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Economy of Erie, Pennsylvania facts for kids

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Erie, Pennsylvania is a super important city because it's the main way to get to Lake Erie, the Great Lakes, and the Saint Lawrence Seaway. Long ago, after the American Revolution, Erie became a big center for ships. Later, during the time when America was expanding westward, it became a key spot for railroads. Then, during the Industrial Revolution, it was a major manufacturing city.

Today, building electric locomotives is one of the last big industries left. But Erie has also grown in other areas like steel and plastics manufacturers, health care, insurance, tourism, and fun activities. These new industries make Erie's economy strong and varied.

What Kinds of Jobs Are There in Erie?

How Many People Have Jobs?

In February 2021, about 9.9% of people in Erie who wanted jobs didn't have them. This was a bit higher than the rest of Pennsylvania (7.3%) and the whole country (6.2%) at that time.

Who Are the Biggest Employers?

As of 2005, the biggest employers in Erie were:

  • The government, which hired about 6,435 people (30% of jobs).
  • Manufacturing companies, with about 5,200 workers (24%).
  • Medical services, employing about 4,774 people (22%).
  • Other businesses like insurance, stores, and public services, with about 4,950 workers (23%).

This shows that Erie has many different types of jobs.

Erie used to be the main home for GE Transportation, which made train engines. Now, that company has joined with another called Wabtec, which is based in Pittsburgh. But Wabtec still builds train engines right here in Erie!

Other important companies in Erie include Plastek Industries and Erie Insurance. Plastek Group makes lots of plastic things, like packaging for food, makeup, and medicine, plus parts for cars and computers. Erie Insurance Group helps people with many types of insurance, like for cars, homes, and health.

Making Things and New Technology

While some very big factories have slowed down in Erie, smaller companies that make very precise things are growing. For example, Lord Corporation started in Erie and still has big operations here. They make special parts that stop shocks and vibrations for things like airplanes.

The plastics industry is super important to Erie's economy. More than 10% of all the plastics made or finished in the United States come from plants in Erie! These plants get help from many local shops that use special CNC machine tools.

Erie is also becoming a center for new fuels and environmental research. Erie Biofuels, located where an old paper plant used to be, started making biodiesel fuel in 2007. They plan to make about 45 million gallons of biofuel each year.

The Erie Plating Company, which puts special coatings on metal, also has its main office in Erie.

Fun and Tourism Jobs

Tourism is becoming a bigger and bigger part of Erie's economy. Millions of people visit Presque Isle State Park every year. When they visit the park, they also spend time and money in downtown Erie and at other fun places.

In 2007, a place called Presque Isle Downs opened. It's a "racino," which means it has horse racing and casino games. This created more jobs and brought even more tourists to the Erie area.

How Erie Helps Its Economy Grow

Erie has many programs from the city, county, and state governments that help its economy grow.

Helping Businesses in Erie County

The Economic Development Corporation of Erie County, Inc (EDCEC) is the main group that helps with development in the city. They work with many other groups to help businesses get state funding and special programs.

Tax Help for New Buildings (LERTA)

In 2002, the mayor of Erie started a program called the Local Economic Revitalization Tax Act (LERTA). This program helps people and businesses save money on taxes if they build new buildings or make big improvements to their property. For 10 years, they don't have to pay property taxes on the value of those new improvements. This helps encourage new construction and growth.

Connecting Businesses and Universities (Erie KIZ)

The Technology Council of Northwest Pennsylvania helps with a program called Erie KIZ (Keystone Innovation Zone). This program brings businesses and universities together. The goal is to create new technology and ideas, which helps the economy grow by creating new jobs and businesses.

Tax Relief in Special Areas (KOZ)

The Keystone Opportunity Zone (KOZ) program offers tax relief to businesses, people, and property owners in certain areas of Erie. This encourages them to develop these specific zones. It's a way to attract new businesses and jobs by making it cheaper to operate there.

Improving Neighborhoods (NRSA)

The city's Department of Economic and Community Development works with people in different neighborhoods to make them better. They have a plan called the Neighborhood Revitalization Strategy Area (NRSA). This plan helps improve areas like Little Italy and parts of downtown. When the US Department of Housing and Urban Development (HUD) approves this plan, Erie can get money from the government to help with these neighborhood improvements.

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