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New PA labor report reveals economic progress, challenges

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Danielle Smith, Public News Service

A new report highlights Pennsylvania’s strong economic growth and recovery, making the state a favorable environment for job seekers.

The findings from the Keystone Research Center show job growth in the state has consistently kept pace with, or exceeded, national rates over the past three years – despite slow working-age population growth.

Economist and the center’s Executive Director Stephen Herzenberg said wages for nearly all groups of workers are increasing when adjusted for inflation.

“Whether you’re a low wage worker, whether you’re in the middle, whether you’re a woman or a person of color or even a blue collar worker,” said Herzenberg, “all of those categories of workers have seen inflation adjusted wages go up in the last year, in the last four or five years, and in the last decade.”

Pennsylvania’s unemployment rate is holding steady at 3.4%.

Despite overall positive trends, Herzenberg said income inequality remains a concern – because the benefits of economic growth were so unevenly distributed between 1980 and 2015.

Herzenberg pointed out the economy’s success can be attributed to effective policies implemented during and after the pandemic.

He added that large-scale federal relief and investment bills have played a crucial role in the recovery.

“We’ve had investments in infrastructure and climate and innovation,” said Herzenberg. “Two of those three bills passed in a bipartisan way, one of them with just Democratic votes – and those federal investments have helped sustain economic growth.”

Herzenberg said he believes the Biden administration has possibly been the most pro-worker and pro-union in White House history.

The report indicates that in 2023 alone, union membership in Pennsylvania jumped 30% in the broad private service sector – up 64,000 workers to a new total of 279,000.

This article originally appeared on Public News Service and is republished here under a Creative Commons license.