Wednesday, April 12, 2017

More Jobs Leaving California

The bad news just keeps coming for California. Now the Sacramento Bee reports Aerojet General will eliminate 1100 jobs at their plant in the Sacramento suburb of Rancho Cordova. Most will be moving to Huntsville, in right-to-work Alabama.

This after The Bee reported last October that Verizon was moving 1000 Rancho Cordova jobs out-of-state. Those jobs were reported moving to TX, SC, and FL, all right-to-work states. Do we see a pattern emerging here?

California is not a right-to-work state. Unions in CA can negotiate contracts requiring every employee in a bargaining unit to either pay union dues, or not join but pay a representation fee to the union.

Employers know when workers are not required to belong to, or to financially support, unions, many will choose not to do so. The resultant weaker (or nonexistant) unions are less of a headache for management. Management decides where to locate facilities and plants. Do the math, it isn't rocket science.

Hat tip to friend Charles for the heads-up on this story.