| | Missouri job loss rate number one in nation | | 04/23/03 ALLISON EPPLIN Statesman Staff Writer Email this story to a friend From Kansas City, to Springfield to Dexter, there is one inescapable factor that effects the people, economy and standard of living for all Missourian’s. The factor is job losses, and according to the U.S. Department of Labor, Missouri ranks the worst in the nation. Losing more than 77,000 jobs last year and an unsettling 30,000 between December 2002 and January alone, it is no secret that Missouri is in trouble. On April 15, the U.S. Chamber of Commerce, the Missouri Chamber of Commerce and 40 local chambers from throughout the state held a press conference in Jefferson City to declare a “state of emergency” regarding the state’s faltering job losses. “This is a crisis and we are here today to urge lawmakers and the administration to use the precious weeks left in the session to address this all-too-real emergency,” said Daniel P. Mehan, Missouri Chamber president and CEO. “So much time has been spent this session over what to do about sagging state revenues. Meanwhile, we continue to allow our most dependable revenue source - Missouri jobs - to walk out of the state.”
According to information obtained by the Missouri Chamber and the Missouri Department of Economic Development (DED), Missouri’s lost jobs represent $2.26 billion in lost wages and $126 million in lost tax revenues to the state. These local revenues include lost state income taxes as well as lost sales taxes and indirect revenues these wages would have generated. According to Mehan, every time a Missourian loses his or her job, the state loses $1,600 in tax revenue. In December, the unemployment rate in Stoddard County was 6.7% which is significantly higher than the state average of 5.5%. With employers like Tyson and ArvinMeritor - the two largest industries in the county - there appears to be some hope for Stoddard County. According to Gary Capps, Economic Development Coordinator for the Stoddard County Industrial Development Authority (IDA), 92% of jobs are created by businesses that are already there. “Retention is a better tool than enticement,” Capps said. “We are working with half a dozen new businesses and attempting to help them get a good start.”
The Stoddard County IDA does a number of tasks to try to build up the economic development in Stoddard County, Capps explained. Currently it is leasing a building in Dexter to hold educational courses for members of the community and is working on getting a bike trail to run through the county to increase tourism the area. On a larger scale, the Missouri DED is doing all that it can to stimulate and support economic growth in the state. However, the Missouri Senate Appropriations Committee finalized and sent to the full Senate its recommended budget for the DED, which asks for a cut of more than 18% in the General Revenue funding for the department. Janet Coleman, Executive Director of the Dexter Chamber of Commerce said the problem is real and needs to be addressed. “It’s hard to really offer any solutions or be critical, but the loss of that many jobs needs attention,” Coleman commented. “I have concerns that the state is neglecting, through budget cuts, their effect that the Department for Economic Development can have for job retention and growth for the State of Missouri.”
Coleman also said the state government has a tremendous job ahead of them concerning the decision whether to cut taxes or expenses or both. However, she remained optimistic about the fate of Stoddard County. “I think we’ll be able to hold our own in Stoddard County this year,” said Coleman. “Everyone needs to support their local communities.” Allison Epplin may be reached via e-mail at aepplin@dailystatesman.com | | |