Connecticut's August jobs report highlights the immediate, urgent need to address our economic challenges, the state’s largest business association said today.
“This report is bitterly disappointing,” said CBIA economist Pete Gioia.
"On one hand, we get tremendous news like Pratt & Whitney's announcement of up to 8,000 new Connecticut jobs over the next decade.
“Yet just as we're celebrating that, these numbers show that the state economy's foundation needs to be fortified."
The net gain of 300 jobs for the month of August was, in part, driven by 1,800 new government jobs. Other sectors that experienced growth were education and health services (2,000), leisure and hospitality (1,100), and information (300).
The private sector lost 1,500 jobs, led by construction (-1,700). Other services lost 1,400 jobs, followed by professional and business services (-800), financial services (-600), and manufacturing (-300).
“Financial services, manufacturing, and construction are key sectors to the recovery of quality jobs in the state,” said Gioia.
Connecticut’s jobs recovery now stands at 81%, the lowest in New England. According to DataCore Partners, Massachusetts (270%) and Vermont (162%) lead the region.
“On balance, this is a report we wish we didn’t get,” said Gioia.
Gioia noted that while CBIA surveys on both small and larger state businesses released over the last few months have been on net relatively positive, this report proves there is still more to do.
“This points to an underlying funk in the job market here in Connecticut," he said.
“It’s not clear what is causing this but we continue to believe that we can fix this.
“Connecticut can reach a much greater potential by reforming our fiscal policies to encourage more job creating investment.
"And, in light of reports like this, the state elections coming up in November are perhaps more important than ever.”
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).