Wilmington Yet Another Example of Kasich Misrepresenting His Record
COLUMBUS – Yesterday, the Kasich-Taylor campaign released a new campaign ad titled “Johnny’s Story,” about the expansion of jobs at the Wilmington Air Park. However, the Kasich campaign left a few key details left on the cutting room floor. In fact, AMES wouldn’t be there today if the following hadn’t happened:
· In 2009, 431 new jobs were created when AMES was awarded tax credits under the Strickland Administration, creating 431 new jobs. [Source: Ohio Department of Development, 2009 Job Creation Tax Credit Annual Report pg. 30.] The following year, the Strickland Administration completed the transfer of the Air Park to the City of Wilmington and Clinton County Port Authority, putting the park in the communities’ ownership. [Source: Cincinnati Enquirer(11/11/2008), “Strickland pledges help.”]
The later expansion of AMES under Kasich would not have been possible without the initial actions by the Strickland Administration to bring AMES to the Air Park in 2009 in the first place and making it possible for AMES to take over the management of the Park in 2010.
· The Kasich ad also neglects the fact that the administration literally raided other Ohio communities of jobs in order to claim it had brought jobs to Wilmington. The Columbus Dispatch reported that “[t]wo months after celebrating with Gov. John Kasich over a state-sponsored tax deal to add jobs in Wilmington, TimberTech formally notified the state it will close its Columbus factory.” [Source: Columbus Dispatch (7/31/2013)]
· And sadly, Clinton County’s economy is struggling under Kasich’s policies. In August, the county had the 13th highest county unemployment rate in Ohio. According to the U.S. Department of Labor’s Bureau of Labor Statistics, the unemployment rate in Clinton County is on the rise, higher now than it was in April, and there are less people employed in Clinton County than when Kasich took office.
In response to this latest Kasich campaign ad, Ohio Democratic Party Chairman Chris Redfern released the following statement:
“Leave it to Governor John Kasich to ignore the fact that his own failed policies have hurt Ohio communities like Clinton County while taking credit in a campaign ad for the economic progress that was only possible because of Ted Strickland. Ohio’s economy is stalling with Kasich behind the wheel.”
For the 21st straight month, Ohio’s job creation rate has been lower than the national average. In reaction to the July jobs report, economic research analyst George Zeller noted, “July 2014 was the 21st consecutive month when Ohio’s job growth was slower than the U.S. national average, with the gap between Ohio’s rate and the U.S. rate increasing in July.” [Source: Cleveland Plain Dealer (8/15/2014), “Ohio lost 12,400 jobs in July: Unemployment rate up to 5.7%.”]
Illinois created more jobs in August alone that Ohio has so far this year. According to the Bureau of Labor Statistics, Ohio has created only 8,300 new jobs since January, which is less than the 13,800 jobs Illinois created in August alone.
Job creation under John Kasich in Ohio has lagged U.S. job growth. In fact, at least 8 other governor’s terms since 1959 have seen stronger job growth than Ohio has seen so far under John Kasich. [Source: Cleveland Plain Dealer(8/5/2014), “Ohio lags U.S. jobs growth, as it has under a half-century of governors from John Kasich to Michael DiSalle.”]
In fact, Ohio’s job creation rate is substantially the lowest of any State in the region for the past year. Ohio’s job creation rate for the past twelve months is half of West Virginia’s and nearly a third of Kentucky’s or Michigan’s, according to the Governor’s Office of Budget and Management. [Source: Ohio Office of Budget & Management, September Monthly Financial Report, pg. 4]
When Kasich was elected Governor, Ohio’s job creation rate was nearly twice that of the national rate. Now, Ohio’s ranked 41st in job creation with a rate less than a third of the national rate. In November 2010, Ohio’s job creation rate was 1.02% compared to the national average of .54%. Now, Ohio is ranked 41st in the nation with a job growth rate (.58%) lower than it was in 2010 and a third of the current national rate (1.84%). [Source: Arizona State University, W.P. Carey School of Business, “Job Growth USA” website (accessed 9/24/2014)]
Ohio actually had more jobs in April than August. According to the U.S. Department of Labor Bureau of Labor Statistics, Ohio had more jobs in April than it reported in July. [Source: Bureau of Labor Statistics (CES Survey, seasonally adjusted numbers (accessed at 8/18/2014).]
In 2010, Ohio created over 55,000 new jobs — more than it did in 2013 under Kasich. According to the U.S. Department of Labor’s Bureau of Labor Statistics, Ohio created 55,100 jobs in 2010, a year before Kasich took office, while only creating 50,400 jobs last year. [Source: U.S. Department of Labor, Bureau of Labor Statistics, CES Survey, seasonally adjusted (accessed 5/8/2014)].
Job gains under Kasich are in lower paying industries than the jobs lost in the recession. “Weekly hourly earnings in the industries that showed employment gains since the recession in Ohio range from $12 to about $25 per hour,” [Veronica Kalich, an economics professor at Baldwin Wallace University] said, adding that professional and business services came in a little higher. “Employment has not recovered in the higher paying jobs.” [Source: Cleveland Plain Dealer, (7/7/2014), “Ohio has not recovered 120,000 jobs lost since the recession: some say number higher.”]
Unemployment rate drop has been fueled by people leaving the workforce, not job creation. Since Kasich took office, Ohioans labor market has shrunk by 91,000. According to the Bureau of Labor Statics, 91,000 Ohioans have dropped out of the labor market since Kasich took office. In 2014 so far alone, over 43,000 Ohioans dropped out of the labor market. [Source: U.S. Department of Labor, Bureau of Labor Statistics, LAUS Survey, seasonally adjusted (accessed 8/15/2014).
Nationally, the country now has more jobs than it did at its pre-recession level. With today’s national jobs report for May, the country now has more jobs than it did before the 2008 recession. [Source: New York Times(6/6/2014), “In Jobs Report, Two Milestones.”]