State’s Mounting Job Losses Reflect Concerns Over Three-Month Budget Stalemate

[soundcloud url=”https://api.soundcloud.com/tracks/347647189″ params=”color=ff5500&auto_play=false&hide_related=false&show_comments=true&show_user=true&show_reposts=false” width=”100%” height=”166″ iframe=”true” /] Connecticut’s “disturbing” September jobs report demands swift action from lawmakers to resolve the budget stalemate, an economist with the state’s largest business organization said today.
“Connecticut’s economy is impacted by the instability at the Capitol,” CBIA’s Pete Gioia said.
“Today’s disturbing employment report is a dramatic reminder of that.”
Connecticut lost 2,000 jobs last month and the state Department of Labor revised August’s initial 3,900-loss to a loss of 4,200.
The state has now lost 7,900 jobs over the last three months, erasing most of the gains from earlier in the year.
“We started this year with great momentum, even seeing as much as 11,000-plus job growth year-over-year,” Gioia said. “But over the last three months, it’s eroded dramatically.”
Gioia noted that it's no surprise that period of decline mirrors the same period that the state has gone without a new budget.
There was growth in some industries. Professional and business services added 1,100 jobs, followed by financial activities (900), information (300), and manufacturing (200).
"These business sectors are key to the economy," Gioia said.
"Over the last three months, we've seen a disturbing trend of job losses, and those sectors are not strong enough to carry it alone.
"Legislators must produce a state budget that business can believe in so we can begin to reverse this trend."
While Connecticut's unemployment rate fell two-tenths of a point to 4.6%, Gioia said that was the result of the state's shrinking labor force.

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CBIA is Connecticut's largest business organization, with thousands of member companies, small and large, representing a diverse range of industries from every part of the state. For more information, please email or call Meaghan MacDonald (860.244.1957).