H-4289              _______________________________________________

                                    HOUSE CONCURRENT RESOLUTION NO. 4436

                        _______________________________________________

State of Washington                              50th Legislature                              1988 Regular Session

By Representative Vekich

Read first time 1/29/88 and referred to Committee on Trade & Economic Development.

WHEREAS, The large majority of the state's citizens will continue to be employed in the future at firms which are currently in operation in the state; and

          WHEREAS, The legislature recognizes the importance of the state's mature industries to the economic health of the state; and

          WHEREAS, Mature industries in the state have experienced wrenching changes as a result of structural changes, cyclical downturns, shifting currency values, and the increased involvement of the state economy in the international economy; and

          WHEREAS, These changes have resulted in devastating economic consequences for the workers employed in these industries, and for the communities dependent on them as major employers; and

          WHEREAS, Washington State has permanently lost between forty-four thousand and fifty-five thousand jobs per year from 1979 to 1985; and

          WHEREAS, These jobs losses have resulted in tremendous suffering and dislocation affecting individuals, families, and communities; and

          WHEREAS, The annual cost to the state as a result of these job losses ranged from one hundred and thirty to one hundred and fifty-eight million dollars in increased unemployment compensation, public assistance costs, and lost tax revenue due to lost wages; and

          WHEREAS, These job losses have been heavily concentrated in the state's mature industries and have been a major cause of the economic distress which has affected major portions of the state; and

          WHEREAS, A portion of the human and economic costs of these job losses could have been averted by timely intervention by the public and private sector;

          NOW, THEREFORE, BE IT RESOLVED, By the House of Representatives of the state of Washington, the Senate concurring, That a joint select committee on the state's mature industries be established to undertake an examination of the condition of the state's mature industries, including a review of the economic problems faced by mature industries in the state, the impacts of these problems on the employees who work in these industries and on the local communities dependent upon them; and

          BE IT FURTHER RESOLVED, That the examination shall include an analysis of the structure of the state's mature industries, the competitive market position of state firms in mature industries, contracting and subcontracting relationships of firms in the state's mature industries, and trade associations and public and private programs providing training and technical support to these industries; and

          BE IT FURTHER RESOLVED, That the joint select committee shall also examine the degree to which mature industries have been successful at identifying new markets and developing new product lines, at incorporating new technologies into production processes, and at developing cooperative labor-management relationships; and

          BE IT FURTHER RESOLVED, That the joint select committee shall examine the financing needs of mature industries and the availability of capital to meet the needs of mature industries and the areas of the state dependent on them; and

          BE IT FURTHER RESOLVED, That the joint select committee shall also examine the training resources for workers in these industries, and the availability of retraining and adjustment assistance available to workers affected by industrial shifts and market cycles; and

          BE IT FURTHER RESOLVED, That the joint select committee shall examine the adequacy of state and local programs to identify firms at risk and to reduce the impacts of industrial change for employees and communities; and

          BE IT FURTHER RESOLVED, That the committee consist of eight members, including the chair of the trade and economic development committee of the house of representatives, the chair of the economic development and labor committee of the senate and three members each selected by the Speaker of the House of Representatives and President of the Senate; and

          BE IT FURTHER RESOLVED, That staff support be provided to the joint select committee as needed by the departments of Trade and Economic Development, Employment Security, and Community Development, by the Board for Vocational Education, by the Economic Development Board, by the Center for International Trade in Forest Products at the University of Washington, and by the International Marketing Program for Agricultural Commodities and Trade at Washington State University; and

          BE IT FURTHER RESOLVED, That the committee report their findings and recommendations to the legislature at the regular session held in 1989.