Alabama has the lowest unemployment rate in state history. There are job openings all over the state that businesses and governments cannot fill, yet the state has one of the country’s worst labor force participation rates. That Alabamians are choosing to stay home rather than join the booming economy has increasingly perplexed state leaders.
“Despite having one of the lowest unemployment rates in the country and a record number of Alabamians working, the percentage of Alabamians participating in the labor force is lower than almost any other state,” Governor Kay Ivey wrote recently. “While we are increasing that by the tens of thousands, we have to change this statistic. Getting folks off the sidelines and into the labor force is my next priority.”
On Monday, Speaker of the House Nathaniel Ledbetter announced members of the Alabama House of Representatives that will serve on an ad hoc committee studying Alabama’s labor force participation rates and identifying barriers to workforce entry.
“Alabama is witnessing record-breaking economic growth and historically low unemployment rates,” Ledbetter said. “Despite these numbers, in Alabama, there are roughly 140,000 job openings and, at the same time, 48,834 unemployed workers across our state. That means we are lacking nearly 100,000 workers over 16 years old, which puts our labor force participation rate at a mere 57 percent—one of the lowest rates in the entire country.”
The House members appointed to serve on the study commission will be Rep. Reed Ingram (R–Pike Road), who will serve as the Chairman of the Committee. Rep. Danny Garrett (R–Trussville); Rep. Donna Givens (R–Robersdale); House Minority Leader Anthony Daniels (D–Huntsville); Rep. James Lomax (R–Huntsville); Rep. Barbara Drummond (D–Mobile); Rep. Mike Kirkland (R–Scottsboro); Rep. Bill Lamb (R–Tuscaloosa); Rep. Kelvin Lawrence (D–Hayneville); Rep. Curtis Travis (D–Tuscaloosa); Rep. Chris Pringle (R–Mobile); Rep. Matt Woods (R–Jasper); Rep. Wes Kitchens (R–Guntersville); Rep. Jim Carns (R–Birmingham); and House Majority Leader Scott Stadthagen (R–Hartselle).
“Over the coming months, it will be imperative for this group to build on the progress of, and collaborate with, existing entities such as the Lt. Governor’s Commission on 21st Century Workforce, the Alabama Community College System, Alabama higher-education institutions, and essential stakeholders across the private sector,” Ledbetter said.
The study commission is expected to address areas including extending adequate childcare to families, examining the correlation between productivity growth and labor output, ensuring wages and salaries are competitive, addressing workforce housing concerns, and offering improved and more expansive mental health programs and services to citizens.
“An insufficiency of resources such as these creates barriers to workforce entry as much as an absence of quality education,” Ledbetter postulated.
The study commission is slated to host their first meeting on Thursday, October 5, at 10:00 a.m. in room 617 of the Alabama State House.
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