Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

California Just Passed A $1 Billion Tax On The Whole Country That No One Noticed
zero hedge ^ | 9/2/16 | Tyler Durden

Posted on 09/02/2016 10:59:55 AM PDT by Nachum

The California State Assembly recently passed a bill that received minimal recognition by the press, outside of the state, but has substantial negative consequences for basically everyone in the country. Once signed by Jerry Brown, the bill, known as AB 1066, will make California the only state in the entire country to provide overtime wages to ag workers after 8 hours a day or 40 hours per week. This change will add about $1BN annually to the cost of growing food in California which will ultimately be passed along to consumers. And since eating isn't really optional, this is effectively a $1BN tax that California has decided to levy on the entire country. Worse yet, increasing food prices is essentially the most regressive form of "tax" possible given the disproportionate share of wages spent on food by low-income families. And, while you may not know it, California is an agricultural powerhouse that produces roughly 1/3 of all vegetables consumed in this country and 2/3s of the fruits and nuts.

Now, we know what you're thinking...why would everyone be entitled to overtime pay at 40 hours per week except farm workers? Well, there is logic behind the exclusion and it has to do with the seasonality of farming. Unlike most industries, farmers are not able to spread their labor needs throughout the year due to harvest schedules and the perishable nature of their crops. But farm workers aren't the only ones excluded from overtime pay. In fact, California has established special overtime rules for hourly workers in a number of other highly-seasonal sectors, including firefighters, actors and ski-resort employees, to name a few.

As you can see from the chart below, the total number of people working in the ag industry in California spikes by about 33% starting in May every

(Excerpt) Read more at zerohedge.com ...


TOPICS: News/Current Events
KEYWORDS: agriculture; california; food; taxcalifornia; taxes
Navigation: use the links below to view more comments.
first 1-2021-4041-6061-65 next last
California used to be a wonderful state...
1 posted on 09/02/2016 10:59:55 AM PDT by Nachum
[ Post Reply | Private Reply | View Replies]

To: ExTexasRedhead

ping


2 posted on 09/02/2016 11:00:19 AM PDT by Nachum (ISIS is alive... and Chris Stevens is dead)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Nachum

Just waiting for someone to make fun of the statement, that California produces 2/3 of the nation’s fruits and nuts...............


3 posted on 09/02/2016 11:02:46 AM PDT by Dilbert San Diego
[ Post Reply | Private Reply | To 1 | View Replies]

To: Nachum

I need a greenhouse.


4 posted on 09/02/2016 11:06:04 AM PDT by trisham (Zen is not easy. It takes effort to attain nothingness. And then what do you have? Bupkis.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Nachum

It was wonderful until the lunatics took over. Now they are sending out their acolytes out to ruin other states.


5 posted on 09/02/2016 11:06:11 AM PDT by Blood of Tyrants (Only idiot liberals believe that disarming the sheep makes them safe from the wolves.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Nachum

The little nagging logician inside me has to ask....

If workers in other industries get OT after 8 hours, why shouldn’t ag workers? Seems kind of arbitrary.


6 posted on 09/02/2016 11:06:34 AM PDT by Buckeye McFrog
[ Post Reply | Private Reply | To 1 | View Replies]

To: Dilbert San Diego

Prices will rise. Producers in other states, noting the price rise, will increase production. California will lose market share.

How clever of California to effectively gift its job base to other states!

Economics is not that hard.


7 posted on 09/02/2016 11:06:36 AM PDT by TheConservator ("The worst form of inequality is to try to make unequal things equal." -- Aristotle)
[ Post Reply | Private Reply | To 3 | View Replies]

To: Nachum

It’s the law here in PA, too.
In 1989, when I started my Family’s farm and nursery business, we accidentally paid OT, and the State’s Labor Dept and Ag Dept went nuts about it. We had to pay straight time to 40hrs, and start a new 40hr check for anything over that, at straight time.


8 posted on 09/02/2016 11:07:48 AM PDT by Carriage Hill ( Peace is that brief glorious moment in history, when everybody stands around reloading.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: trisham

Try hydroponics.

Really.


9 posted on 09/02/2016 11:07:58 AM PDT by BBB333 (Q: Which is grammatically correct? Joe Biden IS or Joe Biden ARE an idiot?)
[ Post Reply | Private Reply | To 4 | View Replies]

To: Nachum

All they need to do now is shut off the Water to the San Joaquin Valley and let half of the Farmland go fallow. Oh wait they already did that!!


10 posted on 09/02/2016 11:09:01 AM PDT by eyeamok (destruction of government records.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Nachum

“California is an agricultural powerhouse”

WAS (past tense)


11 posted on 09/02/2016 11:09:40 AM PDT by Texas Fossil ((Texas is not where you were born, but a Free State of Heart, Mind & Attitude!))
[ Post Reply | Private Reply | To 1 | View Replies]

To: Dilbert San Diego

2/3 of the nation’s fruits and nuts...

I was silently smirking.


12 posted on 09/02/2016 11:11:15 AM PDT by ntnychik
[ Post Reply | Private Reply | To 3 | View Replies]

To: BBB333

I don’t have the room or the light. I’m thinking maybe I could visit some salvage places, assuming that there are any nearby. People often discard old windows and doors. I’d have to run electricity out to it.


13 posted on 09/02/2016 11:12:06 AM PDT by trisham (Zen is not easy. It takes effort to attain nothingness. And then what do you have? Bupkis.)
[ Post Reply | Private Reply | To 9 | View Replies]

To: Dilbert San Diego

Mexico, and the rest of central and south america are increasingly replacing california as produce suppliers.

California is too expensive to grow produce in due to lack of water resources.

Greenhouses in Canada of all places can compete with California now.

Let the valleys revert back to desert. California has become the welfare state for mexico.


14 posted on 09/02/2016 11:12:46 AM PDT by factoryrat (We are the producers, the creators. Grow it, mine it, build it.)
[ Post Reply | Private Reply | To 3 | View Replies]

To: Nachum

Leave it to a Democrat legislature, and Governor to screw up the works. They never fail when it comes to screwing up.


15 posted on 09/02/2016 11:13:42 AM PDT by rockinqsranch (Dems, Libs, Socialists Call 'em what you will, they all have fairies livin' in their trees.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Texas Fossil
There's no past tense to it.

CA still produces more ag than any other two states combined.

Including Texas.

16 posted on 09/02/2016 11:15:37 AM PDT by Mariner (War Criminal #18)
[ Post Reply | Private Reply | To 11 | View Replies]

To: Nachum

If no one noticed then how did the article get written?

Journalists: Dumber than the dumbest liberal.


17 posted on 09/02/2016 11:17:32 AM PDT by CodeToad (Islam should be banned and treated as a criminal enterprise!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: TheConservator
Prices will rise. Producers in other states, noting the price rise, will increase production. California will lose market share. How clever of California to effectively gift its job base to other states! Economics is not that hard.

Exactly. It's not that economics is hard, it's just ruthless. Because people are involved making choices, liberals think it's a soft science that can be manipulated by various mindgames, regulations and taxes to fit their political correctness model. But economics is as fixed as the law of gravity.

18 posted on 09/02/2016 11:17:36 AM PDT by Talisker (One who commands, must obey.)
[ Post Reply | Private Reply | To 7 | View Replies]

To: Nachum

almost all other workers get the benefit of this law (time and a half for overtime work)

maybe the law should be repealed, but as long as we have it.......?


19 posted on 09/02/2016 11:17:41 AM PDT by faithhopecharity ("Politicians are not born. They're excreted." Marcus Tullius Cicero.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Buckeye McFrog; Nachum
I don't know what the exact figures are now, but a couple of years ago the amount of the price of a head of lettuce that went to a field worker was about 4 cents. If you were to even double this, the difference would be literally undetectable to the consumer --- and this overtime bit isn't going to double wages.

The main determinant of prices in the fruit and vegetable business is still supply and demand. Have a fabulous, ginormous crop and you lose money because the glut on the market makes the price skid toward zero. Widespread crop failure, on the other hand, means that producers with something to ship to market can make out like bank robbers.

20 posted on 09/02/2016 11:18:50 AM PDT by Mrs. Don-o (Just the facts, ma'am, just the facts.)
[ Post Reply | Private Reply | To 6 | View Replies]


Navigation: use the links below to view more comments.
first 1-2021-4041-6061-65 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson