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Tri-Cities Area Journal of Business • June 2017
Manufacturing
Food processing jobs lead local manufacturing boon BY ROBIN WOJTANIK
for Tri-Cities Area Journal of Business
The Tri-Cities has seen the creation of thousands of new jobs in manufacturing, despite a loss of manufacturing jobs across the state. Jobs in food processing led the way for the region, with gains in non-durable manufacturing up 2.9 percent between March 2016 and March 2017, which translates to about 2,400 new jobs, according to the Bureau of Labor Statistics. Food processing puts more people to work in manufacturing than any other specialty in the Tri-Cities, with 68 percent of total manufacturing jobs connected to products like French fries, potato chips and carrots. Non-durable manufacturing, like metal and aerospace, lost 7,600 jobs statewide, or 4.8 percent, in the same period. The success of food manufacturing in the Tri-Cities helps temper the 2.6 percent decrease in employment for overall manufacturing across Washington state. “Just last year we had some layoffs in manufacturing in the first half of the year, and during the rest of the year, a couple changes in manufacturers’ operations compensated for all the losses we had from layoffs. And they added additional jobs in manufacturing, so that we added about 1,000 jobs overall for 2016, putting manufacturing as one of the leading industries for growth year over year,” said Ajsa Suljic, regional labor economist for the state Employment Security Department.
The region doesn’t rely heavily on to labor statistics. The continued growth in manufacturing manufacturing jobs as a driver of the economy as they make up less than four jobs in the Tri-Cities is mainly resourcepercent of total employment in the Tri- based. The region’s close proximity to Cities, though it is growing, according to where crops are grown is a key to success. Most farms are within 50 miles of a prolabor statistics. Wages for food processing tend to be cessing facility, decreasing the distance lower than those related to non-durable needed to transport the potatoes that will become fries or chips. goods, which include Having other profabricated metal, cessing facilities machinery and comalready in the area conputer electronics tinues to lure new comcompanies, totaling percent of to the region, as roughly 1,500 workmanufacturing jobs panies they offer varying types ers. in Tri-Cities are in of manufacturing, from Non-durable goods companies the food processing canning vegetables to dehydrating fruit. employ about 2,500 industry. “It gives a new manpeople, mostly in ufacturer the opportufood processing. This nity to be where everyfigure also includes thing is available. You the manufacturingonly portion of the local wine industry, as might have packaging suppliers here, other steps in winemaking are covered by transportation available, distributors, so it different sectors, with the largest falling builds on itself and creates a cluster where under agriculture. Manufacturing roles everyone can succeed at the same time,” don’t just include hand packers, but also Suljic said. If food processing is the backbone of innovators and scientists to increase effimanufacturing, French fries are the leader ciency. On average, a manufacturing job in the in the production, followed by potato Tri-Cities pays slightly more annually than chips. Fries don’t necessarily employ the the average of all wages in the Tri-Cities, most people in food processing, but they $53,537 compared to $51,676. The annual account for the greatest volume of producsalary for a job in non-durable manufactur- tion from the industry. The region is also a ing for this region averages $69,036 versus large volume processor of carrots, apples $43,677 for a worker in non-durable man- and peas. The added availability of cold ufacturing, like food processing, according storage has also increased the demand for
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food processing in the Tri-Cities. The Tri-City manufacturing industry weathered the recession and expanded industry jobs by about 4 percent since 2003, according to labor statistics. Statewide, the industry has not recovered from the jobs lost in the recession, mainly tied to a drop in durable manufacturing positions. In Benton and Franklin counties, manufacturing jobs increased during the recession. Manufacturing jobs tend to be stable, offer good benefits, and provide the opportunity for laddering, which can make the jobs consistent and desirable, Suljic said.
Food, beverage trade show runs June 14-15 in Pasco
The third annual FABREO expo runs June 14-15 at the TRAC facility in Pasco. The trade-only event is designed to bring together food or beverage processors with industry brokers, distributors, retailers and service exporters from throughout Washington, Oregon and Idaho to network, learn and succeed. Last year’s event attracted between 300 to 400 attendees and there were 70 vendors showcasing their wines, ciders, sauces, distilled spirits, spices, candies, pickled asparagus, mustards, cheeses and other specialty foods. Cost is free to attend. More information about the event online at fabreo.org.