Regional employment declines for six consecutive quarters (Knoxville, Johnson City: middle-class, sales)

[AppalachianAmerican]

Well that's comforting. We are making a trip to there and probably Roanoke,Va come March. I still am leaning towards Tn because I like the no state income tax and the fact that in the tri cities there are several hospitals and other medical offices she could find work at AND she wants to advance her career and education and become a RN eventually.

[Page2]

Originally Posted by AppalachianAmerican

Well that's comforting. We are making a trip to there and probably Roanoke,Va come March. I still am leaning towards Tn because I like the no state income tax and the fact that in the tri cities there are several hospitals and other medical offices she could find work at AND she wants to advance her career and education and become a RN eventually.

November - November job sector comparison shows four sectors have fewer workers this year:
Information - down 300
Financial activities - down 200
Manufacturing - down 100
Education and Health Services - down 100.
Most of the hiring has been in the government sector, up 1000 jobs.
Professional and business services and construction sectors are up 500 jobs each.
Retail trade has gained 400 jobs.
Other services up 100 jobs.
Transportation and utilities and wholesale trade sectors are flat - no gain or loss from Nov. 2012.

[Serious Conversation]

Originally Posted by Page2

November - November job sector comparison shows four sectors have fewer workers this year:
Information - down 300
Financial activities - down 200
Manufacturing - down 100
Education and Health Services - down 100.
Most of the hiring has been in the government sector, up 1000 jobs.
Professional and business services and construction sectors are up 500 jobs each.
Retail trade has gained 400 jobs.
Other services up 100 jobs.
Transportation and utilities and wholesale trade sectors are flat - no gain or loss from Nov. 2012.

A large increase in mainly government jobs is not sustainable over time. I'd like to know exactly what is classified as a government worker.

Are the teachers and school staff factored in under government or education/health services? Are the CNAs professional services or health services?

The private sector needs to be doing more than just retail trade and health care. When you are losing jobs in information, finance, and manufacturing, you lose the "heart" of a healthy economy. What we have left is mostly a shell economy with no real substance.

[Page2]

BLS data excludes school and hospital employees from state and local government numbers.
Government is and has been the top job provider in the Johnson City MSA for long time. It's in the top four providers in Kingsport-Bristol MSA.
In 2003 gov. jobs were 21.7% of nonfarm jobs in the Johnson City MSA. In Nov. they were 22.7%.
In the Kingsport-Bristol MSA they were 13% of nonfarm jobs in 2003 and 21.7% in November.
This area has been cuting manufacturing jobs since 2000 just like most other area when employers began moving lower skilled jobs off shore. One of the biggest killers of local mfg. jobs is technology and plants getting rid of some service and support divisions then hiring the work through contractors to save money. Health care is doing the same thing.
The information sector jobs that were cut last year will likely never be replaced. Publishing has and continues to take a big decline and broadcast is experiencing a similar revenue stream loss as the internet replaced traditional forms of advertising. None have been successful with getting customers to pay for information services. As you know, the bulk of our jobs economy is now dominated by the service sector. The biggest hope for good job growth comes in the innovations sectors. Several of the local manufactures and other firms are heavy into that, but most of the local thinking is still focused on manufacturing, health care and support systems. The effect on family incomes has been predictable. A 2008 to 2012 comparison shows the median household income for the Tri-Cities declined by $73 a week. It's an uncertain and uncomfortable new normal that's being established.

[Serious Conversation]

I don't see the innovation. There's little to no creative class here and what there is remains well hidden. Libation Station in JC is the best beer and smoke shop I've been into, by far, and they maintain a classy shop.

However, you'd NEVER hear about these folks in local media. I actually heard of this place from people in Asheville. We have several nice breweries (Wolf Hills and Depot Street) but we don't market them.

We don't have a lot, but what we have we don't even leverage well. Meanwhile, Kingsport spends gobs of money on an aquatic center that is sparsely used this time of year. What's disturbing is the lack of community spirit in the area, FWIW.

[Page2]

The one innovation I know of the the R&D and tech development arms of Eastman.
When I spoke of innovation I was talking about businesses that take new or existing technology and improve it or adapt it to another use. But you're right there's not a lot of it you hear or see locally. The reason it's significant is because it the the job creator that mfg. was during its heyday. The jobs multiplier for chemical mfg jobs is 1.8. In other words, for every chemical mfg job created it creates another 1.8 jobs in the labor market. The multiplier for the innovation sector is better than double that.
Local media doesn't cover things like this because it caters to what its customers buy and want. Obits, crime etc. Most people, even the business community - isn't interested in hard local data. We're absorbed in pop culture. Like I said - it's going to be a long painful evolution.

[Page2]

This adds to the discussion:


Tri-Cities average private sector wages down in Nov.

[Serious Conversation]

Originally Posted by Page2

This adds to the discussion:


Tri-Cities average private sector wages down in Nov.

I saw these numbers earlier this morning. At best, it indicates an economy stuck in neutral. At worst, it shows how low are wages are in absolute terms. I feel terrible for Clarksville residents.

Sure, we may be slightly cheaper to live in than Knoxville and are a bit cheaper than Nashville, but are we proportionally cheaper? Can someone live the same lifestyle on the median wage here vs. the median wage in the Nashville MSA, or will they face a reduction in lifestyle living here? This isn't even considering access to more and better everything that you'll see in a larger metro. That's the core of the issue.

[BadJuju]

Originally Posted by Emigrations

I saw these numbers earlier this morning. At best, it indicates an economy stuck in neutral. At worst, it sho

Sure, we may be slightly cheaper to live in than Knoxville and are a bit cheaper than Nashville, but are we proportionally cheaper? Can someone live the same lifestyle on the median wage here vs. the median wage in the Nashville MSA, or will they face a reduction in lifestyle living here? This isn't even considering access to more and better everything that you'll see in a larger metro. That's the core of the issue.

Absolutely, sir. For what it offers, the Tri-Cities are a terrible value. While my dollar may not go as far in Nashville as it does here in terms of buying a house or renting, you sacrifice access to so many things. Diversity of activities, food, culture, etc. And it is not a small price. It is a major price you pay to live here in the Tri-Cities. And the price difference cannot be justified for what you lose here.

[DubbleT]

Originally Posted by BadJuju

Absolutely, sir. For what it offers, the Tri-Cities are a terrible value. While my dollar may not go as far in Nashville as it does here in terms of buying a house or renting, you sacrifice access to so many things. Diversity of activities, food, culture, etc. And it is not a small price. It is a major price you pay to live here in the Tri-Cities. And the price difference cannot be justified for what you lose here.

Isn't that a matter of perspective? There are some of us who don't place such a high value on some of those things. Maybe we place a value on a slower pace, being closer to nature and outdoor activities, etc. I'm just as happy going to a local festival as I am going to a concert hall for the most part, and for those times I just feel the need for something more 'cultured' I am in a great spot to be able to head off to Asheville, Atlanta, Knoxville or Nashville among other places.