Archive: September 2024

Letter to the Editor – Shilhanek

14 September 2024
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Dear Editor,

I read the article about Montana suing over Obama care for noncitizens.

I own Maaco Collision Repair. Before Obama care, I could insure a whole family for under 600.00 a month for top of the line benefits.

Now, as you can see a family of five is over $2,000.00 a month without vision or dental and a $4,000.00 deductible.

This is what America needs to see.  Small Business had to cut everyone’s hours and take away benefits because of the cost. 

Why do we pay these rates while illegals and welfare get it for free. Pretty soon there will be no more small business.

Thank you,

Roxy Shilhanek

Judge Stops Federal Program for Migrant Agricultural Workers

14 September 2024
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By T.A. DeFeom, The Center Square

Attorneys general from 17 states, including Montana, are suing to stop the federal government from implementing a program they say gives migrant agricultural workers rights that American citizens working farm jobs do not have.

The coalition of states, led by South Carolina, contends that the U.S. Department of Labor’s “Improving Protections for Workers in Temporary Agricultural Employment in the United States” rule effectively grants collective bargaining rights to agricultural migrant workers in the country under the H-2A visa program.

The U.S. District Court for the Southern District of Georgia’s Brunswick Division granted a motion for a preliminary injunction, stopping the rule from taking effect while the lawsuit is pending. The injunction is limited to the case’s plaintiffs.

Neither a nationwide injunction nor a nationwide stay is appropriate in this case,” U.S. District Court Judge Lisa Godbey Wood wrote in the order. “Plaintiffs argue that universal relief is needed because this case implicates federal immigration laws, nationwide relief would protect similarly situated nonparties, and it would be more practical than party-specific preliminary relief. …These arguments are unavailing.”

Miles Berry Farm, the Georgia Fruit and Vegetable Growers Association and the states of Arkansas, Florida, Georgia, Idaho, Indiana, Iowa, Kansas, Louisiana, Missouri, Montana, Nebraska, North Dakota, Oklahoma, Tennessee, Texas and Virginia joined South Carolina in the lawsuit. The action names the labor department, Assistant Secretary for the department’s Employment and Training Administration José Javier Rodríguez and its Wage and Hour Division Administrator Jessica Looman.

“Here we go again,” South Carolina Attorney General Alan Wilson said in an announcement. “The Biden administration is almost constantly trying to enact rules and regulations that it does not have the authority to do, but we’ll keep fighting this unconstitutional overreach every time it happens.”

Governor Gianforte Visits Multi-Generation Montana Businesses

14 September 2024
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Governor Greg Gianforte visited with two multi-generation, family businesses on his 56 County Tour in Missoula and Jefferson counties.

“The American Dream is alive and well in Montana thanks to our hardworking job creators committed to carrying on their family legacy,” Gov. Gianforte said. “We will continue to support them through our pro-business, pro-jobs policies and efforts to strengthen our workforce.”

Starting off the day in Missoula, the governor met with the second generation of the Reid family at their manufacturing business, Diversified Plastics.

Founded in 1976 in Rod Reid’s garage, the custom plastics fabrication and engineering company has grown to occupy a large facility in Missoula and employs over 75 Montanans in competitive, high-wage jobs.

Meeting with Rod’s son, Brad, and touring the facility, the governor heard more about the company and the products they manufacture, as well as about the apprentice and work-based learning opportunities they provide.

Making plastic products for a wide variety of industries, Diversified Plastics operates around the clock to make components for operations including ski lifts, car washes, food processing, and agriculture.

Reid shared that nearly all of his employees receive on-the-job training and they have had success operating a two-year long apprenticeship through the Montana Department of Labor & Industry for Montanans to learn molding. The company also offers opportunities for local high school students to train with them.

“When I first started working for my dad, we had eight employees. Today, we have 75 employees in Missoula in a high-wage job,” Reid said. “Thanks to the support from the state through loan programs, we’ve been able to expand our operation with the goal to continue to increase wages, employ more people, and get a larger tax base.”

Continuing on to Whitehall, the governor stopped by Smith Supply to visit with the Smith brothers and learn more about their family business serving Montana producers.

Providing feed, lumber, and other ag and ranch supplies, the Smiths bring over 65 years of experience operating their own ranch, producing hay and grain and raising cattle and hogs.

Touring the store and warehouse with the family’s second generation, the governor met with four of the brothers leading the operation started by their grandfather in 1959 and met their kids and grandkids.

“Now the third generation is coming into play and even their kids are already out here helping out and riding in the equipment. It’s good to see,” said John Smith.

Supporting Montana’s small business owners, family farmers, and family ranchers is a top priority for Gov. Gianforte. Since taking office, the governor has increased the business equipment tax exemption from $100,000 to $1 million eliminating the business equipment tax burden for more than 5,000 small businesses, farms, and ranches.

Energy Determines How Well You Live

14 September 2024
Evelyn Pyburn
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By Evelyn Pyburn

“How to Make America Competitive” according to Leen Weijers requires nothing more than lowering the cost of oil – the cost of competitiveness – and fracking has done that.

Weijers, as the featured speaker at the Montana Petroleum Association’s Appreciation Luncheon, explained how improved technology and efficiencies in the industry has lowered costs, increased production, reduced negative impacts and is drawing new business and companies into the US in order to better access natural gas.

Weijers is a highly experienced professional, currently serving as the VP of Engineering at Liberty Oilfield Services.  Weijers has been instrumental in developing hydraulic fracture growth simulators and conducting real-time fracture analysis.

“The amount of energy you have available to you, reflects how well you live your life,” asserted Weijers. Technology has made dramatic changes to the fracing industry and “the economic and humanitarian benefits are massive,” he said.

The technology of fracking allows the extraction of petroleum from shale, which holds vast quantities of petroleum that had never before been accessible. Fracking involves the fracturing of formations in bedrock by a pressurized liquid. The process involves the high-pressure injection of “fracking fluid” – mostly water — into a wellbore to create cracks in the deep-rock formations through which natural gas, petroleum, and brine will flow more freely. When the hydraulic pressure is removed from the well, small grains of hydraulic fracturing proppants hold the fractures open, which allows the oil to flow.

According to Weijers, 80 percent of all hydrocarbons come from shale and fracking, and 67 percent of oil is natural gas.

Weijers reported that fracking has improved production by two and half times, from 60 barrels to 160 barrels. Fracking in the US has increased oil production 134 percent since 2010 and continues to increase at a rate of 2-3 percent each year. The cost of producing a barrel of oil is 60 percent of what it used to be before fracing technology was refined.

During the technology’s 70 year history, much has changed – “all kinds of things have been modernized,” said Weijers. Sand is moved in containers; it is dust free, quick to unload and with less noise. Costs have been reduced 30 percent and it is simpler to deliver the finished product.

Because of the improved technology “US oil and gas workers are way more efficient in what they do.”

“The price of natural gas has come down tremendously.” It’s five times as cheap as diesel, said Weijers, which has prompted many companies to use natural gas and the industry is building equipment that runs exclusively on natural gas. In fact, said Weijers, many companies are moving to the US because of the availability of natural gas.

Weijers emphasized the efficiencies that have been gained in the industry, saying that the petroleum industry employs 400,000 workers – so does solar and wind, but they produce only five percent of the energy that the petroleum workers produce.

“We pump faster at higher rates into a well at a hundred barrels a minute.” That keeps the sand in suspension so “we don’t need as many chemicals.”

The more oil that is produced the less expensive it is and the more competitive all of US industry can be, according to Weijers.

Also during a half day program which was part of the Montana Petroleum Associations (MPA) annual conference, Economist Pat Barkey of the Bureau of Business and Economic Research, presented an over view of what it is going to take to transition to a green economy and the unlikelihood of being able to achieve the goals that have been set. It will take longer than energy transitions of the past because of economic issues. In the past the economy was smaller and energy use was less. And, this transition is being driven by “policies and not economics.”

“In fact we have a well-run system of cheap energy,” said Barkey.

Also, hampering the transition is that it has to be complete in order to achieve the goal. Historically, the US transitioned from coal to petroleum, but coal is still present. “That can’t happen” with this transition, said Barkey. “To impact climate it must be carried out globally, not just in the US and in rich industrial countries. It is a global problem. ..The speed that is promised is unprecedented.”

Barkey pointed out that much of the energy that is produced and transmitted is wasted. “What you actually get is smaller than the energy that is wasted.” The job of achieving the goals “isn’t quite as big if we can do away with wasted energy.”

The transition to green energy alternatives means a “significant” increase in demand for the many different minerals that are necessary to produce the alternatives – such as copper, lithium, nickel, zink, rare earth metals, etc. The increased production of just one of those minerals, such as copper, would have to double in the US, said Barkey. In fact, it will require more copper than the world has ever produced. That requires more energy usage for mining and recycling.

“That’s a very tall order for just one narrow part of the transition,” said Barkey, especially in light of the timeline required in getting mining operations permitted and approved in the US. The Black Butte mine has so far taken 14 years. “This pace of new production is incompatible with energy transition as proposed by those who support it.”

Barkey also emphasized that cheap and abundant energy has enabled the industrialization of the world which has reduced, significantly, extreme poverty throughout the world. Since the 90s,  extreme poverty has declined by a third – much of that was in China.

There are many other issues that may be impacted by a transition to more expensive green energy, pointed out Barkey – all requiring greater energy usage.

In his message to the membership, MPA President Dave Linn stated, “The taxes and salaries of our businesses and employees significantly contribute to our schools and local governments. Our products and services are used by virtually everyone and are essential to all aspects of our modern life.”

He pointed out that “we are an industry at the forefront of an idealistic battle… For an engineer/project manager like me, it is easy to recognize that the goals and timelines for this change are best driven by technology, well-vetted plans, and the free market, not by politically driven government mandates”

Linn underscored the pressures under which the industry functions. “… it seems that every week there is new legislation or regulations being proposed with hard-hitting impacts to our industry and our sustainability.” As an example he pointed to the Montana court ruling regarding the Child Climate lawsuit. “Rarely are old laws revised if the new interpretation is contrary to existing policy. Meanwhile, for our industry, it’s business as usual as we are required to keep our operations and companies going and the critical products flowing to customers while these legal battles slowly move through the courts.”

During the conference there were panel discussions about the Child Climate lawsuit, about property taxes and about the Supreme Court Chevron decision.

Earlier this year, Dave Galt, a former MPA Executive Director, assumed the role of interim Executive Director, as Alan Olson resigned to serve as a director of government affairs for NorthWestern Energy.

Olson has been MPA Executive Director the past eight years.

Galt, too, commented about “the onslaught of federal regulations being hastily passed by the Biden administration.”

He stated, “Methane rules will dramatically increase costs for all producers and may be the demise of many of Montana’s marginal wells. This will have a huge impact on Montana communities. Recent rule changes of the Bureau of Land Management are just as egregious. Past changes in things like allowing leases for buffalo are curious. New BLM policies that will allow a ‘conservation’ to compete with oil, gas, mining, and grazing leases adds a whole new aspect to management of huge swaths of federal lands in Montana. Other than the initial lease payment, I see a huge potential change in recent income from activities on federal lands. If this actually comes to pass, I see a significant impact on Montana’s revenue, quality of life, and harm to rural communities.”

County 2025 Budget Set

14 September 2024
Evelyn Pyburn
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As Yellowstone County officials approved, on Tuesday, Sept. 12, a $182,369,879 million county budget, for 2024-25 fiscal year, they are also focused on imminent future needs for the county. Many of the decisions about how to spend their revenues today are dictated by what they see as needed revenue for the future.

During two earlier public hearings, county commissioners and department heads made it clear that they are well aware that significant needs loom ahead, especially for the justice system, including the possibility of adding onto the jail (Yellowstone County Detention Facility) and the possibility of having to accommodate as many as three additional district court judges. But the immediate challenges for the 2024-25FY are being imposed by inflation and the struggle to retain staff, according to Jennifer Jones, the county’s Director of Finance and Budget. While those issues impact all county departments to some degree, they are especially impacting the justice system — the Sheriff’s department, the County Attorney’s department, the courts and the Youth Services Center, which deals with delinquent youth and children in need of temporary shelter.

The county’s budget is balanced. Jones commented that it is the cooperation of all the county departments in “building this budget” that results in a financial plan that demonstrates “our sound position and our continued commitment to address needs well into the future.”

Total county revenues for FY2025 is $139,803,741. The revenue budget for 2024 was $145,787,437; for 2023 it was $132,843,880; and for 2022 it was $116,487,362.

The budget for total county expenditures for FY2025 is $182,369,879. That compares to $134,152,923 in 2024; $119,847,614 in 2023 and $111,160,023 in 2022. Some expenditures are drawn from reserves and other non-tax revenue.

Fiscal Year 2025 revenues, from all sources, are budgeted at $139.8 million, of which $70 million comes from property taxes. Yellowstone County property tax revenue is $4.2 million more, over the property tax revenue collected in 2024.

New properties assessed for the first time – which are an indicator of economic growth – amounted to almost $2 million of that increase. State law allows the county to increase their levy to accommodate for inflation, which contributed $1.7 million to the $4.2 million total increase. Because inflation has been so onerous, the rest of that increase is attributable to the county using last year’s inflation increase authority, which it did not use, but finds it necessary to do so this year.

Last year was an appraisal year performed by the Montana Department of Revenue which resulted in large valuation increases, and therefore called for a reduction of levied mills for the county over the previous fiscal year. This year, valuations will not be evaluated however Yellowstone County experienced a 2.4% reduction in countywide taxable value, due to adjustments made by the Department of Revenue. Those adjustments meant lost revenue to the county unless it raised its levy to compensate, so given that increase, plus the increase in mills which were allowed for inflation, and the increase in the permissive medical levy, the county added 5.88 mills for fiscal year 2025.

Each year the county gets entitlement money from the state, which came in 4.64% higher than the last fiscal year. The funding increased because the state legislature passed legislation which exempted Class 8 property from property taxes, and a portion of that reduced property tax was then distributed to each county.

At the same time, the county is in the process of preparing a new administration building (the Miller Building, 301 North 29th Street) for occupancy by most of the county departments, except those that are part of the judicial system. As other county departments vacate the County Court House they will make room for the new judges that are expected, if the next state legislature approves their funding.

Also, Yellowstone County is in the process of building a temporary detention facility in collaboration with the City of Billings during the coming year. Projected cost is $6 million, of which the city is contributing $2.7 million.

“One important project that deserves mentioning again this year is the criminal justice needs assessment study we engaged in last fiscal year,” reports Jones, “This study will provide recommendations for system efficiency improvement, capacity management and enhanced outcomes for both adults and youths involved in the criminal justice system.” It will help guide many of those future decisions regarding public safety, mental health programs, detention space at the state and county levels, and the Youth Service Center.

“If the eventual decision is made to expand the Detention Facility again, it will be nothing like our previous expansion completed in 2020. Both a material increase in the county’s mill levy and a significant debt obligation will need approval by our voters,” stated Jones.

Construction and remodeling for the new administration building will begin this fall. Besides moving other departments, the Clerk and Recorder’s office, Public Works, Finance, and the County’s Commissioners’ office on the third floor of the Stillwater Building will move into the building by the fall of 2025, and the county will cease to be a tenant of the city’s.

Remodeling the administration building and the Court House will be done without any need for a tax increase or debt, according to Jones, because of reserves in the County’s Capital Improvement Fund.

Focusing on MetraPark – a county owned facility – Jones explained that the American Rescue Plan Act has allowed the county “to address infrastructure challenges at MetraPark, for which funding options were few.” The projects — for which much of the work has been highly visible to the community— will improve the facility for overall safety and functionality, said Jones. All APRA projects at MetraPark are expected to be completed by the fall of 2025.

Another aspect of preparing MetraPark for the future has been the engagement of an industry consulting group, whose study is to be completed by the end of FY2025. Their work has already seen “material results,” for MetraPark, according to Jones. MetraPark’s “non-tax related revenues for FY24 exceeded budget by 9.4%, while expenditures remained in check. A highlight in this area is a 20% reduction in overtime dollars compared to FY23 and FY22.”

“All of this demonstrates that we are improving the bottom line at Metra, allowing for better funding of MetrPark capital expenditure needs going forward, without requiring County General Fund or General Fund CIP infusions,” said Jones. Property taxes under a dedicated levy for Metra Park contributed $4,166,773 to the MetraPark budget this year. Non-tax revenues, generated by the fair and rentals, were $7,025,823. MetraPark and Montana Fair’s projected total budget is $12,651,341 which compares to last year’s budget of $9,949,026.

Base operations for the county, not including capital improvement projects, increased approximately 4.6% over FY24.

The Sheriff’s budget, including the jail, will experience the heaviest burden due to inflationary costs. It has felt the impact in almost every category from the spike in food costs, insurance premiums, patrol vehicles, and medical services.

Tax revenues will fund the Sheriff’s department, also referred to as public safety, and all of the judicial departments of county government to the tune of $59,847,672, consuming 32.82% of the final budget.

The Yellowstone County Detention Center’s budget will be $16,285,787.

Yellowstone County Attorney budget is $8,115,511. Last year’s was $6,057,685.

Youth Services Center budget for 2025 is $3,838,996. A significant portion of its revenue is generated by charges made to other counties.

General government expenditures are $24,572,601, or 13.47% of the total budget.

Public Works – the building of roads and bridges, emergency services ($407,066), parks ($276,123) – is $19,919,406, or 10.93% of the total budget. The road fund alone is $13,663,329. The bridge fund is $2,884,625.

Capital Improvements, such as the administration building, will consume $23,714,850, or 13% of the total budget.

Human Services, $489,766 or 0.27% of the total budget.

Public Health has a budget of $6,070,006, or 3.33% of the budget.

Insurance costs require a budget of $20,353,603, or 11.16% of the total budget.

The county pays a debt service of $897,400 for the previous jail expansion, which comprises about 0.49% of the budget.

Social / Economic expenditures has a budget of $6,254,549, or about 3.43% of the total budget.

Community Development has a budget of $711,922 or 0.39% of the budget.

Miscellaneous budget items total $1,350,888, or 0.74%.

Some controversy was generated from the public regarding the county’s decision to reduce funding to the Yellowstone Art Museum. Commissioners reduced previous years’ contributions from $220,770  to $188,053 in 2025. Expenditures for county-owned museums remained much the same. Western Heritage Center, $282,080; Yellowstone County Museum, $282,080; and Huntley Museum, $141,040.

Riverstone Health (City/County Health Department) receives funding from a dedicated mill levy of 4.75, which was approved by voters in 2002. Otherwise it has operated as a separate entity since 1998.  Its county budget is $3,579,104.

Some individual budget categories: Clerk & Recorder’s /Surveyor department $789,391; Elections $990,611; Finance including finance, purchasing and central services $1,032,925; County Treasurer/Assessor /Supt. of Schools $1,951,170; Commissioners ($646,843); Clerk of District Court $1,846,636; Justice Court $2,411,896; Library $1,509,093; City-County Planning $659,004; Laurel Planning $131,015; Expenditures on ARPA projects $11,098,281; and Health Insurance Fund $12,472,600.

Big Sky Economic Development Agency (BSEDA), while a stand-alone entity, gets revenue every year from a dedicated county-wide mill levy. This year the levy is 3.16 and the revenue it generates is $1,560,072. The mill levy is only a portion of BSEDA revenues. The agency’s entitlement from the state is $284,296.

Chamber to hold Candidate Forums

14 September 2024
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The Billings Chamber of Commerce will host a series of Coffee with Candidates forums in September from 8-9 a.m. in partnership with, and hosted at, the Billings Association of Realtors with candidates for state legislature from selected races.

The schedule of Coffee with Candidates forums is:

• September 17 Senate District 24 – Mark Nicholson and Mike Yakawich

• September 19 House District 45 – Denise Baum and Kassidy Olson

• September 26 House District 48 – Anne Ross and Curtis Schomer

Dan Brooks, business advocacy director said, “We believe it’s important to bring candidates and members together, not just to answer policy questions, but to connect with each other.   Each Coffee with Candidates forum will feature a moderated question and answer segment with time reserved for questions from the audience. Election ballots are anticipated to be mailed as early as Oct. 11.

Each Coffee with Candidates forum is free to attend and open to anyone interested in meeting the candidates for state legislature running this election cycle.

Billings Association of Realtors is located at 2021 Overland Avenue. RSVP’s are requested for planning purposes as complimentary coffee and light breakfast items will be available. Register at Billings Chamber. com.

BSED Gets Excellence in Economic Development Silver Award

14 September 2024
Dennis Pyburn
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Big Sky Economic Development received a 2024 Excellence in Economic Development Silver Award from the International Economic Development Council (IEDC). The award was bestowed specifically for the organization’s work in the Digital Media category. Big Sky Economic Development, Marcell Bruski and Kayla Vokral will be acknowledged and honored at the IEDC 2024 Annual Conference in Denver, CO, September 15-18.

“Big Sky Economic Development is setting the standard of excellence for economic development with its The Vault at 201 N Broadway Podcast project. This award highlights Big Sky Economic Development’s commitment to its community and demonstrates the transformative impact of economic development,” said Nathan Ohle, IEDC President and CEO.

 “We are absolutely thrilled to announce this year’s award winners. These exceptional projects showcase remarkable dedication and ingenuity within the field,” said Kevin Kramer, Chair of IEDC’s Excellence in Economic Development Awards Advisory Committee. “Big Sky Economic Development’s contributions will leave a lasting impact and demonstrate its commitment to creating positive change for its residents.”

Every year IEDC looks specifically for economic development organizations, government entities, initiatives, and programs that have demonstrated consistent, exemplary performance in the economic development profession, leading the execution of projects that have a significant impact on revitalizing communities, and playing a major role in shaping and improving the practice of economic development.

“We our honored by this national recognition. Congratulations to Marcell and Kayla – co-hosts of The Vault – our tool to share the stories of entrepreneurs, businesses, community initiatives, and leaders that are influencing the economic and community development of our community” said Steve Arveschoug, Executive Director at BSED.

Big Sky Economic Development (BSED) is a public-private partnership. The Big Sky Economic Development Authority (EDA), the public agency, evolved from the Montana TradePort Authority launched in 1989 by the Yellowstone County Board of Commissioners. Big Sky Economic Development Corporation (EDC), the private business side, was started in 2002. Over 145 of the county’s top businesses are member-investor partners in the EDC. Together, the organization’s mission is to sustain and grow Yellowstone County’s vibrant economy and outstanding quality of life, by providing leadership and resources for business creation, expansion, retention, new business recruitment and community development.

The International Economic Development Council (IEDC) is a non-profit, non-partisan membership organization serving economic developers.

Billings Building Permits September 15, 2024

14 September 2024
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Commercial

Big Horn Surgery Center/ Jorden Construction, 3415 Avenue E, Com New Hospitals/Institutions, $975,630

2316 First Ave North LLC|Askin Construction LLC, 2320 1st Ave N, Demolition Permit Commercial, $150,600

City Of Billings (Airport)|Cayton Excavation Inc, 2491 Overlook Dr, Demolition Permit Commercial, $148,000

City Of Billings The|S Bar S Supply Contractor, 1704 Central Ave, Com New Warehouse/Storage, $35,000

AC Investments LLC|Air Controls Billings Inc., 2109 1st Ave N, Demolition Permit Commercial $35,000

Residential

Lori Hansen |Eaton And Yost Contractors, 3012 Alpine Dr, Res New Single Family, $587,400

Billings South Shiloh LLC|ABCO Billings LLC, 1707 E Seahawks Pl, Res New Townhome, $434,128

Billings South Shiloh LLC|ABCO Billings LLC, 1722 E Seahawks Pl, Res New Townhome, $434,128

Billings South Shiloh LLC|ABCO Billings LLC, 1721 E Seahawks Pl, Res New Townhome, $434,128

Billings South Shiloh LLC|ABCO Billings LLC, 1731 E Seahawks Pl, Res New Townhome, $434,128

Billings South Shiloh LLC|ABCO Billings LLC, 1701 E Seahawks Pl, Res New Two Family, $350,000

Green Jeans LLC |Green Jeans LLC, 1319 Tania Circle, Res New Single Family, $251,967

High Sierra Ii Inc|4 Mt Homes Inc, 935 Matador Ave, Res New Single Family, $212,055

Mt Homes Inc |4 Mt Homes Inc, 923 Matador Ave, Res New Single Family, $206,856

McCall|McCall Development, 1880 St Peter Ln, Res New Single Family, $142,541

McCall Homes |McCall Development 1840 St Peter Ln, Res New Single Family, $128,067

McCall|McCall Development, 1848 St Peter Ln, Res New Single Family, $127,492

McCall|McCall Development, 1892 St Peter Ln, Res New Single Family, $124,826

McCall|McCall Development, 1884 St Peter Ln, Res New Single Family, $124,326

McCall Development, 1852 St Peter Ln, Res New Single Family, $107,834

Americans Think Increased Manufacturing Employment Would Be Good for the Country but Not for Themselves

14 September 2024
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By Colin Grabow, Cato Today

One of the more intriguing results of a recent Cato Institute–commissioned poll about trade and globalization was the respondents’ views on manufacturing. When asked whether the country would be better off if more Americans worked in the sector, 80 percent responded in the affirmative. Given widespread perceptions of American industrial decline—very much at odds with available evidence—that’s not entirely surprising.

But here’s the interesting part: among those same respondents, just 25 percent stated that they would personally be better off in a factory instead of their current work. It’s a result that holds across class, education, and racial lines. The most enthusiastic group, those aged 18–29, still registered just 36 percent interest in manufacturing employment.

Americans love the idea of people working in manufacturing, but most don’t think they would benefit from such work themselves.

The poll result comports with manufacturing job data. As of May, there were over 600,000 open positions in manufacturing, and the number hasn’t dipped below 300,000 in roughly a decade. These openings are one reason why the National Association of Manufacturers has championed a plan to expand immigration. Similarly, the secretary of the navy has called for increased immigration and work visas to address a lack of workers at the country’s shipyards.

Such jobs can’t find enough interested Americans to fill them.

Given some of the realities of manufacturing work, that’s understandable. As a recent Financial Times column points out, average hourly pay in manufacturing has been on a long, steady decline and fell below the private-sector average in 2018. The column also points out that such work can be “noisy, repetitive and isolating” (having once worked a summer job placing empty cans on an assembly line to be filled with paint, I can confirm) and that a 2024 Gallup poll found below-average enthusiasm for their work among those employed in manufacturing.

So it’s not a shock that many Americans aren’t champing at the bit for such employment. Indeed, even countries long associated with manufacturing such as China and Vietnam are seeing a growing aversion to factory work.

But how to explain this seeming disconnect between what Americans believe is best for the country and their self-interest?

One possible factor is that Americans are regularly told about the alleged depleted state of American manufacturing—particularly during presidential elections. Four years ago, President Biden campaigned on adding five million manufacturing jobs as part of an economic rebuilding effort, and four years before that, Donald Trump and Hillary Clinton each pledged to shore up manufacturing as part of their respective efforts to win the presidency. Unsurprisingly, the Democratic and Republican platforms for this year’s presidential race both feature language about revitalizing manufacturing.

This is hardly a recent phenomenon, with such talk by presidential hopefuls dating at least back to Walter Mondale’s 1984 claim that the industrial Midwest was being turned into a “rust bowl” due to a decline in manufacturing.

After being exposed to 40 years of rhetoric about manufacturing’s alleged downfall, Americans may have internalized the message. Add in a dash of nostalgia for yesteryear—two of the groups most supportive of more Americans working in manufacturing were those aged 65 and older (86 percent) and the retired (90 percent)—when manufacturing employment was more common, and the results are understandable.

Perhaps the better question, however, is not why Americans believe the country needs more manufacturing employment but why politicians regularly emphasize the importance of jobs in which Americans—both in word and deed—continue to show little interest.

Americans Love to Work, More than Most

14 September 2024
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Americans are hard workers, putting in an average of 1,799 hours per year, according to the World Economic Forum. That’s 456 hours per year more than Germans work, but 408 fewer than Mexicans do, for example.

Even when given the chance to not work as hard, many Americans won’t, as only 48% of workers use all of their vacation days. It is possible to work hard without overdoing it, though. Hard work is key to success, and the residents of some states understand that better than others.

To determine where Americans work the hardest, WalletHub compared the 50 states across 10 key indicators. They range from average workweek hours to the share of workers with multiple jobs to the average leisure time spent per day.

Montana was ranked 25th.

North Dakota is the hardest-working state, in part because it has the highest employment rate in the country, at over 98%. Plus, workers ages 16 to 64 work an average of 39.7 hours per week – the third-most in the country.

People in the Roughrider State don’t take a lot of time for themselves outside of work, either, as they have the second-lowest amount of leisure time per day. In addition, 33.5% of workers leave some vacation time unused, the second-highest percentage.

To top things off, both adults and young people stay busy in North Dakota. The state has the fifth-lowest share of households where no adults work, and the lowest share of people ages 18 to 24 with no degree beyond a high school diploma who are not in school and not working.

Alaska has the second-hardest-working residents in the country. The average Alaskan worker between the ages of 16 and 64 works 41.6 hours per week, the highest number of hours in the country. This is significant because Alaska is the only state where the average exceeds 40 hours per week. For comparison, people in the District of Columbia work an average of 40.4 hours per week, but Alaska exceeds that by 1.2 hours.

In addition, Alaska has the 12th-highest share of workers who leave some vacation time unused, at 27.5%. It also has the ninth-highest share of workers who have more than one job and the 10th-lowest share of households where no adults work.

Nebraska was 3rd, Wyoming was ranked 4th and South Dakota, 5th.