Even before the COVID-19 pandemic, unaffordable housing costs represented one of California’s most pressing challenges – and the job losses triggered by stay-home orders necessary to address the public health emergency threaten to exacerbate this long-standing crisis. Housing affordability is a problem throughout the state when housing costs are compared to incomes, and the Californians who are most affected by the affordability crisis are renters, households with the lowest incomes, people of color, and immigrants.
This video is part of our Policy Perspectives Speaker Series.Thank you to our 2020 series sponsors: First 5 California, First 5 LA, and the Stupski Foundation, for making this programming possible.
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The COVID-19 public health and economic crisis is not easing for Californians – even as businesses have been allowed to reopen and may be able to hire some workers. For many Californians who earned low wages and struggled with the cost of living before the pandemic, this recession and the job losses are only worsening the economic disparities they experience every day.
Who is hit hardest by California’s job losses that are far worse than the Great Recession? Women and people of color. In only two months – between February and April of this year – California lost 2.6 million jobs. That’s twice as many jobs as California lost during the Great Recession over almost three years. Senior Policy Analyst Alissa Anderson shares more about what the job losses mean for Californians and what policymakers can do to extend support needed now.
Know the numbers:
The COVID-19 recession is far more severe for California than the Great Recession that hit about a decade ago, which was the worst downturn since the Great Depression. In just two months of the COVID-19 recession, California lost 2.6 million jobs – twice as many as the state lost over 31 months due to the Great Recession.
The majority of jobs California lost in the first two months of the COVID-19 recession were in low-paying industries. This means that many of the people who have lost work were already struggling before the crisis and are unlikely to have a financial cushion to weather this downturn.
The COVID-19 recession has hit women and people of color especially hard. For example, during the first three months of the downturn, employment for Black and Latinx women fell by over 20% – more than three times the decline in employment for white men.
Immigrants have also been hit hard by the COVID-19 recession. Employment for both women and men who are immigrants declined far more than for their non-immigrant counterparts during the first three months of the recession. Immigrant women saw the steepest decline in employment.
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Governor Newsom’s revised 2020-21 budget plan is out and now state leaders will make policy choices and fiscal decisions that affect every Californian. But many of those policy decisions have the greatest effect on people who have lost their jobs, incomes, and face a higher risk of exposure to COVID-19.
Our team is out with a new video on how state policymakers can move California forward even in the face of an alarming budget shortfall. We share why our leaders must do everything possible – from pushing for more federal relief to using state reserves, from borrowing appropriately to raising additional revenue – not only for our 2020-21 budget agreement but to build an economy that is inclusive of all Californians.
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Millions of Californians have no idea if or when they will be able to return to their jobs. Paying for food and rent is a constant worry as the economic fallout of the COVID-19 crisis bears down. For Black and Latinx Californians, low-income households, and undocumented Californians the health and financial strains are even greater. What targeted federal and state policies are needed from policymakers to help Californians as the economic crisis lingers on?
This Q&A video provides answers to this question and many more, including:
How is the COVID-19 economic crisis and recession different than previous ones California has weathered?
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