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Aluminum Industry Employs Nearly 12,000 in Ohio
ROSSLYN, Va. -- The domestic aluminum industry directly employs nearly 12,000 and contributes $4.8 billion to the Ohio economy, finds a new study commissioned by the Aluminum Association.
For each aluminum industry job, an additional 3.9 jobs are created elsewhere in the economy of the Buckeye State for a total of 46,000 jobs, according to the study.
When supplier and induced effects are taken into account, the industry has an economic footprint of more than $10.1 billion -- nearly 2% of the state’s gross domestic product.
Other key findings:
- Workers directly employed by the Ohio aluminum industry earned more than $821 million in wages and benefits this year.
- Indirect employment by the industry results in another $1.8 billion in wages and benefits.
- When all employment supported by the industry is taken into account, these jobs yield nearly $1.1 billion in federal, state and local taxes.
- These workers earn an average compensation of more than $56,000, far exceeding the national average of $43,000.
"As an integral part of the U.S. manufacturing base and overall economy, the aluminum industry supports hundreds of thousands of high-quality manufacturing jobs in communities of all sizes," said Layle "Kip" Smith, president and CEO of Noranda and chairman of the Aluminum Association. "Aluminum is a vital material for the modern era and a bellwether for domestic manufacturing."
On the national level, the report found that the U.S. aluminum industry directly employs more than 155,000 workers and generates $65 billion in economic output in all 50 states and the District of Columbia. When supplier and induced effects are taken into account, the industry supports 672,000 jobs and has an economic footprint of more than $152 billion – nearly 1% of GDP.
For the purposes of the report, the aluminum industry is defined as aluminum refining, primary aluminum processing, secondary aluminum smelting and alloying, the manufacture of aluminum sheet, plate, foil, extrusions, forgings, coatings and powder, aluminum foundries, metals service centers and wholesalers. The study measures the number of jobs in this industry, the wages paid to employees, total economic output, and federal and state business taxes generated.
The study was completed by economic research firm John Dunham & Associates and is based on data provided by Dun & Bradstreet, Inc., the federal government and the Aluminum Association. The association’s member companies operate some 180 plants in the United States, many of which conduct business worldwide.
Copyright 2013 The Business Journal, Youngstown, Ohio.
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