Unemployment to Rise in Cedar Rapids

by Nicole Agee, Anchor/Reporter

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By Nicole Agee

Story Created: Sep 7, 2009 at 5:04 PM CST

Story Updated: Sep 7, 2009 at 5:04 PM CST

CEDAR RAPIDS - On this Labor Day, thousands of Iowans find themselves without work. While the state is faring better than the U.S. as a whole, we're not immune to the unemployment that's plaguing the nation.

The national unemployment rate rose to 9.7% last month. While in Iowa, the unemployment rate sits at 6.5% percent with 109,000 Iowans out of work; the most since 1985.

Those who have jobs fear they'll be next. Workers at two Cedar Rapids industries know their time is coming, and as unemployment continues to rise, finding new jobs is difficult.

Several members of the local Hawkeye Labor Council celebrated Labor Day with a Cedar Rapids Kernels ballgame. It's a nice escape from the reality of impending layoffs this year, starting as early as the end of this month. "Unemployment in this area is getting bad. We're going to have two plant closings in Cedar Rapids alone," says Jerry Nowadsky, President of the Hawkeye Labor Council.

Midland Forge and Terex Corporation announced plans to close, putting hundreds of workers out of a job. Compared to Iowa's unemployment rate for July, Cedar Rapids is doing a half-percent better at 6%. But that's up from 4.1% from last July. Across the state, the manufacturing industry took the hardest hit, dropping 13.6% in the last year. "And what we're looking for is good union jobs, good paying jobs to come to this town," says Nowadsky.

The union is working with the United Way to help its members prepare for the shock of their last paychecks. In the meantime, Nowadzky suggests looking for educational opporutunities while looking for a new job.

Layoffs at Midland Forge will begin later this month and will impact 138 employees. 170 people will lose their jobs at Terex Corporation over the next year.

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