Rhode Island Statistics
There are 1,500+ manufacturing companies in RI.
The state boasts a very diverse industry mix of both large and small companies. The majority are S corps or other flow through entities (taxed at individual level not corporate).
There are 41,000+ employees in RI manufacturing.
RI saw a slight growth since last year, but greater potential exists. The 1980s was an all time high of 100,000+ employed in RI manufacturing. The loss was due from a number of reasons: relocation of companies out of RI, reclassification of jobs to non-manufacturing sectors, and the loss of very low-skilled jobs in the market.
Manufacturing pays better than the average industry,
both in terms of salary as well as benefits (total compensation could be 20+% more than averages). Manufacturing is second only to professional services in terms of percentage of companies providing health coverage to employees, as well as the employer’s share of insurance premiums.
Manufacturing creates wealth.
Over 70% of RI’s exports are manufactured products. More than half the dollars earned from U.S. exports stem from manufactured goods. With manufactures representing 75% of global trade, our country’s (and RI’s) best bet to balance its trade accounts is through making more products here, for export and to replace imports.
Manufacturing stimulates economic growth.
Through a higher multiplier effect than other sectors, every dollar of final sales for manufactured products generates almost $1.50 in economic activity. Manufacturing creates indirect jobs in other sectors (conservatively, every one direct manufacturing job leads to at least three other indirect jobs). Adding 5,000 good-paying RI manufacturing jobs could add another 15,000 RI jobs, which would cut out unemployment in half.
Manufacturing raises living standards.
Manufacturing is a leader in productivity. Over the past quater-centrury, manufacturing has consistently experienced higher labor productivity rates than the overall nonfarm business sector. Manufacturing productivity rates have doubled since the 1990s and increased roughly 50% between 2000 and 2010
Manufacturing adds value to our economy.
Manufacturing is a leader in R&D investment, and ultimately, in driving innovation. Manufactures are responsible for three-fourths of private sector R&D investment, and according to the National Science Foundation, are far more innovative than the business community as a whole.
Manufacturing is a major contributor in the national economy.
In 2013, manufactures contributed $2.08 trillion to the economy, up from $2.03 trillion in 2012. This was 12.5 percent of GDP. For every $1.00 spent in manufacturing, another $1.32 is added to the economy, the highest multiplier of any economic sector.
Manufacturing provides jobs nationally.
Manufacturing supports an estimated 17.4 million jobs in the United States (about one in six private-sector jobs). More than 12 million Americans (or 9 percent of the workforce) are employed directly in manufacturing.
Manufacturing jobs pay more than the national average.
In 2013 the average manufacturing worker in the United States earned $77,506 annually, including pay and benefits. The average worker in all industries earned $62,546, that is a 23.9% differential.
The U.S. manufacturing workforce has a no-nonsense attitude.
Manufactures in the United States are the most productive in the world, far surpassing the worker productivity of any other major manufacturing economy, leading to higher wages and living standards.
Nationally, manufacturing is the nation’s main resource for innovation.
Manufactures in the United States perform two-thirds of all private-sector R&D in the nation, driving more innovation than any other sector.
Manufacturing in the united states is larger than you think.
Taken alone, manufacturing in the United States would the 8th largest economy in the world.
On-Shoring / Re-Shoring is real.
The wage gap between Asia and the US is shrinking at a very fast rate. Shipping costs, quality and lead times are becoming increasingly problematic for off-shored manufactures. The demands for local products are growing, and the potential for longtime and sustainable energy costs are advantages for U.S.-based manufacturing.