CHARLESTON, W.Va. - Kentucky political leaders across party lines are looking for ways to diversify their state's economy, after big job losses hit the coal industry. Some feel West Virginia leaders need to do the same. On Dec. 9, Kentucky will host a Shaping Our Appalachian Region (SOAR) symposium in Pikeville to discuss what eastern Kentucky needs to do, now that it has lost 6,000 coal jobs over a year and a half.

Democratic Gov. Steve Beshear and Republican Congressmen Hal Rogers are working together on the project. Rogers said he's a strong supporter of coal in its environmental battles.

"However, we are where we are. What I'm trying to do with the governor is to put together a solution to the problem, regardless of where the problem came from," Rogers said.

Many allies of the coal industry, including Rogers and Beshear, blame federal regulations for falling employment in the mines. But the governor said Kentucky needs to face reality about the eastern coalfields' economic prospects, given what is happening to the industry.

"It's never going to employ the number of people that it used to employ. I think it's time that we take a hard look at ourselves and at our future, to diversify," Beshear said.

Ted Boettner, executive director, West Virginia Center on Budget & Policy, said West Virginia should have an equivalent to SOAR for the southern part of the state. He suggested that $2.5 billion in federal abandoned mine lands reclamation funds could be used to spur tourism. And, he said, the state should start a future fund with severance taxes. Options such as these are not receiving the attention they deserve, he complained.

"What we don't want to happen is for southern West Virginia to lose 6,000 coal jobs and then plan. The prudent course of action is to do something today to help ensure that we have a soft landing instead of a hard landing," Boettner said.

Given projected declines in central Appalachian coal production, economists also expect southern West Virginia to see sharp job losses.

More information about SOAR is available at the Commonwealth of Kentucky website, http://kydlgweb.ky.gov.



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For Pennsylvanians on the hunt for employment opportunities, the Keystone State still offers a favorable landscape.

The state's jobless rate stayed at a record low 3.4% in September, better than the national rate of 4.1%.

Claire Kovach, senior research analyst at the Keystone Research Center, said Pennsylvania is drawing significant attention as a swing state. The center analyzed key economic indicators, including unemployment, jobs and wages across all the state's counties. The state's unemployment rate has been historically low for more than two years.

"In every one of Pennsylvania's 67 counties, the unemployment rate is lower now than it was right before the pandemic, when the economy was strongest under President Trump's first term," Kovach pointed out. "It's lower everywhere, but there's also a clear geographic pattern. Unemployment is a lot lower than before the pandemic in western and rural Pennsylvania."

Kovach noted the center has an interactive map showing the drop in the unemployment rate by county. She added the research revealed two-thirds of counties have seen job growth since just before the pandemic, with faster growth in the eastern half of the state, which also has faster population growth.

Kovach emphasized the tight labor market indicates a strong overall economy in Pennsylvania and is especially good for workers.

"Low unemployment benefits workers, both individually and collectively, because it's giving them more bargaining power with their employers, more ability to get higher pay, better benefits and working conditions," Kovach explained. "With respect to workers' bargaining power, this is the best economy for Pennsylvania workers in half a century."

Kovach said despite Pennsylvania workers seeing wage growth above inflation over the last decade, Pennsylvania's minimum wage lags behind all neighboring states. She argued the gap particularly harms low-income workers, especially those in the bottom 30%. Research in the report further highlighted the effects of a stagnant minimum wage on workers.

"We found that Pennsylvania workers, the low earners, make about $1.71 less per hour than their regional counterparts in New York, Maryland and New Jersey," Kovach stressed. "If you look at that as full-time, year-round work, that's $3,500 a year less that our low-wage workers are getting paid in Pennsylvania."

The state's minimum wage remains at the federal level of $7.25 per hour.

A new report from the American Federation of Labor showed the pay gap between CEOs and their workers continues to widen and Iowa has among the biggest disparities in the nation.

The report found companies' production costs were down 3% in 2023 but consumer prices were up 3%.

Charlie Wishman, president of the Iowa American Federation of Labor, said company CEO profits are up 6%, even as more families struggle to keep up with a rising cost of living. Wishman pointed out the gap between the CEO and an average worker at a Casey's General Store in Iowa is among the highest in the nation.

"The average CEO pay to the median worker pay, the difference is 623 to 1, meaning the CEO was going to make 623 times more than the median worker wage at Casey's," Wishman outlined.

Wishman noted the Casey's CEO-to-employee wage gap has grown from about 40 to 1 in the 1980s. Casey's said it reviews its salary and bonus structure yearly to be sure they are competitive. Nationwide, the report said it would take more than five career lifetimes for a worker to earn what the average CEO is paid in one year.

The report listed several examples of huge corporate profit increases, including a 66% hike in the former Starbucks CEO's pay. Securities and Exchange Commission documents showed Laxman Narasimhan's compensation jumped from $8.8 million in 2022 to $14.6 million in 2023.

Wishman argued for the average Iowan, such numbers are hard to stomach.

"It's not just that there's so-called 'inflation' going on, that consumers are making 'too much money.'" Wishman asserted. "We actually think it's an excuse that's being used by a lot of corporations to charge consumers more."

In the Starbucks example, the report showed the cost of a medium coffee at the chain has risen by 20% in some locations and the company has doubled the number of points required to qualify for rewards despite its overall production costs going down.

Projections of South Dakota's job growth could lead to more degrees from technical colleges, which are seeing increased enrollment.

Occupational employment levels in South Dakota are expected to grow 7.7% through 2032, according to new data from the state, more than twice the projected national rate of 2.8%. The two occupations with the highest expected growth, at over 56% each, are nurse practitioners and wind-turbine service technicians.

Melodee Lane, director of the Labor Market Information Center for the South Dakota Department of Labor and Regulation, said the projections "reflect historical growth patterns."

"The big driving force between the occupational projections, the starting point is to project employment at an industry level," Lane explained. "Industry growth plays a large role."

Utilities-related jobs -- supported by a rise in electric vehicles, data centers and shifts toward renewable energy -- are expected to grow nationally at 0.6%. Several South Dakota technical colleges offer wind-service technician programs. Enrollment in the state's four technical colleges is at a five-year high, with nearly 75,000 students.

Other occupations with big projected growth in South Dakota are data scientists, information security analysts, physician assistants and physical therapist assistants. Lane pointed out it tracks with other cultural and demographic changes in the state.

"Such factors as consumer demand, growth of e-commerce, population growth, especially in the state's more urban areas," Lane outlined. "The needs of an aging population is a big one."

Nationally, an aging population and a higher prevalence of chronic health conditions is expected to drive the highest industry growth in health care and social assistance.


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