In a new interview, Focus NJ Executive Director Althea D. Ford said the new “Missed Opportunities” analysis shows not only the depth of what happens when New Jersey companies choose to grow, invest or move elsewhere, but also how the departure of job creators impacts the state’s workforce.
Ford discussed the analysis, which is a snapshot of eight high-profile business decisions in the state, with Bill Spadea on his new weekly ONNJ show “Speak for America.”
“We know in New Jersey we've experienced a serious outmigration of talent," Ford told Spadea.
“When individuals are going through our K-12 system, and they're making decisions about where to pursue post-secondary opportunities or where to put down roots, if there are no job opportunities here in New Jersey, they're going to seek them elsewhere.”
As a result of the eight selected business decisions, the Focus NJ analysis shows that New Jersey lost more than 7,000 jobs, nearly $675 million in annual payroll and approximately $27.3 million in annual income tax revenue.
Additional downstream impacts include more than $6.7 million in lost annual sales tax revenue and $20.9 million in potential property tax revenue tied to office and manufacturing investments that occurred in other states.
When asked what was one of the main reasons that could lead to such losses, Ford said it was the instability of New Jersey’s business policies.
“There are certain things that can be done by states to provide a certain level of predictability and stability that businesses can plan for,” she said. “And unfortunately, I think over the last eight years, and even in prior administrations, there have been policies that were pursued, that in essence, did not allow for a certain that's that level of stability to be given to businesses.
“You think about the 2.5% corporate business transit that was supposed to sunset (in 2024) and then it came back as another name, the corporate transit fee. Just in that exercise, communicating and signaling to business that a tax that was temporary was going to sunset, allowing it to sunset, but then, three months later, bringing it back by another name, signals to the business community that what the government is saying that it cannot necessarily be trusted all the time.”
To see the full interview with Ford and Spadea click here and scroll to the 28:45 mark.
