“Republicans are listening to the concerns of businesses and working class families”

(Hartford Courant)

The climate in Connecticut for expanding a business is at a standstill with the state’s high cost of living and labor shortages among the biggest hurdles to growth, according to a new survey released Wednesday.

The Connecticut Business & Industry Association’s annual survey of state businesses found that 41% believe the state’s business climate is static, with 39% saying it is in decline.

The survey of 2,800 businesses showed that just 8% of businesses believe the climate is improving.

On Thursday, Republicans in the state legislature issued a statement urging that steps be taken to ease the cost of living in the state.

“We must listen to our job creators, and we must act,” the statement said. “To make Connecticut more affordable for employers and their employees. Republicans continue to offer solutions to lower the cost of electricity.”

Republicans are pushing for a special session to address the skyrocketing cost of electricity.

Gov. Ned Lamont opposes a special session on electric rates, but has agreed to analyze whether some pandemic relief funds could be used to offset increases in electric bills.

The statement — signed by Sens. Tony Hwang, Ryan Fazio, Lisa Seminara, Jeff Gordon and Stephen Harding, the Senate minority leader — also advocated for the Association Health Plan.

“Republicans are listening to the very legitimate and very real concerns of state businesses and working class families,” the statement said.

Chris DiPentima, president and chief executive of CBIA, the state’s largest business lobbying organization, said on Wednesday: “There’s significant demand for Connecticut products and services, and while job growth remains strong, the pace of growth is not fully meeting the demands of our economy.”

“We are promoting solutions to lower costs, reduce regulatory burdens and expand the labor force, and it’s critical that policymakers embrace them to accelerate job growth and create more opportunities for our residents,” DiPentima said, in a release.

Other key findings of the survey were:

• Almost nine in 10 surveyed firms say the cost of doing business is increasing, citing labor costs, goods and supplies and state taxes.
• 78% report difficulty finding and retaining workers and 46% list employee recruitment and retention as their top investment priority.
• 60% say the availability of affordable, quality childcare is important for recruiting and retaining talent.
• 73% of businesses reported profits in 2023, down three points from 2022, with 13% breaking even and 14% posting losses.
• 28% expect to grow their workforce in the next six months and 8% expect a decline.

Survey: Majority of CT employers see business climate for expansion at a standstill