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About Coast river business journal. (Astoria, OR) 2006-current | View Entire Issue (Nov. 17, 2021)
COAST RIVER BUSINESS JOURNAL FEATURE STORY NOVEmBER 2021 • 9 Continued from Page 8 The long-term trends include the baby boomer generation retiring, the plateau of women joining the workforce and slowing birth rates. Knoder said the workforce sup- ply relies on people moving into the state. Additionally, the unemployment rate is at its lowest since before the pandemic, around 5.5% for Clatsop County. Knoder said that “help wanted” signs first started appearing around 2018. “The economy was in this 10-year-long expansion phase and it was tight — the labor market was getting pretty doggone tight — and then the pandemic hit,” he said. “Well, that just made it worse.” The leisure and hospitality indus- try reported the second-most vacancies in Northwest Oregon, following health care and social assistance. Fort George Brewery has jobs posted on its website and on Craigslist, including for dishwashers at $15 an hour plus tips. “We are hiring, and we definitely had more employees pre-pandemic,” said founder Chris Nemlowill. “It has been slow to get back to those staffing levels.” The pandemic also heightened existing issues in housing and child care for workers. “A lot of people want to move to Astoria to work at Fort George, then they get to town and they just cannot find an affordable work- force housing situation,” Nemlowill said. According to the Employment Depart- ment, Northwest Oregon had an estimated 9,825 vacancies this spring, four times that of spring 2020. Oregon has also seen an increase in peo- ple quitting their jobs, what some are call- ing the Great Resignation. Statewide, 9% of people who were unemployed as of Septem- ber had left their jobs voluntarily, according to Employment Department data. The region has enough people to fill the positions, Knoder said. In the counties he covers, the labor force includes 121,000 people. The labor force statistic includes everybody who is eligible to work, includ- ing those who have a job and those who are unemployed and job-seeking. “There’s probably an easy 100,000 of us, myself included, who could work as a cashier or a retail salesperson or work in fast food,” Knoder said. “We don’t, but it’s not because we can’t do it. It’s because the wages are low. And we can do something else that pays better, or is more interesting or has better hours.” The labor force in Clatsop County is close to the highest it’s been since 2009, with around nearly 19,800 people as of Sep- tember, 500 more than in 2020. “So I find it hard for somebody to tell ABBEY McDONALD The McDonald’s in Astoria has signs posted hoping to attract applicants for more than 10 open positions. me it’s like, ‘Oh, there’s a labor shortage,’” Knoder said. “ I’m like, no, that’s not a labor shortage. That’s a wage shortage. You’re not paying enough to attract the thousands and thousands of people who could do that work.” Competing with other businesses In 2020, housekeepers were reported to be the most difficult-to-fill occupation in the region, according to Employment Depart- ment data. The Kathryn Riverfront Inn in Seaside is looking for a maintenance technician and a housekeeper, offering $15 an hour with a $500 sign-on bonus. Kathryn Libby, the inn’s general man- ager, said they’ve been lucky compared to other lodging in the area. Their staff remained stable throughout the busy summer season, with two vacan- cies opening. One staffer left because they got married and moved away. “We’ve been really lucky that our signifi- cant changes in housekeeping came after the summer rush,” Libby said. Though their vacancies weren’t directly related to the pandemic, the inn is now com- peting with hotels, many of which are also seeking housekeepers. During the pandemic, Libby said they have had no-shows for interviews, which she called discouraging. “Housekeeping is always a tough posi- tion to fill. It pays the same wage as front desk work, but people have the idea that the front desk is a little more glamorous,” Libby said. “We’ve had some applicants, and some of them, they’re just not actually interested in the job although they’re applying for it.” The inn’s incentives include bonuses and group activities, like a pumpkin carv- ing contest for a gift card prize, to promote employee relations. “I think that we’re a bit of an anomaly in the area when it comes to having a pretty sta- ble staff,” Libby said. “I know the industry as a whole is really struggling right now.” For those struggling with vacancies, Knoder said it will be a matter of finding the right wage to offer. “Wage discovery takes time,” Knoder said. “It takes time for the workers and the managers to figure out ‘what’s the least I can hire you for,’ and for the worker, ‘what’s the most I can make.’” Knoder said that it’s a historic moment for the labor market, exacerbated by the pandemic. He said some factors related to COVID, including vaccination and child care, may alleviate some of the difficulties in hiring. It likely won’t go back to the way it was, though. “America is used to low prices,” Knoder said. “We’ve just had a couple of decades where goods and clothing were cheap, and computers were getting cheaper and faster, it was just cheap goods. We imported a lot of inexpensive stuff. People would work for less.” Then came the pandemic, and decades of market-stressing trends meeting at once. “And then boom. All of a sudden, they’re getting hit with high labor costs that nobody is really prepared for,” Knoder said.