Impact study reveals counties in Flint Hills EDD lost estimated $291 million in earnings from job loss during pandemic
During 2020, 238 industry sectors within the seven counties comprising the Flint Hills Economic Development District in Kansas experienced job losses directly attributable to the pandemic, leading to an estimated $291 million in total earnings lost to the region.
The total estimated jobs lost among those industries and ancillary supply and services support industries was 6,577, almost 7% of all 2019 jobs. The estimate of total earnings lost is based on direct, indirect and induced job loss estimates. Ashley Peterson, senior consultant at Lightcast, presented the estimates to the Flint Hills Regional Council during the organization’s monthly meeting Aug. 19 at the KanEquip Arena in Alma. Using federal COVID relief funds, FHRC contracted last year with Lightcast, previously called EMSI Burning Glass, for a detailed picture of the pandemic’s impact on the 2020 economy in Chase, Geary, Lyon, Morris, Pottawatomie, Riley and Wabaunsee counties.
At the meeting, which was hosted by Wabaunsee County, Peterson said the study differentiated COVID impacted job loss from the natural flow of annual job changes in the seven counties. She said the substantial number presented is based solely on those industries sectors with job loss attributable to Covid.
The Lightcast report noted that in 2020 the region had 566 different industry sectors; just over 42 percent of the region’s sectors had Covid related job losses. Industries and sectors not directly impacted by the pandemic – those with annual changes consistent with historic trends – were stable or even had job growth, according to the study, and collectively, these industries helped lessen the total job and income losses from the impacted sectors.
Peterson said Geary, Morris and Wabaunsee counties experienced a net gain in jobs from 2019 to 2020, which is uncommon compared with similar studies Lightcast has conducted across the country.
“A positive showing in the pandemic year by three counties suggests a basic underlying job strength that may contribute to a quicker return to pre-pandemic employment levels in the Flint Hills than might happen in other parts of the country,” Jerry Lonergan, FHRC director, said.
Wamego City Commissioner and FHRC board president Richard Weixelman said much of the information was not surprising, such as substantial job losses in the restaurant, hotel and government services sectors. “The $281 million total represents money lost that could have provided significant positive gains and opportunities for the region,” he said.
Weixelman said the board agreed that the report displays the large impacts caused by national and global events well beyond the region’s control. He said the report and its recommendations can serve as a guide to be better prepared for economic disruptions, both negative and positive, going forward.
“The report shows the value to be gained by collaboration and cooperation within the Flint Hills,” Dee McKee, Pottawatomie County commissioner and FHRC vice-president, said. “The presentation alluded to the importance of business retention and creation, industry diversification and continued focus on creating a workforce ready for Flint Hills region jobs.”
The Flint Hills Regional Council is a non-profit membership organization with a mission to work collaboratively across the region to enhance the economic development and quality of life for the businesses, communities and citizens of the Kansas Flint Hills. Copies of the Lightcast report for the region overall and individual reports for each of the seven counties will be available at www.flinthillsregion.org by Aug. 26.
Those with questions should contact Jerry Lonergan, FHRC executive director, at 785-817-6510.