people wearing uniforms of different professions

 

James G. Neeley is the commissioner of the Department of Labor and Workforce Development for the State of Tennessee.

 

Tennessee Department of Labor and Workforce Development job creation and retention tools and programs include:

 

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Staying Positive in a Depressed Economy

True recovery will take time, but several programs are in place that will continue to affect the stability and continued growth of a wide variety of industries in Tennessee.

by James Neeley * | print pdf |

"What can you say about those who are trying to survive on $275 a week of unemployment benefits?" asked Willem Lust from NOVA, a TV station in the Netherlands.  "What about when they run out … what then?"  It was an unusual visit from Dutch reporters, but common questions our department's Employment Security Administrator Don Ingram has faced for the past year and a half.  He thought for a minute and answered positively, "Tennesseans will do what they have to do. Whether it's dipping into savings, taking any work that is available, or even seeking training credentials while there isn't much work available.  It's just a matter of time before things get better."   

In my past 35 years in state government, I've never seen anything like the current economic downturn we are experiencing.  And yet in these difficult times, like Don Ingram, I can still find reasons to stay positive and hopeful that there is relief on the horizon.  I'm optimistic about the resourcefulness of our workers, the resilience of Tennessee's economy, and what our department can do to assist recovery from this recession.

It's clear Governor Bredesen has shown commitment to managing state government so that it operates within its means.  The state is reducing spending by a billion dollars during next fiscal year — and that's on top of a half-billion dollars in reductions that were made in this year's budget. Despite the recession and declining revenues, our state's financial position is strong, thanks to the governor's stewardship, and he continues to look for ways to move Tennessee forward in priority areas like education and job creation. 

Our department has had to make our share of cuts as well, but there is more reason than ever to work with our existing resources to carry on with important initiatives.  With fewer people and funding, now is a difficult time to take action, but it's more important than ever to be successful in job creation and retention. 

These are some of the programs that will continue to affect the stability and continued growth of a wide variety of industries in Tennessee, but true recovery will take time.  The Economic Report to the Governor of the State of Tennessee prepared by the Center for Business and Economic Research at the University of Tennessee suggests that jobs may not return to the annual average peak reached in 2007 until 2014 or 2015.  There is no denying this recession has taken a cumulative toll on Tennessee's economy: the loss of nearly 57 thousand manufacturing jobs since December 2007.  While industries like manufacturing have shown declines over the past decade, the rate of jobs lost in the past two years has been unprecedented. Economists say unemployment has always been a lagging indicator of the economy.  During the last large recession we experienced in the early '80s, it took nearly a three-year cycle before employment reached pre-recession levels, but this time we have a million more people in the workforce.

Here at the Department of Labor, we are not economists.  We operate more as a triage unit to a bloodied economy.  We've got our Tennessee Career Centers on the front lines and support everywhere in the state.  I'm proud of our employees who go the extra mile and do the right thing every day in the face of great difficulties.  Other states are fighting their own battles, but many haven't managed their resources as well as Tennessee. While our government and business community are struggling during this down period in the economy, I believe we'll be stronger and in a better position for the next recession.  Yes, it will take time, and there is a great deal of work to be done.  We have to reorganize and streamline for a much leaner future — to practice good stewardship for Tennessee's business community until we return to better days.

* James G. Neeley is the commissioner of the Tennessee Department of Labor and Workforce Development.