Maine's industrial employment shrank 2.6 percent over the past 12 months according to the 2008 Maine Manufacturers Register, a compilation of state industry published annually by Manufacturers' News Inc. MNI reports Maine lost 2,120 industrial jobs and 24 manufacturers since December 2006, a greater loss compared to the slight employment drop MNI reported for the state a year ago.
The industrial directory's last report cited a negligible industrial employment drop of 287 jobs between 2005 and 2006. Manufacturing employment had been declining in the state for several years prior, with MNI data showing a loss of 14,921 jobs or 15 percent between March 2001 and November 2005.
"This is a trend we've seen in other states, particularly in New England," says MNI president Thomas Dubin. "Even though manufacturing activity and output are at record highs, industrial employment is stagnant or declining. Part of it is the result of manufacturing jobs moving out of the country, and of mergers, acquisitions and consolidation, but much of it has to do with the nature of today's manufacturing. Thanks to automation and technology, fewer employees are needed. Instead of four low-skilled workers on an assembly line, you now may have one worker entering numerical codes into a computer that controls the manufacturing process."
Manufacturers' News reports Maine is home to 2,582 manufacturers employing 77,370 workers. Maine ranks fourth in New England for number of manufacturers and jobs, accounting for 8 percent of the region's jobs and 10 percent of its manufacturers. MNI surveys manufacturers of all sizes, including small companies with just a few employees.
The transportation equipment sector accounts for the most manufacturing jobs in Maine, representing 14 percent of the state's industrial employment, or 10,640 jobs. MNI reports employment in this sector has fallen by 7 percent, or 807 jobs, over the past 12 months, due partially to cutbacks at Bath Iron Works. The lumber and wood sector accounts for another 9,139 jobs, or 12 percent of the state, down 236 (2.5 percent) over the year. Food products ranks third with 8,110 jobs, down 1.8 percent since December 2006.
Sectors losing employment include furniture and textiles/apparel, with each sector down 14 percent. Paper and allied products are down 2.9 percent; printing and publishing, down 1.8 percent; and chemicals, down 7.1 percent. Sectors showing growth include industrial machinery and equipment, up 4.2 percent over the year. The instruments and related products sector, which includes search & navigation equipment, measuring devices and medical instruments, is up 459 jobs over the year (20 percent).
Portland is home to the most industrial employment in Maine, accounting for 5,306 manufacturing jobs, down 7 percent since December 2006. Bath accounts for the second most jobs in the state at 5,081 jobs, down 16 percent over the year. Auburn ranks third with 4,141 employees, down 1.8 percent over the year; while fourth-ranked Westbrook accounts for 2,797, up 8.6 percent since December 2006. Lewiston accounts for 2,977 industrial jobs, up 4 percent over the year.
MNI reports Cumberland and York Counties account for 27,746 jobs, or 36 percent of the state, with employment steady in both counties over the year. Employment drops were seen in Somerset County, down 9.8 percent; Sagadahoc, down 14 percent; Penobscot, 2.1 percent; and Oxford, 3.8 percent. Counties seeing increased employment include Franklin County, up 3.5 percent; Hancock, up 1.4 percent; and Kennebec, 3.4 percent.