data Communications Analysts
Clergy
Logisticians
Bill and Account Collectors
Dental Assistants
Industrial Engineers
Dental Hygienists
Fitness Trainers and Aerobics Instructors
Training and Development Specialists
Emergency Medical Technicians and Paramedics
Tire Repairers and Changers
Physical Therapists
Technical Writers
Telecommunications Line Installers and Repairers
Personal Financial Advisors
Veterinarians
Database Administrators
Medical and Public Health Social Workers
Paralegals and Legal Assistants
Directors, Religious Activities and Education
Occupational Therapists
Social and Community Service Managers
Mental Health Counselors
Veterinary Technologists and Technicians
Electro-Mechanical Technicians
Physical Therapist Assistants
Substance Abuse and Behavioral Disorder Counselors
Cardiovascular Technologists and Technicians
Pourers and Casters, Metal
Helpers, Construction Trades, All Other
Physical Therapist Aides
Manicurists and Pedicurists
Source: Labor Market Information Division, Alabama Department of Industrial Relations
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Region 2 Workforce Report III: Implications and Recommendations
Job growth will exceed population and labor force growth through 2025.
Strategies to increase the labor force participation rate and population
will be needed to address potential shortfalls of about 13,600 to 27,700
workers by 2016 and nearly 54,000 by 2025.
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Region 2 Workforce Report III: Implications and Recommendations
Efforts to address the need for higher labor force participation
or faster labor force growth or both to meet workforce demand
must include:
Improving education and its funding
Focusing on hard-to-serve populations (e.g. out-of-school youth)
Lowering the high school drop-out rate
Programs to assess, retrain, and place dislocated workers—
especially those affected by outsourcing and economic
restructuring—should be continued and enhanced because they
can improve the labor force participation rate
Using economic opportunities to attract new residents
Facilitating in-commuting
Encouraging older worker participation
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Region 2 Workforce Report III: Implications and Recommendations
The regional economy needs to be diversified and strengthened by
retaining, expanding, and attracting more high-wage providing
industries because some high-demand and fast-growing
occupations are common to lower wage large employment sectors.
Investment in education/training and skills development is crucial.
Postsecondary education/training with demonstrable skills will be the future
minimum requirement for most jobs.
The pace of training needs to increase for technical, systems, and complex
problem solving skills.
The scale of training must be raised for basic and social skills.
Workforce development must view both P-20 and other programs (e.g. adult
education, worker retraining) as ONE system.
Flexibility is key as workforce needs change over time and demand different
priorities.
Employers should be an integral part of workforce planning.
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Region 2 Workforce Report III: For Your Information
Workforce reports and brochures for Region 2 as well as for
other regions and the State of Alabama are available at
http://www.owd.alabama.gov/downloads.htm
Together, workforce development and economic development
can build a strong and well-diversified regional economy.
Indeed, one cannot achieve success without the other.
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