June Jobs Report Highlights Critical Needs
Connecticut’s jobs recovery experienced another month of slow growth, with employers adding just 1,700 new positions.
For the second month in a row, the construction sector lost jobs.
“That’s often an early warning sign of an economic slowdown,” CBIA president and CEO Chris DiPentima said.
Connecticut added 15,200 jobs in the first half of 2022. At 0.9%, that is the third slowest of the New England states and half of the 1.8% national rate.
Massachusetts leads the region in year-to-date job growth at 1.8%, followed by Rhode Island (1.7%), New Hampshire (1.1%), Connecticut, Maine (0.8%), and Vermont (0.4%).
The data comes on the heels of a recent CNBC business climate report, where Connecticut fell 15 places to 39th best state to do business in.
“Connecticut’s cost of living is eighth highest in the country, the cost of running a business here is sixth highest, and our economy is ranked 47th,” DiPentima said.
“Tax reform will make Connecticut more affordable, while regulatory reforms such as overhauling professional licensing requirements and easing workplace mandates will bring down business costs.”
Connecticut has recovered 83% of the 289,400 jobs lost in March and April of 2020 to pandemic-related shutdowns and restrictions.
At 92%, Maine leads the region in recovery, followed by New Hampshire (92%), Rhode Island (90%), Massachusetts (89%), Connecticut, and Vermont (75%). The U.S. recovery rate is 98%.
According to the July 20 State Job Openings and Labor Turnover report from the Bureau of Labor Statistics, there were an additional 9,000 job openings in Connecticut in May, for a total of 120,000 openings.
The 8% increase is the second largest in the country, behind only Massachusetts (9%).
“Employers have the job openings, but the workers needed to meet record demand for their products and services are simply not there,” DiPentima said.
“If every unemployed person in the state was hired tomorrow, we’d still have a staggering 44,000 job openings.
“And while the state has made welcome investments in workforce training programs, it is clear that more outreach efforts are needed to raise awareness about those initiatives.
“Connecticut residents are more concerned than ever about the state’s economy and will be looking to those running for public office to show their support for these solutions and others that will make our state more affordable.”
Industry Sectors, Labor Market
Seven of the state’s 10 main industry sectors added jobs in June, led by professional and business services, which added 1,400 positions (0.6%).
The government gained 800 jobs (0.4%), followed by education and health services (700; 0.2%), manufacturing (600; 0.4%), trade, transportation & utilities (300; 0.1%), and financial activities (100; 0.1%).
The “other services” sector remained unchanged.
The critical construction and mining sector lost 1,800 jobs (-2.9%), followed by leisure and hospitality (-200; -0.1%) and information (-100; -0.3%).
Two of the state’s six main labor markets posted gains, while three declined and Danbury remained unchanged.
Hartford gained 1,700 jobs (0.3%), followed by Waterbury (600; 0.9%).
Bridgeport-Stamford-Norwalk lost 2,600 jobs (-0.7%), followed by New Haven (-1,000; -0.3%) and Norwich-New London-Westerly (-100; -0.1%).
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