November Job Losses Highlight Need for Small Business Support
Connecticut posted its first monthly job losses since April in November, with seven of the state’s main industry sectors seeing declines.
The state Department of Labor reported a net loss of 1,600 jobs, with unemployment rising to 8.2%—a number officials said better reflects the pandemic’s economic damage.
DOL also revised October’s previously reported 14,100 net job gain down by 2,600 jobs.
Connecticut has now recovered 64% of the historic 291,300 jobs lost in March and April to COVID-19 shutdowns and restrictions.
Small Business Support
CBIA president and CEO Chris DiPentima said colder weather and the continued surge in COVID-19 cases was playing havoc across a number of industries, particularly the leisure and hospitality sector.
“The latest employment report shows that the state’s economy is on a knife’s edge,” DiPentima said.
“In the short term, it is critical that the state provide immediate, additional support for small businesses while Congress remains deadlocked on a second federal relief package.
“In the near to long term, the November jobs report must serve as a reminder to state lawmakers—particularly as we approach the 2021 legislative session—of the economy’s fragility.
“It’s essential that we support businesses at this critical time, helping them manage the high costs of navigating the pandemic, create and retain jobs, and lead the rebuilding of our economy stronger and better than it has been in many years.”
Connecticut’s COVID-19 jobs recovery rate continues to lead the New England states and remains above the national average of 56%.
At 58%, Rhode Island has the best recovery rate after Connecticut, followed by Vermont (53%), Maine (53%), Massachusetts (49%), and New Hampshire (47%).
Connecticut’s employment numbers are down 6.4%—108,400 jobs—since the beginning of the year.
“The November losses reinforce the need for every Connecticut resident to do the right thing,” DiPentima said.
“Wear your face mask, maintain social distancing, and practice good hygiene—we’re all in this together and we’ll get through it together.”
The state’s leisure and hospitality sector led all losing sectors last month, with employment falling by 2,800 jobs or 2.1%.
The government sector lost 900 net jobs, driven by the loss of 1,000 federal government position as temporary U.S. Census jobs ended.
Education and health services also lost 900 jobs last month, followed by financial activities (-500), manufacturing (-500), professional and business services (-300), and information (-100).
Major gains in the trade, transportation, and utilities sector helped mitigate some of the overall losses, with the sector adding 3,700 positions (1.3%) in November.
“Transportation and warehousing, which includes delivery services, grew in November and now employs more people than one year ago,” the labor department report noted.
Construction and mining added 500 jobs and other services gained 200 positions.
Four of the state’s six main labor market areas posted declines in November, led by New Haven with 1,700 lost jobs.
Bridgeport-Stamford-Norwalk saw 900 lost jobs, followed by Norwich-New London-Westerly (-700) and Waterbury (-200).
Hartford-West Hartford-East Hartford added 2,500 jobs last month and Danbury gained 800.
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