Disturbing
W.Va. Workforce Participation Dropping
While some are able to find numbers that show positive things happening for the economy, here in West Virginia, the reality is a little less pleasant. Some key indicators are downright disturbing. Workforce participation is steadily dropping. Unemployment is increasing.
“These numbers are troubling,” said West Virginia Chamber of Commerce President Steve Roberts. “We’re seeing consistent signs of economic softening across several core industries. When the workforce is shrinking and job losses are sustained over time, we must treat it as a warning sign, and we must respond with urgency.”
Labor force participation rates peaked here at 55%, in July 2023 as the bounceback from COVID-19 participation losses was completed. (Yes, think about that for a minute, too. Our PEAK is 55%.)
A look at June seasonally adjusted labor force participation rates via the St. Louis Federal Reserve shows the Mountain State is worst in the country at 54.2%. Our surrounding states (and purported Economic Backyard Brawl competitors) are beating us handily.
At the same time, Workforce West Virginia and state Chamber of Commerce data shows declines in total employment for an astounding 14 straight months.
“West Virginia is not keeping pace with the region or the nation,” Roberts said. “This should concern every leader in our state.”
Sure, there are bright spots — Mason County and the Northern Panhandle, to give a couple of the examples named by the Bureau of Business and Economic Research at the John Chambers College of Business and Economics at West Virginia University.
But that same report urges lawmakers and other public officials to take steps to improve health outcomes that prevent residents from working, decrease the number of people struggling with substance use disorder and ENCOURAGE education and vocational training. The report’s authors also remind statewide officials that each region of the state is different, and one-size-fits-all solutions aren’t necessarily the goal.
“West Virginia has the talent, the potential, and the commitment from the business community. But we need a unified, forward-looking strategy to turn these numbers around,” Roberts said.
Imagine the progress that could be made if lawmakers and other elected officials stopped scrabbling for cheap and ugly political points and instead focused on what will really lift West Virginians. Time will tell if they are willing to prioritize us over themselves.