From the 12/8/06 DDN:

 

 

Plants to close; 720 to lose jobs

By LaToya Thompson

Staff Writer

Friday, December 08, 2006

 

Siemens Energy and Automation announced today it will close its manufacturing plants in Bellefontaine and Urbana, a decision that will cost the area about 720 jobs.

 

Siemens Spokesman Michael Krampe, of the Alpharetta-based headquarters, said the company is forced to make difficult decisions to remain competitive.

 

Closing the two plants will potentially save hundreds of other jobs in the United States, he said.

 

...

 

More at:

http://www.daytondailynews.com/n/content/oh/story/news/local/2006/12/08/sns120806siemensWeb.html

 

From the 12/9/06 Springfield News-Sun:

 

 

Closing of Siemens plants leaves workers in 'total shock'

'A lot of lives will be destroyed because of this,' says one employee.

By LaToya Thompson

Staff Writer

Saturday, December 09, 2006

 

Siemens employees in Urbana and Bellefontaine arrived to work for business as usual but were sent home shortly after hearing the plants would close by 2009 or 2010.

 

"It was a complete and total shock," said Jerry Pendergraff, 49, who works in the Bellefontaine plant.

 

People became emotionally upset after hearing the news, he said.

 

...

 

More at:

http://www.springfieldnewssun.com/n/content/oh/story/news/local/2006/12/09/sns120906siemensinside.html

 

From the 12/12/06 Springfield News-Sun:

 

 

Siemens plants, employees try to figure out what's next

By LaToya Thompson

Staff Writer

Monday, December 11, 2006

 

Union officials at Siemens plants in Urbana and Bellefontaine said employee morale dropped Monday as news settled in about the company's recent decision to close both facilities by 2009 and 2010.

 

A company spokesman said Friday that the area facilities were no longer competitive in the market with the circuit breakers manufactured there. Siemens plans to outsource to Mexico and other third-party suppliers to become more cost efficient, he said.

 

Workers in the Urbana Siemens plant will negotiate a closing agreement while union officers in the Bellefontaine plant will work with city and county government officials to try to keep the facility open. Workers at both plants are represented by the International Brotherhood of Electrical Workers, IBEW.

 

...

 

More at:

http://www.springfieldnewssun.com/n/content/oh/story/news/local/2006/12/11/sns121206siemensfolo.html

 

From the 12/13/06 Springfield News-Sun:

 

 

Urbana officials want to work with Siemens to keep plant open

By LaToya Thompson

Staff Writer

Wednesday, December 13, 2006

 

URBANA — Urbana city administrators will plan to meet with Siemens executives to discuss how to keep the company's Urbana plant open, Mayor Ruth Zerkle told councilmen Tuesday night.

 

She said she wants to approach the company with a "what can we do for you?" attitude.

 

A formal meeting has not been set.

 

...

 

More at:

http://www.springfieldnewssun.com/n/content/oh/story/news/local/2006/12/13/sns121306urbanafront.html

 

 

thx for the cold hard facts....bam!!!

 

I think the slow decrease on that labor force graph, combined with the slow decrease in the unemployment rate is sort of interesting and of concern...what does that mean?

 

There is another number, the "labor force participation rate", that measures the employment + unemployed (that is unemployed and actively seeking work) vs the 16-65 adult population. A certain percentage of this population is not in the labor force as defined by the BLS.  That could be due to disabilty, stay-at-home moms, students, etc.  It could also include "discouraged workers" who are not actively looking for work.)

 

So if this rate is low, it could mean that there is a large number adults outside the labor force for some reason, or if is high, but the labor force number (employed plus unemployed but looking for work) is dropping, it could mean that the overall pool of adults in the community is shrinking, due to a combination outmigration, death, or reaching retirement age.

 

The most recent number I've seen for Dayton was 65.5%, for 2002. 

Other Ohio metros for 2002...

Cleveland  67.8%

Cincinnati  68,7%

Columbus  70.4%

(the data i am looking at doesnt have Toledo or Akron)

 

For the US as a whole, the labor force participation rate is around 67% to 68%

 

Job loss here is primarily due to the cut back in the blue-collar worker. We are going to bleed this way until most of these jobs are gone to the lower waged countries until capitalism balances out global economy.

 

If one goes into the BLS site or some Ohio govt sites and opens up the numbers by "sector" (based on the NASIC codes), it is manufacturing that is the source of much (but not all) of the job loss (one can even fine tune that by looking at the type of manufacturing) of the past few years.

 

This is a bit of concern.  Dayton has traditionally been a manufacturing center.  The economic history of Dayton shows that the city has been in a wide variety of manufacturing, with the first industry here being the unlikely one of textiles...woolen & cotton mills.  Entire lines of manufacturing grew here, dominated the local scene for awhile, and then totally vanished.  The largest firms and industrial plants of the 19th century have nearly totally disappeared...and disappeared well before our time.

 

Yet  the local culture was entrepeneurial enough and innovative enough to replace fading industry and mature/outdated technology with new industry and technologies.  The problem was the it was manufacturing replacing manufacturing, rather than other types of economic activity replacing manufacturing.  Dayton was entrepeneuarial and economically diverse within manufacturing, but not outside of it (with some exceptions)

 

 

That's whats going to be the pain here, transitioning to a non-manufacuring economy, or an economy where manufacturing plays a smaller roll than it does today.

 

 

 

 

 

I don't know how good or bad the attitude toward one's city is in the other Ohio cities, but I can tell you that it is horrible in Dayton.  The people in Dayton are their own worst enemy.  When I lived in Chicago, there was such a feeling of city pride (if you've ever met somebody from Chicago, you are probably annoyed when they sit there and talk about how great it is in Chicago).

 

I am a native Chicagoan, so I know what you are talking about, but you find that same civic pride down in Louisville and Lexington. 

 

 

 

 

^Difference is that Louisville and Lexington are growing within city limits and generally are the only "cities" in their state.  Much like "Omaha pride" in Nebraska.  Of course, add on to the fact that the job market in Dayton is about as impressive as Donald Trump's hair piece...

^---Of course Lexington is growing within it's city limits considering it's merger with Fayette County. But with 285 sq. miles and a population of only 268,000, what kind of pride could one have for the city's growth?

Base on data at an Ohio government site, here are trends to 2005 in the average wage and job growth for truck drivers, hospital workers (which I guess would be mostly nurses and med techs), food, drink and accomodations industry (includes restuarants) and manufcturing.

 

Comparing the average wage.  Truckers do make good money, actually not too far  below manufacturing.  Food and accomodations are dismal,though....

 

 

Then total number of employed, and % decrease or increase....

 

 

...you can see what a giant manufacturing is here in Dayton in terms of employment (and well-paid employment).  And how its been dropping (though that slope seems to be leveling off a bit).  The others dont employ that much and havnt grown that much, but add up the % growth and you are getting over 20% so one can see how smaller rates of growth, in an aggregate, can make up for larger rates of decline in on sector, so the net job loss in an economy undergoing structural adjustment could be small.

 

I was sort of cogitating on those charts upthread, showing a declining number of employed while also showing a declining employment rate.

 

I ginned up this "model" base on the concept of a labor utilization rate, where employed + unemployed does not really equal the true unemployment.

 

 

..the assumption is there is this category of adults outside the labor market, and then i figured on who they are, and which areas might be growing.  It would be interesting to measure this over time, but I have no idea how. 

 

Then a possible "career" of redundant workers in, say, the manufacturing sector...assuming these workers moved from employed, through unemployed, to dropping out of the labor market and not being counted in the unemployment rate.

 

 

And then a return to the labor market via getting active in looking for work (and recognizing this could be cyclical...where people look for work, give up, and then try again), and then eventually entering employment again.

 

 

Or the opposite could happen....

 

 

...the worker permanently leaves the workforce, via retirement and a pension, or becoming a homemaker (unemployed women, or even "househusbands", where the woman is the breadwinner in a household), or out migration, leaving a hopeless labor market.  There is also the possiblity of the "informal ecomomy", surviving on things that are not measured, counted or reported.

 

then applying this to some graphs, with time on the x axis, and number of people on the Y.

 

Assuming overall adult population remains static....one could see a decrease in the labor utilization rate, lower overall employment in absolute numbers, and a lower unemployment rate at the same time....

 

 

...but if the labor utilization rate improves, while net employment is dropping as well as unemployment, this could imply an decrease in population....

 

 

Those 2002 labor utilization rate numbers from BLS has a breakout by race and gender, which is sort of interesting in "gee whiz" terms, for Dayton, and comparing Dayton and the "Three Cs" of Ohio.....the graphs are pretty self-explantory....

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Using the Fed website I took another look at the Dayton job situation from past few years.....

 

Two graphs showing employment decline and also population decline/stagnation...

 

 

Then two graphs showing the unemployment rate and the contribution by sector to job growth or decline

 

 

The data soureces allows one to look at the actual numbers for employment, so did some charts showing the changing percentage of overall employment by sector for 2000 and 2006, and the then shift in jobs between sectors, with an overall decrease...

 

 

And a chart showing the trends of the various sectors...again the big drop in manufacturing is evident.

 

 

Yet even some of the smaller sectors show a drop, too.

 

 

....ranking sector by number of jobs.  Interesting breaks here, in the graph.

 

 

 

....basically these show the declining importance of manufacturing, but also decline in retail trade too. 

 

Finally, Dayton's performance for one area compared with the other second tier Ohio metros.

 

 

...where, by this measure, Dayton underperforms Youngstown/Warren.

 

:cry:

It is ironic that the city with the most inventions/inventors per capita is now reduced to Simpsons episode jokes.

 

ColDayMan, Are you talking Simpsons as in Jessica and Ashlee?

 

:?

No, The Simpsons ;).

From the 12/31/06 Springfield News-Sun:

 

 

Jobs leaving nearly 300 to be out of work

Only 1,000 to be employed at International after layoffs

By Kelly Baker

Staff Writer

Sunday, December 31, 2006

 

When International Truck and Engine Corp. employees return to work Wednesday, they will be part of the leanest work force in the Springfield plant's 100-year history.

 

Nearly 300 employees have been laid off, leaving 1,000 employees at the plant that once employed more than 5,000 a decade ago.

 

...

 

http://www.springfieldnewssun.com/n/content/oh/story/news/local/2006/12/31/sns0123106layoffs.html

 

I am skeptical of the company's use of EPA regulations as an excuse.  They sell heavy duty trucks.  If you need a heavy duty truck, a light duty truck won't do.  If you don't need a heavy duty truck, then why would you ever have bought one, given the increased cost and decreased mileage.  Surely, cost increases due to regulations may delay replacement purchases of heavy duty trucks.  But I suspect this industrywide slowdown is due to other factors and they are needlessly slandering those who would try to improve our air quality.

 

They aren't really "blaming" the regulations directly for the layoffs. The problem with the trucking industry is that it is very cyclical. The cost of the trucks will be going up thousands of dollars just to account for these technologies.

 

Companies that needed trucks bought a lot of them in 2006, accounting for very high sales. During this time, the Springfield plant was running two shifts. These were significantly cheaper than the 2007 trucks. Most of the people who needed trucks already have them and there isn't enough demand to justify two shifts currently.

 

In short, the EPA regulations shifted demand. The shift in demand caused International to make less trucks at the start of '07. The future of the trucking industry will see similar fluctuations as EPA regulations are scheduled to become stricter in the coming years.

^ Yeah, that is what a friend of mine who is an engineer for a supplier of semi and heavy equipment manufacturers said.  He said 2006 was a crazy year for his company because those who purchase heavy equipment moved up their orders.  A lot of equipment that would have ordinarily been purchased in 2007 was purchased in 2006 instead to beat the higher costs associated with the new regulations.

 

In fact, he said some of their customers were skipping the 2007 regulations altogether and just going to the next stricter regulations that are set to go into effect in a few years in an effort to avoid these fluctuations in supply and demand in a few years.

 

 

From the 1/15/07 Dayton Business Journal:

 

Industrial real estate remained flat in 2006

Local report shows vacancy rate of 18%

Dayton Business Journal - January 12, 2007

by Tim Tresslar, DBJ Senior Reporter

 

Despite a rocky year for some area manufacturers, the market for industrial-warehouse space held its own in 2006, with vacancy rates barely budging, according to a new study.  About 18.5 percent of the industrial-warehouse space in the Dayton area was vacant, versus 18.7 percent the previous year, according to Gem Real Estate Group's annual industrial market survey.

 

David Dickerson, president of Gem Real Estate, said the survey, which encompasses data from 258 buildings, indicates that the market remains stable with some pockets of growth seen throughout the region.  The survey found that, of the 16 million square feet of commercial space surveyed, 3 million square feet went unfilled.  A similar survey in 2005 indicated that, of 16.4 million square feet of space, 3.1 million square feet was empty.

 

Full article at http://dayton.bizjournals.com/dayton/stories/2007/01/15/story7.html

 

From the 1/18/07 Dayton Business Journal:

 

Growth expected in local, regional economy in '07

Dayton Business Journal - January 18, 2007

by Tim Tresslar, DBJ Senior Reporter

 

The national and state economies will continue to grow this year, albeit at a slower pace than in recent years, but the best safeguards against long-term economic decline remains education and innovation.  Those were the assessments offered Thursday by Sandra Pianalto, president and chief executive officer of the Federal Reserve Bank of Cleveland. Pianalto was the keynote speaker for the Dayton Business Journal's Economic Forecast Forum, held at Sinclair Community College.

 

Pianalto said changes that flat productivity levels and the amount of available labor could cause long-term economic growth to slow.  Retirements by baby boomers and younger workers getting jobs later have cut into the labor pool, which puts a drag on the economy compared with past years, she said.

 

Full article at http://dayton.bizjournals.com/dayton/stories/2007/01/15/daily19.html?surround=lfn

 

From the 1/29/07 Dayton Business Journal:

 

Panelists forecast area economy for 2007

Dayton Business Journal - January 26, 2007

by Tim Tresslar

DBJ Senior Reporter

 

Some big manufacturers may face choppy waters, but select segments of the economy will continue to grow and add jobs this year, local business leaders said.  Thomas Traynor, an economist with Wright State University, said he looks for the region to continue to lose manufacturing jobs in 2007, but other sectors will gain some.  He spoke as part of a local panel at the Dayton Business Journal's 2007 Economic Forecast Forum, held Jan. 18.

 

Last year, the business services sector added 2,000 jobs in the Dayton Metropolitan Statistical Area, thanks largely to efforts by these companies to grow by entering new markets, Traynor said. The Dayton MSA includes Greene, Preble, Miami and Montgomery counties.  Though he didn't have specific projections, Traynor said he expects business-services employers to continue adding jobs this year.  He also looks for continued growth in health care employment, a sector that has shown steady growth in jobs, he said.  Construction employment will remain stable, he said.

 

Full article at http://dayton.bizjournals.com/dayton/stories/2007/01/29/focus1.html

 

From the 1/29/07 Dayton Business Journal:

 

 

Eye on the future

Pianalto, keynote speaker at Economic Forum

Dayton Business Journal - January 26, 2007

by Anna Guido

DBJ Staff Reporter

 

What does the future hold for Dayton's economy? This question was on the mind of the more than 170 attendees at the Dayton Business Journal's 2007 Economic Forecast Forum, held Jan. 18 at Sinclair Community College.

 

Sandra Pianalto, president and chief executive officer of the Federal Reserve Bank of Cleveland, along with a panel of local experts, offered insight into that very question.

 

Pianalto discussed how Ohio's economy, and specifically the Dayton area, has been hit by downturns in the manufacturing sector. But she said boosting the educated class and focusing on innovation can help turn the tide.

 

The local panel said other sectors, namely business services and health care, continue to grow locally. And despite the blow to many local firms, even manufacturing is experiencing a resurgence. Local manufacturer Dave Dysinger Sr. said firms that shift to new technologies will be the ones that thrive, while the others will not.

 

As the Federal Reserve Bank of Cleveland's top official began speaking about national and regional economic conditions, a standing room only crowd grew silent.

 

Sandra Pianalto, president and chief executive officer of the Cleveland Fed, was keynote speaker for the first Economic Forecast Forum Jan. 18 at Sinclair Community College.

 

Pianalto talked about how the nation is transitioning to a "slower, but more sustainable, pace of economic growth" than was seen in 2003 through the first half of 2006, and risks she sees to this outlook.

 

In particular, she spoke about the challenges facing the Dayton region, such as the decline of manufacturing.

 

Regarding the national economy, she said two of the most important factors that affect longer-term growth are the number of people working and their productivity.

 

"When the workforce grows, so too does our economic output," Pianalto told the audience. "Likewise, when we're more productive, we can generate more goods and services."

 

Although she expects productivity to continue to remain high, Pianalto said growth in the workforce has slowed.

 

Aging Baby Boomers are one cause, she said, since they are increasingly heading toward retirement, while younger adults are waiting longer to join the workforce.

 

And if the workforce slows and productivity growth remains unchanged, a slower baseline of economic growth can be expected, she said.

 

"This would not mean that the economy is performing poorly," Pianalto explained. "It just means that there are structural limitations to how rapidly it can expand."

 

The Economic Forecast Forum, which was hosted by the Dayton Business Journal, drew more than 170 local and regional community and business leaders.

 

Former Cleveland and Cincinnati Federal Reserve Bank board member Steve Wilson -- who also is president and chief executive officer of Lebanon Citizens National Bank in Lebanon -- was among them.

 

"Even though Sandy indicated the economy will slow, we're optimistic about the economy in Montgomery County," Wilson said, referring to LCNB's expansion this spring into Montgomery County with a new branch in Oakwood. "We still will be looking at growth in our economy in 2007."

 

The Oakwood branch will be LCNB's first branch in the Dayton area, but 22nd for the company.

 

David Schmitz, vice president of commercial banking for Cincinnati-based Fifth Third Bank, said after Pianalto's speech that she had him "spellbound."

 

"She has the ability to lay out a lot of issues simply -- a lot of very difficult issues," Schmitz said.

 

Pianalto also delved into local concerns with comments on the regional economy.

 

Starting off, she said that throughout the current economic recovery, job creation in Ohio has been the worst nationally.

 

"As difficult as Ohio's situation is, Dayton has faced even greater challenges," she added.

 

Both Ohio and the Dayton area have fewer jobs today than they did during the last recession six years ago, partly because of manufacturing trends that shift production outside the United States,

 

"But that's not the whole story," she said.

 

Changes in production technology have made manufacturing more efficient, requiring fewer workers to create the same amount of output, according to Pianalto.

 

New sources of comparative advantage must be created and cultivated in order to restore the region's economic vigor, she said. "The obvious investment to make ... is to invest in our human capital."

 

Studies from Harvard University, the National Bureau of Economic Research, as well economists at the Federal Reserve Bank in Cleveland all conclude that having skilled, educated workers appear to be a key factor in determining whether declining urban areas can achieve prosperity.

 

In fact, Federal Reserve Bank of Cleveland's Mark Schweitzer, who moderated the Economic Forecast Forum, co-wrote a study that found that knowledge stock -- the amount of educated workers and the number of patents an area has -- has been the best predictor of a state's ranking in terms of per capita income levels since at least the 1940s.

 

"These studies send a clear message confirming what most of us already suspect -- namely, that education and innovation matter," Pianalto said. "Our region can have an economic future that is as enriching as our past, but only if we increase our investment in innovation and education -- the two key factors in promoting economic success."

 

E-mail [email protected]. Call 222-6900, ext. 120.

 

http://dayton.bizjournals.com/dayton/stories/2007/01/29/focus2.html

 

From the 2/6/07 Dayton Business Journal:

 

 

Economic forum speakers positive on Dayton's future

Dayton Business Journal - February 6, 2007

 

Speakers at Fifth Third Bank's Economic and Investment Outlook Tuesday morning predicted a positive outlook for investments, economic growth and the Dayton region's role in the global economy for 2007.

 

"What we have to look at from an investment standpoint, overall, is that the country is doing very well," said John Augustine, chief investment strategist for Fifth Third Bank's Investment Advisors Group.

 

More than 100 local and regional officials and Fifth Third Bancorp (Nasdaq: FITB) clients attended the event at The Mandalay Banquet Center in Dayton.

 

Augustine told the audience that it has paid off for stock investors the past three years to be diversified in areas including technology, that the global economy is growing and the U.S. is entering 2007 on a good note.

 

For example, stock returns -- including the three-year average annual return for S&P 500 at 10.44 percent -- have been above average in the period ending Dec. 31, 2006, Augustine said.

 

Christina Howard of the Dayton Development Coalition said the Dayton region still is challenged by many factors, including population stagnation, over-reliance on older industry, corporate consolidation and off-shoring, and slow job growth.

 

"But the biggest problem is the negative psychology about where we're going and how we're going to do it," Howard said.

 

Key to succeeding, Howard said, is focusing on meeting these challenges. Regional collaboration is a priority.

 

"Think of Dayton not as a microcosm, but as a city within a 60-minute commute of several other major metropolitan areas," she said.

 

E-mail [email protected]. Call 222-6900.

 

http://dayton.bizjournals.com/dayton/stories/2007/02/05/daily9.html?surround=lfn

 

From Business First of Columbus, 3/5/07:

 

 

Pace of retail projects in Dayton continues to build momentum

Business First of Columbus - March 2, 2007

by Tim Tresslar

For Business First

 

The Dayton area's appetite for new places to shop and eat is driving a boom in retail projects for commercial developers - and changing the local retail landscape.

 

While hospitals and schools have accounted for many of the region's multimillion dollar construction projects, the pace of retail development has gained steam, developers say, with new projects under way in Kettering, Beavercreek, Huber Heights and elsewhere.

 

"I think it's probably the strongest sector in terms of commercial real estate in Dayton right now," said Tim Albro, vice president of the Beerman Realty Co.

 

Earlier this month, for example, Beerman Realty announced plans to build Shoppes at 725, a $7.5 million retail center, just down the road from the Dayton Mall. The project, on state Route 725 near Kingsridge Drive, will bring another 33,500 square feet of retail space to the area near the mall.

 

Albro said he expects that because the mall and surrounding retail properties were built in the 1970s, and other nearby properties will undergo changes of their own. South Towne Center has been renovated and is adding new tenants, such as Jo-Ann Stores Inc.'s superstore concept.

 

"I think you're going to see continued redevelopment of the Dayton Mall area," Albro said.

 

 

New construction

 

The areas around the Dayton Mall - Huber Heights near Interstate 70, the Mall at Fairfield Commons in Beavercreek and Wilmington Pike near Interstate 675 - continue to attract new retail development, said Paul Howe, a local retail developer.

 

Bustling spots like these also quickly absorb any smaller-store retail space that comes open, said Howe, also a senior sales and leasing agent for Oberer Realty Services.

 

"There's still high demand for new construction," he said. "When you find restaurants and retailers that want to open new facilities, the best opportunity for them is to specifically identify a trade area and build new."

 

Class B retail space, particularly when it's located off the beaten path, is a harder sell because there are so many choices in better locations, Howe said.

 

Howe and partner Patrick Kelly plan to redevelop the former Frank's Nursery and Crafts Inc. in Huber Heights into retail space. They will put a 30,000-square-foot multitenant center comprised of retail, restaurant and financial-services tenants on the 5-acre tract located on Old Troy Pike, he said. Though he declined to name them, Howe said he has signed enough tenants to move ahead with the project.

 

 

Retail changes

 

The Greene, a $186 million lifestyle center, and the Village at Dayton Mall both have opened, adding hundreds of thousands of square feet to the retail market. The Village at Dayton Mall, a $20 million expansion of the mall, added more than 100,000 square feet of stores and restaurants to the Miami Township shopping center. Also in the township, Wal-Mart Stores Inc. expects to open a superstore on nearby Kingsridge Drive.

 

But builders also are jumping on secondary projects - creating new or renovated shopping areas near these major malls.

 

In Kettering, Town & Country Shopping Center at Stroop Road and state Route 48 is expected to undergo such an overhaul for the second time in its history.

 

When the 251,000-square-foot shopping plaza opened during the 1950s, individual stores were accessible from the parking lot. That changed in the 1980s when consumer trends led the company to enclose the shopping center. The property will be reconfigured so that the stores are directly accessible from the parking lot. In addition, it will have pedestrian walkways, benches and more landscaping.

 

A 4,500-square-foot building expected to house a restaurant, with an exterior that matches the rest of Town & Country, will be poised on an outside pad at the corner of Stroop and Shroyer roads.

 

Kristin Mack, a spokeswoman for Columbus-based Casto, co-owner of Town and Country, said the changes were driven by national trends, rather than by the introduction of the Greene into the market.

 

"All retail is going that way," she said. "To keep up with the times and to keep up with where retail is going, we felt like we had to give the center a facelift."

 

Tim Tresslar is a reporter with the Dayton Business Journal, an affiliated newspaper. 937-222-6900 | [email protected]

 

http://columbus.bizjournals.com/columbus/stories/2007/03/05/focus4.html

 

From the 4/11/07 DDN:

 

 

Employment down, wages up locally

By Kristin McAllister

Staff Writer

Wednesday, April 11, 2007

 

Montgomery County saw a decrease in the number of people employed between September 2005 and September 2006, but experienced wage growth greater than the national average, according to preliminary data released Wednesday by the U.S. Bureau of Labor Statistics.

 

Of the Miami Valley counties, only Montgomery County was included in the report.

 

The county had a 1.8 percent decrease in the number of jobs, but a 3.7 percent change in the average weekly wage, which was $777 for the third quarter of 2006.

 

The national job growth rate is 1.7 percent and the average weekly wage rose by 0.9 percent compared to 2005 third quarter data.

 

Jefferson County, in Los Angeles, had the largest over-the-year percentage increase in employment among the largest counties in the U.S., according to the report.

 

Kent County, R.I., had the largest over-the-year gain in average weekly wages in the third quarter of 2006, with an increase of 18.4 percent.

 

Contact this reporter at (937) 225-9338 or [email protected].

 

http://www.daytondailynews.com/n/content/oh/story/news/business/2007/04/11/ddn041107employmentweb.html

 

From the 4/26/07 DDN:

 

 

Report: Miami Valley's personal income increases, but less than average

Dayton's growth was 3.1 percent, which remained below the national average of 5.2 percent.

By Kristin McAllister

Staff Writer

Friday, April 27, 2007

 

DAYTON — Personal income between 2003 and 2005 increased for all residents of the Miami Valley, although it remained lower than the rest of the national average increase, according to a report Thursday by the U.S. Bureau of Economic Analysis.

 

The bureau defines personal income as income received by all persons from all sources.

 

City of Dayton saw a 3.1 percent increase of personal income and is ranked 142 out of 179 metropolitan statistical areas reported in the data.

 

City of Springfield saw a 3.3 percent increase in personal income, ranking 235, while the Cincinnati-Middletown area had a 4.4 percent increase, ranking 77.

 

Nationwide, personal income grew 5.2 percent.

 

The Miami Valley also saw an increase in personal income per capita, according the report.

 

The five largest declines in county personal income were in Louisiana, due to the destruction of housing and businesses caused by Hurricane Katrina.

 

Per capita personal income ranged from $93,377 in New York County in New York, to $5,148 in St. Bernard Parish, in Louisiana.

 

Personal income per capita is calculated as the personal income of residents of a given area divided by the resident population of the area.

 

Contact this reporter at (937) 225-9338 or [email protected].

 

Per capita personal income in the Miami Valley

County          2003    2005  Change  Rank

Montgomery $30,646 $32,133  +2.9%    13

Miami          $29,331 $30,648  +4.0%    18

Greene        $31,145 $32,780  +3.4%    11

Preble        $23,889 $26,606  +3.6%    49

Warren        $31,434 $33,524  +5.7%    7

 

http://www.daytondailynews.com/n/content/oh/story/news/business/2007/04/26/ddn042607incomeweb.html?cxtype=rss&cxsvc=7&cxcat=2

 

From the 4/28/07 DDN:

 

 

Brookville project favored for top ED/GE grant

The state, county and city are planning an incentive package to lure the center; seven other grants also recommended.

By Lisa A. Bernard

Staff Writer

Saturday, April 28, 2007

 

DAYTON — A new $30 million global logistics center and a host of local companies looking to expand may get a boost through a local grant program.

 

All told, more than $1.7 million from Montgomery County's Economic Development Grant Equity program has been recommended for eight projects that together would create more than 840 new jobs. An additional five applicants for the program were declined.

 

The largest project on tap calls for a 600,000-square-foot distribution center to be built on 60 acres in Brookville's industrial campus off of Interstate 70, about 10 miles northwest of Dayton.

 

Read More...

 

From the 3/26/07 Dayton Business Journal:

 

 

Overall vacancy rates decline one percent

Dayton Business Journal - March 23, 2007

by Tim Tresslar

DBJ Senior Reporter

 

Demand for suburban offices and cheaper office space in downtown Dayton continued to climb last year, while vacancies at some of the city's best addresses jumped, according to a local real estate study.

 

In 2006, the region had a vacancy rate of about 14.6 percent, or 2.1 million square feet, down from 15.6 percent, or 2.2 million square feet, in 2005, according to the Gem Real Estate Office Market Study.

 

David Dickerson, president of Gem Real Estate, said the overall office market remains healthy, with areas around the Interstate 675 beltway and Wright-Patterson Air Force Base staying strong. And while downtown's vacancies stayed flat, more class A space -- marked by its amenities and decor -- came onto the market last year, while class B/C space held its own.

 

The study's other findings:

 

* South Market: Vacancy fell to 11.9 percent, versus 13.7 percent the previous year in cities such as Kettering and Washington Township. Lease rates range between $5.50 to $21.50.

 

* East Market: Vacancy dropped to 11.7 percent, compared to 12.1 percent the previous year in areas such as Beavercreek and Fairborn. Lease rates: $7 to $23.

 

* North and West markets: Vacancy slipped to 18.5 percent, versus 20.1 percent in 2005 in areas such as Huber Heights and Vandalia.

 

* Downtown Market: Remained virtually flat year over year. Lease rates: $6 to $21.95.

 

Jerry Hummel, a real estate agent with Coldwell Banker Commercial Heritage, said downtown tenants continue to contact him for space in the southern suburbs, in part because businesses want access to more parking. But he does see signs that demand has begun to cool, he said.

 

For example, when office space that he represents in Washington Township became available a year ago, it filled within three months. Now it takes twice that long, which also drags down lease rates, he said.

 

"When you see that, you're going to see moderation in rents," he said.

 

Mark Fornes, president of Mark Fornes Realty of Centerville, said he continues to see office space in south Dayton fill up quickly. The July sale of the former Van Dyne Crotty headquarters in Miami Township to Danis Building Construction Co. illustrates the demand for property in the south suburbs, he said. The building sold for nearly $3 million before being publicly listed for sale, he said.

 

Dickerson said the influx of medical offices into the northern suburbs helped that market grow last year.

 

The study found that downtown's class A market -- a collection of nine buildings -- took some hits, with vacancy in that category jumping 4 percent, or 92,000 square feet, last year.

 

Vacancy rates for class B and C buildings in the downtown fell to nearly 20 percent, or 550,000 square feet, as opposed to 22.3 percent, or 628,000 square feet, of empty space in 2005.

 

Fornes said a perception of the city as unsafe as well as a lack of new buildings have hurt the downtown. Like a new restaurant coming to town, new office space draws tenants more easily, he said.

 

When companies such as WorkflowOne's predecessor, Relizon, or CareSource Management Group, can secure new buildings, they stay downtown, he said. If developers added more new buildings to the mix, downtown would benefit, he said.

 

And the buildings wouldn't necessarily need to be the office towers that one typically associates with big cities, he said. An office component with the proposed $230 million Dayton Waterfront project would help fill the need for new space, Fornes said.

 

"What the downtown needs is new product," Fornes said.

 

Jeff Levine of Colliers Turley Martin Tucker said the downtown has more space than users. But he still knows of large tenants such as banks and law firms scouring the city for new space, though it's primarily companies that already have a presence downtown.

 

"There are big users looking," he said. "But whether anything comes from it remains to be seen."

 

Levine, who represents 10 West Second Street, the former MeadWestvaco Tower, said the building will remain 100 percent leased until the end of the month when MeadWestvaco's master lease expires, taking occupancy to 50 percent. CareSource has agreed to move 80 employees into the building until 2008.

 

But he also points out that other big cities have trouble filling their downtown office towers.

 

"It's not that we're unique," he said.

 

E-mail [email protected]. Call 222-6900, ext. 119.

 

http://dayton.bizjournals.com/dayton/stories/2007/03/26/focus2.html

 

From the 2/23/07 Springfield News-Sun:

 

 

Siemens to move to Mexico

By LaToya Thompson

Staff Writer

Friday, February 23, 2007

 

Siemens Energy and Automation announced Friday it will close its plants in Urbana and Bellefontaine — a loss of more than 700 jobs to the area.

 

Government and civic officials and union members in Champaign and Logan counties have met with the company, since Siemens first announced its shutdown plan in December, to try to keep the facilities operational.

 

The company said the plants, which manufacture circuit breakers, are no longer competitive in their markets, and the products will be outsourced to plants in Mexico and to other third-party suppliers.

 

...

 

More at:

http://www.springfieldnewssun.com/n/content/oh/story/news/local/2007/02/23/sns022207siemensweb.html

 

From the 3/26/07 Dayton Business Journal:

 

 

Reynolds' overhaul spurs worker departures

Dayton Business Journal - March 23, 2007

by Tracy Kershaw-Staley

DBJ Staff Reporter

 

Five months after being acquired by its Texas rival Universal Computer Systems, Reynolds and Reynolds Co. is making broad changes in how it operates.

 

The Kettering automotive dealer software maker, one of Dayton's oldest and largest companies, has reversed its strategy on outsourcing -- pulling work out of China and India -- and is moving portions of work from its local repair and logistics center to Texas.

 

...

 

http://dayton.bizjournals.com/dayton/stories/2007/03/26/story1.html

 

From the 4/18/07 DDN:

 

 

Reynolds & Reynolds plans to bring jobs back from overseas

By Thomas Gnau

Staff Writer

Wednesday, April 18, 2007

 

KETTERING —Jobs are actually leaving China and India and heading back to the United States.

 

Reynolds and Reynolds announced plans Tuesday to escalate recruitment of software programmers at its local headquarters, One Reynolds Way off County Line Road.

 

...

 

http://www.daytondailynews.com/n/content/oh/story/news/business/2007/04/17/ddn041807reynolds.html

 

From the 4/21/07 DDN:

 

 

Reynolds sells Incadea operations

Dayton Daily News

Saturday, April 21, 2007

 

KETTERING — Reynolds and Reynolds said Friday it has sold its Incadea operations and assets to a new company led by former Incadea chief executive Peter Wenger.

 

The new company will be named GmbH. and will continue to support the Incadea auto dealership management system, partner networks and customers, Reynolds said.

 

The change has no impact on Dayton-area employees, Reynolds spokesman Thomas Schwartz said.

 

...

 

http://www.daytondailynews.com/n/content/oh/story/news/business/2007/04/20/ddn042107reynolds.html

 

Huffy headquarters up for sale or lease

BY LISA A. BERNARD | DAYTON DAILY NEWS

July 30, 2007

 

MIAMISBURG — The Huffy Corp. is placing its Miamisburg headquarters up for sale or lease, according to GEM Real Estate Group.

 

Located at 223 Byers Road, Huffy is "reassessing their space needs ... and is interested in possibly maintaining a reduced amount of space at the current location while exploring a number of options," according to a release by GEM.

 

...

 

I had already posted about the decline in  manufacturing in Dayton.

 

This time looking at the Montgomery County private sector economy as a whole. 

 

CBP groups firms by sector using the North American Industrial Classification System (NAICS).  The following sectors are found in Montgomery County:

 

 

 

 

Rather than measure employment I will use payroll, as this would show the economic impact of a sector…how much is paid, in aggregate,  to workers, and then how much payroll is in the county, as an indirect measure of the degree of economic activity.

 

The aggregate payroll for Montgomery County (built up from the various sector aggregates is thus:

 

 

As one can see there is no real net growth, or minimal growth (perhaps due to inflation over the time series).  Aggregate payroll is more or less stagnant in the Dayton area, indicating a degree of economic doldrums, even during “good times” of the late 1990s.

 

 

 

Then a look at shifting percentages, showing the two big sectors, Health Care/Social Services and Manufacturing, and how Manufacturing is shrinking.  Yet the economy is actually somewhat diversified here, as neither sector dominates. 

 

 

 

 

Now some trends.  The drop in manufacturing and rise in health care payroll is quite evident here. 

 

But note also the rise in the scientific/profession/technical payroll.  Perhaps this is reflection of the importance of Defense spending in the local economy? If so, these firms are “private sector” but not really, as they are almost like quangos as their revenue (and reason for being in Dayton) comes from government contracts. 

 

 

 

Looking at the lesser sectors, one can see the drop in management, the plateauing and slight drop in retail,  and the rise  (and then plateauing?) of the Information and Scientific/Professional/Technical sectors

 

 

 

 

Comparing the sectors in another way, for 1998 and 2005.  One can see that growing sectors, in terms of payroll, are Health Care/Social Services,  Scientific/Technical/Professional, and Information sectors.  The strength of Health Care is a bit of an issue as socialized medicine is back on the political agenda, and what would the impact of this be on this strong local sector?

 

 

 

All in all if there is continuing significant drop in manufacturing and if health care employment/payroll is reigned in or cut back this could move the regional economy from mere stagnation to actual decline.  But a decline into a smaller but more diversified economic structure.

 

IBSA moves corporate headquarters to Dayton

 

By Thomas Gnau

Staff Writer

 

Friday, January 04, 2008

 

WASHINGTON TWP. — A company that considers itself a competitor of Standard Register is moving its corporate office from Indianapolis to the Dayton area, the company said Friday.  International Business Solutions Alliance is an alliance of more than 130 "distributor companies," many of whom work in some of the same fields in which Standard Register is entrenched, selling office forms, commercial printing, promotion products, letterhead and more. IBSA acts as the sales and marketing arm for member businesses.

 

More below

http://www.daytondailynews.com/

Yay Washington Twp!

Dayton really needs to build some high class business parks outside of downtown to woo companies such as this in their borders. Not all companies want to be directly in downtown.

^Unfortunately you are right.

great news.

 

so much better to hear than the typical and painful one cleveland suburb poaching something off another nonsense i usually read about.

I am trying to recall were Windsor Park Drive is?

Isn't that where the Paragon Club is?

Windsor Park runs between Normandy Lane and Congress park Dr.

 

http://www.mapquest.com/maps/map.adp?formtype=address&addtohistory=&address=432%20Windsor%20Park%20Dr&city=Dayton&state=OH&zipcode=45459%2d4111&country=US&geodiff=1

Mound Laser & Photonics wants Dayton to be major laser manufacturing center

 

By Thomas Gnau

Staff Writer

 

Tuesday, January 08, 2008

 

Larry Dosser steps off an elevator and turns a corner, gesturing and talking all the while.

 

"It's as exciting and dynamic a time as it's ever been," said the president and chief executive of Mound Laser & Photonics Center Inc. in Miamisburg.

 

Dosser talks about the laser welding system his company bought in 2007, the 1,500 square feet in floor space by which his company expanded and the 600-watt fiber laser welding system he expects to be shipped to him Jan. 14.

 

...

 

More at:

http://www.daytondailynews.com/b/content/oh/story/business/2008/01/07/ddn010808laser.html

I service the dell computers at this company. Pretty cool to see them in the spotlight...

Dayton has been a major player in the laser industry for years. I had a friend who worked at LaserMike in the early 90's. I'm glad they are growing the industry in Dayton.

'Dream girl' says she's in dream spot downtown

Suney's Beauty and More will open with expanded business in McCrory's building.

 

By Joanne Huist Smith

Staff Writer

 

Friday, January 11, 2008

 

DAYTON — Dream girl, that's what downtown business owner Suney England calls herself. Though there have been lean years operating a business downtown, she never wavered in her belief in the city's core as the location for Suney's Wigs and More.

 

More below

http://www.daytondailynews.com/n/content/oh/story/news/local/2008/01/10/ddn011108mccroryinside.html

God Bless Dayton, wigs and all.

Tuesday, January 15, 2008 - 11:30 AM EST

Officials discuss Dayton's economy at annual forum

Dayton Business Journal

 

Local business officials are cautiously optimistic about the future of Dayton's economy in 2008.  That was the finding of a panel at the Dayton Business Journal's 2008 Economic Forecast forum, held Tuesday morning at the Doubletree Hotel in downtown Dayton.  Paul Bauer, economic adviser with the Federal Reserve Bank of Cleveland, served as the keynote speaker and is optimistic about the future locally and nationally.

 

A sold out crowd of more than 250 people heard about challenges and solutions for the Dayton-area economy from a panel of local officials, which included Thomas Traynor, professor of economics at Wright State University; Douglas Harnish, president of Gem Public Sector Services; J.P. Nauseef, president and chief executive officer of the Dayton Development Coalition; and Tom Mangan, senior vice president and portfolio manager of Beavercreek-based James Investment Research.

 

Full article at http://www.bizjournals.com/dayton/stories/2008/01/14/daily13.html

Coalition looks to bring 10K jobs to Dayton

January 18, 2008 | DAYTON BUSINESS JOURNAL

 

DAYTON - The Dayton Development Coalition launched a campaign Friday aimed at adding more than 10,000 jobs to the Dayton region by the year 2020.

 

The campaign seeks to take advantage of the new missions scheduled to move to Wright-Patterson Air Force Base as a result of the 2005 Base Realignment and Closure process -- which will increase direct base employment by about 1,200 positions...

 

Sounds like a decent idea to me...

Oh lord. . .I sure hope Rhine Mclin is not attending this. No one will move :-(

 

www.daytondailynews.com

Local leaders plan BRAC open house in Texas

Staff Report

 

Thursday, January 24, 2008

 

DAYTON — Economic development officials anticipating the scheduled transfer of hundreds of jobs to Wright-Patterson Air Force Base by 2011 are working to encourage employees currently in those positions to relocate to the Dayton area.

 

The Dayton Development Coalition said Thursday it is planning a "Meet the Dayton Community" open house in San Antonio, Texas, on a date to be determined sometime late this summer...

 

The new McCrory's building is an art deco gem! It really polished up nicely. The big story in this is Bob and Nancy Schiffler and how they are transforming downtown between Third and Fourth. Watch the news . . . the Arcade will soon be under development thanks to the Schifflers.

Can someone in Dayton provide some pics?