Sure, the national economy is in the crapper, but that doesn’t mean the California economy can’t out do it. Today, the Employment Development Department released their monthly data (PDF). It’s not pretty.
California’s unemployment rate was 11.5 percent in May, and nonfarm payroll jobs declined by 68,900 during the month, according to data released today by the California Employment Development Department (EDD) from two separate surveys. The U.S. unemployment rate also increased in May, rising to 9.4 percent.
Well, isn’t that just terrific. And, while several forecasters predict a bottom for late this year or early next year, there are still some troubling signs.
For example, take the NUMMI plant, just down the road (ok, 70 miles down the road) from me in Fremont. NUMMI, or New United Motor Manufacturing Inc., is a joint project of Toyota and my car company, General Motors. I suppose I should say “our car company”, as we all own it collectively, but I just like saying that I own a car company. Back off!
Anyway, NUMMI has built a number of vehicles at their Fremont facility with pretty good results. In addition to the Toyota Corollas they make there, the Toyota Tacoma has won a slew of awards.
But the key to this joint operation in recent years has been the Pontiac Vibe/Toyota Matrix. It is a small, affordable car with pretty good fuel efficiency that has been sold under the names of both companies. Under the GM reorganization plan, the Pontiac brand is to be sold off or otherwise scrapped. That left the Vibe, a relative success in the recent market, in question. At the same time, there was hope that the NUMMI plant could get some of the orders for the hybrid Toyota Prius model.
Today, the axe was lowered upon the Vibe and the Prius rumors:
The roller coaster for the NUMMI plant in Fremont took a nosedive Thursday with word that General Motors would halt production this summer on the Pontiac Vibe and that Toyota has no current plans to build a Prius vehicle at the auto factory. (SJ Merc 6/19/09)
The plant employs 4,700 workers, and those jobs are once again up in the air. But the problems in manufacturing are far greater than this one anecdote can illustrate. When your unemployment rate is rising by four tenths of a point, you are dealing with more than one problem in the economy. But if we are to see a rebound, manufacturing needs to come along for the ride, and the light at the end of the tunnel seems distant right now.
If you want manufacturing to come back, then get everyone lined up to support HR 676. We need Single Payer Health care for the sake of the economy.
Why is it that all of those progressive Democrats in Congress keep telling us that everyone is against it. The polls are actually the other way. Can Calitics do a poll as to where every one of our representatives stand on this? I would be that there are not 5 Democratic Congress critters from CA who are progressive enough to support Conyer’s bill.