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Sloane Gage is the director of program and resource development at Workforce Partnership, which services employers and job seekers in the Kansas City metro area. She spoke about the challenges being faced during COVID-19.
Q: What are you hearing from your board/business-owner members right now about the current employment conditions?
A: Businesses in the KC region are doing what they can to remain operational in a time of uncertainty. An important factor is whether the area’s underlying regional economy is composed of industries that are more immediately exposed to COVID-19 related employment declines. 15.6 percent of metro employment comes from high-risk industries in the leisure and hospitality sector. This industry has been hit the hardest, fastest and will have the hardest time recovering.
The manufacturing sector has also been effected. Hallmark is closing two plants in Kansas and both GM and Ford have temporarily closed plants. Other area manufacturers are ready to respond to the pandemic by converting their plants to meet the skyrocketing demand for protective masks, hospital gowns, ventilators and other necessary items-hesitant to lay-off due to a chronic shortage of skilled workers. Construction companies have also been slow to lay-off employees due to massive skill shortages and major projects, such as the $1.5 billion expansion of KCI, are still on track.
The healthcare, supply chain and logistics and information technology sectors currently have urgent vacancies that need to be filled due to increased demand created by COVID-19.
Q: Do you find you are able to address concerns that you might be hearing from business owners/prospective employees? What are the biggest challenges you are facing in that area?
A: I believe Workforce Partnership has done very well in continuing to assist job seekers and companies throughout the Kansas City region in this time of crisis by acting as a resource for information and a conduit connecting job seekers to employment opportunities. This has not been without challenges. Currently the Workforce Centers in Johnson, Leavenworth and Wyandotte counties are closed. This is the first time we have served clients remotely. It is also difficult to remain abreast of all current information in a market that changes so rapidly.
Q: There are a lot of companies out there hiring. Is that in any way helping offset the unemployment rise we’re seeing?
A: There are a large number of companies currently hiring-particularly in healthcare, supply chain, and information technology sectors in spite of a 1,000-percent increase in Kansas initial unemployment-insurance claims between March 14 and March 21. Job vacancies are not off-setting UI claims for a number of reasons. Layoffs at this point are expected to last 30-to-60 days, and people intend to return to their jobs. The Federal CARES Act increased weekly UI benefits by $600 a week. Many people are making more receiving UI benefits than they would taking a temporary job. Many of the jobs currently available involve working with the public, and people are concerned about health risks. However, these are unprecedented times and no one knows how long this will last or predict when the worst will be over and the virus contained. Doing nothing is not an option if we want the economy to recover.
Q: How do you think the areas you serve are faring compared to other parts of the region?
A: Workforce Partnership serves employers throughout the Kansas City region on both sides of the state line. I believe Kansas City will recover faster than other metro areas because many of our key employment sectors have been less effected by COVID and the speed in which government leaders put protection orders in place.
Q: Do you see any permanent changes that will take place in the workforce after we are “through this?”
A: Absolutely!!! Some of the changes will be positive and others will not.
