Made In America: New Manufacturing Study Details Regulatory Costs

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MANUFACTURING STUDY ASSESSES REGULATORY COSTS
The National Association of Manufacturers (NAM) has issued a new report that shows the macroeconomic impact of federal regulations. The NAM commissioned the analysis by economists Nicole V. Crain and W. Mark Crain, who estimated total federal regulatory costs reaching $2.028 trillion in 2012 (in 2014 dollars).

The study also reveals the extent to which manufacturers bear different shares of regulatory burdens. The study finds the burden is heaviest on small manufacturers because their compliance costs are often not affected by economies of scale.

According to the analysis, the average U.S. company pays $9,991 per employee per year to comply with federal regulations. The average manufacturer in the United States pays nearly double that amount — $19,564 per employee per year. Small manufacturers, or those with fewer than 50 employees, incur regulatory costs of $34,671 per employee per year. Read the executive summary of the report at this link.

USA TODAY: MORE HIGH SCHOOLS TEACH MANUFACTURING SKILLS
USA Today highlights efforts to target teenagers for manufacturing jobs that are seemingly available in spades across the U.S.  From USA Today:

Manufacturing courses were dropped from vocational education programs as the industry declined over the past three decades and no one tracks how many high schools offer them now. But Project Lead the Way, which creates high school engineering and technology curricula, says one manufacturing class it designed for a Wheeling, Ill. high school is offered in about 800 schools — nearly twice as many as in 2009.

The training targets a glaring imbalance in the labor market. Despite high unemployment since the recession, manufacturers still struggle to fill hundreds of thousands of job openings. Since bottoming out in February 2010, employment at U.S. factories has risen by 700,000 to 12.1 million, recouping about 30% of the jobs the industry lost in the downturn.

Read more here about how manufacturers are looking at high schools and community colleges to develop the skills needed to fill labor needs in a much bigger way.

OXANE MATERIALS TO CLOSE VAN BUREN PLANT, ESTIMATED 70 JOBS LOST
Officials with Houston-based Oxane Materials plan to close their Van Buren proppant manufacturing facility on Jan. 23, 2015. The closure will result in the loss of an estimated 70 jobs. The notice of the closure was in a letter dated Nov. 24 to Van Buren Mayor Bob Freeman from Chris Coker, president of Oxane Materials.

“Please be advised that on January, 23, 2015, Oxane Material, Inc. expects to permanently close its business operations located at 3003 Industrial Park Road, Van Buren. … The result of this action will result in the termination of employment for all employees working for the Company at this location,” Coker wrote. More on this story at this link.

NANOMECH CELEBRATES A COMPANY MILESTONE, EXPANDS HEADQUARTERS
NanoMech, a Springdale-based nanotechnology manufacturer, celebrated the opening of its global headquarters on Friday (Nov. 21). Attending was Gov. Mike Beebe, an early supporter of the technology that can’t be seen by the naked eye. A U.S. Department of Energy assistant secretary as well as investors, customers and advocates of NanoMech also were on hand for the celebration. Read more of the company leaders’ comments as well as Gov. Mike Beebe’s remarks at this link.

COMMUNITY COLLEGES PLAN OPEN HOUSES FOR WORKFORCE DEVELOPMENT
The Arkansas Community Colleges (formerly the Arkansas Association of Two-Year Colleges) are hosting a “Community College Work$ Week” event for community leaders and the public. The events, which are scheduled on community college campuses Dec. 1-5, 2014, will focus on local economic development and workforce needs. Access the full schedule here for all 22 campus events.