Friday, June 19, 2009

Ohio's Green Shoot Deficit

Just as State lawmakers are embroiled in the impossible task of solving Ohio's budget woes more historically bad news on the jobs front is emerging. It's no surprise that the mild signs of a relenting downturn seen elsewhere are not sprouting en mass in the Buckeye State.

A review of the ODJFS employment report by George Zeller with the think tank Center for Community Solutions points out the painfuil truth:

The new May employment figure for Ohio extended Ohio's horrible lengthy sup-par job growth streak. This lengthy streak of 159 consecutive months when Ohio's job growth has been slower than the USA national average is an all-time record in the history of Ohio. The state has now gone 13 years and three months with its job growth continuously below the USA national average, including all months during those 13 years.

In May 2009, Ohio's year over year job growth rate was negative at -4.9%. The May 2009 job growth rate in the United States was sharply negative with a decline of -4.3%. The more than 13 full years of sub-par job growth in Ohio is certainly the most serious chronic problem that Ohio faces today.
Zeller holds no qualms about letting the bad news out of the bag.

So Ohio will continue to be mired in an under-employment slog for the foreseeable future. Even when the official end of the recession is discovered by economy watchers Ohio's job outlook and economic vitality will not rebound anytime soon.

The position we are in is mostly a reflection of the decimation caused by the evaporation of manufacturing jobs over the past two decades. Policy makers and GOP candidates for governor should keep this fact in mind as they prepare to make a case for leading the State out of this mess.

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