California on Track to Lose More Showbiz Jobs -- and What the State Needs to Do About It Bloomberg
A new study finds not only that California is losing show business jobs, as is widely known, but also where those jobs seem to be going -- and what the state should do to stem the tide.
California should boost and make over its subsidies for the entertainment industry in order to stem job losses, Bloomberg reports, citing the study from the Milken Institute.
The state lost 16,137 entertainment jobs between 2004 to 2012, a loss of 11%, while its chief competitor, New York state, saw its entertainment jobs rise by almost 25%, the story notes.
“If California is to keep its entertainment employment base, California must create a distinctive incentive package that allows the entertainment industry to grow without engaging in a race to the bottom in a market saturated with subsidies,” the report said.
"The recommendations for California include increasing the tax credits from the current $100 million a year," the story reports. "The Milken Institute also calls for extending credits to films with budgets exceeding $75 million to keep 'blockbusters' in state. It says the state should dedicate a portion to hour-long TV shows and miniseries, and include incentives for filming outside Los Angeles and for visual effects."
The study also suggests implementing an application fee to fund an increase in staff at the California Film Commission.
The story notes: "Forty-three states subsidize entertainment production, typically through tax credits or rebates that totaled $1.5 billion in 2010, according to the report."