Majority Of Businesses Challenged

To Find Skilled Help

HARTFORD — The slowing of the national and state economies combined with increases in wage and benefit costs have taken a toll on Connecticut businesses. Despite these issues and the expectation that the economy will continue to soften in 2007, business executives in the state say they expect to hire new workers.

Over the past six months, however, several surveys and other regional reports have found that executives are increasingly faced with vacant positions they can’t fill.

And according to the most recent report by the Connecticut Business and Industry Association, (CBIA) finding qualified employees is a growing problem. The shortage of workers, particularly qualified and skilled labor, is a major problem for Connecticut businesses, and it is expected to worsen as baby boomers begin to retire.

These are some of the key findings of the Connecticut Business & Industry Association’s (CBIA) Economic Survey for the fourth quarter of 2006, released January 10.

Two-thirds (66 percent) of business executives responding to the CBIA Fourth Quarter 2006 Economic Survey said finding workers to fill open positions at their companies in 2007 will be difficult. Only ten percent said they expect no difficulties in finding skilled workers.

Forty-four percent of business executives responding to the survey said they plan to increase the size of their workforce within the next 12 months, while 39 percent expect their workforce to remain the same, and 17 percent expect to eliminate jobs in 2007.

“If this trend continues, the shortage of skilled workers will create an economic hardship in the business community and hamper companies’ efforts to grow,” said Peter Gioia, CBIA vice president and economist. “The state needs to take actions to ensure that Connecticut continues to have a world-class workforce, providing companies with the skilled workers they need to remain competitive, continue to grow and create jobs in our state.”

Even when industries are not creating new jobs, skilled workers remain in high demand. Economists agree that the problem will only be exacerbated as baby boomers begin to retire over the next ten years.

According to the 2006 CBIA/Blum Shapiro Survey of Connecticut Businesses, some of the most challenging positions to fill are:

*Skilled machinists

*Other manufacturing jobs

*Sales positions

*Engineers

*Customer service

The survey was conducted in late December. It has a margin of error of plus or minus 6.75 percent.