Petroleum and construction lead, but both still volatile
Employment gains continue in September, but recovery may be fragile
Employment ticked up 2,000 jobs in September compared with the same month in 2018, a 0.6 percent gain. The state Department of Labor and Workforce Development has been reporting modest increases in wage and salary employment for the last several months, a signal that the state’s recession has ended for now. Still, the gains are very small and are led by two industries that are still volatile – petroleum and construction. Oil and gas employment was up 5.4 percent in September, or 500 over the same month in 2018. Higher petroleum employment was influenced by a heavy season for annual maintenance on North Slope processing plants which continued through part of September. Construction was up 800 jobs, or 4.4 percent, year over year. Much of the construction activity was tied to military installation work in the Interior. Other industries were flat or showed very minor gains or losses: Wholesale trade employment was flat; retail was off 0.5 percent, while transportation, warehousing and utilities were up 0.4 percent.
One encouraging sign: Professional and business services, a field that includes engineering, was up 1.4 percent, or 400 jobs, year over year. This is likely tied to engineering work related to planned new oil and gas projects on the North Slope. The labor department’s monthly job data are estimates subject to revision.
Good news in Prince William Sound: Oil contamination at all-time low
Low-level oil contamination in Prince William Sound is at an all-time low, an environmental consultant to the Prince William Sound Regional Citizens’ Advisory Council said in a report. Improvements by Alyeska Pipeline Service Co. in its ballast water treatment system and the tanker industry’s move to double-hulled vessels and other changes is credited for a drop in petrogenic hydrocarbons being released into Port Valdez from the Valdez Marine Terminal. Payne Environmental Consultants of Encinitas, Calif. conducted the survey in 2018. The ballast water treatment system removes residual oil in ballast water from tankers, which is used to stabilize the vessels. The citizens’ advisory council is a federally-chartered citizen watchdog group.
State-led health care recruitment program filled 347 positions 2010-2019
An innovative state-led program to recruit health care professionals in categories where there are shortages and to outlying communities underserved in health care has resulted in 347 placements of staff since 2010, at a cost of $15.1 million in federal and state funds. The program helps health professionals pay medical education debt and pays incentives to get experienced professionals to serve in places like rural Alaska. The state Dept. of Health and Social Services, or DH&SS, coordinates the program, which is known as “SHARP. ” A first phase in 2010 involved federal funds and targeted rural areas; a second and expanded phase involved state funds and helped professionals serving in larger communities. A third phase, approved by the Legislature and approved recently by Gov. Mike Dunleavy, involves private employers making direct payments to recruit professionals with help with education debt. The tax status of the payment is a big factor. The federal Affordable Care Act allows education loan assistance in heath care to be tax-exempt, but only if the incentives are part of the state-managed program. DH&SS is now working on regulations to implement the latest phase.