— Confidence in the state economy has dropped sharply among Wisconsin business leaders over the past six months, according to the latest Wisconsin Manufacturers & Commerce survey.
WMC’s Wisconsin Employer Survey found 22% of responding business leaders rank the state economy as strong — well below the 39% seen in a survey from six months ago.
“A WMC Board Member commented at a recent meeting that ‘we may not be in a recession, but we are certainly in something,’ and I think that perfectly fits the state of our economy,” WMC President and CEO Kurt Bauer said in a statement. “Optimism is falling. Wage growth is slowing. Now hiring signs are coming down. It is clear that record inflation and rising interest rates have hit both employers and their workers.”
Meanwhile, just 10% of state business respondents rated the national economy as strong while 28 percent said it’s weak. That’s an 18% increase from one year prior, according to WMC. And the group notes the portion of those saying the U.S. economy is strong is below even the 12% seen in the summer 2020 survey, conducted during the COVID-19 economic shutdowns.
Seventy-two percent of respondents say they’re having trouble hiring employees, though that’s declined from 85 percent one year earlier.
At the same time, expectations of wage growth have declined somewhat over the past year, WMC found. The percentage of businesses planning to raise wages by less than 3% has risen from 17% to 24%, while the percentage of those planning to boost wages by more than 4% has fallen from 34% to just 14%.
“Economic concerns are requiring employers to cut back in a variety of ways,” Bauer said. “But, the state’s longterm demographic challenges continue to impact hiring. Even in the face of a potential recession, businesses are still having a hard time finding talent.”
Still, expectations about future state economic growth are more optimistic than for the national economy, the survey found.
While 37% expect moderate growth in the state economy over the next six months, 53% expect it to remain flat and 9% expect a decline. By comparison, those figures for the U.S. economy are 32%, 47% and 20%, respectively.
This survey is conducted twice a year by WMC. For the latest outlook, the group surveyed 180 Wisconsin employers “of all sizes, industries and geographic locations,” according to the report. It was sent via email and traditional mail, with about half responding by each of these methods.
See the full survey results: https://www.wisbusiness.com/wp-content/uploads/2024/01/CEO-Survey-Report_Winter-2024_ECONOMY-WORKFORCE.pdf
— A global asset management firm with about $580 billion in assets under advisement has announced plans to move its Wisconsin presence from Monomonee Falls to downtown Milwaukee.
Allspring Global Investments is a North Carolina-based firm with more than 20 offices around the world, according to yesterday’s announcement. A company spokesperson said the move will involve about 300 employees.
That will include members of the company’s portfolio management, distribution, and support teams, the company said. Once renovations of the recently purchased office building are finished, occupancy is expected to begin in early 2025.
“This move represents a long-term bet on one of America’s great cities and an investment in our ability to truly engage with our clients, partners, and the community — as well as to continue to attract and retain top talent,” Ann Miletti, the company’s chief diversity officer, said in a statement.
See the release: https://www.wisbusiness.com/2024/allspring-global-investments-plans-move-to-downtown-milwaukee/
— Rep. Jerry O’Connor says his bill to establish a guaranteed college admission program will help ensure students stay in Wisconsin as UW officials voiced support for the measure.
“I don’t know why we would pass on our best and brightest and let them become citizens of another state because they went to school and graduated from those schools outside of Wisconsin,” the Fond du Lac Republican said during yesterday’s Senate Universities and Revenue Committee hearing. “We don’t want to sit idly by and just allow this group of students to go elsewhere.”
AB 370 would guarantee admission to Wisconsin students who finish in the top 10% of their high school classes. For the Madison campus, the benchmark would be the top 5%.
The Universities of Wisconsin agreed to embrace the proposal as part of a broader deal with Assembly Speaker Robin Vos, R-Rochester, to fund a host of financial priorities for the university in exchange for a freeze on DEI positions as well as overall jobs within the system.
UW representatives at the hearing said they support the measure in light of a substitute amendment making a number of changes to the bill.
Crystal Potts, UW-Madison director of state relations, noted a previous version of the legislation didn’t set minimum credit requirements for different subject areas. An earlier version of the bill would have set a 10% benchmark for UW-Madison, she added.
Deej Lundgren, Universities of Wisconsin associate vice president for government relations, told lawmakers UW-Madison is “at capacity.”
”The addition of allowing 10% of the state’s population into UW-Madison was troubling because I don’t think we could have provided them the education and the quality of experience that they have come to expect,” Lundgren said.
See more coverage at WisPolitics: https://www.wispolitics.com/2024/wed-pm-update-backers-praise-uw-guaranteed-admissions-bill-at-committee-hearing/
<br><b><i>Top headlines from the Health Care Report…</b></i>
— The Senate and Assembly have both approved by voice vote a series of bills aimed at boosting the dental industry, sending the measures to Gov. Tony Evers’ desk.
The Assembly has also approved via voice vote a slew of licensing bills, including one that would require the DSPS to grant preliminary licenses to applicants who have met all the requirements to get a health care credential.
Meanwhile, Assembly Speaker Robin Vos says he’s not interested in amending the Assembly Republican-proposed plan to legalize medical marijuana in Wisconsin to address concerns raised by GOP senators.
<i>For more of the most relevant news on COVID-19, reports on groundbreaking health research in Wisconsin, links to top stories and more, sign up today for the free daily Health Care Report from WisPolitics.com and WisBusiness.com.</i>
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— Madison-based Cellular Logistics has announced a new partnership with Allele Biotech, a San Diego company developing technologies and other products for biomedical research.
The two companies plan to develop regenerative medicine products to treat ischemic heart disease, in which reduced cardiac blood flow leads to weakening of the heart. According to Cellular Logistics, they aim to accelerate studies on clinical-grade manufacturing of the company’s lead product called SolusTM.
Cellular Logistics Board Chair Dr. Amish Raval calls the move “an exciting and transformative step forward.”
“Our patients with advanced heart disease such as refractory angina and heart failure following myocardial infarction are desperate for new treatments that can save their life and improve their quality of life,” he said in a statement.
The manufacturing of SolusTM will take place at Allele Biotech’s stem cell-dedicated facility in San Diego. Financial details of the partnership were not disclosed.
See more at Madison Startups: https://www.madisonstartups.com/cellular-logistics-allele-biotech-partner/
#TOP STORIES#
# Even in water-rich Wisconsin, purifying sewage into drinking water gains a foothold
# Madison’s newest labor unions face next fight: getting a contract
# Wisconsin lawmakers want sturgeon exempt from endangered species list
#TOPICS#
# AGRIBUSINESS
– Omega-3 powerhouse – Organic Valley new family first milk
http://wisconsinagconnection.com/story-state.php?Id=50&yr=2024
# CONSTRUCTION
– Take a closer look at Microsoft’s new Mount Pleasant data center: Slideshow
# ECONOMY
– Bavarian Bierhaus looks to more festivals in 2024, Tundra Angels invests in Pilot Project: Beer Biz MKE
# EDUCATION
– New bill requires Wisconsin students get 3 hours of movement per week
# FOOD AND BEVERAGE
– The Lokal restaurant project in Greenfield is no longer being pursued
– Middle Eastern fast-casual restaurant opens in Greenfield
# HEALTH CARE
– Research finds early exposure to lead pipes shortens lifespan
– Blood reserves low after winter storms
# MANAGEMENT
– Johnson Controls CFO departs for Eaton; new CFO named
– Brady Street BID names new executive director
# MEDIA
– Amazon could stream Bucks, Brewers games after its investment in Diamond Sports
# POLITICS
– Democrats ask Wisconsin Supreme Court to order new congressional maps for fall election
# REGULATION
– Kenosha County approves Hard Rock Casino plans
# SPORTS
– Milwaukee is getting a new skatepark–funded by a commercial project
# UTILITIES
– Alliant Energy completes 50-megawatt Beaver Dam solar project
# PRESS RELEASES
<i>See these and other press releases:
https://www.wisbusiness.com/press-releases/ </i>
UW-Stout: STEM Fest welcomes Upward Bound students from six regional high schools
