Why Omaha’s Underemployment is a Hidden Advantage for Growing Businesses

When companies look at cities for expansion or relocation, a low unemployment rate can raise a red flag. It may seem like there’s no one left to hire. But in Omaha, that surface-level impression misses a deeper story.

The Omaha region has an overlooked asset in the race for talent.

Underemployment in the region actually signals opportunity.

“We have this very high labor force participation rate,” said Dr. Josie Schafer, director of the Center for Public Affairs Research at the University of Nebraska at Omaha. “Underemployment is actually an opportunity to move to Nebraska. People here want to work. We have this really great work ethic.”

Underemployment doesn’t mean disengagement. In fact, quite the opposite. Many in Omaha are working just under full time, piecing together part-time jobs or holding jobs that don’t fully match their education or skill level.

“We see a fair amount of people working part-time. Working more than one part-time job compared to other regions,” Schafer said. “We also see people working right under 40 hours. There are many people who have some college, and they also said they’re interested in training and certification.”

From an economic development standpoint, this means businesses won’t find a passive labor pool. They’ll find one that’s actively engaged and eager to grow.
“There’s a group of people right now that are willing and wanting to go into full-time good jobs, professional careers,” Schafer said.
Schafer also points out that Nebraska’s workforce includes people who are often left out elsewhere. In other regions, people are unemployed for long periods of time. There are high rates of disability. Fewer women work. But in Omaha, the story’s different.
“Among people with a disability still in the workforce, Omaha’s really high.” She adds, “Looking at women in the labor force, we’re also really high.”
This paints a picture of a workforce that’s not only engaged, but persistent: “Those two things together are a positive. We want to work, and we have the capacity to work more.”
What makes Omaha even more appealing is its infrastructure for workforce development. Strong partnerships between higher education institutions and local employers create pathways for skill development that are directly aligned with business needs.
“When it comes to career and technical education, there are strong, strong partnerships with the private sector that are guiding what we’re doing. That cannot be understated,” Schafer said.
Omaha has a stable, collaborative environment and a workforce that’s ready to step up.
“They’re going to show up on day one, and they want to work,” Schafer said.

Learn more about Omaha’s workforce.