Connecticut’s minimum wage is set to rise to $12 per hour in September, even as businesses in the state remain limited to 50 percent indoor capacity or are struggling with a loss of customers due to the pandemic. Connecticut’s reopening plan remains stalled at Phase 2 as a resurgence in ...
Connecticut Gets Terrible Jobs Report: Job Growth Less Than Half Earlier Estimates
We were told Connecticut had recovered all of the private sector jobs that were lost during the Great Recession, but new numbers released today show this is not true.
Previously, state labor officials had reported that the state gained 26,900 jobs last year. Today that number was revised down by the Connecticut Department of Labor to 12,200, a reduction of more than half.
The revisions were based on information compiled by the federal Bureau of Labor Statistics.
Based on these new numbers, the state has only recovered 86 percent of the private-sector jobs that were lost during the recession, and 73 percent of total jobs lost.
Last month Connecticut’s unemployment rate went up by 0.1 percent to 5.5 percent, while the national unemployment rate is down to 4.9 percent. The state reported that it added 900 net jobs last month, but only 100 of those were in the private sector.
Today’s news, besides casting a dismal shadow on the state’s economy, also raises questions as to why the state’s estimates were so far off the mark.
As budget revenue forecasts are continually revised downward, and now jobs numbers as well, state officials should look at why their predictions are always rosier than reality.
The newest annual Rich States, Poor States report from the American Legislative Exchange Council dedicates an entire chapter to “Connecticut’s Economic Freefall,” citing Connecticut’s high-tax environment, high pension and debt liabilities and its government labor costs. The high-profile authors include economists Stephen Moore, who has served in the Ronald Reagan ...