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Report gives New York State a D-minus in manufacturing

New York State received a grade of D-minus

New York State received a grade of D-minus in a new report ranking states' 2016 manufacturing industry health. This photo is from April 8, 2016, in New Holland, Pa. Credit: Bloomberg News / Luke Sharrett

New York State’s 2016 manufacturing industry could use a health checkup, according to a report released Tuesday.

The state received a grade of D-minus, placing it 45th among the 50 states, in the report, which was prepared for Conexus Indiana, a private-sector advocacy group that promotes manufacturing in Indiana.

Only Alaska, Hawaii, Montana, Nevada and New Mexico, which got F’s, fared worse than New York, according to the report. New York’s manufacturing health also received a D-minus grade in 2015.

The study — conducted by Ball State University’s Center for Business and Economic Research — ranked each state’s manufacturing industry health based on the share of total income earned by manufacturing employees, the wage premium paid to those employees compared to other employees in the state, and the share of manufacturing employment per capita.

States whose manufacturing sectors received A’s were: Indiana, Iowa, Kentucky, Michigan and South Carolina.

Jamie Moore, chairman and president of ADDAPT, a Long Island nonprofit that promotes regional manufacturing, including aerospace and defense, said that the study’s methodology stacked the deck against New York.

“Look at the details of the metrics,” he said. “New York is being penalized by having a larger economy that spans beyond manufacturing.”

For instance, he said, the high salaries paid to New York State’s government workers, teachers and police “would immediately put us behind the eight ball.” Meanwhile, New York’s strength in productivity and innovation go unrecognized, he said.

“I don’t know if it’s a home state bias, but Indiana certainly comes out pretty well,” Moore said.

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