Businesses Bailing on California. Carls jr Gone to Texas.

On the way home from the golf course yesterday I was listening to John and Ken on our local AM Talk Radio station. (KFI) They were talking with the CEO of Carls Jr Andrew Puzder (Not sure if that’s his name) about businesses leaving California. A couple of things we THOUGHT were happening around here ARE factually happening here.

Carls Jr wanted to build 350 restaurants in California. Now think about the JOBS that creates. Construction jobs, landscapers, employees, vendors, etc. Then look at the long term tax revenue for the state in the form of employees (Roughly 8,000 would be employed by these fast food joints) not so much income tax but SALES tax, car taxes, all the stuff surrounding an economy that offers jobs for those willing to work. Now understand WHERE these jobs are going? TEXAS.

The reason the CEO gave for NOT building here in California is:

1. It takes between 8 months and 2 years to just get the permits to build finalized. In Texas the average is 6 weeks.

2. Laws regarding employee and managers. He mentioned that managers make about 45k a year but can’t work the cook line. Some law regulating managers percentage of work doing managerial tasks.

3. Class action law suits resulting from the law mentioned above. They paid over 28 MILLION dollars in defense of these law suits.

4. Environmentalists are causing major delays in building and operating new businesses. These delays cost a lot of money. These are not laws regarding disposal of hazardous waste, these are laws like a lizzard lives in the area so a study must take place… Sometime takes months to complete and then deny applicants based on FEELING not fats.

These are but a few of the reasons he listed, I can’t find the interview online and these are just from memory.

The CEO said he’s been talking with Sacramento for over 2 years trying to get them to see how much their policies are hurting the state. He finally said enough and went to Texas to talk with Rick Perry. After the decision was made, all of the sudden Gavin Newsome and Moonbeam decide to get involved… They take a trip to Texas too.

Carls Jr was founded here in California. Now they are moving BILLIONS of dollars in STATE revenue to TEXAS because of the DEMOCRAT policies here in California.

I say GOOD MOVE Carls jr. Well done and Good luck.

Here’s a little side bar on the state of Texas and Carls jr. 2 stores in Texas just recently set sales records. In past ALL records for Carls were held by California stores. The CEO gave the reason as folks in California are pinching pennies because of the states economic situation. He says there is 20% unemployment here. The “Government” says it’s only 12.8% the actual is closer to 20%. If you are stretching the state check burgers don’t make the list most of the time. He said California has LOST a million jobs, where Texas gained them. The answer is not climate, it’s laws, regulation and taxes that drive jobs away and take revenue for the democrat’s projects. (Well who knew?)