Missouri shows strength in jobs, manufacturing

After jumping ahead of all but one state, Oregon, in the number of new jobs for the first six months of 2004, employment has slowed in the second half. Through November, Missouri added 42,600 jobs in 2004, aided by manufacturing and export production, according to a Missouri Department of Economic Development report released Dec. 22.

However, the report also said unemployment rose 0.4 percent in November to 5.8 percent, seasonally adjusted.

The positive new job data, which is compiled by the Missouri Economic Research and Information Center and tracks various economic indicators around the state, is attributable to manufacturing and export production.

“We have been seeing some strong economic momentum in Missouri during the past year,” DED Director Kelvin Simmons said in a news release. “These areas of strength are particularly encouraging considering the fact that the national economy continues to be erratic and there are other factors beyond our control such as high fuel prices, interest rates, and the value of the dollar that impact our state economy.”

The greatest new job growth in one year in Missouri is 77,100, reached in June 2000.

Simmons connected the recent unemployment rate increase with the rise in layoffs in major industries like transportation and airlines.

According to the report, manufacturing in Missouri continues to grow faster than the national pace. The state added 4,500 manufacturing jobs between November 2003 and November 2004, putting the state third in the nation.

“Manufacturing jobs are extremely important to our economy,” Simmons added. “Even though manufacturing makes up only 11 percent of our total employment, these kinds of jobs tend to be higher paying and have a greater impact on the overall economy of the regions where they are located.”

Exporting has boosted manufacturing, Simmons said. A recent report by the World Institute for Strategic Economic Research, comparing the first three quarters of 2003 with the first three quarters of 2004, showed that Missouri exports grew by 35 percent, or $1.73 billion, the sixth-strongest growth in the country.