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Don't Miss The Great Solar Debate: Where Does the Global Solar Industry Stand? ×

Green Jobs Survey Killed as US Prepares Government-Wide Cuts

Lorraine Woellert and Todd Shields, Bloomberg
March 01, 2013  |  9 Comments

A program tracking U.S. green jobs, faulted by Republican lawmakers, will be scrapped by the Bureau of Labor Statistics as part of automatic budget cuts set to take effect today, according to a person familiar with the decision.

The move is a harbinger of program reductions that may occur across the government following the $85 billion in across- the-board cuts, known as sequestration, for the current U.S. fiscal year.

Their cumulative effect won’t be immediately apparent.

“Sequestration will finally swing into effect tomorrow, causing flags to stop fluttering, soldiers to run barefoot, and bullets to halt in midair,” Yair Reiner, an analyst at Oppenheimer & Co. in New York, said in a note to investors yesterday.

“Well, not exactly,” Reiner said. “As large and painful as the sequestration cuts are likely to be, their impact will take weeks, months, and in some cases years to play out.”

Congress and President Barack Obama’s administration remain far apart on how to replace the cuts, part of $1.2 trillion in across-the-board spending reductions to begin this year and be spread over nine years.

Defense programs will absorb about half of the cuts. The Pentagon has warned that as many as 750,000 civilian workers may be forced to take unpaid leave averaging one day a week in furloughs that wouldn’t begin until April 25. Today, Defense Department managers are to submit lists of essential employees they propose exempting from the furloughs.

Defense Impact

“Not everything will happen Day One,” Pentagon spokesman George Little told reporters yesterday. “But we’ll have to make some very quick decisions about programs that we may have to pare back.”

Defense spending fell 22 percent in the fourth quarter of 2012, the largest drop since 1972 following the Vietnam War. The cuts are keenly felt.

“It is absolutely affecting us,” Kenneth Moore, a vice president for Advatech Pacific Inc., a closely held engineering firm based in San Bernardino, California, said in an interview.

Early this year, Advatech Pacific expected to share in a $400,000 order for military communications gear. The contract still hasn’t been let and has been cut to “a fraction,” Moore said. One-third to half of Advatech Pacific’s workers have taken delays in pay, or days off without pay, he estimated.

Job Losses

Sequestration could cost more than 2 million jobs, with about half of those drawn from defense workers, contractors and their suppliers, according to an estimate in September by Stephen Fuller, an economist with George Mason University’s Center for Regional Analysis in Arlington, Virginia.

“The furloughs that could happen wouldn’t take place until April,” because of the need to provide notices to affected workers, Fuller said in an interview yesterday. “Tomorrow or next week most citizens won’t notice there’s a sequester, other than what’s in the newspaper or on television.”

In a Feb. 26 e-mail to employees, the Labor Department’s statistics unit said a clean-energy survey, which according to Republicans included everything from oil lobbyists to drivers of hybrid buses, would be one of three data reports canceled because of the cuts, according to the person who asked not to be identified because the announcement wasn’t official.

Gary Steinberg, a BLS spokesman, referred questions to the Labor Department about the discontinued data reports. Labor spokesman Steve Barr didn’t respond to a request for comment.

‘Huge Loss’

The BLS also will discontinue reporting on mass layoffs and international labor comparisons, and trim spending on travel, bonuses and training.

The cuts disappointed clean-energy advocates who say wind, solar and other renewable-energy industries are among the fastest-growing in the U.S. The department released its first industry survey in 2012, finding at least 3.1 million Americans had green jobs.

“It’s a huge loss,” said Bracken Hendricks, a senior fellow at the Center for American Progress who wrote a book on green energy. “This means the U.S. will be flying blind on the growth of a very, very important sector in the U.S. economy.”

If the clean-energy industry’s rate of growth outpaces other segments of the economy, it will still fall short of Obama’s goal for added jobs — a point Republicans have emphasized in attacking the administration’s economic recovery efforts.

Green Energy

During the 2008 campaign, Obama said green energy could produce about 5 million jobs in a decade. The 2009 economic stimulus, which provided about $90 billion in loans, grants, and tax breaks for clean-energy programs, created about 225,000 jobs by 2010, the White House has said.

John Berlau, a senior fellow at the Competitive Enterprise Institute, a free-market research group in Washington, said cutting the programs was “wise” and said their absence would “leave the American people none the poorer.”

“It is inherently subjective because there is no standard definition of what a green job is,” Berlau said. “When an employment survey starts from the premise that some jobs are better than others, it is propaganda.”

Republicans including Representative Darrell Issa of California, chairman of the House Oversight and Government Reform Committee, have criticized the administration for overselling the promise of renewable energy as a source of new jobs.

“This was never a real report, but rather propaganda designed to advance a misleading political narrative,” Issa said in an e-mailed statement. “From its inception it was an abuse of taxpayer dollars and it’s unfortunate it took the sequester to make the Administration realize it.”

Copyright 2013 Bloomberg

Lead image: Funding sign via Shutterstock

9 Comments

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Penny Melko
Penny Melko
March 3, 2013
Has anyone ever watched the investigative hearing held by Darrel Issa? http://dailycaller.com/2012/06/08/labor-dept-counts-oil-lobbyists-garbage-men-bus-drivers-as-green-jobs-video/

Furthermore, the sole reason that our economy is in the toilet is 32 years of American companies moving their operations to countries that use slave and child labor and zero pollution laws. This is how far companies have stooped to maked record profits.

Don't know any of the readers' ages but if any of you had a job in manufacturing, warehousing, IT, customer service, assembly, your job has vanished and is being performed in China, Indonesia or India.

Unless companies are given the right to pollute the fresh water supply, air and our food, or exempt from the Clean Water Act like the petroleum industry the pack their bags for other countries where Cancer Villages are commonplace.

This once great country is broken. Broken by those men and women in Washington and corporate greed you are allowed to lobby and bribe the people responsible for legislating on behalf of the the people.

I agree to move the people in Washington out of their seats. Instead of making our desert and mountains into wastelands, how about an eco economy and eco capitalism where the mining and drilling only conducted to back up the recycling and remaking of all materials. Case in point. Got 2 Samsung S3's a month ago. The combined weight of them was under 8 oz. However, the paper packaging was 1.25 lbs, exluding the corrugated transport box. The waste is monumental and is not being addressed, intentionally. Almost no R&d has gone into new methods of building structures, sustainable transportation and just about nothing else.
Thomas M
Thomas M
March 3, 2013
I don't understand how the gov can decide who or what gets cut. I would think the consumer would have more control over what purchases are made and what services are needed. Just goes to show how much power we give the gov., power they should not have.
As far as defense goes, get rid of all the suppliers. If there are no supplies for war, there will be no more war. Then all the time and money wasted fighting for oil and the like will dissappear and we will have to turn to more alternatives.
The biggest cut should be the gov itself. We have to stop supporting them and get rid of them all. We the people do all the work and keep the economy going, not the 535 seat warmers.
Michael Grish
Michael Grish
March 3, 2013
""This was never a real report, but rather propaganda designed to advance a misleading political narrative," Issa said in an e-mailed statement."

He could have been referring to this article.

This article suffers from giving equal time and consideration to unequal sources, a growing cancer in America media these days. The lip service paid to job losses doesn't even address job losses in the renewable energy sector as a result of the loss of reliable information. One would think any growing industry employing over 3 million people would be an important industry to continue to monitor, particularly an industry with as much potential as renewable energy.

Chalk up another victory for the fossil fuel industry, and their shills, in their billion dollar pressure to eliminate the free flow of information which is essential for any formative industry.

Let's get big money out of politics, and get on with the business of managing the nation.
Penny Melko
Penny Melko
March 3, 2013
Regarding training of renewable energy university students and techical school attendees. I'm curious how many of these students received student loans to pay for their education. These are secured loans that must be paid back. How many who complete their education will actually work in the field?
Scott Reed
Scott Reed
March 2, 2013
I think it's interesting that John Berlau, the conservative think tank guy in the article, says green jobs can't be easily identified so the report would have been biased propaganda, and sbtdesigns comments here that green job certification, which is one way to ensure that the work is truly green, is killing the industry.

I think there is truth in what they both say, but a) I suspect the report would have addressed the issues with identifying green jobs and not hidden the decision process for what to include and what not and b) I understand the need for green job certification as long as the jobs are subsidized by tax payers and utility rate payers. Once the government and utilities are no longer footing the bills, it should be the customer's choice whether to hire certified workers or not. (The requirement here in Massachusetts that PV installers be licensed electricians is special interest (IBEW) pandering.)
Steve Shepard
Steve Shepard
March 2, 2013
The Green Industry has been busy shooting itself in the foot. I doubt the Sequester will make much difference. Not allowing or considering potential workers unless and until they are trained, tested and certified does nothing but put money in the pockets of the self-appointed boards who keep a choke hold on the Green industry in general. It also maintains a running contribution to the unemployment numbers in this country. I know very few people in the building and construction industry who have any desire or motivation to build to Green industry standards. All the Green industry bureaucrats do is introduce more cost, complexity, paperwork and bullshit to the building process. But their ultimate sin is the industry works harder to exclude workers than embrace and include.
Sandy Caruso
Sandy Caruso
March 2, 2013
Paul-Roden...and while they're at voting 'them' out of office...they need to take Obama with them.
Ron Peterson
Ron Peterson
March 2, 2013
If green energy is going to employ many people, the price of green energy will be very high.
Currently, only 9 quadrillion BTUs of energy are from renewable resources, making the 3 million current green jobs suspect.
Paul Roden
Paul Roden
March 2, 2013
This is typical of the anti-government, anti-tax, anti-regulatory, anti-environmental, anti-alternative or renewable energy, anti-science mentality of the Republican Party. They are shills for the fossil fuel, nuclear power and centralized electric utilities. They need to be voted out of office on all levels.

We need campaign finance reform. Federal financing of elections so that the fossil and nuclear fuel can stop buying elections and owning the politicians. We need to pass a law or enact a Constitutional amendment to overturn the Citizens United decision in the Supreme Court. We need to end subsidies and tax breaks to the fossil fuel industry.

We need to support individuals and small businesses to retrofit their homes and businesses to be powered and heated with renewable energy. All electric meters should be smart metered, so home owners and businesses can generate electricity and sell the surplus back to the electrical grid. Through changes in building codes, utility regulations and tax codes,alternative energy research, green energy investment funds and other renewable energy programs we need to transition to a safe, sustainable energy path to fight global warming.

We need the US Department of Energy to study the implementation of the Renewable Energy Plan of Dr. Mark Jacobson and Dr. Mark Delucchi of the Stanford University and the University of California-Davis, respectively by signing the online petition at the "We, the people" at the Whitehouse.gov website at: http://wh.gov/vmC3

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