It's the Employment Thing

It’s been widely reported that metro Pittsburgh generated a paltry 2,000 jobs in the latest Quarter and its unemployment rate shot up a full percentage point from the mid-sixes to the mid-sevens.  Even with the caveat that unemployment rates for specific metro areas are less exact than national numbers [is the phrase “even less exact” a better characterization?] this is still a disturbing trend.

Is Pittsburgh back to status of first-into-recession/last-out?  Well, maybe, sort of.

Things are not as good anywhere as reported and, I personally believe, getting worse over in the entire US economy. But what explains Pittsburgh’s next to last ranking among large metro areas when it comes to job creation?

Is it the tax climate? What about Minneapolis or Boston - they're worse than Pittsburgh. Is it the weather climate? Oh c'mon, can't use that excuse given growth in other cities with far worse weather. And besides, one man’s “bad weather” is another’s “outdoor recreation opportunity”. Is it an "inside the center/outside the center" thing? By that I mean Allegheny and much of Washington and Butler counties have people that could be from anywhere else in the country, New York to L.A. But travel to the more outlying counties and we too often find, as but one example, lower educational levels.  Having traveled throughout that territory I can personally attest that the attitude of locals is too often less than welcoming to outside interests. You’ve got to want economic development before outsiders will look at you.  But I digress.

Is it reporting problems? How can Pittsburgh be SO far behind after being at the forefront recently? I mean PNC is growing, Dick's Sporting Goods is growing, I see new hotels and stores everywhere, just look at South Hills Village and Ross Park. But the retail hiring took a huge hit in the numbers I saw. So what is it?  I don’t have answers but the questions need asked.

If Pittsburgh and the central counties need to bear the burden of metro economic development then that’s just the way it is.  Here’s one thought.  In previous posts I’ve fingered CMU, as important as they are to Pittsburgh, for what I see as mediocre commitment to local economic development. From what I can tell, Cohon’s administration has not done enough to bring development into Pittsburgh. Currently, CMU exports most of its talent to the Silicon Valley. I pray the new President Suresh, from MIT with its enviable development record in Boston, will be different. Have you been to Cambridge recently? It's already living 2050 in terms of what is being researched there, especially around MIT. Oakland needs that. Redo Panther Hollow as a Silicon Hollow I say!