February 23, 2012

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Updated:1/5/2012

Low unemployment statistics deceiving

Factors like percentage of people looking for work affect numbers

By GLENN WOJCIAK

The Post staff writer

The plunging unemployment rate in Medina County looks good in headlines but isn't all that encouraging for local job seekers.

Unemployment here approached prerecession levels when it dipped to 5.8 percent in November. That's a steep decline from the 7.5 percent of a year ago or the record unemployment rate of 9.5 percent in February 2010.

However, the declining unemployment rate doesn't always mean more people are finding jobs. Bill Hannigan, director of Medina County Workforce Development, said the most recent drop in unemployment statistics indicate more people have simply dropped off the unemployment rolls because they have given up their search for a new job.

Statistics from Ohio Jobs and Family Services indicate the number of unemployed in Medina County dropped from 6,800 in July to 5,600 in November. However, the number of people employed in Medina County remained at approximately 91,700 over that same period.

When people run out of unemployment benefits and quit actively looking for a job, they drop off the list of unemployed and also are no longer considered a part of the workforce. The estimated workforce in Medina County dropped from 98,500 in July to 97,300 in November, reducing the percentage of people who show up in the ranks of the unemployed even though the number of people with jobs here has not significantly increased.

Hannigan said Medina County's unemployment rate reached a low of 4.7 percent in November of 2006. When unemployment gets that low, employers can find it difficult to find qualified workers. Hannigan said employers in Medina County, as well as the rest of the state, are already finding it difficult to find new workers.

The declining unemployment rate coincides with a growing demand for new workers. Hannigan reports that the state employment web site shows an increase of 22,000 jobs listed by employers in Northeast Ohio.

"It's an unfortunate situation," Hannigan said. "Companies are looking for new employees now just when a lot of people have given up and quit looking for jobs."

The occupations most sought by regional employers are truck drivers, customer service representatives, retail sales associates, first line supervisors and computer systems analysts. Employers are typically seeking new workers with a minimum of a high school education.

Hannigan said his office is trying to adapt to the changing employment situation by finding new ways to place workers with employers including a new on the job training program. According to Hannigan, on-the-job training enables a worker with some skills to get the specialized training needed to do a complicated job. "We're trying to close the skills gap with this on the job training program," Hannigan said.

Companies interested in training new workers are encouraged to call Hannigan to learn more about the on-the-job training benefits. Companies who take part in the program can get up to $6,000 to pay half of the cost to train a new employee.

In addition, Hannigan said his office is reaching out to prospective workers and employers though informal public meetings at libraries around the county. The workforce development center has scheduled "coffee talks" at 10 a.m. Jan. 12 at the Wadsworth Public Library, 132 Broad St., and another at 10 a.m. Jan. 26 at the Brunswick Library, 3649 Center Road.

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