Report Finds MATC Contributes $1.5 Billion in Economic Impact Each Year
Confirms MATC is a vital economic engine for our region
Milwaukee Area Technical College has long been known as a driver in the local economy, helping prepare students to enter the workforce with a high-quality, career-focused education.
A report released this spring by respected labor market analytics firm Emsi confirmed the significance of that impact: $1.5 billion in annual economic activity generated by the organization, students and alumni.
Both graduates and taxpayers earn a significant return on the investment they make in MATC. For every dollar a student invests in the form of out-of-pocket expenses, the report found, he or she receives a cumulative of $3.80 in higher future earnings. This calculation takes into account money that students would have otherwise earned had they been working instead of attending college.
MATC itself is an important local employer.
In fiscal year 2016-17, the college employed 2,111 full-time faculty
and staff.
Those future earnings add up. MATC associate degree graduates will experience an amazing $418,000 in higher earnings throughout their working years compared to someone with only a high school diploma or equivalent. Society as a whole benefits from an increased economic base, raising prosperity in Wisconsin. One way to think about investment in higher education is to compare it to the U.S. stock market’s average rate of return.
For the last 30 years, this average is 10.1 percent. MATC students beat that figure, achieving an annual rate of return of 15.8 percent.
For taxpayers, every $1 of public funds invested yields a cumulative value of $2.70 over the course of the students’ working lives, Emsi concluded. Taxpayers also will see $25.7 million in present value social savings connected to lower crime, lower unemployment, and increased health and wellness levels, according to the report.
One of every 31 jobs in the area MATC serves is supported by the activities of MATC and its students.
Narrowing the Skills Gap
MATC’s impact is perhaps felt most acutely in the region as the college works to close the middle skill jobs gap. Job seekers and employers know the challenge well: a mismatch between what industries need and what the local labor market is supplying. Currently, 55 percent of Wisconsin’s jobs are middle skill – requiring more than a high school diploma but less than a four-year degree. However, only 48 percent of the state’s workers are trained to that level at a minimum, according to the National Skills Coalition.
David Dull is chairperson of the MATC District Board of Directors and is the president and CEO of Allis Roller, a manufacturer in the Franklin Business Park. “I know firsthand that our region’s employers need more skilled workers,” Dull said. “I see it at my own company and hear about it from my counterparts at nearby companies. Businesses are struggling to fill some of their middle skill jobs – and MATC can help people quickly get ready to qualify for those roles.” Under Dull’s leadership, the Franklin Business Park Consortium collaborated with MATC to prepare workers for better careers.
MATC itself is an important local employer.
In fiscal year 2016-17, the college employed 2,111 full-time faculty
and staff.
MATC programs are designed to narrow the skills gap, building the middle-skill workforce that is vital to our region. MATC students are quickly earning technical diplomas and associate degrees to prepare for our region’s fastest-growing and in-demand jobs. These include accounting, culinary arts, engineering, information technology, protective services and health care, plus skilled trades such as electricians, steamfitters and welders.
MATC offers 200 affordable high-quality programs preparing students for careers in as little as one to two years – and providing a less expensive path to a four-year degree through more than 35 college and university transfer partners.
Data: Emsi report published 2018.
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