On June 16, the State of California Employment Development Department released the monthly unemployment numbers of California’s fifty-eight counties. As the report details, Santa Clara County has the fourth lowest unemployment in California at 2.9%. The three counties with lower unemployment are all located in the broader Bay Area region, San Mateo, Marin and San Francisco (with 2.4%, 2.6%, and 2.7%, respectively).
“These numbers show what our business leaders already know: that the innovative technological economy of the 21st century continues to lead to prosperity for our region. The work underway in the innovations that connect our world is driving Silicon Valley, and as it’s home in Santa Clara County, it is driving the economic advancement of our region’s citizens. Well-paying employment is still the cornerstone of the American economy, and here in Santa Clara County, that is readily available,” said Matthew Mahood, President & CEO of The silicon valley organization.
This report, however, also demonstrates challenges being faced by our region as increasing political pressure grows to further regulate this transformative economic sector.
“We are already hearing that those in organized labor who hope to slow this economy down will push a local hire ordinance on the 2018 ballot; nothing could possibly make less economic sense,” Mahood continued, “When you have an employment market that is as tight as ours – levels that have surpassed historic ‘full employment’ – further tightening that market will lead to displacement of workers, higher consumer costs, and erosion of the long-term health of our economy. These measures didn’t work in Los Angeles, where their employment market was tight enough at 4%, and they will not work here where our labor market is even stronger. The best of intentions often have opposite consequences, and this measure would be no exception to that rule.”