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Why not California #3 -- Stop ignoring California's manufacturing job loss

Posted by Gino DiCaro, VP, Communications on May 29, 2008

Since January of this year, California's manufacturing industry lost more than 47,300 jobs and well paid careers that could have gone to hard working families seeking jobs in these recessive and mortgage-challenged times.  That's more than three percent of the State's industrial and technological employment base in just five months.   If you pull back and look at the larger picture, since California's precipitous decline started in 2001, you'll see that we've lost more than 23 percent of our base.  Given our population growth that means a lot more people taking lesser paying jobs or unemployment insurance.

Among many things, this loss tells us California is a difficult place to stay competitive and do business.  Even the democratic controlled Assembly Committee on Jobs, Economic Development and the Economy   released a survey and index based report earlier this year stating that very fact, "It is clear California businesses experience higher costs than in many other areas of the Nation....the surveys and indexes demonstrate areas of weakness that threaten California's long-term economic strength." (View report)

There are so many ways to spin the world's seventh largest economy's ebbs and flows but you can't spin irrefutable and massive job loss.   This does not bode well for California on so many fronts, most important of which is far fewer life-building careers for our families.  But further, it works against a global warming goal that depends upon keeping low-emitting industries here, it makes it difficult to produce new revenue for a State Budget in desperate need of funds, and, because of a manufacturer's proclivity to offer benefits, it decreases the amount of entities providing health care insurance to employees.

California manufactures can provide wealth to families and our State Government, deliver bottom line results to climate change efforts, help offer health insurance to employees and produce clusters of growth that everyone wants, yet we still ignore month-after-month manufacturing job declines.  Two of the State's biggest leaders -- Gov. Arnold Schwarzenegger and State Sen. Don Perata -- have both said over the last few months that  "Manufacturing is dead".  If they keep ignoring this problem, their words might be prophetic in California.

See Why not California #1
See Why not California #2



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