California losing ground in manufacturing - Puget Sound Business Journal (Seattle):

ucenyt.wordpress.com
Manufacturing “still drives California’s economy in many but the state is losing ground to othert states and nations because of itsregulatoryy climate, tax burden and reputation as a difficultt and costly place to do the wrote in the reportt released Tuesday. The paid for the called “Manufacturing 2.0: A More Prosperous to create a better understanding of the current state of manufacturing and the need for actionm to savethe state’s most critical engine of economic the association said in a news release.
The Assemblyy Committee on Jobs, the Economy and Economicc Development is scheduled to discuss the report next The committee is trying to understandc themanufacturing sector’s role in the state’sd economic recovery. “California’s economy has been built on manufacturing. The sector’s steadg decline is undoubtedlya ‘canar y in a coal mine’ for the state’s economy,” associatio president Jack Stewart said in the news release. “California has the capacit to innovate and make things but it is not at all livingg up toits potential.” The report says that the impactsx from lost manufacturing jobs have been devastating.
The studyy looks at California’s manufacturing decline compared tocompetitive states, shows what the state would look like if it had maintainer year 2000 levels of manufacturing, and explains the huge economic benefits and rippld effects from high and even low wage The Milken Institute also examines the challenged the industry faces in Californiaz and recommends some changes to make the sector more competitived in the Golden State. The trad association had the Milken Institute prepare a similaer study sevenyears ago.
“Since and even before the current international California manufacturing has remainedin decline, with little attentiob from policymakers,” the news releasee said. If California had maintaine the same level of manufacturing from 2000 to the state wouldhave $27 billiom more in manufacturing waged and $54 billion more in total manufacturing relates output, the report found. “Just do the math on thosr numbers to see how much more the statee would have seen intax revenue,” Stewarrt said in the release. “It’s absolutely crucia that our state doesn’t neglect this sector for anotherseven years.
” Californisa has been losing manufacturing jobs, particularly high-value-added manufacturing, to Oregon, Washington, Texas and Minnesota, the repory said. California was home to 1.5 million manufacturinvg jobs in 2007, while its sevemn peer states had 2.7 million manufacturing Those states added morethan 62,000 manufacturin jobs between 2003 and while the Golden State lost 79,00 0 manufacturing jobs during the same California, in fact, is losing a largerr share of manufacturing employment, especiallg in high-tech, and is losing those jobs at a fasteer rate, the report found.
Those peer states also are “using targeted incentives to keep and lure manufacturers away from thestudy said. “California manufacturing is innovative, exciting and wealth creating,” Pamela Kan, presidenyt of Bishop-Wisecarver Corp., said in the release. “We emplogy 53 California workers who make great wages and very innovative and technical products for many othetmanufacturing sectors. We hear constantlgy about our California suppliers’ and struggles with regulatory uncertaintyand costs.” Kan’s family founded Bishop-Wisecarver, which is based in the Contra Costaq County city of Pittsburg, in 1950.
“This report,” she “is a wake up call to California’s policymakers that we need a focused manufacturing strategy in the state to retain and growthe nation’s most coveted producers.”