×

Labor force participation trend must be reversed

Ohio — particularly poorer, more rural regions — has begun to experience a trend with which neighboring West Virginia is all too familiar. While the country added 172,000 jobs in May, Ohio lost 2,400. Unemployment, on the other hand, fell; but not for the reason we would all hope.

Unemployment data measures only those who are in the labor force.

As researcher Molly Bryden, with Policy Matters Ohio, pointed out to the Ohio Capital Journal, that figure does not include those who were unable to work because of age or physical condition, or simply have left the state or stopped trying.

“While Ohio’s job losses in May don’t give cause for concern on their own — as monthly job estimates are always subject to revision — job growth doesn’t tell the full story,” Bryden said. “There are 58,000 fewer working Ohioans in the labor force than there were at this time last year, despite growth in Ohio’s working age population, which increased by 38,000 over the same period.” 

That means the Buckeye State’s labor force participation rate is no longer higher than the national average; and there’s not much reason to believe that trajectory will be reversed any time soon.

“The weakening labor force participation rate could have long-term consequences for Ohio’s economic growth,” Bryden told the Capital Journal.

With inflation at a three-year high and wage growth stagnant, that leaves struggling Ohioans even more vulnerable to significant financial challenges.

Lawmakers and other public officials MUST work to diversify and expand our economy, and improve quality of life here in a way that helps retain and attract residents, rather than pushing them away. But it is also essential our communities find ways to address the lack of access to affordable child care options and education/training programs that help potential workers build new skill sets to become employable again.

How wonderful it would be if there was reason for these folks to believe they should jump back in to the job hunt. We’ve got work to do.

Starting at $3.70/week.

Subscribe Today