EMPLOYMENT IN THE FOREST INDUSTRY

Forest industry employment in Montana peaked at 13,500 in 1978. By 1982, recession-related market forces had driven it below 10,000; but by 1989 improving consumer markets had pushed it back to 11,986. Since then, employment has been in slow decline, a result of mill closures forced by the precipitous decline in federal timber harvesting. Currently, about 11,100 Montanans hold logging and milling jobs. 

Future employment stability depends largely on hoped-for increases in the national forest timber sale program, which in turn hinges on wide public acceptance of Forest Service plans for using silvicultural thinning techniques to restore more natural forest conditions in Montana's national forests.

Montana's non-industrial private lands will also contribute to more stable employment in logging and milling sectors, but only so long as log prices decline.

Between 1990 and 1995, Montana's forest products industry accounted for 15% of basis industry labor income and 10% of the state's basic employment. Forest products manufacturing ranks third, after the federal government and agriculture. 

More than 80% of forest industry labor income and employment is concentrated in western Montana counties. Logging, trucking and milling are the major component in most communities in Flathead, Lincoln, Lake and Sanders, Granite, Mineral, Missoula, Powell and Ravalli counties. Although mill closures have been concentrated in these counties, the forest products industry still accounts for 41% of basic labor income.