As economy recovers, hope for manufacturing

Friday, January 9, 2015 - 18:24 YT&Twebzine

High-tech manufacturing could help deliver jobs.

The year’s end has brought about more hiring, a drop in the unemployment rate and hope that a new project will breathe life into American manufacturing. Good news, overall, with one notable exception: Wages remain flat.

     December’s unemployment rate dropped to 5.6 percent. This is only a slight decrease from 5.8 percent in November. But one year ago, in December 2013, the jobless rate was 6.7 percent.
      Employers added 252,000 jobs during December, according to the U.S. Bureau of Labor Statistics – ending a year that saw more jobs in professional and business services, construction, food services, health care and manufacturing. But average hourly earnings for employees decreased 5 cents to $24.57 during December, the government reported. Throughout the year, average hourly earnings rose by 1.7 percent.
     In his blog, Labor Secretary Tom Perez wrote of “unfinished business in this recovery. We need to do more to achieve meaningful wage growth.”
     Part of that effort may hinge on high-tech manufacturing. In December, manufacturing employment increased by 17,000. Manufacturers added an average of 16,000 jobs per month in 2014, according to the government, compared with an average of 7,000 jobs per month in 2013.
     President Barack Obama, making a series of public appearances building up to the State of the Union address later this month, announced Jan. 9 that the Department of Energy and a consortium of 122 companies, nonprofits and universities would invest more than $250 million to launch a manufacturing innovation institute.
     Backed by $70 million in federal funds and more than $180 million in nonfederal funds, the Manufacturing Innovation Institute for Advanced Composites will be involved in developing advanced composite materials that are stronger – but also lighter – than metals.