New way forward

This blog started out as a student project, but I now plan to turn it into something slightly different - a log of the stories I write for Nuvo, a newspaper based in Indianapolis, as well as some well-informed commentaries on the state of the world today.  Most of the stories will be focused on political issues, some in the area of Indianapolis and some national.

What the Future Has In Store

This blog’s purpose was to reveal the problems of Richmond, Ind. and the economy as a whole while maybe trying to reveal a few answers along the way.  As can be seen from the previous entries, the problems are pretty laid out.  Whether it concerns health care, unemployment, or education, Richmond is struggling.  In order to put some perspective on the future of cities like Richmond I decided to talk to Congressman Mike Pence, a Republican and U.S. Representative of Indiana’s 6^th district, which includes a large portion of eastern Indiana (meaning Richmond and its surrounding cities).  Though I tried through phone calls and e-mails, Pence remained unresponsive and unavailable.  Even so, I was able to speak to one of his representatives – an employee of the Congressional Office in Richmond named Debbie Berry.  Berry specializes in unemployment, and was wonderful at giving some basic statistics, but refused to help me out with what I really wanted to know.  What was going to be done about all this? 

The face of the present and the future.

Berry basically set out some ground rules for me.  She said that it wasn’t Mike Pence’s job to worry about the situation in Richmond – not about unemployment or the economy.  He can’t be blamed for anything, because he only affects the broad laws that all states must adapt.  But it is exactly those laws that have a giant impact on the nation as a whole, not to mention the economy. I decided to set about finding out how much influence Pence has on the laws that really affect the population of Richmond, the small workers in a small city.

Despite the fact that many people I’ve spoken to in Richmond have no idea who Mike Pence is, he has quite a reputation as a conservative, and a smooth talking one at that.  He is a possible runner for president in the 2012 elections, and that is no small feat.  Even now he represents Richmond in Congress, his opinions supposedly being set out on the table to match up with the people who reside there.  Taking a look at his platform and his voting record, however, sets him at odds with almost everyone I’ve interviewed for this blog. 

According to Berry and his own website, Pence’s views rest solidly on less government and lower taxes for everyone as the main solution to all of our root problems.  He’s fought against Obama to maintain the Bush era tax legislation, which provides tax cuts to all income levels, and may hurt the already sore national deficit.  Also, though most people aren't aware of this, there is a tax base of $102,000, meaning that if you make more than that you won’t be paying taxes on any of it.  The wealthiest of the nation seem to be getting the most out of this deal, and though many low-income individuals jump at the idea of less taxes, this move is a terrible one for the economy, which has been struggling to stay afloat for awhile.  Besides, if no one can get or keep a job, how do lower taxes affect the working man/woman?

People of the working class make up a giant portion of Richmond, and, let’s face it, ideals like those of Mike Pence are not doing them any favors.  For wanting to save people money, he has a bad record of backing it up.  He’s voted to prevent money from going into federal health insurance programs, against lowering the cost of student loans, against lowering the cost of expensive medicine and for cutting welfare, child support and student lending programs, which are all some people have to grasp onto nowadays.  If anything’s going to be done about the state of the place we live in, we need to start noticing those who run it.  Mike Pence isn’t the only one (Berry had a point when saying that the state government plays a part), but he’s got a lot of clout.

Despite how everyone looks after the president of the time as the one in charge and the one to blame, there are numerous people below him in rank that have quite a lot of say in what we can and cannot do.  We cannot live with a system of checks and balances without dealing with this, and by keeping the same congressmen in office we ourselves are preventing change.  Trying to pass liberal or conservative laws is a difficult process impeded constantly by an opposing side.  If nothing else, I hope that this will inspire people to look around themselves.  Things might not change drastically no matter what president we have in office, but somehow people always expect miracles.  We need to start a little lower and work our way up.  Our mayor, our governor, and most definitely our representative all have a great deal of say in our everyday life.  Are you going to sit back and let yours be run into the ground for you?

Overwhelmed before 21

Life in a small town can be difficult when you’re supporting a family, as Kenny Wickett, a 20-year-old who has lived in Richmond his entire life, is finding out first-hand.  Wickett currently lives with his parents, girlfriend and newly born son, Jonathon, in a small house on the south side of the city.

Wickett settled into working at the Richmond Baking Company in order to support himself and his (at the time) pregnant girlfriend, who live with his parents but are not dependent on them.  Wickett was injured on the job about two months ago, however, having caught his right hand in a machine that sliced through most of his fingers.  He was rushed to the hospital and stitched up right before being fired for not taking proper precautions. 

“The company claimed that it was my fault, which is ridiculous.”  Wickett claims to have been following procedure, but shrugs when asked why he hasn’t stood up against his previous employer.  “I don’t have the money for a lawyer, and couldn’t afford to try to hold a case against them.” 

His biggest focus is on finding another job, which he’s been trying to do since the accident. “I don’t have a job right now, but not for lack of trying.”  He hasn’t had any luck, despite having use of his right hand again, and he doesn’t seem hopeful. 

“Richmond’s situation is bad, and not going to get better. The recession is based on big companies. Small people fare badly even when there is no recession.”  By small people Wickett means those without much money, who find themselves under pressure every day.  “People here who don't have enough money to buy a carton of milk because they don't have the extra two dollars are struggling no matter what.”

Wickett has more to worry about than just finding another job.  He had been on unemployment for a year previously, and now finds himself faced with a changed law that leaves him in a difficult position.  “The qualifications for unemployment changed, and I was told that I didn't qualify for what I received over a year ago.  Now the government is demanding all of the unemployment money I gave them back.  So, I owe them about 1600 dollars now.”  Though Wickett was not specific, the recent law change requires that you not be fired in order to collect benefits.  Even though he was eligible previously, when he was actually receiving benefits, he finds himself odds with a system meant to help him, and he faces debt along with his jobless position as his four-week-old baby and girlfriend look to him for support.

Despite having been in the Army and having held a number of jobs, Wickett has few choices in front of him. Currently he has only a high school diploma and focuses on the lack of money available to him as the issue.  “After high school, I joined the Army.  Honestly, a girl had broken my heart and I wanted to get away from here.  I thought the Army would let me do that as well as pay for college when I got back.”   Wickett was medically discharged from the army, and refused payment for schooling.  “I was accepted to Brown (College), I just never got to go.”

Wickett now gets odd jobs, pursuing whatever he can find.  He says he would like to try to look for work out of town, but he doesn’t have the ability.  “Richmond’s not hiring a lot of people.  The only jobs that are available are temporary ones they give out to teenagers…My dad’s been here forever, and he has to drive two hours away every day to work in Shelbyville.”  Wickett doesn’t have a dependable vehicle, and therefore has to look closer to home.

Wickett says that he would move if given the opportunity, but he doesn’t think that’s going to happen anytime soon.  “My family is here, but Richmond’s really not meant for anyone but the elderly. I’d go somewhere if I had the income and money to do it,  but like so many other people, we’re just stuck.”

Your health or your rent?

Health care makes up a large part of the problem that all cities face and is a scary additional cost to the struggle to make money.  Insurance can be difficult to get and even more difficult to pay for.  But when something dire happens, and the lives of people you love are on the line, what do you do?  Elizabeth Helton finds herself struggling with that question every day, trying as hard as she can to stay afloat with low pay and a husband who was diagnosed with cancer.

Helton hails from Fountain City,  a small town about five minutes from the edge of Richmond with a population of about 700.  The town itself consists of a single main road and does not have a grocery store, compelling its citizens to take the trip over to Richmond a number of times a week. Helton was there for 36 years before the news of her husband’s problem two years ago gave her incentive to move.

They moved to Bellingham, Wash; a long trip, but one they felt was necessary. 

“We wanted to live close to Canada,” said Helton.  “It sounds silly, but we hoped to get work there and get citizenship for James in order to receive health care,” she said.

Canada is well known for its system of health care, which is publicly funded and provides mostly free services to the population.  Though the Heltons were never able to find a way there, moving due to the cost of health care in America is a common story.  In 2006 the number of Americans moving to Canada hit a record high since the 70s, as almost 11,000 made the transition.

In order to stay on their feet in Bellingham, Helton’s husband worked the kitchen of a casino, and she cleaned houses in the area. “I would have preferred to make more, but we were doing well.  Bellingham has problems like everywhere else, but there was a strong focus on the service industry.  We would have stayed there if we could.” This industry has been growing steadily over the past two decades, and gave the city a measure of support that places like Richmond don’t have.

The Heltons were forced to move back to Fountain City after James was laid off.  The company he worked for had just moved up a class – the casino moved to a nicer building and James set up their kitchen.  A few days later, he received a phone message. 

“They told him that he was a great worker, but that he was expendable. They didn’t even have the decency to tell him to his face.”

The Heltons immediately applied for unemployment, concerned for themselves and the welfare of their 18-year-old daughter, Cheyenne.  They were refused, as James had been working in the state of Washington for under a year. “He was just three weeks shy of making the cut.  They told us there was nothing they could do.”

After that, James pounded the streets to get a job.  “He went anywhere and everywhere,” said Helton. 

Denny’s restaurant finally came through after three months of searching, but did not provide enough to keep them afloat.  “We had a place here (in Fountain City), and had to move back to it in order keep up with expenses.”

Elizabeth and James Helton

Helton is not happy with the choice they had to make.  “People with really good skills here get a fourth of the pay they should receive.  They end up working at places like Rax.” She has some experience with this herself.  Her husband was a carpenter for 20 years, and good at what he did.  Now, they look for anything they can get.  “He never gets bad reviews at his jobs.  He never even calls in sick.”  Not that that’s a real option for someone living paycheck to paycheck. 

The family still struggles to pay their bills, and though James has been through chemotherapy, he still suffers from cancer with a tumor in his chest. “He can’t even get disability.  And every time we try to apply for insurance the first question is ‘Do you have a preexisting condition?’  If you even look like you’re going to say yes, you’re denied.” 

James has not had a check-up in five years now, because the family cannot afford his hospital bills and pay rent at the same time. Though they have insurance, they are on a plan that provides for very little and has high deductible. The company where James works now, Meijer, offers insurance for its employees, and employees are not allowed to look elsewhere for insurance if it is offered by the employer.  “He’s supposed to get two CAT scans every year.  Without insurance, we would be paying an extra 6,000 dollars every year for those,” said Helton.

To add onto the burden, the Heltons can no longer have children, and this seems to be what upsets Elizabeth the most. “Fuck the Cancer Society.  I know that sounds horrible, but when a family is going through something like this, it’s their job to make sure everyone is informed.” 

Elizabeth is referring to her husband’s chemotherapy treatment, the radiation from which causes sterility.  The Cancer Society is not actually required to inform the family that they need to save sperm if they want to have children in the future, but such a matter being overlooked by both doctors and the Society can lead to such negative outcomes.

“We have to make light of everything sometimes.  It’s too awful.”

Elizabeth herself has an associate’s degree in general studies, but now works for Sodexho, the food company that provides for Earlham College.  Every day, Elizabeth runs a small coffee and snack cart that students can stop at before or after a morning class.  She plans to stay exactly where she is, even though she’s not paid well, in order to give her daughter the opportunity to go to college.  Workers at Earlham get extremely reduced tuition for their children.  It is possible that Cheyenne could go to school on grants and loans, but this would put her in a position that Elizabeth wants to avoid. 

“We’re so far in debt from James’s sickness and the simple expenses of living.  I don’t want her to be in the same boat.  She’s only 18, and she’s drowning before she even starts.”

One day the Heltons might try to leave, but Elizabeth acts doubtful about making the attempt a second time.  “It’s a possibility if the economy gets better and we can save up but I’ll probably be at retirement age by then.” 

This is a sad story, but not an uncommon one.  Though the problems of health care can be seen all over the nation, the Heltons have found themselves stuck in an area that they would prefer not to be in, simply because it’s impossible to leave. 

Factory Migration and Disillusionment

The economy in Richmond has had its ups and downs, but the numbers have consistently been lower than the national average, and it seems that over the past few decades the trend has mostly been downward.  Rick Sabados, a 37-year-old Richmondite, has lived in the small city his entire life.  He has his own theories on the local decline of the employment rate. 

“Things started changing with NAFTA,” he said.  “When people started taking jobs out of the country, no one here could get hired anymore.”

Sabados enjoying the day outside.

The goal of NAFTA was to eliminate barriers of trade and investment between the US, Canada and Mexico.  Critics often argue its negative impact on U.S. workers in manufacturing and assembly industries who lost jobs.  Official studies state NAFTA's net effect on jobs as negligible.  However, more than 3 million manufacturing jobs in the United States have disappeared since 1998, though the Economic Policy Institute estimates 59 percent—or 1.78 million—of these jobs have been lost due to the explosion in the manufacturing trade deficit over the period.  As Richmond’s success was and is based in industry, and manufacturing plants are the highest concentration of lost jobs, it makes sense that Richmond would have a hard time under these conditions. 

“Factories here made items for the military during World War II and business prospered for a while,” said Sabados.

But, he went on to explain, factories began to build farm machinery, and machines took the place of people that had previously worked the lands around Richmond, which are still farmed today.  To make matters worse, other factories started closing.  Milso, the casket factory, went to Mexico, and Kemper, a large cabinet factory, went sour due to the economy.  As few could afford build houses or renovate, the company was getting little business.  Kemper was owned by Masterbrand Cabinets, and, according to Sabados, the workers’ union caused wages to be higher than the company cared to pay such an economic state.  The parent company decided it made more sense to simply close the factory.

Sabados, though not a factory worker, has spent much of his time going from job to job.  His specialization is in home improvement, but the market in Richmond is not very supportive of this business, and a high number of empty houses with ‘for sale’ signs can be found around the city.   Sabados did find work with one home improvement company, but had to also take on work at Mendenhall’s Hardware and Domino’s Pizza part-time in order to support himself and his children, who live with their mother.  Eventually, he quit these jobs to spend time with his kids.   

“Then I ended up being broke and my kids stopped coming around,” he said. Currently, Sabados works for the same home improvement company, which allowed him to take his job back, but many wouldn’t be so lucky.

In terms of the national unemployment rate, Sabados acts indifferent and seems disillusioned with governmental efforts to interfere with the economy and reassure the people.  “The rate goes up and down depending on whether people are hired, not wages,” he said.  “So even if someone manages to get or maintain a job, being hired says nothing for the pay rate, which is likely to be low.”  

In order to turn the highest profit possible, companies lay off some and work the people that remain as hard as possible.  Currently, the government is trying to avoid this problem, which leaves many without pay at all.  In order to combat the possible drop in profit, however, companies hire more people and lower the wages they give, knowing that people will take what they can get in order to survive.  But minimum wage leaves families making too little to support everyone, as even single people have trouble affording living expenses on such pay.

“The rates don’t mean anything for a lot of people who are still struggling.”

What Good is a Degree?

People age 18-24 tend to have problems in Richmond, (as mentioned before, they make up only 11 percent of the population), trying to find jobs and a stable economic environment. A personal interview with Luke Parker, a 25-year-old previous resident of Richmond, helps shed some light on this.

Parker graduated Earlham College in May of 2009 with a degree in psychology. “I really want to work with kids or adults in some form of counseling,” he said when questioned about his plans. But, though he’s been searching for a job since the day he left college, he is still unemployed, one year and four months later. “I’d be willing to do anything at this point – working in a restaurant, dishwashing, you name it,” he said.

Parker now relies on his parents to pay for his part of the rent and food, while his fiancée, Dana Black, picks up the rest with her low-paying job. She makes a living allowance working for Americorps, but is not actually paid by the hour, though her parents also provide her with backup funds. “I’m lucky enough to have parents that help with everything, but I hate being so dependent on them,” said Parker. “I’d be out on the street without them.”

Parker and his fiancee, Black

Parker himself has applied for “too many jobs to count” but keeps getting told that he is overqualified. This happened once with a group home in Richmond, Adept, which takes care of mentally disabled individuals. He was turned away from this job, which would have given him around $8 an hour to make food, drive people around, and help shower people and help this use a bathroom. For such low pay, most people would turn away from this job due to its up-close-and-personal-nature, but the government-funded house was not hiring Luke, despite its   shortage of workers (three had quit/been fired the week before).

Parker and Black have recently moved to Indianapolis to be near her current workplace, and Luke says he’s already had more promising interviews than he’d ever gotten in Richmond. Right now he’s applying for a volunteer position with the Emberwood Center, working with individuals dealing with addiction. This would not pay him, but would set him up in an environment that could move him more toward his desired position and a job that would look good on a resume. Parker has dealt with addiction, and feels confident that he could help people there. “My dad was an alcoholic, and I understand what these people are going through.” He hopes that the center will soon make his position more permanent. That is, if he gets the volunteer position itself.

Parker reflects on his life since college unhappily. “How things used to be, you could graduate and get a job right out of college. Things have changed.” This does not only apply to Richmond, but the small city it most definitely struggling, and people continue to be laid-off. Just this week Landis Plastics, a factory that is part of the manufacturing backbone Richmond is known for, has laid-off all part-time workers, only retaining those who work closer to 60 hours a week. A few months before, Innatech, a plastics factory, shut down, laying off 75 workers with only a week’s notice. Such tactics make those still working work harder, and those without work feel little cause to hope for a new job.

Parker is not originally from Richmond, and neither is Black, but both remained in the city after graduating from Earlham College. They decided to move in together after graduation, and found that easiest to do in Richmond, where they could be with friends and look for jobs while their parents funded their stay for a little longer. They were sharing a small $400-a-month apartment for more than a year as Parker was turned down again and again and Black scraped by as a substitute teacher. “Richmond is actually ninth in the nation for unemployment,” said Parker. “It used to be second, so I guess it’s not as bad as it could be.” He says this with a sarcastic laugh. Though I couldn’t find proof of this, Richmond’s rate is a full 2 percent higher than the current national rate, and Indiana as a whole has the eighth worst unemployment rate in the nation.

“I never wanted to leave Richmond, because I have so many friends here, and like the small-town feel. I didn’t have a choice, though. Getting a job there is impossible.” Black agreed. “If we didn’t get out now, we never would have been able to. It takes too much money to move, and our parents will support us only for so long.”

This is a perfect example of what’s happening within the United States. Graduated college students are finding job hunting impossible, despite their qualifications, and are forced to depend on already-strained parents. In a time of economic failure, businesses only take the most profitable route. Even a volunteer position is something to struggle for, as people are forced to fight each other over distasteful jobs and small amounts of money. If anything tells us that our economic system needs a change, it’s this.

Struggles of a Small City

I started writing this blog for an independent study in journalism, but I was allowed to pick my own topic.  I decided on unemployment, and I plan to focus on my own hometown, Richmond, Indiana, a place of startlingly high unemployment rates.  I hope to see how the current economic problems are affecting those who live here, and write a little bit about those problems and what is being done, if anything, to alleviate them. 

The subject of unemployment can be heard on every news channel and radio station because of the recession, but little is heard about how small cities like Richmond are holding up.  Close-ups during such situations can brings stark statistics into clarity, and as a resident of Richmond, I can’t help but be concerned for the welfare of those who have been recently laid off or have searched for jobs for so long that they can no longer see any point in doing so.

As a city, Richmond is not exactly up-and-coming.  It was previously more productive, however, and might have even been considered thriving at one time.  In 1970, Wayne County, of which Richmond is a part, had a higher per-capita personal income as a percentage of the U.S. average than Indiana as a collective state – about 97 percent of the national average.  Richmond’s economy has begun to disintegrate over time, however.  The county incomes have lowered steadily, and more recently hit about 75 percent of the U.S. average.  Richmond’s economy has been based in the manufacturing industry since it grew to a city in the mid-1800s, and, as factories close, Richmond as a whole suffers.  

During my time here, I’ve seen the slow decay of the city.  It's not just the current economic problems that face Richmond, but a “flight” of the educated.  One friend who also grew up in the area once said to me, “Richmond is where people wait to leave or come to die.”  This struck me with its truth.  In 2000, only 11 percent of Richmond’s population was between 18-24 years, though below 18 years and 44 years and above were both closer to 24 percent. As people grow, most of them want to get out of Richmond.  Good jobs are impossible to get here.  Stores are closing all over city, and entertainment is hard to come by.  The only real economic strength Richmond has is the desire of older people to retire in a small, quiet city.

An online web site, Sperling's Best Places to Live, had nothing good to say about the city, and after reciting some abysmal statistics, led to a single comment.  Adam, a blogger who lives in Richmond, said about the city in 2009, “It's too damned hard to get a job at 18, and if you do, you had better hold onto it with your dear life, because it'll be the last one you'll have. If anyone often gets on here (the web site), take my advice and turn the opposite direction if you're planning on moving to Richmond.” 

This conveys the general feeling of the hopelessness this small city faces.  Ask pretty much any youth about the prospect of staying in Richmond, and most will look at you as if you should be sent to a mental institution.  Almost no employment options exist for a person determined to stay – though housing is rather cheap.  Richmond has become a place to escape from.

The unemployment rate in Richmond has steadily remained higher than that of the U.S. as a whole, and has been pushed down even harder by the recession.  The current unemployment rate in Richmond is 11.6 percent, as the U.S. rate has risen to 9.6 percent.  In 1960, Richmond held over 44,149 people, but as of 2010 held only approximately 36,686.  As the unemployment rate is slated to get worse before it gets better, this does not spell good times for Richmond. And, as the market goes, when fewer jobs are available, people must be more willing to take on distasteful jobs for less payment.  This is common in Richmond, and even dangerous factory work is hard to get and does not pay well.

Frank Langfitt, an NPR correspondent, put the current recession in these terms,

“Most of the lost jobs were through no fault of the people who lost them. This was a man-made recession. It started with that reckless mortgage lending that we spent a lot of time talking about in 2007, the crazy risks that were taken on Wall Street.  And a lot of people out there have been unemployed for a long time. They're really frustrated. They can't find work. And we're seeing that in some of the numbers.

For instance, you know, the economy has actually grown for a whole year. But at the same time, the number of discouraged workers - these are people who are no longer looking for work because they don't think there's anything out there for them - has actually gone up nearly 400,000. So even as the economy grows, more people are actually losing hope.”

So how can a small city, steadily becoming obsolete even before the recession, bring back its hope?  Or can it?