The decline in commodity prices is denting the wallets of workers in the nation’s mining industry, generating massive layoffs and boosting unemployment payouts in a number of states. According to a recent Labor Department report, personal earnings declined in five states during the second quarter of twenty fifteen. In three of those states – North Dakota, Wyoming and West Virginia – earnings declines were primarily attributable to declining activity in mining industries.
As reported by the Wall Street Journal, unemployment insurance benefits rose one hundred and fifteen percent in North Dakota between the fourth quarter of last year and the second quarter of this year. In Oklahoma, unemployment insurance benefits paid out rose by seventy four percent – by sixty six percent in Wyoming – forty nine percent in Texas and by twenty seven percent in West Virginia.
All of these states are home to significant energy industries. Collapsing oil prices have attracted much of the attention over the past year, but natural gas prices are also down sharply, and coal has been hammered by competition from natural gas, regulations to curb greenhouse gas emissions and the impact of a stronger dollar on exports.
