Wednesday, February 20, 2008

The Rural Economic Landscape: The Lure of the Big Employer

In order to ensure employment, enhance their economies, and avoid depopulation, rural and remote communities work hard to attract new employers.

Belinda Leach of Rural Women Making Change notes that during this process municipalities often do not consider the female labour market, to the detriment of local women and the local economy. Leach observes that municipalities tend to look to large manufacturers or resource development corporations, which typically employ men in "blue collar" work. As a result, most rural communities are dependent upon one or two large employers, generally from the resource development, manufacturing, food services and agriculture sectors.

This has two significant effects:
  1. Because women living rural areas are less likely to enter non-traditional occupations, they are less likely to access such jobs, many of which can be high paying.

  2. Dependence on one or two employers makes rural economies vulnerable to "boom and bust" economic cycles. If the plant or the mine or the mill closes, there is a tremendous ripple effect: not only do many people lose jobs, but smaller local businesses tied to the big employer are also threatened. The community also then has fewer employment options for future generations and the young people move away.

For more on rural employment trends, see the new fact from ACTEW and Rural Women Making Change at http://actew.org/projects/pwpsite/snapshots/rural.html.

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