Wisconsin businesses are growing jobs because of an improved business climate, according to a Wisconsin Manufacturers and Commerce survey of member CEOs.
The WMC Economic Outlook Survey, conducted in early May, found that 51% of WMC members say they will be expanding in Wisconsin in the next two years. That is the greatest percentage of WMC members reporting in-state expansion in more than a decade, and it dwarfs the 18% who said they will be expanding in another state or nation in the same period.
The results were released less than one week before a historic recall election pitting Gov. Scott Walker against Milwaukee Mayor Tom Barrett. WMC has been supportive of Walker’s economic policies. Kurt R. Bauer, president and CEO of WMC, said state businesses clearly are responding to an improved business climate brought on by tax cuts, regulatory relief, and lawsuit reform. “Wisconsin businesses are creating jobs close to home for our families,” Bauer said in a press release. “Our business climate is improving. Executives are confident about the direction of our state and they are investing in their businesses, creating jobs, and raising wages.”
WMC surveyed 1,214 CEOs online in early May and 182 responded.
Some of the job creation will be in the next six months, with 62% reporting they will be creating jobs through the end of the year.
Remaining issues for the WMC membership include the sluggish nature of the national economy. Revised data shows the nation’s gross domestic product increased by a disappointing 1.9% in the first quarter of the year, while weekly initial jobless claims have ticked upward in the past month, hitting 383,000 this week.
While most (73%) predict moderate to good growth for their own companies, more than 35% of Wisconsin employers say the economic slowdown is the top problem for the state and their own company. To improve the national business climate, they would like to see the national government cut taxes and regulation.
Other survey results are as follows:
• More than 56% reported having troubling hiring workers, with 61% saying there is a lack of qualified applicants.
• More than 80% said Wisconsin state government is pro-business, with 39% reporting the state is now very pro-business. That’s up dramatically from June 2010, when only 7% of WMC members reported the state was pro-business.
• Ninety-five percent of CEOs surveyed said the state is headed in the right direction.
