LSU econ maritime study warning

The State of Louisiana lost 21,500 maritime-related jobs from 2014-16 based on the results of a prolonged downturn in energy prices; and the industry could be dramatically affected by lawmakers’ actions to the state tax policy, according to a study conducted at Louisiana State University’s Economics and Policy Research Group – with the assistance from the Offshore Marine Service Association (OMSA) and the Louisiana Association of Waterway Operators and Shipyards (LAWS). The LSU economists surveyed OMSA and LAWS members about their employee bases, expenditures, and capital investments 2014-16 at the peak of the worldwide oil price collapse. They received 131 responses from companies, mostly offshore supply and inland waterways operators. Shipbuilding and repair took the largest hit with employment dropping 40 percent to 5,470. Water transportation operators let go nearly 18percent of its workforces, while 13 percent of ports, cargo handling, and other support activities dried up, according to the survey. The report was released as Louisiana lawmakers and Gov. John Bel Edwards wrestled with the state’s budget shortfall. The survey warned against making policy changes that could worsen the economic fallout from the oil depression. (Source: Work Boat 03/01/18)