California billionaire tax will appear on ballot after deadline for deal passes
Proposal to introduce one-time tax of 5% will go to voters in November after backers decline to withdraw measure
TL;DR
- California voters will decide on a one-time 5% tax on billionaires in November.
- The Service Employees International Union-United Healthcare Workers West (SEIU-UHW) sponsored the measure, which aims to fund state programs.
- Negotiations between unions and Governor Gavin Newsom failed to reach a deal to withdraw the initiative.
- Tech moguls like Peter Thiel, Chris Larsen, and Eric Schmidt, along with Google co-founders Sergey Brin and Larry Page, are funding opposition efforts.
- Some labor unions, including the California Teachers Association and the State Building and Construction Trades Council of California, oppose the tax, citing concerns about its sustainability.
- Medical organizations have also joined the opposition, agreeing that the wealthy should pay their fair share but calling the measure 'shortsighted'.
- California has approximately 200 billionaires, many in the tech industry, whose fortunes have grown significantly.