While Connecticut’s COVID-19 jobs recovery passed the halfway mark in August, the latest employment report brings warning signs for a key part of the economy, the state’s largest business organization says.
CBIA president and CEO Chris DiPentima said the August report shows the recovery extended for a fourth month, with employers regaining 54% of the 291,300 jobs lost in March and April.
However, the state’s manufacturing sector lost 1,500 jobs last month, or 1% of its total workforce.
“We’re seeing two factors at play there,” DiPentima said today. “First, the continued slump in commercial aerospace demand is now having an impact on many of the state’s aerospace manufacturers.
“In addition, we’re also seeing the impact as the disaster relief loans many received from the federal Paycheck Protection Program run out. That was a critical lifeline for manufacturers.”
DiPentima expects other industry sectors also will be impacted as their loans are exhausted and called for the U.S. Congress to end the deadlock over a new round of stimulus funding.
“We are very concerned that Congress has failed to act on a new round of emergency relief funding,” he said.
“There’s a lot of uncertainty ahead. The state’s jobs recovery is a fragile one, with serious implications for our economy if we don’t protect employers during this crucial time.”
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 contact Joe Budd (860.244.1951).