New Jersey Drops Down in Top States for Business Rankings, CNBC
The Garden State has fallen from 19th to 25th in CNBC’s annual Top States for Business list, released on July 11. Despite improvements in workforce and quality of life, New Jersey’s ranking was dragged down by poor showings in business friendliness, cost of doing business, and infrastructure. I know doing business in New Jersey has become an increasingly challenging proposition, but still, the drop is somewhat a surprise.
Regional Neighbors Outrank New Jersey
Virginia, North Carolina, Texas, Georgia, and Florida topped the list, while Pennsylvania (17th) and New York (22nd) ranked higher than New Jersey in the region.
New Jersey’s Report Card
CNBC scored all 50 states on 128 metrics across 10 categories, with New Jersey’s ranking and grade as follows:
- Infrastructure: 30th (C-)
- Workforce: 15th (C)
- Economy: 17th (C+)
- Quality of Life: 3rd (A-)
- Cost of Doing Business: 42nd (D)
- Technology & Innovation: 26th (C)
- Business Friendliness: 49th (F)
- Education: 8th (A-)
- Access to Capital: 7th (B+)
- Cost of Living: 37th (C-)
Reactions from Business Leaders
New Jersey Chamber of Commerce President and CEO Tom Bracken expressed disappointment, citing the state’s poor rankings in business friendliness and cost of doing business. New Jersey Business & Industry Association President and CEO Michele Siekerka noted that while the state excels in quality of life, access to capital, and education, it struggles with business friendliness and cost of doing business. John Boyd Jr., principal of The Boyd Co., emphasized the importance of improving infrastructure and reducing business taxes to enhance the state’s competitiveness.
A Call to Action
Business leaders and the Murphy Administration agree that there is room for improvement. The administration highlighted its efforts to create jobs, improve infrastructure, and support innovation, but acknowledged that more work needs to be done. The business community is urging policymakers to address the state’s high business taxes, regulatory burdens, and infrastructure challenges to make New Jersey a more attractive destination for businesses.
Opinion: NJ Is Still a Great Place to do Business
Despite the challenges, I remain a strong proponent for doing business in New Jersey. Here are five reasons why:
1. Talent Pool
New Jersey boasts a highly educated and skilled workforce, with top-ranked universities and a strong talent pool. Our state offers a diverse range of professionals, from scientists and engineers to finance and technology experts.
2. Location
New Jersey’s strategic location between New York City and Philadelphia provides unparalleled access to markets, customers, and suppliers. Our state’s proximity to major ports, airports, and highways makes it an ideal hub for logistics and distribution.
3. Innovation
New Jersey has a rich history of innovation, from Thomas Edison’s inventions to modern-day breakthroughs in biotechnology and clean energy. Our state offers a supportive ecosystem for startups and entrepreneurs, with numerous incubators, accelerators, and funding opportunities.
4. Quality of Life
New Jersey’s exceptional quality of life is a major draw for businesses and employees alike. Our state offers a unique blend of urban, suburban, and rural environments, with access to beautiful beaches, mountains, and cultural attractions.
5. Resilience
New Jerseyans are known for their resilience and determination. Our state has faced numerous challenges, from natural disasters to economic downturns, but we always bounce back stronger. This spirit of perseverance is a valuable asset for businesses looking to thrive in a dynamic and competitive environment.
Conclusion
While New Jersey faces challenges in CNBC’s Top States for Business rankings, I remain confident in our state’s potential for growth and success. By addressing our weaknesses and building on our strengths, we can create a more business-friendly environment that attracts and retains top talent and companies. As a proponent for doing business in New Jersey, I urge policymakers and business leaders to work together to unlock our state’s full potential. Do you think New Jersey is a tough place to do business? Drop your comments below!
You can check out the full list here.
