Wisconsin Department of Workforce Development's County Profiles: Barriers Preventing Full Utilization of Workforce
Monday, July 10th, 2023 -- 2:01 PM
The Wisconsin Department of Workforce Development (DWD) has published updated workforce profiles for Wisconsin's 72 counties.
Each profile provides county-level information, analysis, and data to help employers, job seekers, economic developers, and other workforce partners make decisions related to the labor market economy. Every two years, DWD's Office of Economic Advisors compiles and distills local data on all 72 counties into individual county workforce profiles.
The 2023 profiles cover Wisconsin's historic bounce-back from the COVID-19 pandemic and feature:
- Updated U.S. Census data and changing demographics, including figures for major municipalities;
- Employment by 11 industry sectors, with payroll totals and percentages;
- Occupational patterns within industries;
- Unemployment and labor force participation rates;
- Barriers to employment;
- And average wages.
Clark County has several barriers dealing with the full utilization of the County’s workforce. As baby boomers continue to age out of the labor force, Wisconsin faces a workforce quantity challenge. Wisconsin needs as many workers as possible, making it imperative that we address barriers keeping people out of the labor force.
Although there is no single solution to demographically driven staffing challenges, four common barriers persist across areas and industries. These barriers are transportation, housing, childcare, and broadband access. One barrier is the simple logistical problem of getting a worker to and from work.
81% of Clark County residents drive a car to work, with the vast majority driving alone. Many families can't afford a reliable vehicle, a problem compounded by the increase in used car prices due to COVID-19-related supply chain issues.
Helping workers acquire and service reliable vehicles can help, for example Wausau's Wheels to Work program takes aim at this by offering zero interest loans and donated vehicles. Public transit is another piece of the solution.
Traditional fixed-route systems like buses can work in urban areas, while demand-responsive systems are more efficient in rural areas. Technology improvements are vital for both routing and ridership rates, but both suffer from the workforce shortage as well, at least until autonomous vehicles become more commonplace.
Housing is another common barrier to workforce growth. Housing affordability and availability make it difficult for workers to locate nearby job opportunities. Constricted housing supply in the face of increased demand fuels rising prices, contributing to affordability problems.
The Department of Housing and Urban Development uses 30% of income as a guideline for housing affordability. In Clark County, and the state, many renters allocate more than 30% of their income to housing.
Early data shows that this issue is worsening, as home values and monthly rent increased at an accelerated rate between 2020 and 2022. Not only is housing affordability a barrier for Wisconsin workers, but so is housing availability.
While difficult to quantify, one way to assess the availability issue is to view the age distribution of existing housing stock. Clark's housing stock was older than the statewide average, with the grand majority built before 1970.
Relatively high prices indicate that there is still unmet demand. Communities have a central role in improving the housing situation, which includes updating zoning laws, building multi-family housing, and incentivizing affordable single-family housing developments.
Caregivers are consistently one of the largest groups of people not in the labor force. Childcare costs continue to rise, as availability declines. Not only did some childcare providers close during COVID-19, those that remain struggle to find workers, disrupting childcare and reducing daycare capacity.
The median wage of a childcare worker in Wisconsin is only $11.57 per hour, adding to recruitment difficulties. The monthly cost of care in Clark County ranges from $638 for an infant to $492 for a school-age child, 10% to 8% of its median family income.
The US Department of Health and Human Services considers childcare affordable at 7% of family income or less. Childcare access is also an issue for Wisconsin workers. According to the YoungStar provider database, which tracks approximately 82% of providers in the state, there are only about 4 childcare slots for every 100 children under the age of 14 in Clark County.
Improving cost and access would help more parents participate in the labor market but may require major structural changes. Employers can also offer flexibility to parents or provide childcare options to attract and retain workers.
Community nonprofits have also seen success in helping providers get licensed and opening their own daycares, expanding childcare capacity. Innovations in the work-from-home economy and virtual learning environment arose during the pandemic.
Employers can use these innovations to meet Wisconsin's workforce needs and alleviate talent shortages. Employees benefit from flexible schedules and varied geographic locations. Despite these benefits, broadband internet availability issues limit employers and employees who need high-speed internet to make remote operations possible.
The share of households without broadband internet in the home. In Clark County 25.2% of households do not have broadband internet access, much higher than the statewide average. Lack of access varies widely by household income, as about 52.1% of Clark County households with income below $20,000 do not have access.
It is more difficult for individuals living in these households to take advantage of virtual employment, training, or education opportunities. State and community efforts, plus $40 million in federal pandemic recovery funds, are improving broadband access around the state, but there's still a need for more targeted interventions.
Feel free to contact us with questions and/or comments.