Categories: 2014 Best & Worst States

Connecticut is the 45th Best State for Business 2013

Previous State: Michigan Next State: New Jersey

No. 45Connecticut

Taxations & Regulations

Workforce Quality

Living Environment

Based on CEO Survey by ChiefExecutive.net

Key Metrics
State GDP % Growth ’10-’11: 2.0 % Growth ’10-’11 v. Nat’l Avg. (1.5%): 0.5 Unemployment Unemployment Rate Dec. 2012 %: 8.2 Comparison with Nat’l Rate (7.80%): 0.4 Domestic Migration Domestic Net Migration ’10-’11: -16,848 Rank: 45 State Government Debt per Capita Fiscal Year ’10 ($): 8,465 State & Local Gov’t Employees per 10k Residents: 537.4 State-Local Tax Burden Rate (%): 10.1 Compared to Nat’l Avg. (9.9%): 0.25

Key Metrics

State GDP

% Growth ’10-’11: 2.0
% Growth ’10-’11 v. Nat’l Avg. (1.5%): 0.5

Unemployment

Unemployment Rate Dec. 2012 %: 8.2
Comparison with Nat’l Rate (7.80%): 0.4

Domestic Migration

Domestic Net Migration ’10-’11: -16,848
Rank: 45

State Government

Debt per Capita Fiscal Year ’10 ($): 8,465
State & Local Gov’t Employees per 10k Residents: 537.4

State-Local Tax Burden

Rate (%): 10.1
Compared to Nat’l Avg. (9.9%): 0.25

Key Companies
General Electric Company Xerox Company Aetna Corporation The Hartford Financial Services Stanley Black & Decker

Development Trend Indicator: Neutral
Trying to hold line on taxes and spending but solid-blue state lacks growth.

CEO Comments
“Unfunded future pension and healthcare liabilities are future taxes that are at this point unknown. Business does not like unpredictable factors that are this critical to long term ongoing investments and operations in any state! Illinois, California, Connecticut and many others have this issue.” “Connecticut is a tax and spend, Democrat-controlled state with no debate. The state agencies do not coordinate their actions and there are several that could be combined as they each have a part in incentives or solutions. Governor Malloy is more visible than prior governors, but likes to pick winners and losers rather than establish an environment for all businesses as other states do.” “Connecticut is the worst. Poor leadership.” “Connecticut is vastly under-rated as a place to do business. While it has a higher cost of living and an imperfect regulatory environment, it also has a fantastic living environment, great workforce, and exceptional access to major domestic and international businesses.” “Illinois appears to be degrading faster than the others although it is followed closely by Connecticut. The lack of a world class airport in Connecticut severely hinders our business and imposes significant additional costs.” “Connecticut continues to be controlled by the state and teachers unions. Unfunded pension liability and other mandated costs contribute to high taxes which make CT unfriendly to new business. The politicians just don’t get it.”

CEO Comments

“Unfunded future pension and healthcare liabilities are future taxes that are at this point unknown. Business does not like unpredictable factors that are this critical to long term ongoing investments and operations in any state! Illinois, California, Connecticut and many others have this issue.”

“Connecticut is a tax and spend, Democrat-controlled state with no debate. The state agencies do not coordinate their actions and there are several that could be combined as they each have a part in incentives or solutions. Governor Malloy is more visible than prior governors, but likes to pick winners and losers rather than establish an environment for all businesses as other states do.”

“Connecticut is the worst. Poor leadership.”

“Connecticut is vastly under-rated as a place to do business. While it has a higher cost of living and an imperfect regulatory environment, it also has a fantastic living environment, great workforce, and exceptional access to major domestic and international businesses.”

“Illinois appears to be degrading faster than the others although it is followed closely by Connecticut. The lack of a world class airport in Connecticut severely hinders our business and imposes significant additional costs.”

“Connecticut continues to be controlled by the state and teachers unions. Unfunded pension liability and other mandated costs contribute to high taxes which make CT unfriendly to new business. The politicians just don’t get it.”

Sources:
Bureau of Economic Analysis
Bureau of Labor Statistics
NewGeography.com
The Tax Foundation

Previous State: #44 Michigan Next State: #46 New Jersey

Allison Brown