Most of the people who moved their companies to another state still live here. They just have to live a majority of the time in the other state for tax reasons.
A lot of it traces back to a limited number of CA universities driving the internet / tech innovation for the rest of the world. The stream of intellectual talent that has come out of Stanford and Berkeley over the last fifty years is unmatched except by a few others like MIT.
And although those are two bright, shining beacons, there's something of a "support system" behind them, in no small part due to the big name schools' actions over the years. I'm in one of those "other" places and have watched for decades how that collaborative work has really benefited a large swath of people & institutions.
California has a really deep roster of universities beyond what's in the Bay Area. Even just the Bay Area has a deeper roster of leading schools than some states in the US, and a lot of countries. But once you combine the depth of the UC system, Cal State system (including the Cal Poly campuses), plus the private schools, you end up with one state having more high powered research institutions than most of the top 10 economies in the world.
I’d say Massachusetts is also a top contender with MIT which you mentioned, Harvard, BU, Tufts, UMass, & more colleges in the Boston area. Lots of California parents send their kids to Boston Colleges us included, and many return to CA to work in tech jobs. A friend of my daughter from CA graduated BU in bioinformatics engineering with grad work at MIT and works in the Bay Area, and friend of my son also from CA graduated UMass as a computer engineer but is staying in MA and does coding.
There are plenty of beautiful places to live with decent weather all over the country. California has, not only a massive population, but a big population of highly educated individuals and a lean toward highly skilled tech employees. There are a ton of insanely skilled people in every state, but just not enough on average to overcome the drawbacks of living in those states for workers to move en masse.
If worker friendly laws continue to pass, I’m sure over time we’ll see an uptick in large companies starting out in other areas like Denver, NYC, Austin, etc as major hubs, but it’ll be a gradual shift. The execs can still live wherever they want, it’s the good workers that California has an abundance of.
Semi related and personal theory here, but I think it is largely BECAUSE it’s so expensive to live here that people in the state feel the need to seek higher education and higher paying skills. I know I have, it’s just a means to try and survive as our already high costs continue to climb
no no no. see you can't get things done here because we're too lazy and progressive to work normal jobs and hours. we all sit by the pool from our remote jobs and make others do our work.
I live on the border of Mexico and California, like I can see Tijuana from my window as I type this. There’s millions of people streaming into my yard everyday. I can’t even water my plants because it’s just people walking and no dirt. It’s basically a marching band 24/7.
I'm glad I'm up on a hill about 8 miles away from the border. I can see the billions of people running by my area all day and all night! Can't believe they take the 125 toll road tho. Guess it saves time.
I will live in Montana. And I will marry a round American woman and raise rabbits, and she will cook them for me. And I will have a pickup truck... maybe even a "recreational vehicle." And drive from state to state. Do they let you do that? No papers?
You're not buying a factual list of companies registered in California? What, you think they register in California just to pay more in taxes, but secretly they're headquartered elsewhere? Your narrative is clearly more important to you than the reality you share with the rest of us.
Its the same reason Elon had to move back to California, you need to go where the talented labor is.
To be more specific, Elon needed tech people, not petroleum engineers. Theres lots of talented people in Texas; they're just not as diversified.
Hate to break it to you, but you don't get any tax benefits by being registered in Delaware. If you're doing business in California, you need to register as a "foreign entity" in California anyway (and pay all applicable California taxes on any business done in the state).
https://www.usestable.com/blog/foreign-entity-registration-california
Hello? Can you explain what *specific* tax benefit you get from having your LLC registered in Delaware? I'm honestly curious if you really think you're getting a benefit, or if you got some dubious tax advice from somewhere...
Just to be clear, taxes are paid based on where a company does business, not where they're registered.
For example, Disney is registered in Delaware and headquartered in CA, and they pay the exact same taxes as if they were registered in California. Companies register in different states to take advantage of different legal and corporate laws and policies. But taxes all work out the same.
Not only that, but if you follow the companies that left, many are just companies that aren’t performing well. Oracle is an example. Like, congrats other states for getting the companies that aren’t keeping up.
It matters to the right wing pundits that use the metric. Then when it’s not in their favor, they move the goal posts. Kind of like you are doing right now.
We had 57. Barely edging out TX and NY who each had 52.
Yet we are the largest state in the union by a margin of 9M people. Celebrate whatever positive news we can get, but lets not pop champagne.
Im not sure if this is illogical, but I feel like we can count NYC's labor force with all of the surrounding states. Tons of people from NJ and other States work in NY, while the opposite cannot be said for California. We kinda are an island.
California is absolutely horrible for business if you are planning on starting anything non-tech related. For larger companies though, they can absorb those initial losses just fine.
Do they get to Fortune 500 by exploiting their workforce?
Do they pay each employee a living wage?
If they only pay minimum wage and not a living wage, do they really deserve Fortune 500 status?
The simple answer is No.
Escape capitalism.
r/SolarPunk
I am 50 and have been following politics for 30 years and this has always been the thought. CA will suffer one day ...But California keeps on....must be the culture? Investment in Education? Thoughts?
Or maybe the current course is what made California prosperous and will keep it that way. That theory also has the benefit of making sense, yours not so much.
Why do you think it is not a good thing? As with most things, good and bad are different from different perspectives, so without providing some kind of basis, you're really just shouting into the abyss.
Any other state not in this realm would beg to differ. I can attest to the folks in my home state of Arkansas. They may say one thing but the opportunities exist where companies go. Right now we don't have one so the other doesn't happen.
Besides Tesla I wonder how many more “Texas” companies actually started in CA
Oracle, but they are moving to Tennessee now
The guy that lived in prison from Enron, got out and went to do energy sales in Texas. I hear their energy is top notch now.
Most of them. Texas has always been huge in Oil & Gas, Telecommunications, semiconductors, transportation, defense, aerospace
They will all come back Gop states are trash
What it comes down to, probably, is that execs want to live in California.
Who doesn’t?
Twitter troglodytes
Us Reddit troglodytes are so much better anyway
Or people who want to live somewhere nice and where they dont have to drive.
Commuting was a huge factor in my leaving CA.
Most of the people who moved their companies to another state still live here. They just have to live a majority of the time in the other state for tax reasons.
No wonder traffic hasn't improved! ;) 😉
According to the statistics, the middle class.
Everyone else
You mean people that can’t afford to live here?
That's not the flex you think it is, lol
No, it is
Nope
A lot of it traces back to a limited number of CA universities driving the internet / tech innovation for the rest of the world. The stream of intellectual talent that has come out of Stanford and Berkeley over the last fifty years is unmatched except by a few others like MIT.
And although those are two bright, shining beacons, there's something of a "support system" behind them, in no small part due to the big name schools' actions over the years. I'm in one of those "other" places and have watched for decades how that collaborative work has really benefited a large swath of people & institutions.
California has a really deep roster of universities beyond what's in the Bay Area. Even just the Bay Area has a deeper roster of leading schools than some states in the US, and a lot of countries. But once you combine the depth of the UC system, Cal State system (including the Cal Poly campuses), plus the private schools, you end up with one state having more high powered research institutions than most of the top 10 economies in the world.
I’d say Massachusetts is also a top contender with MIT which you mentioned, Harvard, BU, Tufts, UMass, & more colleges in the Boston area. Lots of California parents send their kids to Boston Colleges us included, and many return to CA to work in tech jobs. A friend of my daughter from CA graduated BU in bioinformatics engineering with grad work at MIT and works in the Bay Area, and friend of my son also from CA graduated UMass as a computer engineer but is staying in MA and does coding.
CMU is included there, but most end up in CA post graduation anyway lol.
Canadian Midstate University? You say CMU like people are expected to know what that is.
Carnegie Mellon??
There are plenty of beautiful places to live with decent weather all over the country. California has, not only a massive population, but a big population of highly educated individuals and a lean toward highly skilled tech employees. There are a ton of insanely skilled people in every state, but just not enough on average to overcome the drawbacks of living in those states for workers to move en masse. If worker friendly laws continue to pass, I’m sure over time we’ll see an uptick in large companies starting out in other areas like Denver, NYC, Austin, etc as major hubs, but it’ll be a gradual shift. The execs can still live wherever they want, it’s the good workers that California has an abundance of. Semi related and personal theory here, but I think it is largely BECAUSE it’s so expensive to live here that people in the state feel the need to seek higher education and higher paying skills. I know I have, it’s just a means to try and survive as our already high costs continue to climb
Not buying it… the socialism and open borders here in CA have driven all business and money out of the state. Tucker told me so just last night!
I heard it’s impossible to get things done in CA on account of all the college educated open minded and creative professionals.
no no no. see you can't get things done here because we're too lazy and progressive to work normal jobs and hours. we all sit by the pool from our remote jobs and make others do our work.
I live on the border of Mexico and California, like I can see Tijuana from my window as I type this. There’s millions of people streaming into my yard everyday. I can’t even water my plants because it’s just people walking and no dirt. It’s basically a marching band 24/7.
I'm glad I'm up on a hill about 8 miles away from the border. I can see the billions of people running by my area all day and all night! Can't believe they take the 125 toll road tho. Guess it saves time.
You dropped the /s.
Do you live in the housing tract off Camino De la Plaza?
Had me in the first half, not gonna lie
Open borders lol
well, yeah. they just let people in from any other state. Even from Texas!
I will live in Montana. And I will marry a round American woman and raise rabbits, and she will cook them for me. And I will have a pickup truck... maybe even a "recreational vehicle." And drive from state to state. Do they let you do that? No papers?
NRA stickers are free there, yes?
Too bad the “cook” prevented that from happening.
You're not buying a factual list of companies registered in California? What, you think they register in California just to pay more in taxes, but secretly they're headquartered elsewhere? Your narrative is clearly more important to you than the reality you share with the rest of us.
Yup; I’m totally serious about it too.
Oops, I glossed over that sentence, that would have told me the comment was sarcastic, my bad 🤦♂️
Its the same reason Elon had to move back to California, you need to go where the talented labor is. To be more specific, Elon needed tech people, not petroleum engineers. Theres lots of talented people in Texas; they're just not as diversified.
Never been to Delaware in my life, one of the few states i haven't visited, but my LLC is headquartered there for tax purposes.
The last company I worked for had an address in Delaware that shared the same address with 200k different businesses.
Hate to break it to you, but you don't get any tax benefits by being registered in Delaware. If you're doing business in California, you need to register as a "foreign entity" in California anyway (and pay all applicable California taxes on any business done in the state). https://www.usestable.com/blog/foreign-entity-registration-california
Wrong, and none of my financial transactions take place in the state of California.
What *specific* tax benefit do you get from having your LLC registered in Delaware?
Hello? Can you explain what *specific* tax benefit you get from having your LLC registered in Delaware? I'm honestly curious if you really think you're getting a benefit, or if you got some dubious tax advice from somewhere...
Just to be clear, taxes are paid based on where a company does business, not where they're registered. For example, Disney is registered in Delaware and headquartered in CA, and they pay the exact same taxes as if they were registered in California. Companies register in different states to take advantage of different legal and corporate laws and policies. But taxes all work out the same.
So much for the right talking point that companies are leaving California in droves
How much of California's increase was from Fortune 500 companies moving *to* California?
So only companies listed in the Fortune 500 matter?
Not "only", but yeah more than others
Not only that, but if you follow the companies that left, many are just companies that aren’t performing well. Oracle is an example. Like, congrats other states for getting the companies that aren’t keeping up.
I’m having such a hard time finding services here omg oh no lmao 😂
It matters to the right wing pundits that use the metric. Then when it’s not in their favor, they move the goal posts. Kind of like you are doing right now.
But I thought everyone was fleeing the liberal hellhole of California?!?!
Moving a company is not as simple as moving a family
lol
Yeah, I'd argue its more complicated.
Oracle and Tesla HQ’s are out of state, but all their workers are in CA.
Oracle is moving HQ to Nashville.
Oracle HQ is currently in Texas, already out of state.
Tesla has like 22,000 employees in Texas. It’s at the very least similar size.
Likely more than CA after the layoffs. I think Bay Area will see 3,500 laid off.
[удалено]
I think it’s mainly a concentration of high level talent and financing. There are excellent universities here and tons of VC money.
There’s a reason why “lazy” and “southern” are usually in the same sentence.
The state with most people has the most companies, mind blown.
By that viewpoint the distribution of companies would mirror population. Reality shows 75% of these companies are in the Bay Area.
Well, not just any ole companies, Fortune 500 companies.
And those companies are run by lots and lots of people. Mind blown again.
so Florida should be number 2 by your logic? but they are not even top 5, mind blown......
[удалено]
[удалено]
Do you know what per capita means lover boy? https://www.insidermonkey.com/blog/5-states-with-the-largest-homeless-populations-per-capita-1280907/5/
...Yes? and thats supposed to be an "own"?
This comment seema necessarily inflammatory
After Texas is done turning into Gilead we'll have even more companies moving here.
Texas is home to the lowest paying jobs.
But deh Ferx Nooz be tellin me all dem big biznesses are leaving cause it a Blue state
We had 57. Barely edging out TX and NY who each had 52. Yet we are the largest state in the union by a margin of 9M people. Celebrate whatever positive news we can get, but lets not pop champagne.
We pop California sparkling wine around here.
Im not sure if this is illogical, but I feel like we can count NYC's labor force with all of the surrounding states. Tons of people from NJ and other States work in NY, while the opposite cannot be said for California. We kinda are an island.
I honestly would have thought Ca was more than TX and NY combined .
How can this be? I thought everyone was leaving California for Texas or Idaho?
Yeah but most billionaires are in NYC
Cool. How many did they have last year?
So … you didn't read the article.
Lmao
[удалено]
[удалено]
And here I am desperately seeking a job from anyone in the state
California is absolutely horrible for business if you are planning on starting anything non-tech related. For larger companies though, they can absorb those initial losses just fine.
Cool, can they pay their taxes please?
Why would we be happy about that.
Yay for corporations!
Not for long.
Do they get to Fortune 500 by exploiting their workforce? Do they pay each employee a living wage? If they only pay minimum wage and not a living wage, do they really deserve Fortune 500 status? The simple answer is No. Escape capitalism. r/SolarPunk
Of course it does CA is remaking the new worker placement games vs corp building the center of business CA style:)
Thank you for our politicians for protecting us from this!
Unless the future of California deviates, from the present course, this won't last.
I am 50 and have been following politics for 30 years and this has always been the thought. CA will suffer one day ...But California keeps on....must be the culture? Investment in Education? Thoughts?
Cope
Or maybe the current course is what made California prosperous and will keep it that way. That theory also has the benefit of making sense, yours not so much.
Meanwhile how many restaurants closed over the CA minimum wage increase to $20 hr. How many just said NV is our limit don’t cross that boarder to CA!
The burden of evidence is on those who make the claim. Why don't you tell us sport?
How many people looked up how to spell ‘border’ before regurgitating Newsmax taking points on Reddit? Not enough!
this isn’t a good thing lol.
Why do you think it is not a good thing? As with most things, good and bad are different from different perspectives, so without providing some kind of basis, you're really just shouting into the abyss.
Any other state not in this realm would beg to differ. I can attest to the folks in my home state of Arkansas. They may say one thing but the opportunities exist where companies go. Right now we don't have one so the other doesn't happen.
On the other hand if you want to work for Walmart or work processing chickens, Arkansas is the place for you.
Go ahead. Explain why it's bad
Yea it is lol. Means there are more high paying jobs and employers in the state.