Wisconsin continues to lag behind much of the nation in creating private sector jobs.36th in the nation is bad enough, and is virtually no different than the 37th place Wisconsin was in for the last QCEW survey, which carried into June 2015. Perhaps just as bad is the fact that we continued to lag most of the Midwest in private sector job growth in this report, ending up 6th out of 7 states.
Figures released by the U.S. Bureau of Labor Statistics on Wednesday show the state’s growth rate during the 12 month period that ended in September of last year was 1.2 percent, compared to a national rate during that time period of 2.2 percent.
Wisconsin was listed as 36th among the states for the pace of job creation, adding 29,616 private sector jobs during the reporting period.
Midwest job growth, QCEW Sept 2014-Sept 2015
Mich +1.88%
Ind. +1.84%
Ill. +1.55%
Minn +1.54%
Ohio +1.42%
Wis. +1.23%
Iowa +0.71%
And with the 5th anniversary of Act 10 being jammed through the legislature coming tomorrow (with the appropriate forum of spinners at the Madison Club), it’s appropriate to give a look at how things look over the long view. First, let’s bring back this chart, which has the updated figures in it and shows that we are well behind the 1.90% year-over-year job growth that we had when Act 10 was passed in March 2011. You'll note the trend has gone the wrong way since early 2015.
And in particular, let’s look at the combined last 4 years the QCEW has measured, which gives the impact of 4 school years under Act 10. We’ll take a look at both the private sector and total job figures in this case, to see the total effect, and/or any changes across sectors.
Private sector job growth, Sept 2011-Sept 2015
Mich +8.98%
Ind. +7.45%
Ohio +6.36%
Minn +6.29%
Ill. +5.63%
Iowa +5.36%
Wis. +5.05%
Total job growth, Sept 2011-Sept 2015
Mich +7.13%
Ind. +6.16%
Minn +5.88%
Ohio +5.29%
Ill. +4.61%
Iowa +4.46%
Wis. +4.25%
Well, can’t say Wisconsin isn’t consistent- dead last in the Midwest for both job categories.
There was one positive part of the QCEW report, as strong wage growth seen in the state over the past year, with Wisconsin had the 5th-highest increase in average private-sector weekly wages (and dutifully spun by Walker’s Department of Workforce Development). That 3.6% increase was good for 2nd best in the Midwest over that one-year period.
Avg. weekly private sector wage change, Sept 2014-Sept 2015
Ill. +4.2%
Wis. +3.6%
Mich +2.95%
Iowa +2.94%
Minn +2.8%
Ind. +2.4%
Ohio +1.5%
But even that good figure should come with major caution, as a lot of the high percentage increase is a reflection of Wisconsin’s crappy wages. When you look at the dollar increase in those wages, and the overall average private sector wages, we don’t look so impressive. In fact, our private-sector wages are still mired in the bottom half of the Midwest, and are well below our neighbors to the south and west.
Avg. weekly private sector wage change, Sept 2014-Sept 2015
Ill. $1,023 (+$41)
Minn $997 (+$27)
Mich $908 (+$26)
Ohio $859 (+$13)
Wis. $836 (+$29)
Ind. $816 (+$19)
Iowa $805 (+$23)
So 5 years after the passing of Act 10, how can anyone look at these QCEW figures in either the short or long term, and think Wisconsin hasn’t been hurt by these Walker/WisGOP “Robin Hood in reverse” policies? Oh wait, Act 10 was never about creating jobs or helping Wisconsin’s economy, but instead was done for political advantage and to play “divide and conquer” to allow Walker and WisGOP to shift power to their corporate campaign contributors, and free up money for more contributions by giving tax cuts to their rich and corporate backers. It’s all Scott Walker and WisGOP has ever been about, and ever will be. Never believe otherwise.
So how about restoring some of the balance that made this state perform better in the Midwest’s job and wage rankings before the bomb of Act 10 was dropped on Wisconsin by these vandals in the Capitol? And have it start with the elections on April 5, and carry it through for the rest of this year, will ya?
And here's UW's Menzie Chinn mentioning that the QCEW would knock down Wisconsin on the monthly job reports. With today's release, Prof. Chinn was largely proven correct, and unemployment went up 0.3% to boot.
ReplyDeleteAnd here's UW's Menzie Chinn mentioning that the QCEW would knock down Wisconsin on the monthly job reports. With today's release, Prof. Chinn was largely proven correct, and unemployment went up 0.3% to boot.
ReplyDeleteIs anyone keeping a running total on Walkers job creation total?
ReplyDeleteWill he ever get to his promised 250,000?
Since Wisconsin has no term limit for the office of governor, at the rate that jobs are being created in Wisconsin how many terms would Walker have to inflict on the citizens of Wisconsin to achieve his 250,000 promise?