How Wyoming is faring in the labor shortage

CHEYENNE — Over the past few years, the labor market has undergone major changes and has ultimately led to a labor shortage across the country. Even if every unemployed person in the country found a job, there would still be around 3.5 million open jobs.

But in April of this year, the national unemployment rate was 3.4%. It hasn’t been below that since 1953. Americans are working, but it’s more a surplus of jobs than a lack of people willing to work.

Recent data released from the U.S. Chamber of Commerce revealed Wyoming is one of the states suffering from this the most.

“I hardly have an industry that isn’t complaining about the workforce issue right now,” said Greater Cheyenne Chamber of Commerce president and CEO Dale Steenbergen.

Plumbers, electricians, carpenters, health care workers, accountants and even distribution centers for larger companies like Wal-Mart are all dealing with these challenges in the area.

In Wyoming, there’s been no change in jobs compared to pre-pandemic levels, which is the second-lowest in the country.

The state has the third-highest quit rate at 3.1%. The number of people working in Wyoming decreased 2.1% between 2019 and 2022. For every 100 jobs there are only 60 available workers, which is the 15th lowest across the U.S.

But it’s not all bad.

The current unemployment rate compared to pre-pandemic levels is the third-best in the country. The unemployment rate is also lower than over half of the other states. Although Wyoming has the smallest labor force, the state still ranks 15th in labor participation rate.

Steenbergen said he believes that Cheyenne in particular is well situated for the challenge. “Even in this national swarm of change, I think we’ll be just fine,” he said.

For him the solution isn’t necessarily more people, but maximizing efficiency with the current and upcoming labor force.

The chamber works with the local schools and universities to address this issue. He said high-tech training in trade skills at places like LCCC means more labor with less people, plus being a center of government attracts higher educated and skilled workers.

While the high school diploma rate is above the national average, less than a third of Wyomingites have a bachelor’s degree, over 5% below the national average.

Wyoming is the least populated state in the union and is not growing too quickly. Fertility rate in Wyoming decreased by 82% between 2015 and 2021.

Declining fertility rates in the state and nationwide paired with an aging workforce means that one shouldn’t bank on a labor force boom in the state.

Last year, nearly one in five workers across the state was over 55 years old.

For Steenbergen, the biggest short-term challenge isn’t a small or aging population, though. It’s interest rates. The national interest rate measurement has been on the rise for over a year and is currently the highest it’s been since 2001. This impacts companies’ ability to pay employees even when they’re being competitive.

“More population is great,” Steenbergen said, “but as we develop, we have to start to pick up on some of these jobs. If we can have technology replace human beings, we can grow our economy without increasing significantly the number of people.”

The local economy is also supported by federal funds. Steenbergen said that around 30% of the economy is built in every year from national support for entities like the F.E. Warren Air Force Base or the Bureau of Land Management.

It’s rooted in this economic view that Steenbergen judges success, rather than by population.

“I think the real measurement is that our people have a better quality of life and that they’re able to live a higher standard of living,” he said.