Mixed job picture when Mitt Romney was Mass. governor

By Steve Leblanc

Associated Press

Published: Saturday, Oct. 1 2011 12:00 a.m. MDT

Republican presidential candidate, former Massachusetts Gov. Mitt Romney holds a town meeting at Saint Anselm College in Manchester, N.H., Wednesday, Sept. 28, 2011.

Cheryl Senter, Associated Press

BOSTON — Republican presidential candidate Mitt Romney frequently boasts how he and his team "were able to turn around the job losses" in Massachusetts during his single term as governor.

A closer look at his record shows that while the state's jobless numbers did improve during Romney's four years on Beacon Hill, gains and losses varied wildly depending on the sector of the economy and the kind of job being sought.

While business leaders have praised Romney for taking steps such as streamlining the state's permitting process, many also fault him for increasing business costs by pushing to close more than $300 million in what Romney described as corporate "loopholes." They say that move may have depressed job growth.

How much credit Romney should get for the overall uptick in jobs still is debated in Boston, five years after his term ended.

When Romney was sworn in as governor in January 2003, Massachusetts was reeling from the end of the dot.com bubble. With an economy more pegged to technology than most states, Massachusetts took longer to recover.

At the time, the state's unemployment rate was at 5.6 percent, compared with a low of 2.8 percent just two years earlier.

The jobless rate would keep rising through Romney's first year in office, topping out at 6 percent in August of his first year.

By December 2006, Romney's last full month in office, it had fallen to 4.7 percent.

A drop of less than 1 percent, meaning the addition of about 40,000 jobs, may seem like a modest achievement. Still, Romney has tried to make the most of it.

"That's a record that I think the president would like to see," Romney said at a recent debate. "As a matter of fact we created more jobs in Massachusetts than this president has created in this entire country."

Where those Massachusetts jobs were being created is a story in itself.

The steepest drop during Romney's tenure came in manufacturing. The number of manufacturing jobs fell by 11.4 percent, extending a historic slide in a state whose mill towns once provided the fuel for the economic engine.

Other areas that saw declines during Romney's term were jobs in publishing, movies, broadcasting and data processing, which fell by 7.1 percent, and in warehousing and utilities, which fell by 2.7 percent.

The strongest job growth was at the higher end of the wage scale. Professional and business services grew by 7.1 percent, education and health services by 6.8 percent, and the leisure and hospitality area by 4.7 percent.

Part of that growth can be attributed to Massachusetts' role as a national leader in health care, a role strengthened by the state's landmark health insurance law signed by Romney in 2006.

It served as a blueprint for the federal health overhaul signed by President Barack Obama four years later.

The health care sector is one of the largest in Massachusetts, employing more workers than manufacturing, financial services, retail trade or construction.

Under Romney, the state added about 32,000 health care and social assistance jobs, an increase of 7.6 percent, for a total of about 456,700 jobs in the sector by the time he left office.

One area that saw little overall change was the number of public employees.

A drop in the number of federal workers in Massachusetts during Romney's years in office was more than made up for with a 2.7 percent increase in workers on the state payroll, or more than 3,000 jobs, and a smaller increase in the number of local government employees.

Overall, there were about 430,600 government workers in Massachusetts when Romney's term ended.

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