Appalachian Basin

New Report Shows Major Growth in Ohio Shale Jobs

The Ohio Department of Jobs and Family Services (ODJFS) released its latest quarterly shale report on Monday, which found that core-related shale jobs have increased by a tremendous 30 percent from January 2011 to January 2013. These reflect such jobs as pipeline construction and well development.  More than 8,100 individuals were employed in core related shale jobs in January 2011, where the average wage was $74,382.  That’s about 68 percent higher than Ohio’s average wage of $44,367.

In eastern Ohio, where Utica Shale development is taking place, this is very promising news, according to ODJFS Director Cynthia Dungey: “Ohio is fortunate to have this natural resource that can provide good jobs for families and reinvigorate many of our communities, especially those in the eastern part of the state,” Dungey said.

In addition to more well paying jobs, new businesses related to shale development are opening up shop in Ohio.  Over 111 core-related shale businesses have made Ohio their home since January 2011, representing a significant 19 percent increase.

To track the regions having the greatest impact from Utica Shale development, ODJFS broke down the regions using the six JobsOhio regions as a basis for comparison.

Surprisingly, the Dayton region saw the greatest growth with 98.3 percent growth in core-related shale jobs over the two year period.  The Nelsonville region — aptly named the Appalachian Partnership for Economic Growth (APEG) — saw the second most growth with 80.3 percent growth.  The APEG region represents the majority of counties where shale development is taking place.

Here are some other items from the ODJFS Report that relate to the broader economic impact of shale development beyond just the workers on the well-pads:

  • Ancillary shale-related industry employment (such as freight trucking and environmental consulting) increased 5,871 (3.8 percent).
  • Shale-related business establishments totaled 13,480 during the first quarter of 2013.
  • The average wage in ancillary shale-related industries was $59,154, which was $14,787 greater than the average for all industries.

As you can see, Utica Shale development is having an unprecedented impact, not just in eastern Ohio where the actual development is taking place, but also in regions far removed from the activity.  As ODJFS Director Cynthia Dungey noted, “Oil and gas drilling has only recently begun to accelerate in Ohio, but already many families and communities have begun to see a positive impact.”

While we are still in the infant stages of Utica Shale development, Ohio continues to see enormous investment from all facets of the oil and gas industry.  From the development of wells, to laying pipeline or building natural gas processing plants, the industry is supplying good, family-sustaining jobs for Ohioans.

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