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New labor report traces long arc of Maine's workforce changes

A sawmill worker wearing a green shirt walks on a metal walkway over several large metal hoppers filled with logs.
Ari Snider
/
Maine Public
A worker at JD Irving's Ashland Sawmill surveys the log sorting machine.

A new report from the Maine Department of Labor documents decades of change in the state's workforce, and how those changes have impacted the economy.

Mark McInerney, director of workforce research at the DOL, said one of the key takeaways is the close link between population growth and job growth.

He said that partly explains the state's current period of slower economic growth as the birthrate falls.

"That results in a labor force that isn't growing at such a rapid rate, but it also affects, you know, a variety of other things, including demand for goods and services in the economy," he said.

McInerney said the report also illustrates the state's transition away from manufacturing, toward an economy driven more by health care, social assistance and business services.

He said that shift in industry has also lead to a geographic reconfiguring of the state's economy, as many towns and cities in northern Maine lost their manufacturing businesses.

"Understanding that shift in the industry composition is really helpful in terms of understanding many of the geographic differences that we see in terms of economic outcomes, income, and many other measures that we see across different regions of the state today," he said.

McInerny said that shift away from manufacturing mirrors a national trend going back as far as the mid 1900s.