How slowing job growth is affecting local businesses

CHICOPEE, Mass. (WWLP) — The U.S. economy added 206,000 jobs last month, a number that was met with a seemingly high unemployment rate. Small business owners are always looking for new hires, but right now that can be a bit challenging.

The unemployment rate now sits at 4.1 percent, the highest since October 2021. That number is according to Friday’s job report released by the U.S. Labor Department.

The Owner of Island Spice in Chicopee, Dee Fernandu says they opened back in November of last year and despite the numbers they are still struggling, “We are looking for actually someone who can cook. We can train. And someone can serve, someone can clean, so we have a lot of opportunities here but very hard to find employees.”

Meanwhile, down the street from Island Spice, where Ayah’s Ice Cream resides, the Assistant Manager of the store says business is picking up. Not only do people stop for a treat, but they come back for seconds.

“The heat like today is really nice after the Fourth of July,” expressed Ayah’s Ice Cream’s Assistant Manager, Mohammed Alghanimi, “People come to sit down. We always have umbrellas, we are always trying to make it the best way we can make it comfortable for the customers to eat outdoors.”

While selling ice cream may be sweet, the U.S. Labor Department says the hiring process continues to face challenges in the retail and manufacturing industries. With many left wondering, the Federal Reserve says it would like to see more progress on inflation before lowering interest rates.

So, as of now, economic growth is slowing. Here in Hampden County small business owners say you can support them by stopping in to try something new or ask if they are hiring.

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