California jobless claims soar to 6-month high
California claims for unemployment benefits jumped to their highest level in six months as the beleaguered job market continues to struggle with the holidays just weeks away.
Workers statewide filed 80,700 firsttime unemployment claims during the week ending Oct. 16, up 17,600 from the 63,100 initial claims filed during the week ending Oct. 9, the U.S. Labor Department reported.
The claims filed with the state’s Employment Development Department last week were the most that workers have posted since early April. The persistent sluggishness in California’s job market is something of a mystery for economists. Most analysts who track the statewide market and regional economies in California had predicted unemployment claims would begin to dwindle starting in September.
“The explanations previously given for California lagging behind the national economy are no longer convincing,” said Michael Bernick, an employment attorney and a former EDD director. “California’s COVID rates are below other states, schools have reopened and child care is coming back.”
Instead of declining to pre-COVID levels, California jobless claims have drifted higher.
“The small business economy in California remains decimated, limiting job openings,” Bernick said. “However, employers who do have job openings, particularly for retail and hospitality jobs, report few applicants.”
State’s budget surplus growing
California will have another “historic budget surplus” next year, Gov. Gavin Newsom said Wednesday.
The governor made the announcement during an interview with NBC’s Chuck Todd at the Milken Institute’s 24th Global Conference.
Newsom in July signed a $262 billion budget that relied on a projected $75 billion surplus, based on estimates from January.
On top of its record-breaking surplus, California also received $27 billion in COVID-19 relief funds from the federal government.
Newsom and lawmakers used the surplus to send $600 checks to Californians making less than $75,000 a year, expand grants for small businesses and bolster other programs to help the Golden State emerge from the pandemic recession.
In-N-Out defies vaccine mandate in San Francisco
Fans of In-N-Out’s double-double in San Francisco will have to order takeout.
The Department of Public Health has closed indoor dining at the city’s only location near Fisherman’s Wharf because the company’s employees have been failing to consistently check for proof of vaccination. In August, the city adopted a policy that limits indoor dining to vaccinated customers.
“We refuse to become the vaccination police for any government,” KRON4 quoted In-N-Out Chief Legal & Business Officer Arnie Wensinger as saying in a statement. “We fiercely disagree with any government dictate that forces a private company to discriminate against customers who choose to patronize their business.”
The fast-food burger chain is based in Irvine. Most of the company’s locations are in Southern California where restrictions on indoor dining vary depending on the city or county. In Los Angeles County, employees and customers of mega-events or indoor bars, breweries, nightclubs and lounges must provide proof of at least one dose of COVID-19 vaccine and be fully vaccinated by Nov. 4.
According to Eater SF, the public health officers, acting upon complaints, had been trying to get the fast-food restaurant to comply since late September, with no success. They shut down the restaurant completely Oct. 14, then allowed service to resume for takeout and outdoor customers.
San Francisco’s restaurant edict was preceded by the action of 300 members of the San Francisco Bar Owner Alliance, who decided in late July to require proof of vaccination or COVID-free status from indoor customers.