Tag Archives: Scott Paul


Arizona manufacturing jobs pay above average

Full-time manufacturing jobs for non-college degree workers pay a wage premium of more than $3,700 annually over jobs in other economic sectors and have a significant positive impact on the U.S. economy, according to a new report issued today by the Economic Policy Institute (EPI).

In Arizona, the report shows, the average manufacturing worker makes $18.71 an hour compared to $16.40 an hour for other workers, an annual wage difference of $4,804.80 for the usual 2,080 hours of full-time work per year.

Manufacturing jobs make up 6.2 percent of total state employment in Arizona, which ranks 37th in the nation by share of manufacturing jobs. In raw numbers, Arizona ranks 27th in manufacturing jobs with 155,100.

“This report makes clear just how crucial the manufacturing sector is to the nation’s economy,” said Scott Paul, president of the Alliance for American Manufacturing. “Manufacturing’s wage premium is a clear path to the middle class. But to bring those jobs back we must tackle the enormous U.S. goods trade deficit, and make a serious, long-term investment in transportation infrastructure.”

Despite this wage premium, recent manufacturing job growth has been hamstrung by the mushrooming goods trade deficit. The United States lost 5.7 million manufacturing jobs between March 1998 and December 2013, the report found, with the principal causes of job loss identified as the weak recovery from the Great Recession; and growing trade deficits, especially with China, Mexico, and other low-wage nations. The U.S. trade deficit in manufactured goods has increased sharply since 2009.

The EPI study, “The Manufacturing Footprint and the Importance of U.S. Manufacturing Jobs,” found that the sector employed 12 million workers in 2013, or about 8.8 percent of total U.S. employment, including a higher overall share of workers without a college degree.  On average, these workers made 10.9 percent, or $1.78, an hour more than similar workers elsewhere in the economy.

The report found that manufacturing plays a particularly important role in supporting jobs in a group of states in the upper Midwest and South. Complete data for employment in each state and for all 435 congressional districts and the District of Columbia are available in the EPI Manufacturing Employment Map.

In addition to the 12 million people employed in U.S manufacturing, the sector supports some 17.1 million indirect jobs, for a total of 29.1 million jobs directly and indirectly supported – more than one fifth (21.3 percent) of total U.S. employment in 2013.

China Trade Deficit Causes 50,000 Lost Jobs In Arizona

China Trade Deficit Causes 50,000 Lost Jobs In Arizona

China Trade Deficit Causes 50,000 Lost Jobs In Arizona

Since 2001, the trade deficit with China has made a major impact on the United States. 2.8 million jobs have been lost, mainly in the manufacturing industry. However, now the deficit is hitting closer to home.

Arizona itself has experienced a job loss of 50,000 jobs, according to a study released by the Economic Policy Institute.

The growing trade deficit began when China entered the World Trade Organization. However, one of the most major causes of the ever-growing deficit with China is its illegal currency manipulation, according to Robert E. Scott, the EPI’s Director of Trade and Manufacturing Policy Research.

China’s currency, the yuan, does not fluctuate freely against the dollar. Instead, it is programmed in order to help increase China’s exports.

The most major losses that occurred nationwide were in the computer and electronic parts industries, as 909,000 jobs were lost. The imports of the industries accounted for more than 44 percent of the $194 billion increase in the trade deficit between 2001 and 2010.

“Arizona urgently needs more manufacturing jobs to put people back to work, but our out-of-control trade deficit with China makes that impossible,” says Scott Paul, executive director of the Alliance for American Manufacturing.

In addition to Arizona, the deficit has also impacted each congressional district, including the District of Columbia and Puerto Rico.

China’s share of the total U.S. non-oil trade deficit has risen from 69.6 percent in 2008 to 78.3 percent in 2010. In addition to the currency, this is due to state-owned enterprises, industrial subsidies, property theft and piracy, innovation policies, rare earth mineral export restrictions and other trade-distorting practices.

In response to the deficit, Paul states, “Reducing our trade deficit and stopping China’s unfair trade practices will grow jobs, lower our trade deficit and put the United States on sound fiscal footing.”

By “challenging China’s currency manipulation,” there will be an increase in federal revenue, Paul said. Paul also said that China must raise the value of the yuan by at least 28.5 percent, otherwise job losses are going to continue to increase.