Texas Abruptly Loses 3 Major Factories as Economic Slump Deepens
One big sign of trouble? Texas’s service sector is shrinking.
According to
one report, the revenue index fell to -4.7 in May – that’s a clear sign of decline.
And it gets worse: hiring has stalled, and people are working fewer hours across the board.
And it’s not just services. Retail in Texas is also struggling in a big way.
The Texas Retail Outlook Survey shows that sales fell off a cliff in May – plunging to -30.5. That’s the lowest reading since the height of the pandemic lockdowns in April 2020. Yikes.
Business owners aren’t just seeing weaker numbers. They’re losing confidence fast.
The general business activity index fell deeper into the red, hitting -23.7, and even company-specific outlooks stayed stubbornly negative.
People are nervous. And rightfully so.
Even jobs in restaurants, hotels, and warehouses aren’t looking much better.
The employment index for service sector jobs is still negative, and the number of hours worked dipped again in May.
Texas built its reputation as a pro-business powerhouse with affordable land, fewer regulations, and fast-growing cities.
But now, some of the very companies that once flocked to Texas are starting to pack up and leave…