With Election 2014 just around the corner, and the gubernatorial race between Governor Dannel Malloy and Tom Foley in full force, the latest report released on September 30, 2014 by the Connecticut Department of Labor – Office of Research, entitled the September 2014 – Business & Employment Changes Announced in the News Media, is far from good news. The reason being, this report that is updated monthly and released to the public, unfortunately, continues to paint an extremely unhealthy picture of the Connecticut economy and the lack of any significant job growth.
The three companies announcing layoffs that will happen before the end of the year will total 475 jobs lost: REM Connecticut Community Services with multiple locations, 342 employee layoffs. Kmart is closing their Torrington location, 73 employee layoffs. Best Buy is closing their Meriden location, 60 employee layoffs.
Only three companies are reporting expansion plans in Connecticut within the year, for a total of 368 new jobs: Costco will hire 225 employees for its new store location in New Britain. Goodwill will hire 128 employees all over the state. ALDI, a discount grocery store chain, is looking to hire 15 employees for its new store location in Derby.
What is particularly alarming about the Business & Employment Changes Announced in the News Media report is the sheer lack of volume month-after-month with companies that announce they are starting up or expanding in the State of Connecticut. Since January of 2013, only a grand total of 73 companies in this report announced job growth, and they mostly consist of low-wage store and restaurant jobs. Quite a handful of companies listed in this report also received tax incentives and state loans. The grand total of planned startup and expansion hires is expected to reach up to 7,837 jobs gained.
As for the grand total of layoffs since January of 2013, the Connecticut Department of Labor – Office of Research shows in this same report a grand total of 67 companies that announced layoffs and reductions in staff. The grand total of planned layoffs should amount to about 9,160 jobs lost.
One thing is certain, in this gubernatorial election, Governor Dannel Malloy will have to continue to try to explain to voters why the Connecticut economy is not improving, because during his tenure in office, the Connecticut economy remains dismal with very little job growth and employment opportunities. As for Tom Foley, if he becomes Governor of Connecticut this time around, then it is an understatement to say that he faces many challenges as a governor to get the unemployed working and to get the economy growing in the State of Connecticut.
Written by Alicia Sakal for Examiner.
Contributed Photo: Connecticut Department of Labor