By Laura Legere (Staff Writer)
Published: September 3, 2010

The growing Marcellus Shale natural gas drilling industry is taking hold in Northeast Pennsylvania, but the state’s newest economic player is not yet big enough in the Scranton/Wilkes-Barre/Hazleton metro area to save the region from recording disappointing unemployment numbers in July.

Joblessness for the metro area has increased to a seasonally adjusted 10.4 percent – far higher than the seasonally adjusted 7.6 percent unemployment rate in Bradford County, a hotbed of Marcellus Shale drilling where unemployment dropped nearly 1 percentage point since last July.

Teri Ooms, executive director of the Institute for Public Policy and Economic Development, said the industry did not improve the region’s unemployment numbers because much of the drilling activity is not happening in Lackawanna and Luzerne counties.

She expects that active drilling in Wyoming County – the third county in the metropolitan statistical area – will spur some improvement in future unemployment numbers.

“I consider Lackawanna to be adjacent to the core drilling counties at this point,” she said. “There will be some residual employment improvement” because of that proximity, she said, but “we’re not going to see an immediate impact.”

She added that as the closest urban centers to drilling in more rural counties, Scranton and Wilkes-Barre will benefit from the influx of drilling nearby.

“People don’t do all of their living and working and procuring of goods and services within a single jurisdiction,” she said.

One factor that will improve the employment picture for local workers looking for jobs connected to the industry is the expansion of area training centers and programs for Marcellus Shale jobs.

Lackawanna, Johnson and Keystone colleges have all begun offering courses, programs and other training for industry-related jobs, while Pathstone, a human services agency, is coordinating training for more than 200 people in welding and diesel mechanics for jobs in the industry.

At Johnson College, which recently reopened its Welding Training Center after an eight-year hiatus, three students are currently in a four-month certificate program to learn the welding skills necessary for natural gas pipelines, Continuing Education Director Marie Allison said.

The college also is taking applications for its next session, which will begin in September.

But it takes time for welders to be trained in a new skill, and more time for them to master it, which means new gas industry welders will not be able to match the pay grade and ability of workers being brought in from other drilling states immediately, she said.

Once trained, local welders will be able to transfer their skills to other industries in the region even as drilling activity moves to other parts of the state or country.

“They won’t have to take (those skills) to other states,” she said. “They could stay local.”

Contact the writer: llegere@timesshamrock.com

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Copyright:  The Scranton Times