North America's Strongest Union

Gov. Jerry Brown

Workers near victory in reform of faulty Calif. jobs program

California Gov. Jerry Brown is expected to sign legislation to change a corporate tax break that cost Teamsters their jobs.

The state Assembly yesterday approved the bill, AB 93, yesterday.

For years, companies across the Golden State used the $750 million-a-year enterprise zone program as a way to relocate good-paying jobs to other areas deemed economically challenged. Then the companies pay the workers less in the new location. In some cases, corporations used the tax breaks for hiring decisions made years earlier.

Calif. enterprise zones kill good jobs

A California program that's supposed to create jobs is killing good Teamster jobs and making corporate bosses richer.

While the Golden State's enterprise zone program does shift jobs to 40 areas it deems economically depressed, employers are the big winners. In many cases, jobs are moving from one California locality to another, sending existing workers to the unemployment line. Meanwhile companies are piling up more profits due to the tens of thousands in tax breaks they get for each employee they hire at the new job site.

Subscribe to Gov. Jerry Brown