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Insulation at Work: Nearly 400,000 U.S. Jobs Generated from Manufacture of Insulation

Posted By Justin Koscher, Monday, June 5, 2017
Updated: Monday, June 5, 2017

We know the benefits of using insulation - lower energy bills; added indoor comfort; increased building durability; reduced pollution. But have you ever wondered who is responsible for bringing those benefits to homes and buildings across the country? The answer is nearly 400,000 of your fellow Americans!

The impressive number comes via a recent report by the American Chemistry Council (ACC) entitled, The Contributions of Insulation to the U.S. Economy in 2016. Unpacking the 400,000 jobs reveals an economic engine that produces more than $20 billion in payrolls, $1.1 billion in state and local taxes, and $1.9 billion in federal tax revenues.

Insulation manufacturers directly employ more than 33,000 people in 42 states. The top five states for insulation manufacturing jobs are Ohio (#1), Texas (#2), Georgia (#3), California (#4), and Indiana (#5).  California ranks number one for total employment in the insulation industry with over 54,000 jobs.

"This report makes clear that the business of manufacturing, distributing, and installing insulation generates significant economic output and creates jobs across the country,” says Martha Gilchrist Moore, senior director of policy analysis and economics at ACC and author of the report. Underscoring this comment is the fact that insulation manufacturing alone was an $11.7 billion business in 2016.

Insulation is typically installed in roofs, walls, attics, and floor to improve building energy efficiency. The U.S. Department of Energy estimates that the insulation industry is part of a larger energy efficiency sector that employed 2.2 million people in 2016.1  More than half of these jobs were in the construction industry. The energy efficiency sector shows little evidence of slowing down, adding more than 133,000 jobs last year. And respondents to DOE's Energy and Employment Report predict job growth to increase 9% in 2017, an additional 198,000 jobs.2 

These jobs numbers are proof that the business case for energy efficiency products and projects is strong. Policymakers at the local, state, and federal should take note of the opportunity to create more well-paying jobs in the sector, while putting more money back in the wallets of households and businesses through increased energy savings.

To read the full report, visit: The Contributions of Insulation to the U.S. Economy in 2016

1 https://energy.gov/eere/articles/4-technologies-driving-energy-efficiency-jobs

2 https://energy.gov/articles/doe-releases-second-annual-national-energy-employment-analysis-0

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