Texas Labor Market Review, May 2002 Page: 3
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MAY 2002
Study of the Unemployed in Southeast Texas
by Jim Van Geffen
The Southeast Texas Workforce Development Board (WDA)
wanted to analyze the characteristics of the unemployed persons
in their three-county area (Hardin, Jefferson and Orange Counties).
Some jobs were apparently going unfilled while the area's
unemployment rate was relatively high among the metropolitan areas
in Texas. For example, the 2001 annual average unemployment rate
for the area was 8.2%, which tied for the third-highest MSA
unemployment rate, and it was the only non-Mexico border MSA to
make the top four.
I~~ Cmparative Unemployment Rates - Annual Averages16.0
14.0
12.0
10.0-
8.0 -
6.0-
4.0-
2.0-
0.0-
1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001- Texas .. Hardin County --+-Jefferson County --- Orange County
1~ I
This study attempts to show the common characteristics of the
unemployed in the local area. Although the study was requested by
the Southeast Texas WDA, information presented may also have
implications for employers, job seekers, economic developers, and
the Texas Workforce Network.
Labor Force Trends
The Southeast Texas Community Audit was conducted in the three-
county area known as the Golden Triangle. Data was analyzed for the
time period covering 1990 to 2001.
The number of employed residents in the Southeast Texas WDA
peaked at an annual average of 168,760 people in 1998 and has been
on a decline through the end of 2001. During the past twelve years,
the number of unemployed has varied between 12,000 and 21,000,
with the 1993 annual average number of unemployed topping in at
slightly over 21,000.
This area has a higher concentration of population age 55 and older
than does Texas as a whole. The concentration of older workers in the
Southeast Texas WDA may have some effects on the jobs thatL A B O R M A R K
unemployed workers are willing to accept. For instance, younger
employed workers may be more flexible in the type of work they will
accept because they lack extensive experience in any particular field.
IndustrialComposition
The Southeast Texas WDA is heavily dependent on the Construction,
Manufacturing, and Local Government industries to bring in dollars
from outside the area to fuel the local economy. The Construction
industry was the last industry of employment for nearly 38 percent of
those laid off over the last two years.Total
Agriculture
Mining
Construction
Manufacturing
Transportation & Public Util.
Trade
Fin., Insurance, & Real Est.
Services
State Government
Local Government
Federal Government9,414,353
119,699
154,306
561,404
1,088,750
593,445
2,302,006
512,505
2,516,757
322,567
1,064,999
177,915100.0%
1.3%
1.6%
6.0%
11.6%
6.3%
24.5%
5.4%
26.7%
3.4%
11.3%
1.9%157,369
927
908
17,795
22,981
7,734
36,682
5,052
38,673
5,102
18,789
2,726100.0%
0.6%
0.6%
11.3%
14.6%
4.9%
23.3%
3.2%
24.6%
3.2%
11.9%
1.7%It appears major structural shifts have taken place in the area's economy.
As this occurred, workers were displaced, and forced to seek
employment in a different industry. This caused a real problem for the
job seeker that did not have skills that were easily transferable from
one industry to another.
Only two industries in Southeast Texas-Agriculture and
Manufacturing-had an average weekly wage above the statewide
average. Each of these industries suffered substantial employment
declines from 1990 to 2000.
One of the contributing factors to the decline in employment has been
a number of layoffs. The hardest hit industry was Construction with 21
of nearly 40 layoffs in the area during the past two years. These
confirmed layoffs affected over 3,100 individuals. The second largest
number of layoffs came from the Manufacturing industry with nine
layoffs and over 2,000 separations. With the Construction and
Manufacturing industries comprising over 17 percent of the industrial
base, these layoffs have far reaching impacts. While these are not the
largest industries, they have been two of the highest paying industries.
Occupational Analysis
Any analysis of a local economy is not complete by looking only at the
industrial side. To have the complete picture, one needs to look at the
(. Continued on page 4E
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Texas Workforce Commission. Labor Market Information. Texas Labor Market Review, May 2002, periodical, May 2002; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth1624117/m1/3/: accessed July 18, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu; crediting UNT Libraries Government Documents Department.