Mercer County's economy lagging the nation, regional Fed rep says

Feb. 16—SHARON — Think the local economy isn't flexing its muscles like the rest of the nation?

You're right, said a senior regional officer with the Cleveland Federal Reserve Bank.

"Mercer County's job growth has lagged that of the national economy, which remains very robust," Russell Mills told a breakfast crowd at the annual event hosted by the Shenango Valley Chamber of Commerce.

Mills spoke to a large gathering at the Corinthian Banquet Center Thursday in downtown Sharon. A 2005 Westminster College graduate, he's familiar area, and also based in Pittsburgh. He said the reason Mercer County is lagging is the local population is dropping and aging. And that's hurting available manpower.

Mercer County's unemployment rate stood at 3.5% in December — which is a historically low figure.

But Mercer County's labor participation has dropped 5.7% since the pandemic, he said, using U.S. Bureau of Labor Statistics.

He looked at the entire Cleveland Fed's 4th District, which covers Western Pennsylvania, Eastern Ohio, Eastern Kentucky and Northern West Virginia — and then focused on Mercer, Lawrence, Trumbull, Mahoning and Columbiana counties.

"The employment recovery there lags most of the 4th District," Mills said.

There are segments of the local economy which are doing very well. The leisure and hospitality industry employment growth rose 5.4% in Mercer County over the past year using June 2023 figures. That's better than the 5.1% state growth 4.7% national rate.

But then Mills took a job growth for education and health services. The national rate had a 5% growth, with the state coming in at 4.7%. But Mercer County's rate fell way short of those mark's at 2.4%.

After the meeting, Mills said he didn't know why the county's growth rate in that sector was comparatively low.

As for the question — whether or when the Fed will lower interest rates — on everyone's mind, he stuck to his guns on agency policy.

"I can't answer that," Mills said.