Missouri lost 4.8% of its manufacturing jobs in past year

RP news wires, Noria Corporation

Missouri lost 4.8 percent of its manufacturing plants and related employment dropped 3.8 percent over the past 12 months, according to the 2008 Missouri Manufacturers Register, an industrial guide published annually by Manufacturers' News Inc. MNI reports Missouri lost 16,424 manufacturing jobs and 475 manufacturers since July 2006.

 

Manufacturers' News reports Missouri is home to 9,270 manufacturers employing 418,460 workers. MNI surveys both large and small manufacturers, including small start-up companies with just a few employees. According to MNI, the majority of Missouri's losses were small businesses shutting down. Sixty-eight percent of Missouri companies ceasing operations over the past year employed five or fewer workers. MNI also identified 13 companies employing 570 relocating to other states over the past year with nearly half moving to Kansas.

 

"Missouri's job losses echo those seen all across the Midwest, and to a lesser extent, the Mountain Plains as manufacturers, particularly those in the auto industries, continue to be lured by cheaper labor costs overseas," said Tom Dubin, president of the Evanston, Ill.-based publishing company. “Also, automation and

technological advancements in today's manufacturing require fewer employees."

 

MNI's regional analysis shows Missouri ranks 16th in the nation for number of manufacturing jobs and accounts for 37 percent of the Mountain Plain's industrial employment.

 

East Central Missouri accounts for the largest share of the state's manufacturing employment, with 174,934 jobs, or 42 percent of the state, down 4.6 percent from July 2006. Northwest Missouri accounts for the second most at 105,103 jobs, or 25 percent, with no significant change reported over the past year, while Southwest Missouri is down 6.4 percent over the year and accounts for 59,804 jobs. Northeast Missouri represents 7.7 percent of the state's employment, or 32,238 jobs, and is down 3.4 percent over the past 12 months. Southeast Missouri accounts for 25,272 jobs, or 6 percent of the state, and is down 344 jobs or 1.6 percent.

 

St. Louis is home to the most industrial jobs, accounting for 22 percent of the Missouri's manufacturing employment, or 91,329 jobs, and is home to 1,607 plants. MNI reports St. Louis ranks among the top 50 cities in the United States by manufacturing employment, at eighth in the nation for number of manufacturing jobs and plants. Kansas City is home to another 708 companies employing 44,968 workers and ranks 32nd in the nation for number of manufacturing jobs. Springfield ranks third in the state with 18,478 workers and 401 plants, while fourth-ranked Fenton is home to 149 plants employing 10,962. St. Joseph accounts for 10,185 of the state's jobs and 139 plants.

 

Companies manufacturing transportation equipment account for the most manufacturing jobs in Missouri, representing 14 percent of the state's industrial employment, or 57,660 jobs. MNI data shows employment in this sector dropped 4 percent over the past 12 months, with manufacturers of motor vehicles and car bodies taking the biggest hit at 2,145 lost jobs. The food products sector represents another 13.2 percent of the state's manufacturing employment, or 55,398 jobs, and is up 1,270 jobs, or 2.3 percent over last year. Producers of industrial equipment and machinery account for another 45,751 jobs, down 3,628 jobs, or 7 percent since July 2006. Sub-sectors adding jobs over the past year include manufacturers of blast furnaces and steel mills, up 661 jobs, and industrial organic chemicals, up 544 jobs.