The Social and Economic Impact of Job Loss in Robeson County: Jobs for the Future

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The Socio-Economic Impact of
Job Loss in Robeson County,
North Carolina
Preliminary Findings
Leslie Hossfeld, PhD.
Department of Sociology, UNC-Pembroke
Robeson County, NC
Population 123,339
Robeson County Population by
Race US Census 2000
38%
40%
33%
25%
30%
20%
5%
10%
0%
Native White African Latino Asian
American
American
1%
Ten-Year Change in Robeson
County Manufacturing 1993-2003
►
►
►
In 1993 manufacturing
accounted for 31% of all
jobs in the county
Ten years later,
manufacturing accounts
for only 18% of jobs in the
county.
Nearly 9000 jobs lost since
1993
Peak years of plant
closings 1998-2003
31%
27%
35%
% in Manufacturing
►
21%
30%
18%
25%
20%
15%
10%
5%
0%
1990
2000
2002
2003
Source: NC Employment Security Commission
18,000
$350
$300
14,000
$250
12,000
10,000
$200
8,000
$150
6,000
Million
Number of Employees
16,000
$100
4,000
$50
2,000
0
$0
1994199519961997199819992000200120022003
Number of Manufacturing Employees
and Manufacturing Payroll - Robeson
County 1993-2003
Source: County Business Patterns 1994-2003
►
Manufacturing work
declined significantly from
17,430 in 1993 to 6,832 in
2003.
Economic Impact of Manufacturing
Job Loss
Ripple Effect of Job Loss
Regional Economic Impact
(region defined as
adjacent commuting
counties)
Total Cumulative Loss as of 2004
$4.8
billion
Loss of 8,708 manufacturing
jobs in Robeson County
resulted in:
 Total reduction in regional
employment of 19,922 jobs from
1993-2004
 By 2004, regional household
income had been reduced by
$808 million
 By 2004 regional governments
were collecting $39 million less
in indirect business taxes; total
cumulative 12 year impact:
What happens when work
disappears?
► Job
loss affects not
only the immediate
worker who loses their
job, but other workers
in the community.
Ripple effect on other
industries due to
manufacturing job loss
Sample of Trade Related
Job Losses 1993-2003
Lost Jobs
Lost Income in
Dollars
Banking
-148
-13,680,181
Eating & Drinking
-637
-9,245,275
Wholesale Traders
-495
-22,567,266
Motor Freight
-475
-17,466,318
Gov Education
-637
-20,660,867
Gov Non-Education
-411
-16,450,228
-51
-2,349,769
-100
-4,427,898
US Postal Service
Hospital
►
Annual Unemployment Insurance to County
Residents
$ in Millions
25
20.8
20
►
15
10
8.4
9.7
10.5
12.1 12.5
8.8
9.4
5
►
0
1994 1995 1996 1997 1998 1999 2000 2001
Unemployment Insurance
Payments Robeson County
Source: US Bureau of Economic
Analysis 1993-2001
Unemployment Insurance
payments increased from
$8.4 million in 1994 to
$20.8 million in 2001
From 1998 to 2001
Unemployment Insurance
payments more than
doubled
By June 2003 NC had a
negative UIF balance
Income
Per Capita Income State and County US Census
2000
$25,000
$20,307
$20,000
“Poverty means you can’t
do basic goals like taking
care of your family and
yourself”
$15,000
$13,223
$10,000
$5,000
$0
Robeson County
State
Mean Household Income by Race 2000 Robeson
County
►
State Mean Household
Income = $51,225
37% of Robeson County
households in 2000 had
incomes below $20,000 a
year
► Over half (52%) earned
incomes below $30,000
► 24% of households live in
poverty
►
50,000
43,612
39,327
40,000
34,330
36,579
27,932
30,000
20,000
10,000
0
White
Black
Hispanic
Native All Races
American
Source: US Census 2000
Personal Bankruptcies Filed in US Eastern North Carolina
District Courts 1994-2002
16,000
14,000
12,000
10,000
8,000
6,000
4,000
2,000
0
1994 1995 1996 1997 1998 1999 2000 2001 2002
Personal Bankruptcies
Source: US Eastern North Carolina
District Court 1994-2002
►Personal
bankruptcies in
Eastern NC nearly tripled
from 1994 to 2002
All Bankruptcies US District Court Robeson County
455
500
498
466
345
400
Bankruptcies Filed in
Robeson County
1999-2002
300
200
Source: US Eastern
North Carolina
District Court
100
0
1999
2000
2001
2002
Education and Work
►
65%
►
70%
60%
50%
40%
11%
30%
20%
10%
0%
High School
Bachelors
Robeson County Educational Attainment
Source: US Census 2000
►
Many workers in Robeson
County left school early to
work in local
manufacturing
31% of adults 25 and
older in Robeson County
do not have a high school
diploma.
Displaced workers face the
dilemma of having little
educational attainment
when work today is
increasingly knowledgebased
Older workers are disadvantaged
►
►
Rural displaced workers
are generally older workers
with less education
Previous research on
displaced workers
indicates that older
workers endure greater
hardships with longer
periods of unemployment
than younger workers
50%
50%
30%
40%
30%
35-54 years of age
20%
10%
0%
Population
Employed
Workforce
Source: US Census 2000
► Contact
Information:
Leslie Hossfeld, Ph.D.
Department of Sociology
BA 223
University of North
Carolina at Pembroke
hossfeld@uncp.edu
► Center
for Community
Action
Mac Legerton
PO Box 723
Lumberton, NC 28359
cca@carolina.net
NATIONAL CONFERENCE ON JOB
LOSS AND RECOVERY IN RURAL
AMERICA
The Center for Community Action
Jobs for the Future Collaborative
NATIONAL CONFERENCE ON
JOB LOSS & RECOVERY IN RURAL AMERICA
Southeastern North Carolina Agricultural Center and Farmer’s Market
Hwy 74 East Lumberton, NC
October 1 - 2, 2004
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