An increase in unemployment — combined with minimal economic growth — reveals a continued decline in Wisconsin’s economic climate, according to a report released by the state Department of Revenue Thursday.

According to the Quarterly Wisconsin Economic Outlook report, the state and national economies entered into a recession 16 months ago, citing the “freezing of the credit markets and the global impact” as the major causes of the crises.

The report shows the state’s economic condition has worsened since December, regardless of the funding the state received from the American Recovery and Reinvestment Act stimulus package.

The report projects a decline in the unemployment rate in Wisconsin’s manufacturing and trade as well as transportation and utilities, projected to be the state’s two largest employment sectors over the next two years. Unemployment will increase by 3.7 percent in 2009 and 0.1 percent in 2010 before finally recovering in 2011, the report read.

The study also expects personal income growth in the state to remain stagnate for the remainder of 2009 through 2010. By 2011, the report estimates real per capita income growth will increase by 1.4 percent.

To help counter some of the effects of the current economic climate, the Department of Workforce Development is expanding their job training programs throughout the state, according to spokesperson Chris Marshman.

“With recovery dollars, DWD will do its part to help grow the economy and ensure a bright future for generations to come,” Marshman said in an e-mail to The Badger Herald. “The programs reflect a major change in the way the state and its partners will train workers for jobs of the future and meet the needs of employers in growing, emerging sectors.”

The programs will be funded by $5.89 million pledged by Gov. Jim Doyle and will help the future economic health of the state, Marshman added.

Rep. Robin Vos, R-Racine, the ranking Republican on the Joint Committee on Finance, is skeptical these measures, as well as measures included in the governors’ budget proposal, will have a positive effect on the state’s economy.

“Anti-job provisions … raising taxes on businesses, increasing costs of creating new jobs … they’re all negative ways to grow business in Wisconsin,” Vos said. “I hope we can all agree we want more jobs, but the governor’s budget doesn’t do that.”

As an alternative, Vos advocated giving businesses more incentives to create jobs in the state.

Senate Majority Leader Russ Decker, D-Schofield, thinks the state should invest in infrastructure and continue with the state and federal stimulus packages to help increase economic growth, spokesperson Carrie Lynch said.

Lynch noted the state will have to look for new solutions if the stimulus packages fail to work as expected.