Jobs.

Communities are always trying to attract and create new ones, but that has been particularly difficult during the recession.

As of July, the estimated labor force in Freeborn County was 17,004. However, not all of those people work in Albert Lea or even in the county.

During the first quarter of 2009, about 11,939 people were employed in Freeborn County at about 843 establishments, according to the Minnesota Department of Employment and Economic Development.

Of those jobs, about 2,447 were manufacturing jobs, 8,992 were service jobs and 3,080 were education and health services jobs.

First quarter statistics from 2008 showed about 12,538 people were employed at about 866 establishments. In the first quarter of 2007, 12,554 people were employed at about 880 establishments.

The total number of employees during the first quarter is lower than other quarters because seasonal employees are not working during that time.

During the 2009 first quarter, workers earned a combined wage of about $90,765,924, compared to $92,350,372 during the same period in 2008 and $88,217,431 in 2007.

However, the average weekly wage in the first quarter of 2009 has increased to $585 from $567 in 2008 and $541 in 2007.

Albert Lea Economic Development Agency Executive Director Dan Dorman said that’s a sign that more skilled jobs could be replacing less skilling jobs.

Southern Minnesota Initiative President Tim Penny said job losses from early this year have slowed.

“I think we’re going to be flat for a while. There may be a handful of industries where there’s some hiring going on, but very few at the moment,” Penny said. “I think it’s going to be slow for a while. I think larger firms may be inclined to work through temporary agencies to fill any new demand for workers for the time being because that gives the company more flexibility.”

Dorman said the state of the local job market largely depends on the scope in which you look at the market. If you look simply at Freeborn County, the unemployment rates are a concern since they’re increasing. But he said they’re also increasing across Minnesota and the U.S.

“If you blow that up a little bit and say ‘How about the country?’ or ‘How about the state?’ How are we doing relative to that? I think you get a little bit different picture,” Dorman said.

Workforce

“What I would say is the labor force in this part of Minnesota has historically been manufacturing. The reason that’s important is it means that people in general have the training, the skills the aptitude, the demeanor,” Dorman said.

However, the number of manufacturing jobs has decreased recently in Freeborn County, like other areas.

Southern Minnesota also has a high number of jobs in health care, higher education and service industries, Penny said. The difference between this recession and the recession of the 1980s is that there hasn’t been any area of the economy left unharmed, he said. The recession has also affected white- and blue-collar jobs.

“I think when you look at different categories of workers, this has been a little bit more widespread,” Penny said.

With people unable to find employment, Penny said more people are seeking post-secondary education opportunities at places like Riverland Community College.

The one area Penny and Dorman said hasn’t been affected like other industries has been the food industry.

A large percentage of jobs in the area are based in agriculture, but Dorman said one way to generate more jobs and revenue is to process the crops produced here at places like Poet Biorefining.

If consumer confidence and spending improves, Penny said that effect would carry to the factories. If inventories dwindle, Penny said could indicate manufacturing work would be needed to fill that void.

“I think it’s going to be gradual. I don’t see a quick turnaround. Part of that is because demand hasn’t picked up yet. Consumer spending, it’s pretty flat at the moment,” Penny said.

Unemployment

From July of 2008 to July of 2009, the unemployment rate in Minnesota rose from 5.4 percent to 8.1 percent, according to DEED. The unemployment rate in Freeborn County was 8.3 percent in July.

The unemployment percentage calculates workers who live in a county, not the workers employed in a county. That means Freeborn County’s unemployment has been driven by layoffs in Owatonna. The layoffs at Cummins Filtration in Lake Mills, Iowa, will also affect the unemployment in Freeborn County, Dorman said.

In past recessions, unemployment was one of the last things to go down, Dorman said.

Michael Miller, a career counselor with Workforce Development Inc. said few people were hired in the spring, but people are beginning to be hired in certain areas. These include health care, maintenance, truck driving and service jobs. While he’s seen layoffs for production jobs, people with maintenance skills have been hired.

“We seem to be getting more away from the manufacturing jobs to things like health care, to service-type jobs,” Miller said.

Miller also said many people who can’t find work are going back to school to gain marketable skills.

“If you’re willing to get some maintenance skills, as apposed to being the on-the-line production worker, there seem to be jobs there,” Miller said.

During a recession, it can be difficult for people to find employment, and Miller said he tried to be encouraging.

“I tell people I know it’s rough right now. I understand it’s discouraging, but it isn’t going to last forever. If you’re persistent and you really make looking for a job a full-time job, you will find employment,” Miller said.

Many jobs aren’t listed in the paper or on the Internet, and Miller said 75 percent of jobs are through networking. Persistence is important in any job search, Miller said.

Growing jobs

The unemployment level can be used to attract business growth. Dorman can tell a company interested in coming to Albert Lea that there’s an available skilled workforce.

“In the past few years, Freeborn County’s unemployment has been higher than the state average. As weird as it sounds, when you can use that to your advantage, you use it,” Dorman said.

“I would tell anybody that there’s a good work ethic, skilled workforce to take advantage of in this area,” he added.

While unemployment is generally high right now, Dorman said there could possibly be a shortage of workers in a few years as the baby boomers retire.

While attracting new businesses is often a chief concern, Dorman said the easiest way to create jobs is by helping existing companies grow.

“We shouldn’t treat them any differently,” Dorman said. “If company XYZ is local here and wants to add 100 jobs, we shouldn’t do anything less for them than we would someone coming from the outside.”

While new companies tend to attract more attention, Dorman said it’s important to help the existing businesses develop.

Dorman said it’s not fair for things like taxes and sewer rates to go up for existing businesses while new businesses are getting deals. He said groups like ALEDA should give existing businesses as much help as other businesses, if not more.

“Existing businesses are the way to grow jobs. The easiest way is to help someone with 20 jobs go to 40 jobs,” Dorman said.