Viewing blog posts written by Gino DiCaro


California should look to Oregon as we implement work comp reforms

Posted by Gino DiCaro, VP, Communications on Sept. 19, 2013

This week, Oregon state officials announced that their state's workers compensation premiums will decline by 7.6 percent in 2014.  Even better, their manufacturers and construction industries will see drops of 11 and 8.5 percent.

According to the most recent data, California was the third most expensive workers' compensation state in the country, with premiums that were $2.92 per $100 of payroll, while Oregon was ranked 41st with $1.58.  As California implements its workers' compensation reforms (contained in last year's SB 863), we should look to Oregon to see what they are doing right.  Insurance premiums are a bottom line issue and a significant factor in any manufacturer's decision to make a long term siting investment in the state.

 

work comp by state chart

 

 





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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.

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FLOOR ALERT
 
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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Paying attention to manufacturing in California

Posted by Dorothy Rothrock, on July 5, 2013

It’s about time manufacturing got a little love in the Golden State.  You would think that creating high-wage jobs, making multi-million dollar investments for innovative new products and providing huge multiplier effects in the broader economy would have justified a sales tax exemption on manufacturing equipment before now.  Nearly every other state has this.  For more than a decade CMTA has argued that manufacturing investment is the engine of the economy – and letting the manufacturing investment tax credit lapse in 2003 was a big mistake.  Yet a dozen bills introduced since 2003 failed to reinstate the credit.  California has suffered declining investments and manufacturing jobs as a result.   
 
This week, at long last, lawmakers passed a bill package including a sales tax exemption for manufacturing equipment.  Did they suddenly come to their senses on the importance of manufacturing and agree that this and perhaps other policies should be adopted to help manufacturers?  It is a nice thought, but we shouldn’t count on it. We must keep educating legislators and pushing for improvements to make California a better place for manufacturing.  There is much more work to be done. 
 
Let’s make this the first of many positive changes to turn California into a powerhouse for manufacturing investment and job growth.  Every manufacturer should start by thanking your local legislators for the vote last week.  Let them know that the exemption will help, but remind them about your many other challenges in the state.  Invite them to visit your facilities to meet your employees and tell them about your contributions to the community.  CMTA will continue to be a resource to you and champion for your interests in Sacramento. 





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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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