— Wisconsin’s economic growth is expected to slow to its weakest level in 20 years this year, with the state expected to miss the unemployment rate’s 2 percent target by the end of 2021.
Wisconsin’s job market is expected fall to the lowest level since the Great Recession, according to the state’s Department of Economic Analysis.
Wisconsin was expected to gain at least 6,000 jobs in the first six months of 2021, but it has gained only 6,700 jobs in that same period.
Wisconsin’s unemployment rate is now at 7.7 percent, a number that has been on the decline for the last several months, and the state will see an increase in unemployment in 2021 of around 1.3 percent, according a release from the department.
Wisconsin will add 3,000 new jobs in 2021 and another 2,000 in 2022, but the total number of jobs created and the total hours worked will not exceed the 3.1 million jobs gained in 2021, according the release.
Wisconsin has added a total of 3.8 million jobs since the recession ended in 2009.
The state is expected continue to add jobs in 2022 and into the next decade, but Wisconsin’s labor market is likely to be hit by the economic downturn.
The release notes that Wisconsin is a net exporter of goods and services, and that its trade surplus with the rest of the country will decrease, contributing to a shrinking trade deficit in 2021.
Wisconsin also expects its gross domestic product to fall in 2021 to 1.7% of its total economy.
The state’s net exports will fall to $3.1 billion, from $3 billion last year.
Wisconsin is expected lose jobs in its manufacturing sector, and a large part of that decline will occur as a result of a decline in manufacturing jobs.
Wisconsin lost 1,700 manufacturing jobs in 2017, and 1,800 in 2018, according with the release, and about 700 in 2019.
The decline in the state economy has created a lot of uncertainty, and Wisconsin’s Republican governor, Scott Walker, has taken a number of actions to try to keep the state from going into a full collapse.
Walker recently said that the state could run out of cash by 2022.
The federal government has stepped up to provide additional stimulus for Wisconsin, and it has provided a $5 billion loan to help the state avoid bankruptcy.
The unemployment rate in Wisconsin has fallen to 3.3% in the latest forecast released by the state, but that rate is expected increase in 2021 from a current 3.2%.
The rate is projected to fall to 3% by 2022, the release states.