Automatic spending cuts could cost Virginia 200,000 jobs - NBC12.com - Richmond, VA News

Virginia could face some big job losses if Congress can't resolve its budget crisis.

Automatic spending cuts go into effect in January that cut two million jobs nationwide. Virginia could lose more than 200,000 jobs and more than $10 billion in lost income.

This all stems from the automatic spending cuts President Obama and congressional republicans agreed to during the debt ceiling negotiations last year.

The Richmond-Times Dispatch is reporting only California would be hit harder than the commonwealth. This analysis is from the Richmond research firm Chmura Economics and Analytics.

The president of that firm says these large cuts could push the nation back into recession during the first half of next year.

These big numbers are estimates though. The Times-Dispatch says the federal government hasn't spelled out exactly where all of these cuts would come from.

It's likely Richmond would not be hit as hard as Northern Virginia and Hampton Roads because of the large number of defense and federal contracts in those areas. 

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