Let Freedom Ring Blog

Katie Clark-Sieben insists that Minnesota’s jobs outlook remains strong despite the fact that Minnesota lost 4,200 jobs in July:

DEED Commissioner Katie Clark Sieben said despite the July job loss the state’s economic outlook is healthy. “July’s employment change appears disappointing, however, this is the smallest percentage decline in jobs for a July since 1999,” Sieben said. “Minnesota’s economic indicators remain positive, and underlying employment data continue to look strong.”

Sieben is a politician, not a serious economic analyst. Her statement is campaign fodder. It isn’t economic analysis. If job growth is as strong as Ms. Sieben insists, money should be flowing into state coffers in large amounts. That isn’t what MMB is reporting:

Net general fund revenues totaled $982 million in the first month of FY 2015, $69 million(6.6 percent) less than forecast.

Being off by 6.6% in a month isn’t good news. In fact, it’s rather disheartening. Couple that information with this information and a person could get downright pessimistic:

The state has gained 68,344 jobs since July 2013, led by 21,513 new government positions.

Let’s remember that 2,900 of those 68,344 have been created this year, meaning that 65,444 jobs were created in August-December 2013. Creating 65,444 jobs in 5 months is quite a bit more than 2,900 jobs created in 7 months. It doesn’t take a math major to figure it out that job growth is essentially stalling in 2014.

Here’s what we know:

1. Government is the biggest growth industry in job creation, creating one-third of the jobs in the last year.
2. Revenues have fallen short 5 of the last 6 months.
3. Job growth has virtually stagnated this year, with much of the job growth coming from the hospitality industry and temp jobs.

Those aren’t the signs of a strong economy. They’re the signs of an economy that’s badly underperforming.

Gov. Dayton’s and the DFL’s policies aren’t working. It’d be one thing if this was a one-month blip. Creating 400 jobs a month for 7 months isn’t a blip. Revenues falling short of projections 5 of the last 6 months isn’t a one-month blip. It’s a disturbing, negative trend.

There’s little question that Gov. Dayton and the DFL will continue telling Minnesota that things are just fine. They don’t have a choice in that matter. It’s either that or admit that Gov. Dayton’s and the DFL’s policies are failing. That won’t happen.

Gov. Dayton’s and the DFL’s policies are failing. The alternative is to replace Gov. Dayton with Jeff Johnson and Speaker Thissen with Speaker Daudt. Speaking of Jeff Johnson, he issued this pithy statement:

“According to the Department of Employment and Economic Development half of Minnesotans are underemployed. That means people have part time jobs, low paying jobs, and aren’t climbing the economic ladder,” said Jeff Johnson.

“Minnesotans shouldn’t be satisfied to be ‘hanging on’ to a job they don’t want. People want careers, not minimum wage jobs. Minnesota’s economy is sputtering, and now people aren’t even able keep the jobs they have,” said Johnson.

“Anemic job growth is unacceptable. Job losses are worse. Dayton is satisfied with just hanging on; I am not,” concluded Johnson.

Settling for anemic job growth isn’t acceptable, especially when we’ve just gotten hit with a big tax increase. Nonexistent job growth and higher taxes isn’t the right economic model.

It’s time to change.

Technorati: Mark Dayton, Paul Thissen, Katie Clark-Sieben, Deficits, Job Losses, Government Jobs, Tax Increases, DFL, Jeff Johnson, MNGOP, Election 2014

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