Unemployment Chokes Valley
By CASEY JUNKINS Staff WriterArticle Photos
WHEELING - Fueled by sharp declines in the number of steel and industrial jobs, the number of unemployed workers in the local area soared to 15,630 during the month of May, an increase of 7,260 unemployed workers from May 2008.
With the nationwide unemployment rate now hovering near double digits at 9.5 percent, jobless rates in Brooke and Hancock counties in West Virginia's Northern Panhandle are the highest in the area with each county recording 12.4 percent unemployment during May, the latest month for which figures are available.
The rising number of unemployed comes as the Upper Ohio Valley continues to experience population decline. According to the latest available estimates from the U.S. Census Bureau, the Upper Ohio Valley has lost 21,822 residents since the 2000 Census count, with Wheeling losing 2,506 residents.
The long-term idling of Severstal Wheeling steel mills in Steubenville, Mingo Junction, Martins Ferry and Yorkville also is adding to the problem, as several thousand steelworkers are without work.
While many local public officials are concerned about the population loss, they also believe the trend can be reversed - or at least stabilized - over the next few years.
In Hancock County, 1,010 more workers were unemployed in May than in May 2008, while Brooke County saw 780 more unemployed residents from the previous year.
"It is very frustrating that 12.4 percent of our people who want jobs cannot find them," Hancock County Commissioner Michael Swartzmiller said.
Swartzmiller and Hancock County Administrator Chuck Svokas said they are working to make use of available property along the Ohio River. They are most excited about the opportunities presented by the potential sale of much of the former Weirton Steel Corp. property, now owned by ArcelorMittal Weirton.
"There are about 1,700 acres of available property there. Of course, some work needs to be done before anything new could be done there, but the waterlines and things like that are already in place," Svokas said of the steel company site.
Construction is continuing on The Village at Colliers Way, a 41-acre, multi-purpose project across the road from Weirton Medical Center that developers believe could be home to 600 jobs and 400 homes upon completion.
Weirton City Manager Gary DuFour, whose city spans parts of Hancock and Brooke counties, said some of the population losses are due to the shifting job market. Weirton has lost 1,663 residents since the 2000 U.S. Census.
"This is really just a continuation of a trend that began in 1960 with changes in the metals industry," he said.
But DuFour believes the loss of population is not necessarily that bad for the city.
"Just because your population is going down does not mean you cannot have safe neighborhoods, nice schools and other good things. ... You do not need to have 150,000 people to have a nice city," he said, noting that many current residents who work in Pittsburgh choose to live in Weirton.
In Jefferson County, home to the inactive Steubenville and Mingo Junction Severstal mills, the unemployment rate reached 12.2 percent in May, with about 1,900 more jobless claims than in May 2008.
Ohio County's unemployment rate in May was 8.4 percent, with 910 additional jobless claims than in May of the previous year. As for the population decline, U.S. Census estimates show Wheeling has lost 2,506 residents since the year 2000.
Wheeling Mayor Andy McKenzie said city officials will continue to do "what we have been doing" to reverse the trend. That includes "lowering taxes, lowering fees, fostering growth, investing in the downtown, opening the Capitol (Theatre) and protecting property owners' rights," he said.
Belmont County featured a May unemployment rate of 8.3 percent, the lowest of 10 local counties, though about 1,000 more workers were unemployed than in May 2008.
In terms of population, estimates show Martins Ferry as losing 572 residents since the year 2000 to finish with about 6,654 current city dwellers.
Mayor Phil Wallace said he hopes the estimates for Martins Ferry are wrong.
"That is a lot lower than what I expected. I hope we end up with more than that when we do the 2010 census," he said.
As home to one of the idle Severstal mills, Martins Ferry needs the steel industry to recover, Wallace said.
"I think it will come back at some level but will probably never be as big as it was," he said of the local steel industry.
In St. Clairsville, Mayor Robert Vincenzo said he is not sure the estimates showing the city losing four residents since the year 2000 are accurate.
"I don't know where they (U.S. Census Bureau) get these statistics. ... We saw a new subdivision with 55 new homes open four years ago, and I have almost no empty houses in St. Clairsville," he said of the city estimated to have 5,053 residents.
"It is a standard formula that they use. ... They need to understand that one size does not fit all," he said.
In Marshall County, the unemployment rate for May was 9.3 percent, with 700 more people filing jobless claims than in May of the prior year.
In terms of population, the county's largest city, Moundsville, has lost an estimated 889 residents since the year 2000.
"It's the same old, same old," Marshall County Commissioner Donald Mason said when informed this year's estimates again state the population of his county's communities has declined. "Our young people are leaving."
Mason cited his own son as an example of someone who left the local area shortly after graduating from college. Though he interviewed with a company in Weirton, Mason's son ultimately decided to accept a position in the Carolinas with a firm that makes cell phone components.
But both Mason and Commissioner Jason "Jake" Padlow pointed out that while the population of the county's municipalities has fallen, the tax and industrial bases there have grown and infrastructure has expanded. They cited ongoing economic development in Marshall County, saying that must continue if the Ohio Valley is to reverse the trend of population loss.
As an example, Mason said Warren Distribution has gone far beyond its original expectations in Glen Dale; he said the firm initially planned to create about 35 jobs at that site, but so far it has created about 100 jobs, with employees working three shifts. The company has invested an estimated $100 million in the local area.
Mason and Padlow also noted that Consol Energy Inc. continues to invest in the county, with a fairly new coal preparation plant at McElroy Mine and a massive improvement project under way at Shoemaker Mine near Benwood. They also cited American Electric Power's investment in scrubbers at the Kammer-Mitchell Plant and the establishment of the CertainTeed wallboard plant nearby.
"We've kept a lot of people with these new projects," Mason added.
Padlow also theorized that the population decline is due to a general trend to have fewer children.
"Years ago, people had big families," Padlow said. "You can't afford to these days."
Padlow and Mason also noted that many people are building new homes - ones that cost $300,000 or $400,000 - just outside the cities and towns cited in the report.
City Editor Jennifer Compston-Strough contributed to this story.
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rogers7
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07-09-09 8:26 PM
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Sorry Padlow, the population loss is not because people are having less children. Nearly everyone in my graduating class form high school has left the valley for a better job and a better life. It is very sad it is becoming such a depressed area. The only thing that is flourishing in the valley is rental properties and drug dealing. It is a sad story.
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beach1
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07-07-09 8:16 PM
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yep, the acorn king's plan is really working,the economy went to*****during 2006/2007 when the libs took over congress,they sat on their butts to win an election and it worked,even though this guy stole the election with acorn and the black p;anthers. m.f. has become the east wheeling of the valley thanks to hud and all the takers they are bringing in.
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EllisWyatt
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07-07-09 7:11 PM
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GDsFinest You can't get a job in Wheeling because there are no jobs available. Jobs have been on a downward spiral, declining faster than the population. Unless you want to work in retail or food service, or are a nurse, doctor or ambulance chasing lawyer, you are out of luck. Pittsburgh is a great city with even greater potential. It has shifted its' focus from manufacturing to health care and education. But there is still a great deal of manufacturing in the area (US Steel, AK Steel, the Techs, Allegheny Technologies). Heinz, US Steel, PNC, PPG, Allegheny Energy, Tube City, Wesco, Westinghouse, AT, American Eagle, Rue 21, 84 Lumber, CONSOL, Ormet and others are based near the city. What is there in Wheeling? Taxes, torts, red tape, education, health, infastructure and militant socialist unions guarantee that WV will forever remain a poverty state.
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Zipperhead
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07-07-09 4:40 PM
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Barack Obama bought General Motors and is runing it with the UAW. Can't we just get him to buy the upper Ohio valley?
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Zipperhead
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07-07-09 4:38 PM
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I have read and studied the posts and can't we all just come to a consenus here, IT'S GEORGE BUSH'S FAULT.
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GDsfinest
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07-07-09 3:22 PM
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I'm happy to be living in the Ohio Valley, but am saddened by the lack of opportunity. I left the Valley many years ago for this reason and returned 16 years later to raise my family. Why, so they can get a good education and have a decent life here.....only to leave when they are young adults because there are no living-wage jobs. Oh, I forgot to mention that I work in Pittsburgh. I have two degrees and have applied for several jobs in the area.......and I haven't even sniffed out a possible interview. Meanwhile, I work within a large company's subset whose operations totalled more than a billion dollars last year. Why am I good enough to work for these folks in Pittsburgh, but not good enough for Wheeling? I would take a good job here in a heartbeat....anyone offerening......I thought so!!!
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BurningUp07
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07-06-09 11:05 PM
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gymjones you must be drinking that kool-aid made from Ohio River water, it doesn't matter if you have a skill or not in the Ohio Valley. You don't get into any of the decent companies around here unless you know somebody or were born into it. The coal mines from what I understand already have thousands of people waiting to get into them, people that have their miners card or red hat whatever you want to call it. This area is DONE, head west, head northeast, head south, it doesn't matter. Just get the heck out of here before it's too late.
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beautifulohio
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07-06-09 10:59 PM
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GymJones You jest right? There are lots of skilled workers in the valley I have no doubt and this is just a place to voice an opinion, which is one of the greatest things about this country, freedom to B I T C H lol
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Wheeldog
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07-06-09 9:46 PM
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1whoworks, If the Chinese take over any country it would more likely be somewhere in the Middle East for oil or parts of Russia and other nearby nations for food. The next round of major conflicts will be wars over vital resources, particularly energy and food. Insofar as it not being time to go into an agrarian type society, I must disagree. It is past time. Indeed, it is not really a choice but rather a recognition of the facts. I have no romantic vision of some simple, happy life of tilling the soil and being one with nature. I have worked on a farm and know how tough it can be. However, it certainly beats the likely alternative.
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1whoworks
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07-06-09 8:37 PM
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Wheeldog we are going straight back in time. Back to the late 1960s and all of the 1970s. Heavy welfare state, higher taxes and fees, higher regulation, higher interest rates, higher unemployment, higher inflation. Lower opportunity, lower overall standard of living. Been there lived it. It is not yet time to go into an agrarian society, or if we do we will probably end up speaking Mandarin in the future. Hope and Change!
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Wheeldog
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07-06-09 7:57 PM
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The main focus of most posts on this topic seem to be either assigning blame to some political party, union/management, etc. or proposing some action/policies that will resurrect the economy everyone enjoyed over the past several years. If we really want to accurately assign blame all we (collectively) have to do is look in the mirror. We are all responsible. In terms of how we get back to the "good ole days," we don't. We can't turn back the clock, and we can't re-create the same circumstances that supported the most affluent and consumptive era in human history. There are many paths ahead open to us, but none of them will take us back to where we were. Realistically, life in the coming years will be less consumptive and likely require some major changes in the way we now live. How hard it is to make this transition will depend, in part, on when we get started.
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Rockledge
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07-06-09 6:24 PM
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I don't get it. A person invests in a company, thereby creating jobs. The employees, who think they should get loved on just for showing up, begrudge the company's success, calling it greedy. Try working for a company that is losing money and see how well you sleep at night. Try asking a poor man to give you a job. If you have never owned a business, don't prejudge those who risk their nest eggs and their reputations to create a place for you to loaf.
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Joanie1982
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07-06-09 5:42 PM
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Wheeling is choking on it's own vomit due to greedy stockholders and employers intent on keeping their profit margins high by any and all means possible. The feds gave up on Wheeling a long time ago. Can't you tell? That's why Wheeling is a hotbed for homeless shelters and the like. Virginia is a coastal state close to the nation's capitol; if they're "killing us" employment wise, it's only on the coast and by DC. Western Virginia is at least as poor as West Virginia, and it's all due to greedy coal mine owners. I hate to say it, but thank God for the Downs. They, at least, know that to attract money, you have to spend it.
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atoddh
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07-06-09 5:37 PM
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"Doing what we have been doing" is not working.Buying Murphys and The Capital(without the JUSA Show) is not new industry. The Clarksburg,Fairmont,Morgantown growth should be-and can be- the model.But will the locals cling to the past ways as they state(doing what we have been doing) or go for new industry opportunities that could make a difference.The ship is sinking.
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richardwhee
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07-06-09 1:59 PM
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Appears to me that the few remaining mfg. jobs left are non union and not doing bad. We just never hear from them them because rhey are satisfied. They don't keep demanding more & more. Look where it got them.
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Thebudman
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07-06-09 1:51 PM
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"The Wheeling Mayor Mayor Andy McKenzie said city officials will continue to do "what we have been doing" to reverse the trend. That includes "lowering taxes, lowering fees, fostering growth, investing in the downtown, opening the Capitol (Theatre) and protecting property owners' rights," he said." Meanwhile, Vice Mayor Fahey is preparing to fine property owners for having vacant buildings, like that is by choice. In addition, he is planning to enact a new fee, The vacant building reistration fee. This contrdicts what the Mayor has said. But, I guess what they have always done isn't working so well either. Maybe a new fee will draw business and jobs back to Wheeling.
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bige0024
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07-06-09 1:49 PM
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Just reading this article and reading the comments about the valley just makes want to leave the valley that much more. The valley has nothing to offer people in there 20's jobs or otherwise. In 20 years there will be nothing left in this valley and the only tourism is going to be people that moved away visiting their dying parents.
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Thebudman
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07-06-09 1:25 PM
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robojock I agree. If you watched the Daytona race this weekend, you may be surprised to know Nascar does not pay one red cent in property taxes to Volusia County, Florida, the county that track is located. The county and the state are perfectly content to collect the sales tax and resort taxes these events generate.
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BurningUp07
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07-06-09 1:03 PM
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If you look up the statistics of the 22 right to work states I guarantee you they're all better to work in than West Virginia no matter what you think of the right-to-work statutes. Our eastern partner Virginia destroys us in every category imaginable and it's a right-to-work state.
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BurningUp07
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07-06-09 12:57 PM
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This area is done!! Do you hear me?? DONE. I shudder to think what it will look like 20 years from now. I see NOTHING changing anytime soon, anytime soon meaning within the next 10 years. I just don't see it and it's only getting worse and worse every year. I'm in the later stage of early adulthood and will probably regret until the day I die that I didn't move out of this dump the second after I graduated high school. Anyone with a lot of their working life left, get the heck out NOW if you want to have a good life.
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beautifulohio
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07-06-09 12:48 PM
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NC is a right to work state, lots of industry here without unions and some with. Unions have gone way too far, and priced jobs right out of the market.
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cory1978
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07-06-09 12:12 PM
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Unemployment chokes valley and illegal aliens strive should be the title.....what does a square of shingles and a fat chick have in common????? They both are likely to be naild by a Mexican.
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robojock
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07-06-09 12:03 PM
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I have worked for many corporations. One fortune 500 company that I worked for specificaly states that WV is one of 10 states where they will not locate a building due to, and I quote, "an unfavorable business climate, as well as union issues, and taxation". Why move to WV, when you can pay a fraction of the taxes in other states? Sorry, if I owned a business, I sure as heck would not locate in WV.
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jbowsher
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07-06-09 11:19 AM
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Highland, without unions people would still be working in unsafe conditions, would be underpaid and without benefits, and would have no recourse if they were mistreated or fired unjustly. If you want to place blame, place it at the feet of ill informed citizens who continue to elect ineffective leaders.
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beautifulohio
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07-06-09 10:30 AM
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Where I live in NC, near military bases, the economy slowed a bit, but has picked back up. The housing market is pretty good as military families with good credit are able to buy houses, although the prices have come down a lot, and are more reasonable. Obama didn't cause this mess, I think it goes back to the 70's. There 's lots of corporate greed in this country, that's why companies go overseas, and to compete with the low prices of the JUNK brought in by china. When you can have something made for 2 dollars and hour why would you want to pay 10? We need industry here. I want my clothes, shoes, flatware, glasses, etc made here. Of course they will have a higher price tag, but with ppl working in the factories maybe once again we can all afford these items. You can't afford a house payment, a car, utilities, etc on 10 an hour.
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