Richmond.

by Rogers, Carol O.

Indiana Business Review • Winter, 2007 •

Slow growth is the most likely forecast for the coming year Wayne County--but note the word growth is used here. This area has been hit hard by job declines in manufacturing in recent years and its population has also declined.

Looking at recent trends in quarterly employment, there are encouraging increases occurring in more sectors than not. The health care and social services sector is contributing more jobs and higher wages to the community, likely due to the significant changes with Reid Hospital and the likely growth of business services contributing to that regional health care facility. Construction has also benefited, with a 16.7 percent increase in the number of jobs between 2006 and 2007 and 13.3 percent increase in wages for that sector.

Manufacturing continues to shed jobs in the area, but at a slower rate. For those working in manufacturing, wages continue to increase and this industry continues to pay the highest weekly wage in the area (see Table 1).

Overall economic productivity is forecasted to climb out of the negative and into positive territory by 2009 (see Figure 1). But as the economy of Richmond and Wayne County continues to strengthen in the services sectors, such as health and business, it is likely that employment opportunities will also increase in other lower performing sectors.

[FIGURE 1 OMITTED]

Carol O. Rogers

Deputy Director, Indiana Business Research Center, Kelley School of Business, Indiana University Table 1 Covered Employment and Wages for Wayne County, 2007:1

Percent Average

Change Weekly Industry Jobs Since 2006:1 Wage Totals 32,715 -1.1 $628 Growth in Jobs and Wages

Health Care and 5,023 1.0 $713

Increase in Wages

Retail Trade 3,975 0.3 $398

Accommodation and 2,813 1.8 $209

Food Services

Wholesale Trade 921 2.7 $771

Construction 852 16.7 $709

Professional, Scientific, 407 0.7 $557

and Technical Services Decline in Jobs But

Increase in Wages