Viewing blog posts written by Gino DiCaro

California must get its fair share of U.S. manufacturing renaissance

Posted by Gino DiCaro, VP, Communications on Feb. 21, 2014

Last week we looked at recent investment levels of manufacturing across the country and found that California is still lagging the country in the ever-important category of new and expanded facilities.  This week we took a look at the state's manufacturing employment levels since 2000 versus the country.  The California trend continues with a larger percentage loss than the rest of the United States.

Manufacturing employment chart sine 2000

click image for larger pdf

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To Legislature: Protect manufacturing in closing hours of session

Posted by Jack Stewart, on Sept. 12, 2013

The Legislature committed to growing California manufacturing investments this year, by passing a key bill to make our state more competitive with the rest of the country.  We must continue on this path and not go backward.  On this last day of legislative session, there are some bills that need to be defeated to ensure that high wage manufacturers see the state as a safe place to make long term investments.

Below is a floor alert that CMTA sent over to the Legisalture this afternoon asking legislators for three "no" votes to protect manufacturing in the closing hours of this session.



CMTA logo

VOTE “NO” ON AB 1330, SB 691 and AB 10

Manufacturers need a competitive business environment to hire employees and expand operations in California. You took a positive step this summer by passing a sales tax exemption on the purchase of manufacturing equipment.

Don’t vote for bills that will take us backward.  Business leaders and other states are watching to see if California is serious about making a manufacturing comeback.   Show them that we’ve put out the welcome mat for new manufacturing investment:

Defeat these bills

AB 1330 (Speaker John Perez)

Doubles fines on manufacturers in some California communities which will deter investment and job growth.

SB 691 (Sen. Loni Hancock)

Manufacturers will be subject to fines for air nuisance emissions without proof of harm, willful action, or violation of permit limits.

AB 10 (Asm. Luis Alejo)

Higher payroll and supplier costs will lead to less investment and fewer workers.  

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Manufacturing employment picture improves, state still lags though

Posted by Gino DiCaro, VP, Communications on July 19, 2013

California reported 2,600 new manufacturing jobs in monthe of June.  We are slowly improving but still lag the country's recovery since 2010.


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Perspective on uptick in manufacturing

Posted by Gino DiCaro, VP, Communications on June 21, 2013

The Sacramento Bee and others have written about recent statistics showing that California's economy grew faster than the country in 2012. They have also pointed out that the state's manufacturing gdp numbers had an eight percent boom in 2012.  That is very good news! 

We hope the trend continues because we have a lot of lost ground to make up.  California manufacturing has recovered much slower than the U.S.   We've seen only five percent manufacturing GSP growth since 2010 while the country enjoyed a robust 21 percent growth.  High-wage manufacturing jobs have grown by only a half percent versus the country's 4.4 percent boom in that time period.
We can pop the champagne cork over the good news in 2012 and take action to make sure we have a repeat performance in 2013 and beyond.  Make California a competitive place for manufacturers to operate and invest for the long term.


Manufacturing GSP growth chart



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Manufacturing employment takes another hit

Posted by Gino DiCaro, VP, 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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