The moderate Republican governor of California, “Arnold” has an above the fold opinion piece in the Aug. 27, 2010 Wall Street Journal describing the shocking hold state employee unions have on the Golden State’s taxpayers.
A graph looks shows 1,200,000 private enterprise jobs lost in CA while the high paying state employee ranks have lost close to zero from 2008 to 2010.
“Few Californians in the private sector have $1 million in savings, but that’s effectively the retirement account they guarantee to many government employees,” said Schwarzenegger on a report from the California Department of Finance.
Former mayor of San Francisco, Willie Brown, (Democrat), said in an interview with the San Francisco Chronicle earlier this year that approximately 80 percent of every government dollar goes to employee compensation and benefits.
Can you imagine the awakening the poor working stiffs in the news media may have when they realize that the liberal one party system they have supported through the years is what set in place the system in California of paying out 100 percent salaries to state workers after 20 years of service.
Meanwhile, hundreds of loyal journalists who worked 10- and 12-hour days for 30 years face early retirement with pay outs half that of Wal-Mart part-time workers.
Will the media report that?
Instead, the governor is being lambasted in the media for bullying state employees to cut back on their gold-plated benefits paid for by taxpayers.
“For years I’ve asked state legislators to stop adding to retirement debt. They have refused to listen. Now the Democrt leadership of the assembly proposes to raise the tax and debt again…”
How will this end?
My prediction is that the Dems and state workers win again. California’s taxes are going up.
But look, there is more
Nearly 10,000 more Americans fled Florida than moved in, according to the U.S. Census. That followed average gains of more than 200,000 a year from 2001 through 2006.
“It looks like the first time in recorded history that Florida lost population,” Beveridge said.
California also saw a decline in the number of people coming to partake of its sand and sea. Only 1.3% of California residents moved in from out of state in 2008. That’s off from 1.4% in 2007.
For years, Americans have been fleeing the Golden State. The population kept growing only because of foreign immigration and births. All through the 2000s there has been a net loss in domestic migration, with 800,000 more Americans leaving than moving in during the three years ended in 2007. As it became more difficult to sell homes, that out-flow eased. That, combined with the newcomers, meant the population fell by only 144,000 in 2008.
The housing bubble bust, and the harm it did to employment, seems to have pushed more people to leave hot markets like California and Florida than have been drawn in by more affordable home prices.
“The Florida economy is based on growth and home construction,” said Lang. With building projects dying on the vine, unemployment soared to 7.6% for the state in 2008. It’s now up to 10.7%.
The same job problems plague many California cities, especially Central Valley towns like Stockton, Fresno and Merced. Construction-related job losses helped send state unemployment to 8.7% by December 2008 from 5.9% a year earlier. Today, some cities report breathtakingly high unemployment rates: 30.2% in El Centro; 17.6% in Merced; and 17.2% in Yuba City.
So, where are they moving?
So, if people aren’t heading for the good life in California and Florida, where are they going?
The nation’s capital saw 7.6% of its residents arrive in 2008; Alaska attracted 6% more people to the Last Frontier (up a full percent from 2007); and 5.2% more people wanted to be Wyoming cowboys.
The basic trick of statistics is that small populations in these places make modest in-migration increases into large percentage gains. They’re each among the smallest states in the U.S. That’s just the opposite of California and Florida where each percentage point represents hundreds of thousands of people.
Don’t mess with Texas
In terms of net migration — those moving in minus those leaving – Texas was the star performer in 2008, with the population growing by 140,000.
That meshes with what moving company Allied Van Lines experienced. “We moved more people here than anywhere in the U.S. in the last several years,” said David King, general manager of Berger Transfer and Storage in Houston, Texas, and Allied Van Lines’ largest booking and hauling agent.
The moving company recorded 5,891 inbound shipments and 3,988 outbound shipments in 2008, a net gain of 1,903. That was just slightly lower than last year’s net gain of 2,041.
That influx may be due to the state’s employment picture, which has remained rosier than most other places thanks to the energy industry and a welcoming business climate. Plus, home prices never cycled through a boom-bust period: They’ve remained affordable, which facilitates mobility.