Winter 2024 19 Virginia’s logging workforce is currently composed of over 600 logging businesses. These logging businesses are all family-owned operations that provide the harvesting and transportation services required to produce raw materials for Virginia’s forest industry. With an industry that depends on independent logging businesses, continued operation of these businesses is critical. As I have previously reported, we recently completed a survey of Virginia logging businesses related to the economic sustainability of their operations. This survey showed that many logging businesses are struggling with current markets. When we asked owners their outlook on the sustainability of their operations, many of them were neutral or felt as if their operations were not economically sustainable. We also asked some demographic questions and assessed their views on whether they would encourage their children to pursue a career in this industry. The average logging business owner in Virginia is 55 years old. While this is still a few years off from a typical retirement age, it does point to a significant transition in ownership in the not-too-distant future. Other surveys have also revealed an aging workforce in logging businesses. Sixty percent of respondents reported that they were descendants of logging families, which indicates there is a strong family connection, and many logging businesses are continued across generations. We presented business owners a series of statements and then asked if they agree or disagree with the statement. Fifty-six percent of logging business owners agreed that they would not encourage their child to pursue a career in the forest industry because of factors related to economic sustainability. Another 27 percent were neutral, which meant that only 17 percent disagreed. In other words, fewer than one in five respondents would encourage their children to go into the forest industry. Ultimately, concerns about the economic sustainability of the industry could create challenges with recruiting the next generation of logging business owners. The logging industry has evolved and seen many changes in the past decades. Our past surveys show that Virginia tends to have fewer total logging businesses over time, but the ones that remain are larger and more productive. We anticipate that trend will continue; however, there will still be a need for logging businesses. In addition, with an aging workforce, there will soon be a need for transition in ownership within many of the current businesses. For an industry that has traditionally had a high rate of generational family businesses, it is a concern when less than 20 percent of business owners would currently encourage their children to go into the industry. Much of this is related to current market conditions which are not strong for many products, and markets can change quickly. However, these survey results indicate that recent market conditions may be creating challenges for current owners as well as creating challenges with recruiting future owners. Whether you are a logging business owner, or involved in the forest industry in other ways, it’s worth thinking about who will become logging business owners in the future, and devise strategies for what we can do now to ensure we have an economically sustainable logging industry. THE LOGROLL Notes & News for Loggers Who Will Be Our Future Logging Business Owners? By Scott Barrett, Ph.D. Extension Specialist—Forest Operations Virginia Tech Department of Forest Resources and Environmental Conservation (PHOTO BY ILZE79, 123RF.COM)
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