California Jobs First

California's Jobs Problem

Facts and Figures

  • California's unemployment rate is 7.2 percent (1.4 million Californians unemployed) as of November 2014, which is considerably higher than the national rate of 5.8%. The state's unemployment rate is one of the worst in the nation.
  • For the tenth year in a row, CEO's rated California as the worst state to do business in Chief Executive magazine.
  • According to CNBC's "America's Top States for Business 2014," California ranks 48th among the 50 states for the cost of doing business and 48th for business friendliness.
  • According to the non-partisan Tax Foundation's "2015 State Business Tax Climate Index," California's tax system ranks 48th out of 50 states for being business-friendly.
  • According to Forbes in November 2014, California ranked 37th among the 50 states for "The Best States for Business and Careers" and 46th for having the lowest business costs.
  • California has 14 of the nation's 20 most economically stressed counties (unemployment, foreclosure, and bankruptcy), by far the most of any state according to the Associated Press. Click here to view a county-by-county comparison.
  • The Small Business & Entrepreneurship Council in April 2014 rated California as having the worst small-business tax environment in the nation.
  • The 2014 Small Business Friendliness Survey gave California an "F" for the ease of starting a business. It also gave the state "F's" on several other small business categories.

California's Tax Problem

  • According to the Tax Foundation, Californians have to work harder than the residents of 46 other states to pay their total tax bill each year (federal, state, and local).
  • California has the third-worst business tax climate in the nation.
  • California has the highest corporate income tax rate in the West at 8.84%.
  • California has the highest sales tax in the nation at 7.5%.
  • California has the second highest gas tax in the nation at nearly 68 cents per gallon.
  • California's top individual income tax rate is the highest in the nation.
  • California's business owners pay the highest income tax rate in the nation.
  • California has the fourth-highest state and local tax burden as a percentage of state income.
  • According to the Small Business & Entrepreneurship Council in April 2011, California has one of the worst tax systems (45th of 51) for entrepreneurship and small businesses.
  • According to the non-profit Council on State Taxation, California ranks first in tax unfairness, which hurts job growth and revenues for vital public services.
  • Californians bear the nation's second highest state and local tax burden according to WalletHub,
  • California is ranked 44th out of the 50 states and the District of Columbia for "Taxpayer Return on Investment" according to WalletHub.
  • California is the least tax friendly-state in the U.S. according to Kiplinger.

California's Lawsuit Problem

  • California has the nation's fourth-worst lawsuit climate (47th of 50), making it a less attractive place for job-creating investment according to a U.S. Chamber of Commerce annual study.