This statistic actually explains a lot. From KRON-TV,
California unemployment rate worst in the nation.
It’s not a new development, it was also true in June. The change this month is that it appears California has broken the tie with Nevada to hold first place all alone. KRON reports that the Golden State’s unemployment rate has edged up to 5.5 percent. In June, South Dakota had the nation’s lowest unemployment rate at 1.8 percent.
California’s current governor, Gavin Newsom, is term-limited. He cannot run again. Newsom desperately wants to be President and is aiming toward a 2028 run. But, as California’s two-term governor, he has no record to run on. His state is a basket case. Hence, his emphasis on these stunts like redistricting and opposing ICE.
Even as the state’s tech companies (four of the Mag 7 are based in Northern California) are dominating the stock market, they are shedding jobs. KRON reports,
The tech-heavy information sector lost 1,000 jobs month-over-month June to July and has seen a 12,400-job loss year-over-year compared to July of 2024.
AI is driving the bus,
California’s technology industry, which is largely centered in the Bay Area, has seen thousands of layoffs over the past several years, first from pandemic “right-sizing,” and more recently, as companies scale up for artificial intelligence.
According to one recent report, the proliferation of AI has led to over 10,000 job cuts in 2025 so far.
The industry that should be the state’s biggest economic driver is currently the biggest drag on employment.
California enjoys larger oil reserves than either Colorado or Wyoming, but lags behind both states in oil production. That situation won’t change under the current political leadership.
So, publicity stunts it is!
