Americas breadbasket is feeling it has nothing but crumbs when it comes to available employees.
Unemployment across the countrys midsection is a full percentage point lower than that on the coasts. In Kansas, unemployment is at 3.4 percent; that of the entire country is 4.1 percent.
Manufacturers in these parts bemoan the fact workers arent knocking down their doors.
A story in Mondays Wall Street Journal highlights Stellar Industries, a manufacturer of commercial trucks in Garner, Iowa, population 3,000.
With 450 employees, CEO Dave Zrostlik said current production is 10 weeks behind schedule.
Zrostlik says a lack of bodies, more than skills, is his problem.
WHAT the article conveniently skirts after all, the WSJ is the paper of choice for bigwigs but what readers were only too happy to point out is that factories in rural America arent willing to sweeten the pot with good pay and benefits to make locating here worthwhile.
Unskilled labor in the Midwest typically pays $11-$15 an hour, half as much as in Houston or other competitive markets. And thats not even mentioning their benefits packages that typically include health insurance contributions for the entire family and a six-week family leave for when a new baby arrives.
So why do we act surprised when our children look elsewhere? Dont they appreciate our expansive vistas and 5-minute commutes?
To millennials, those arent necessarily attractive attributes.
The answer? Unfortunately, its a double-edged sword.
Demand an increase in wages and you run the risk of your higher-ups moving jobs to Mexico, as in the case of Haldex. And no, not even President Trump can prevent those decisions.
On the other hand, if we dont pay better wages, workers will go where the jobs pay better and are more plentiful.
What could help either scenario is if government took on a bigger role helping private businesses provide health insurance and family leave.
Employers know these things make for a happier and healthier workforce, but are unable, or unwilling, to adequately pay for them.
