Posted on Wed, Sep. 30, 2009 11:08 PM
Johnson County poised to surpass Jackson County as area’s job engine
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The economic heart of the Kansas City area may soon beat on the Kansas side of the state line.
If Johnson County continues its recent pace of private industry job creation, it will soon surpass Jackson County as the employment center of the Kansas City metro area.
Employment in Johnson County exploded 70.7 percent from 1990 to 2008, according to data released Wednesday by the Kansas City office of the U.S. Bureau of Labor Statistics.
In comparison, Jackson County — long considered the economic core of the metro area — achieved a net job growth of just 2.3 percent.
For decades Johnson County’s image was as the affluent “bedroom community” of the metro area.
But now, instead of more people leaving Johnson County for work in Jackson County, Johnson County has become a net importer of workers, noted Doug Davidson, president of CERI, an economic development and research agency in Johnson County.
The change largely was because private employers have flocked to Johnson County.
Data compiled by Jacqueline Michael-Midkiff, regional economist in the labor bureau’s Kansas City office, and her colleagues show that private employers added a net 118,323 jobs in Johnson County over the 18-year period — a 71.4 percent private-sector job growth.
Meanwhile, private-sector employment grew by just 2,528 jobs in Jackson County — a scant 0.8 percent.
Not only has Johnson County added more jobs than Jackson County, it also shifted toward higher-paying jobs, noted Michael-Midkiff, chief author of the employment growth report released Wednesday.
“Interestingly, the nominal mean weekly wage ($434) was the same on both sides of the state line in 1990,” the report said. “However, Kansas’ nominal mean weekly wage increased more than Missouri’s over the 17-year period, and was $860 in 2007 compared with Missouri’s $817.”
Rarely has Johnson County’s job growth occurred because of big-ticket employment shifts, such as the consolidation of Sprint workers on the Overland Park campus or the move of a Prescription Solutions distribution center to Overland Park.
Rather, it’s been steady growth across all job sectors.
For now, Jackson County continues to have the largest total employment base in the metro area, with 368,106 payroll jobs — including government jobs — last year, compared with Johnson County’s 314,044.
And, in the private sector, Jackson County still had more jobs last year — 304,209 — than Johnson County’s 283,991.
But the trend line indicates that Jackson County’s primacy is fast changing.
In fact, the Missouri side of the metro area would be even more challenged as the primary economic base for the metro area, if not for job growth in Clay, Platte and Cass counties, Michael-Midkiff said.
The bureau’s data for 1990-2008 found a net growth of 18,932 private-sector jobs (a 34.2 percent growth) in Clay; a growth of 13,584 jobs (up 62.3 percent) in Platte; and a growth of 9,284 jobs (up 108.9 percent) in Cass.
The combined economies of the Missouri-side counties contributed slightly more than half (53.7 percent) of the area’s gross regional product in 2007, noted Jeff Pinkerton, senior researcher at the Mid-America Regional Council.
Clearly, the Missouri counties haven’t ceded the top economic engine honors yet. But the slide in Jackson County’s economic dominance makes the Johnson County emergence even more notable.
Johnson County stands virtually alone in boosting the Kansas side’s share of the region’s economic activity. The next-largest county on the Kansas side of the metro area, Wyandotte, has not echoed Johnson County’s explosive job or income gains.
To reach Diane Stafford, call 816-234-4359 or send e-mail to stafford@kcstar.com.



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