As Connecticut unemployment numbers rise, economists expect a ‘significant bounce back’ once business resumes

As Connecticut unemployment numbers rise, economists expect a ‘significant bounce back’ once business resumes

Efforts to curtail the spread of coronavirus, including the shutdown of many businesses across the state, has had an immediate impact on Connecticut’s economy with more than 150,000 people out of work for now and filing for unemployment insurance. But local economists are optimistic that the long-term economical ramifications will not be as severe as some may fear. State Department of Labor officials have noted that many of the unemployment insurance claims are tied to furloughs and layoffs, rather than job eliminations. A furlough is considered a temporary reduction in hours or unpaid days off, while layoffs are when an employer doesn’t have enough work for the worker, but intends to bring them back. Gioia expects Connecticut to recover substantially faster than it did during the last recession, partially due to the fact that the state’s key industries — manufacturing, insurance and even banks — are still operational.

https://www.courant.com/coronavirus/hc-news-coronavirus-connecticut-unemployment-numbers-economy-20200331-juxabbkvhreyjb256filyowt4q-story.html

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