Manufacturing employment takes another hit

Posted by Gino DiCaro, Vice President, Communications on Sept. 27, 2012

One week after the California Labor Market Information Department reported the August employment numbers with only a slight increase in manufacturing jobs, Campbell Soup announced that it would close its Sacramento facility and shutter 700 high wage, union manufacturing jobs.

According to reports, "Campbell's is closing its oldest and most expensive manufacturing plant in the U.S. in an effort to cut down on production costs as soup sales continue to decline."

CMTA's valued long-time member provides us with a valuable lesson on the business climate. It's not perception. It's hard costs and markets. California can help fix the former, but not the latter. But it must get to work before its too late for scores of other manufacturers.

California continues to lag behind the country in manufacturing employment growth over the last two years, as seen in the chart below. The numbers show the rest of the country is winning out on manufacturing growth, with 4.5 percent growth, while California remains stagnant.

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CA manufacturing losses in March continue widening gap in industrial growth

Posted by Gino DiCaro, Vice President, Communications on April 20, 2012

California lost another 2,200 manufacturing jobs in March, according to today's Labor Market Information Department (LMID) report. After a 33 percent loss of the state's industrial base over the last decade, the larger concern is an emerging trend in the country's manufacturing growth numbers. Over the last two years California has increasingly lagged the U.S. in terms of new industrial jobs.

Since 2010 the U.S. grew it's manufacturing employment by 4 percent and a total of 470,000 jobs, while California remains stagnant with only 0.3 percent growth.

***4/23 CORRECTION: the previous chart said ".03%". It has been changed to accurately reflect "0.3%". Thank you to Mary Ann Milbourn with the Orange County Register for pointing it out.

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