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Wisconsin jobs?


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Walker blames turmoil in economy, uncertainty created by recall elections

e-mail print By John Schmid of the Journal Sentinel

Aug. 18, 2011 |(1607) Comments

 

Wisconsin lost 12,500 private-sector jobs last month in the deepest single-month decline since the depths of the 2008-'09 recession, effectively annulling most of the previous month's gains.

 

Gov. Scott Walker, who last month credited his administration's business-friendly policies for big job gains in June, attributed the July job losses to turmoil in the national and international economy as well as to uncertainty created by the state's special recall elections.

 

Asked whether he should be held accountable for July's decline as long as he also wants credit for June's gain, Walker responded by describing what he called "incredible uncertainty both at the federal level - in terms of the debt ceiling and all the tension of that, and the negative impact that had on the economy - combined with July and August, when you saw the height of the recall commercials. And I think for a lot of employers we talked to, that created a high level of uncertainty, not knowing what was going to come next."

 

Walker spoke in Waukesha on Thursday at Weldall Manufacturing Inc., which received state and local incentives to boost investment and expansion in the metals fabricator. Weldall, which had 110 employees as of Sept. 10, today has 239, with plans to hire another 40 or 50.

 

"In the first six months, the policies we put in place helped create certainty in the state," Walker said.

 

According to the latest data from the state Department of Workforce Development, the state's unemployment rate rose to 7.8% in July from 7.6% in June, even as the national unemployment rate improved to 9.1% from 9.2%.

 

The loss of 12,500 private-sector jobs last month represented the biggest decline since April 2009, when the state lost 22,900 jobs in the aftermath of the subprime mortgage meltdown and the collapse of Wall Street financial institutions.

 

The July decrease also offset most of the state's gains from June, which were revised Thursday to a net increase of 14,800 jobs - up from the preliminary gain of 12,900 that was reported last month.

 

"Wisconsin is not immune to the national economic slowdown this summer, and we are seeing the effects of the national economy in our July numbers," said Scott Baumbach, secretary of the Department of Workforce Development. "The wild market fluctuations during the debt ceiling negotiations, the European debt crisis and other factors contributed to a great deal of uncertainty, which may very well have affected Wisconsin's job numbers given our state's ties to the national economy."

 

Virtually every sector of the state, from professional services and construction to health care and tourism, lost ground in July, although the heaviest losses were in the service industries.

 

Durable goods manufacturing added 2,000 net new jobs in July even as non-durable manufacturing lost 2,100.

 

Each month's state figures are based on relatively small government sample sizes and amount to estimates. They are also preliminary and prone to revision. Additionally, the figures are seasonally adjusted to smooth out annually expected shifts related to weather, tourism and school holidays.

 

Government jobs continued to gyrate in July, as they have throughout the recovery. According to Thursday's data, public authorities at the municipal and county level added 4,100 jobs in the month, a figure that overshoots in an unrealistic extrapolation because many public schools and cities have been slashing budgets, economists said. Many analysts argue that the monthly jigs and jags in government employment reflect the distortions and statistical "noise" that always are inherent in the monthly jobs report.

 

"I don't put much stock in these numbers. They are subject to revision and those revisions can be extreme," said Brian Jacobsen, a Milwaukee-area economist at Wells Fargo Bank.

 

With or without statistical distortions, July's report shows that job creation remains stunted two years into what counts as a recovery. And few doubt that the national and international economies have cooled.

 

The stock market fell sharply Thursday in another reminder that the nation continues to feel the aftershocks of the recession. Europe is in the throes of its own debt crisis. China, which has been a global growth engine, is slowing.

 

Thursday's state jobs report also shows that many unemployed Wisconsinites have given up looking for work, which statistically removes them from the category of "unemployed," said John Heywood, a professor of labor economics at the University of Wisconsin-Milwaukee. "These discouraged workers do not show up in the unemployment rate but have been a fixture in both the state and the nation," Heywood said.

 

One month ago, when Walker announced the increase in private-sector job gains for June, he took credit for shifting the tone of the state's economic debate and creating an economic climate conducive to investment and employment.

 

"For a new governor eager to show his policies are working, cheerleading in this economy can easily backfire," said Andy Feldman, director of Madison-based BadgerStat.org, which collects and analyzes state economic metrics. "One month there's good news, but the next month may be bad news. The reality is that the economic forces at play are much bigger than Walker or even Wisconsin itself."

Laurel Walker of the Journal Sentinel staff contributed to this report.

 

Jobs added= must solely be attributed to Scott Walker

Jobs lost= Clearly have nothing to do with Scott Walker

 

:tup:

Wasnt someone trumpeting how great Sconny's job numbers were last month? :wacko:

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Jobs added= must solely be attributed to Scott Walker

Jobs lost= Clearly have nothing to do with Scott Walker

 

:tup:

Wasnt someone trumpeting how great Sconny's job numbers were last month? :wacko:

They were great last month. :lol:

 

And yes you are right that these jobs are on the head of Walker - he is in charge and IMHO the excuse of the recalls is laughable.

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They were great last month. :wacko:

 

And yes you are right that these jobs are on the head of Walker - he is in charge and IMHO the excuse of the recalls is laughable.

 

That is going to be the biggest problem that Walker faces . . . getting long term jobs in place versus short term gains.

 

I know for a fact that very aggressive tax breaks led Uline to relocate their corporate headquarters from Waukegan to Pleasant Prairie . . .

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That is going to be the biggest problem that Walker faces . . . getting long term jobs in place versus short term gains.

 

I know for a fact that very aggressive tax breaks led Uline to relocate their corporate headquarters from Waukegan to Pleasant Prairie . . .

I agree he (Wisconsin actually) needs permanent jobs.

 

I am missing your point on the second sentence? Are you saying Uline moving to WI is good or bad?

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I agree he (Wisconsin actually) needs permanent jobs.

 

I am missing your point on the second sentence? Are you saying Uline moving to WI is good or bad?

 

It was good for Uline, and good for WI as it added a new company to the state.

 

Not so good for Il . . .:wacko:

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It was good for Uline, and good for WI as it added a new company to the state.

 

Not so good for Il . . .:wacko:

Gotcha - I thought that was what you meant but I could not tell for sure.

 

I am thinking more of that needs to happen for Walker (Wisconsin) to succeed.

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But obamessiah bears absolutely no responsibility... :wacko:

 

NOW you are getting it! :tup: It isnt a personal acheivement or a personal slight to any one individual. Obama shouldnt do it, and neither should Walker. Focusing on the outcome of more stable job creation shouldnt be a partisan pissing contest.

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So earlier jobs went up in Wisconsin, while the rest of the country pretty much continued to lose jobs. I'm guessing that is reflective of something going on specifically and locally in Wisconsin. What has changed in Wisconsin lately that might account for that? It could definitely be argued that the new Governor and his policies have a share in that job gain. But maybe not. If you would like to attribute it to something else, please list your theories here.

 

Now, jobs went down last month in Wisconsin. What specifically did the Governor change in Wisconsin the last month that you would like to blame him for the loss?

 

Or do you think that the Governor had nothing (or little) to do with the entire swing, both up and down?

 

The Governor gave his explantions... and they might be wrong, but I'm not seeing the alternative explantions being offered by anyone yet.

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Jobs added= must solely be attributed to Scott Walker

Jobs lost= Clearly have nothing to do with Scott Walker

 

:tup:

Wasnt someone trumpeting how great Sconny's job numbers were last month? :wacko:

 

Well, since just last month you and others of the lefty variety attributed the GAIN of 12,000 jobs to "worthless, temporary summer jobs" and summarily dismissed them, shouldn't this be the shedding of those "worthless, temporary summer jobs" and not count as well?

 

No, really. You can't have it both ways. Which is it?

Edited by tosberg34
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Well, since just last month you and others of the lefty variety attributed the GAIN of 12,000 jobs to "worthless, temporary summer jobs" and summarily dismissed them, shouldn't this be the shedding of those "worthless, temporary summer jobs" and not count as well?

 

No, really. You can't have it both ways. Which is it?

I kinda think the posts intent was to show that being happy last month was premature???

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Wasn't it the sconny gubner that was gonna tease many Illy businesses to sconny when Illy raised the corporate taxes?

I guessed that didn't go too well. :wacko:

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