• December 7, 2022

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Could things get worse for California’s workers?

The bad news is the Golden State just received another ding when it comes to jobs.

The news comes on top of the disastrous AB5 law that restricts many people from working as independent contracts if they reside in the state. Its meant that many companies from around the U.S. have simply stopped hiring freelancers who are based in there. On top of that it has delivered financial pain on gig workers who desired the flexibility of freelance work, usually from home.

But there’s more bad new for these so-called remote workers who are based in California.

All of the 10 worst cities for remote workers are based in California and none are in the top 10, according to a recent report from LawnStarter titled 2023’s Best Cities for Remote Workers.

The report ranks the cities based on various key things including, web connection quality and availability, access to WeWork-style work spaces, state-provided relocation bonuses (if any,) cost, and earnings potential. There were other items as well.

Its reasonably well-known that the vast wealth created in Silicon Valley, and Hollywood’s spectacular global success, have driven up the cost of living in the Golden State. Given that remote workers are paid on what they do rather than where they live, the problem with California should be obvious. It’s too expensive not just in terms of real estate prices, as well as tax.

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The median price for a family home in California was more than $800,000 , compared to $429,000 nationally.Currently, the housing market is under pressure but the difference in price levels should be telling.

There’s more. California state income tax combined with other local taxes is by far the highest in the country. California’s weighted tax level is 11.56% that’s far beyond the New York state level of 7.4% which is usually cited as eyewatering. The lowest is 1.2% for Wyoming.

That’s why it shouldn’t surprise anyone that Santa Ana is the worst place in America for remote working. Second third and fourth worst are Salinas, Glendale and Garden Grove, respectively.

The best state for remote workers, at least according to the study, is Texas. Plano, Frisco, and Austin are ranked first, second and seventh, respectively. Florida’s Tampa and Jacksonville come in at third and ninth respectively.

Of course, if those don’t appeal there’s always the opportunity to go abroad.

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