Brian Holst, executive director of the Juneau Economic Development Council, speaks to the Juneau Chamber of Commerce during its weekly luncheon at the Moose Lodge on Thursday.

Brian Holst, executive director of the Juneau Economic Development Council, speaks to the Juneau Chamber of Commerce during its weekly luncheon at the Moose Lodge on Thursday.

At Chamber, pessimism over economic future

At Thursday’s Juneau Chamber of Commerce Luncheon, Brian Holst took two polls.

They said quite a bit about what the capital city is expecting from the next year.

Holst, the director of the Juneau Economic Development Council, opened a presentation to Chamber members by asking their thoughts about what Juneau’s economy will look like one year from now. Seventeen percent thought it would be better, 48 percent thought it would be the same, and 36 percent said it would be worse.

Holst gave his presentation and held the poll again.

The second time, 48 percent of the Chamber thought Juneau’s economy will be worse next year than it is right now.

“This year, we have some challenges,” Holst had said during his presentation.

ADVERTISEMENT
0 seconds of 0 secondsVolume 0%
Press shift question mark to access a list of keyboard shortcuts
00:00
00:00
00:00
 

Of the almost 18,000 jobs counted in Juneau during 2015, almost 7,000 are government positions — state, local and federal.

“State government is 20 percent of Juneau employment, 27 percent of Juneau earnings,” Holst said. “Government is a really important sector in Juneau, but what’s happening to government?”

He proceeded to pull up a PowerPoint slide entitled “Government Jobs Are Disappearing.”

In the past two years, Holst said, Juneau has lost 387 state jobs as a result of budget cuts. Those are among nearly 2,000 jobs lost statewide.

If you look at Juneau’s employment figures, you won’t see those losses. The 17,930 jobs counted in 2015 are just 50 fewer than the number counted in 2014.

That’s because Juneau’s tourism sector is booming, adding jobs at a pace seen by few other industries.

That creates a somewhat hidden problem, Holst said. State jobs are high-paying, full-time work with good health care and retirement benefits. Tourism jobs are usually seasonal, part-time and don’t come with benefits.

“A lot of good-paying jobs are going away,” Holst said. “Where we see growth here is not exactly where we want it.”

There are some bright spots, however. Juneau’s unemployment rate remains low, and the city still imports nonresident workers to meet demand in some industries — particularly seasonal ones.

Demographically, Holst said, Juneau is experiencing “a really interesting phenomenon” with large numbers of retirees remaining in town even as the city sees a surge in the number of younger residents.

“Juneau’s cool again,” Holst said. “We’ve got 25-35-year-olds staying in Juneau in a disproportionate number.”

The key factor to Juneau’s fiscal health, however, is the state budget. Unless the Alaska Legislature comes up with a plan to resolve the state’s $4 billion annual deficit and steep future job cuts, the city will keep bleeding.

“If they choose not to deal with this fiscal crisis, it could really hurt,” Holst said.

Bruce Abel, sitting in the audience, said there’s another solution to Juneau’s problems: Building a road out.

“I look at the fact (the losses of the past two years) could be completely offset by building a road, yet we have a governor who’s sitting on his hands, dithering,” he said.

Read more news:

Signs of Trump: If a picture is worth 1,000 words, what’s a sign?

Former child soldier brings message of peace to Juneau

Murkowski faces several rivals in debate on Arctic issues

More in News

(Juneau Empire file photo)
Aurora forecast through the week of Feb. 15

These forecasts are courtesy of the University of Alaska Fairbanks’ Geophysical Institute… Continue reading

Dylan Court and Emily Feliciano-Soto at a rehearsal of “Necessary Nonsense,” a Theater Alaska production debuting Friday. (Photo courtesy of Theatre Alaska)
Middle schoolers bring ‘Necessary Nonsense’ to life in Theater Alaska Kids Company’s debut play

Imagine a world where “Alice in Wonderland” characters mingle with limerick legends… Continue reading

Jonathan Estes, a parent of three students attending the Dzantik’i Heeni campus, testifies for a safe playground at a special Juneau Board of Education meeting on Thursday, March 13, 2025. (Jasz Garrett / Juneau Empire)
Juneau School District submits budget for next school year to Juneau Assembly

The plan assumes $400 BSA hike and no staff vacancies; board also advocates for DH playground.

A totem pole and visitor guide sign on the downtown Juneau cruise ship dock on Thursday. (Mark Sabbatini / Juneau Empire)
‘Anecdotal’ signs Juneau’s tourism season may see a dropoff due to Trump’s policies, officials say

Tariffs, talk of recession causing uncertainty and ill will resulting in reports of cancellations.

(Michael Penn / Juneau Empire file photo)
Police calls for Wednesday, March 12, 2025

This report contains public information from law enforcement and public safety agencies.

Gabriel von Eisenstein (David Cangelosi) is pulled in two separate directions by his wife Rosalinda (Sara Radke Brown, right) and Rosalinda’s maid, Adele (Kayla Kohlhase, left) during a dress rehearsal of “Die Fledermaus” on Wednesday, March 12, 2025. (Jasz Garrett / Juneau Empire)
Juneau Lyric Opera celebrates a chorus of community for 50th anniversary

German operetta “Die Fledermaus” that launched JLO gets revival with old and new voices Friday night.

The Cable Innovator docks in Juneau on Wednesday, March 13, 2025. (Mark Sabbatini / Juneau Empire)
Subsea communications cable repair ship makes port stop in Juneau between Southeast projects

Cable Innovator wraps up work in Sitka, now heads for Angoon following regional outage.

The Office of Personnel Management in Washington. (Eric Lee/The New York Times)
Judge orders Trump administration to rehire thousands of fired workers; at least some to get back pay

Treasury, Veterans Affairs, Agriculture, Defense, Energy and Interior departments affected by order.

Most Read