Klepper-Smith: CT Leads In Labor Force Decline

by Categorized: Connecticut, Economy Date:

Economist Don Klepper-Smith says he was \”shocked\” to discover that Connecticut leads among all states in the overall decline in the labor force during 2012:

… the labor data this month threw us a hard curve ball with the loss of 1,800 jobs against a backdrop of 155,000 new US jobs in December. That said, it prompted me to dig a little deeper into the jobs data and the components of unemployment. What I found shocked me! When you look at labor force data for ALL 50 states, we find that Connecticut has posted the largest decline in its labor force, both in absolute and relative terms.

Where are they going?

Here\’s the spreadsheet he\’s emailing today:

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23 thoughts on “Klepper-Smith: CT Leads In Labor Force Decline

  1. Jimbo

    Gee, I wonder if this is related to the decline of state revenue? And I wonder if the decline in state revenue is due to the exodus of people and business out of this liberal tax-and spend state?

      1. Kevin V Gantnier Sr

        Left the workforce?…Really?…you don’t work in manufacturing do you?…of course it’s because companies have left the state…My God man…..

    1. Jimbo

      Its notable in the data that Connecticut’s job loss on a percentage basis is nearly twice the amount as the next lowest state.

      Look in the mirror Connecticut. The liberal utopia is not working.

  2. Richard

    The exodus in California continues. The loss of 680 millionaires is a loss of 1% of their tax base. Mickelson is just the latest. Soon we enter another recession and pressure to balance budgets.

  3. Paul

    Not good news. Some may have left the state (particularly young people) for employment opportunities and lower cost of living in other parts of the country. Others may have just “given up” on finding a job here and are counted as having left the workforce. An obvious factor in the state’s revenue shortfall. They were counting on the standard recover by now.

    1. Kim

      many state employees take the pension money that WE provide them, and move out of state to avoid the high CT taxes. Some of them have said so in posts on the Courant.

      Nothing like shooting ourselves in the foot.

      1. Michael

        Sour grapes. Whatever state employees receive(d) was bargained for in good faith. Just like the federal government, the state cannot stop it’s “spend like a drunken sailor” mentality. This is the real issue that few will even mention. So, stop blaming state employees, or better yet, join them if you think they have it so good.

        1. Kim

          verbal sleight of hand, Micheal, unless you can show that the bargaining process included telling retired employees to move to another state to save money on their taxes. As you didn’t dispute this, then I have to assume you can’t.

          Also, bargaining in ‘good faith’ would require all affected parties to be at the table. Taxpayers are not part of the collective bargaining process – that takes places between state employees, union and non-union. Nothing ‘good faith’ there.

          Bargaining, by any definition, does not include giving the store away like Malloy did in his last ‘negotiation’. Where was the ‘good faith’ in guaranteeing 4 more years of worry free employment.

          Stop blaming the state employees? Those employees that are honest will agree that the taxpayer is getting screwed at their expense. THAT is good faith.

          ‘Join them if you think they have it so good’? Do you seriously believe that all workers can work for the government? Are you that obtuse to believe that money to pay state workers doesn’t come from private-sector taxes?

          There is no ‘good faith’ in your argument or your position.

  4. Palin Smith

    Look at the bottom of the list. That’s where Connecticut people are going. Dannel 88 has brought ineptocracy to new heights. The masochists of the left enjoy the pain. Normal people avoid it.

  5. Dan G

    This is just another piece of evidence that Malloy has ruined the state with all of his tax increases, and his poor fiscal policy. He should stop overtaxing us as he turns around and give grants to cities and towns he picks as winners & losers.

    The biggest loser in Connecticut is the governor himself!

  6. Mike

    Wow, I really wish Green & Klepper-Smith did their homework before posting this. They know nothing about the cyclical nature of the LFPR. Take into consideration what the “Decline in Labor Force” actually means, and what constitutes being “in the labor force”. Someone is only in the labor force if he or she is ACTIVELY looking for work (e.g., filling out applications, interviewing). If someone is only browsing online for jobs but isn’t actually doing anything actively, he or she is not in the labor force, hence the decline. In CT, many factors have to be considered- the overall age of residents (8th oldest), wealth (among the top). If someone decides he or she doesn’t need to work anymore, they will be taken out of the work force and add to the “decline” this article mentions. States at the bottom of that list: PA, TX, etc., are not necessarily creating jobs- those people in the state are now joining the search for jobs (perhaps benefits ran out, younger people move there, etc). This article is at best a spreadsheet compiled by using Census data in which NO conclusions about each state can be made that are of any relevance without outside data.

    1. Kim

      doing ‘homework’ would require a committment to reporting not evident in this authors’ articles. And, even if all the facts were discovered by the author, he would likely only print those that suited his purpose. All other facts would be deemed ‘inappropriate’ and edited out accordingly.

      This is the Courant, people. I speak from experience as my comments have been repeatedly removed as ‘inappropriate’ even though they were not when compared to the Courant’s posted standards

  7. peter

    Shocked? Not for someone who’s been in Manufacturing. Like Pratt said, this is the highest state to do business in. But, our so called leaders think they need to force big business to stay here/

  8. Tim White

    In general, could there have been a significant shift in jobs from Fairfield County to NYC? I don’t recall any headline moves, but it could happen without any noticeable changes in CT as people may not move.

  9. Steve

    If you’re going to keep voting for the same people, why would you expect any change. Until the unions are addressed in this state, Conn. will continue to become a place where people will move away from. Check out total taxes paid and we are 3rd from the bottom in that category.I love this state, but who in their right mind would want to retire here unless maybe because the state is taking care of you…..

    1. Connecticut is dying too

      Good point Steve. This state has devolved into an entitlement enclave and a one-party, union-owned liberal utopia. The figures are beginning to bear out the epic failure of years of overspending, overtaxation, and reckless borrowing.

      Personally, I’m outta here as soon as I am able. Let the liberals stew in their own juices.

  10. alexis

    I am shocked that they are shocked. This state has been on the decline for quite a while, like the country. Those who support the policies of people like Malloy will benefit, perhaps, in the short term. Eventually they will wake up and say “what happened?” Sadly, they won’t blame their politicians.

  11. PJ

    No one that has lived in CT for 5+ years should be at all surprised by this. Unfortunately, our lib/dem voting state is the first to start feeling the effects of “tax and spend” politicians continuing to be elected to office! We have done everything humanly possible to scare away new business and our ONLY answer to everything is to raise taxes (never, ever cut programs). If I recall, CT was also the worst of the 50 states in using the billions in revenue from the tobacco settlement to actually educate the citizens…instead, they used it to fill budget deficits. We are scaring away our senior citizens (CT is the highest tax state for retirees) and now with jobs leaving this state, we are scaring away our children! Instead of worrying about giving in state tuition to illegal immigrants, we should be more concerned about our future and the futures of our children. My child goes to college out of state because UConn would not give him one red cent (honor roll all thru high school). He goes to a top ranked college (out of state) cheaper than he can go to school here. That’s the priorities in CT…backwards, but that’s their priorities! Sad commentary on the future of this state…and, while all this is going on, we have a governor who runs around like a race horse with blinders and tells us how great things are and runs off at our expense to campaign for obama!

  12. Connecticut has no future...

    When you have State cops, Teachers and state workers getting 60-75% of their highest 3 years with all of the overtime they can put in and its allowed, then you know the Unions pay off the Politicians to get the best deal to screw the Tax payers. State workers effectively pay nothing taxes. For Example you have a State Cop putting in 4% of his income for his pension and over 25 years he may put in 70-80k but gets 60% of his highest 3 years at 47 with his young with too. My, he puts in $80k and can get back in 40 years -9 million dollars!! with cost of living no less… divide 8 million and the 2 million while he worked and you get 10 million divide it by 25 years and that cop made $400,000 per year for the time he worked from day one. Plus free healthcare plus medicare reimbursement…. that is a 12 million cop… for giving out tickets and watching the hole…. 21 State cops have died in 92 years 1 from a heart attack, we don’t count donuts,,, so 20 cops divided by 92 years times an average 700 cops per year = 64,400 cops so 20 divided by 64,400 cops for the 92 years = .000310% of cops die each year. No one wants cops to die or get hurt but more than 2.2% of commercial fisherman die each year and they make 40k with no govt pension, soldiers die all the time they get free healthcare and state university … State workers get it all without paying anything in taxes effectively… Whatever they pay in state taxes and in this case above the cop paid about 40k in state taxes he gets 8 million back for putting only 80k in his pension…. The only way the private sector gets that is paying off the president… hey maybe unions paid off somebody… MMM,,, I wonder

    1. Kim

      well said CT. Wait for it…..”if you think they have it so good, become a state employee”.

      Or, ‘it’s for the children’

  13. enness

    It’s not a great thing no matter what the reasons for it — but let’s be honest here. There are more attractive and/or less costly places to live. Many of my friends have found themselves in Pittsburgh, one describing it as “cuturally relevant.” Ouch.

    Before anybody else brags about how we are just so rich we don’t need to work (*cough cough* *Mike!*), you might want to be aware that Connecticut ranks second in the nation in income inequality according to the latest census data.

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