New York May Lose 225,000 Jobs, Comptroller Says

Nov. 24 (Bloomberg) -- New York may lose as many as 225,000 jobs and $6.5 billion in securities industry-related tax revenue over the two-year period ending in October 2009, state Comptroller Thomas P. DiNapoli said. In a report published today, he predicted financial- industry job losses may total 38,000 by October, with 10,000 more jobs lost in banking, insurance and real estate. Those losses... [more]

Nov. 24 (Bloomberg) -- New York may lose as many as 225,000 jobs and $6.5 billion in securities industry-related tax revenue over the two-year period ending in October 2009, state Comptroller Thomas P. DiNapoli said. In a report published today, he predicted financial- industry job losses may total 38,000 by October, with 10,000 more jobs lost in banking, insurance and real estate. Those losses could spread throughout the private sector, taking out as many as 225,000 positions statewide, he said. “Wall Street is the engine that drives the economies of New York state and New York City, but the global credit crunch has slowed that engine down,” DiNapoli said in a news release. “This year is on pace to be one of the worst years ever on Wall Street.” Finance industry-related activities account for 12 percent of New York City tax revenue and up to 20 percent of state revenue, the comptroller’s office said. Before the crisis, the securities industry accounted for 5 percent of the city’s employment but almost 25 percent of wages, the office said. Wall Street’s importance to the economy is so great that for each financial sector job lost, two positions will vanish in other industries in New York City and 1.3 jobs will disappear elsewhere in the state, DiNapoli’s report stated. http://www.bloomberg.com/apps/news?pid=20601087&sid=aeJWQ346Ygb0&refer=home [less]