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Small Business Optimism Index Falls as Owners Reign In Expectations

  • National Federation of Independent Business (NFIB) monthly survey finds small business owners tempering expectations as effects of COVID-19 continue
  • About half of survey respondents report capital outlays, and owners continue to express interest in hiring
  • Business owners less likely to expect conditions to improve in the next six months
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Report Warns of Drop in Consumer Spending if Supplemental Unemployment Ceases

  • JPMorgan Chase Institute study determines that $600 a week supplemental unemployment has helped keep consumer spending levels healthy during COVID-19 pandemic
  • Warning that aggregate spending could drop 4.3 percent if at least some of the benefits are replaced
  • Congress still working on unemployment deal following expiration of enhanced benefits last week
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Unemployment Statistics Show Uneven Recovery Across U.S.

  • Some states see rapid recovery in jobless rates, while high unemployment rates persist in Northeast and other areas
  • Friday’s labor report will shed some light on whether recent spike in COVID-19 cases has worsened employment levels
  • Few CEOs expect V-shaped recovery
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Connecticut Power Outages May Send Some Workers Back to the Office

  • Widespread power outages following Tropical Storm Isaias impede employees’ ability to work from home
  • Employers look to cope with loss of services, including possibility of sending some workers back to the office while maintaining COVID-19 safety protocols
  • Situation highlights one limitation of remote work
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School Reopening Decisions Poised to Impact Small Business Workforce

  • Employees at small businesses may be eligible to seek leave if schools offer virtual classes for all or part of the fall semester
  • Parents may struggle with child care options if they have already used up available FFCRA leave
  • In Connecticut, reopening decisions are being left up to individual districts
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Unemployment Extension Hits Partisan Roadblock As Enhanced Benefits End

  • Democrats reject Republican proposal of short-term extension of enhanced unemployment benefits as insufficient as supplemental $600 a week expires tonight
  • Many states have already distributed their last enhanced unemployment checks
  • With several unemployment options on the table, congressional and White House leaders set to continue negotiations
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DECD: Negative COVID-19 Test No Longer Required For Connecticut Residents to Return to Work

  • Based on updated guidelines from the Centers for Disease Control and Prevention, the Connecticut Department of Economic and Community Development says workers who contracted COVID-19 no longer need to test negative for the virus before returning to work
  • Individuals should still meet three criteria to safely resume workplace activities
  • Extra caution recommended for workers whose cases were more severe
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Small Business Employment Recovery Falters In States With Rising COVID-19 Numbers

  • Job recovery at small- and medium-sized businesses has slowed or reversed in states that have seen a recent surge in COVID-19 cases
  • Employment at these companies is down 23 percent on an annual basis
  • Effect largely concentrated in Sun Belt states, where shutdown orders have been reinstated
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Small Business Employees Return to Work – With Reduced Hours and Wages

  • Data shows a 2.4 percent increase in small business headcount in June compared to the previous month
  • Cuts in hours and pay rates have been more than furloughs likely to account for reduced wages
  • Employees have also shown an increased willingness to voluntarily leave a job for new opportunities
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Layoffs Stuck at High Level as 1.3 Million Seek Jobless Aid

  • More than 1.3 million Americans applied for unemployment benefits last week
  • Resurgence in COVID-19 cases forces reversal or pause of reopening plans in several states
  • Companies warn of potential need for further layoffs as economy regains only about one-third of jobs lost in March and April
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