Two more business mandates being considered by the state Senate will make it harder for Connecticut’s economy to recover—because they essentially send the message to companies here that if they are competing in the global economy, they won’t be able to work with the state.

Under the guise of protecting Connecticut jobs, SB-242 and SB-417 deny Connecticut companies the ability to do business with the state if some of that work is sourced outside of the U.S. or the state. Both measures reflect a glaring lack of knowledge about Connecticut’s economy.

Businesses here are working hard to compete and succeed in the global marketplace. That often means sourcing work in different places to be closer to customers and markets, and to keep costs in check—something the state could learn to do better.

Instead of promoting jobs, SB-242 and SB-417 are protectionist mandates that:

  • Will not promote jobs or economic growth in Connecticut but will actually put jobs at risk       
  • Ignore the fact that Connecticut businesses compete in a global economy, and they  provide the jobs and trade that directly benefit our people and our economy 
  • Stop cost-effective competition that can help the state better manage its budget  
  • Start Connecticut down the slippery slope of government management of business operations

Blocking businesses from offering the state the most cost-effective bid possible is a serious misstep in an era of multibillion-dollar state deficit projections.

In another example of government overkill, SB-242 also expands notice requirements for companies that have to reduce their workforces. It assesses a penalty of $1,000 a day if six months’ notice is not given.

Where will government micromanaging of Connecticut companies’ operations stop? What lawmakers seem to be missing is that Connecticut is home to approximately 1,200 foreign-owned companies that employ 104,900 workers in Connecticut--more than 7% of Connecticut’s private-sector workforce.

We’re also first in the country (tied with South Carolina) in the share of our workforce supported by U.S. subsidiaries. Not only are SB-242 and SB-417 directly harmful to Connecticut businesses, they also send a message to Connecticut’s foreign-owned companies that the state is not willing to be an equal player in the global economy.

CBIA urges state lawmakers to reject SB-242 and SB-417 because they will further erode Connecticut’s employment and economy.

For more information, contact CBIA’s Bonnie Stewart at 860.244.1925 or