Growing Unemployment in CA, Economy Still Hurts

Californian economy continues to tussle through the pandemic due to the Governor's extended business shutdown orders.

Gavin Newsom Official Portrait
CA Gov. Gavin Newsom, Photo Courtesy: Wikidata.org

Californian economy continues to tussle through the pandemic due to the Governor's extended business shutdown orders. California is currently facing embarassing defections to Texas, just by a ray of sunshine emerging from Silicon Valley.

Latest release of the state's economy report, on Friday, showed California's changing unemployment rate that fell from eight-tenths of a point in November, to 8.2%. It was also reported that Golden State Employers added 57,100 jobs last month, bringing payrolls to a total of 16.19 million. The dramatic slowdown signals sluggish recovery.

Cali Governor Gavin New's restriction orders gradually increased from barber shops and nail salons to shopping malls, restaurants and take-out services over course of a month.

Sung Won Sohn, professor of finance and economics at Loyola Marymount University, however, signals bullish growth. "This is a calm before storm.", he said.

A San Francisco labor lawyer and former EDD chairman, Michael Bernick, said "California is suffering more economically than the nation as a whole, mainly because Newsom has taken a softer line on business opportunities than other governors. "

Bernick said, "We still have the most serious lockdowns.

As a response to wide criticisms, Gov. Gavin Newsom of California defended his decision to suspend the enrollment of fresh claimants by his unemployment department for 2 weeks, saying it will allow the state to process benefits while it deals with a large backlog.

Publish : 2020-12-19 09:23:00

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