Commentary

New warnings about outforcing

A new report Wednesday fueled concerns that the high cost of doing business in Los Angeles and much of California puts the region at a serious disadvantage in trying to compete for high-tech businesses against less-expensive Western and Midwestern cities.

Said the head of the company that conducted the study:

“The harsh reality is your state is suffering today not only from a corporate exodus but intellectual capacity (too). Some of your best and brightest college graduates cannot afford to live here; that’s a huge problem.”

We’ve heard this before:

The study echoes warnings that were sounded last year by the California Business Roundtable, which found that nearly 40 percent of California companies planned to move jobs out of state. At the same time, analysts at Bain & Co., a business consulting firm, found that 100 percent of the senior-level executives they interviewed said California’s business climate was unfavorable.

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