New York State Comptroller Tom DiNapoli reported last week that after losing more than 1.9 million jobs in March and April, New York State saw steady gains, averaging increases over 174,000 jobs in each of the following five months. That progress nearly halted in October, when statewide employment rose by less than 11,000. That brought the State’s job total to nearly 8.8 million, a cumulative increase of 881,000 since April—but, still, nearly 1.1 million below pre-pandemic levels in February.
Of the state’s nearly 1.1 million net jobs lost from February through October, over 344,000 or almost one-third were in the leisure and hospitality sector. This includes jobs in the arts and recreation, theaters, spectator sports and museums, as well as restaurants and hotels. The healthcare and social assistance industry, the state’s largest employment sector, accounted for over 10 percent of job losses. The chart below illustrates the distribution of the State’s job losses across major sectors.
Unemployment Benefits Remain a Financial Lifeline–But for How Long?
Unemployment benefits have provided financial support for millions of New Yorkers in recent months. As of the two weeks ending October 31 and November 7, more than 2.3 million New Yorkers claimed benefits under two federal programs created in response to the COVID pandemic and the longstanding unemployment insurance program. Since March 1, the Office of the State Comptroller has processed unemployment assistance payments totaling more than $56 billion.
With little progress toward further stimulus and relief legislation in Washington, families and individuals currently depending on these two programs face enormous uncertainty heading into the year-end holiday season.
Half of New York’s Small Businesses Fear a Return to Normal Will Take Six Months or More
The Census Bureau’s Small Business Pulse Survey has been collecting data for over six months on the challenges small businesses are facing during the COVID-19 pandemic.
Asked how the business has been affected overall by the coronavirus pandemic, 39.5 percent of New York’s small businesses reported a “large negative effect.” That was nearly 10 percentage points higher than the national figure. Another 41.1 percent of New York respondents reported a “moderate negative effect,” slightly below the national share of 44.7 percent of small businesses.
Nearly 54 percent of New York small businesses believe more than six months will pass before the business returns to its normal level of operations relative to a year ago, compared to just over 47 percent nationally. Another 10 percent of respondents in New York do not believe the business will ever return to its normal level of operations, 2.4 percentage points higher than the national figure.
–– By Tom DiNapoli, New York Comptroller
