SACRAMENTO, Calif. (Diya TV) — A labor union in California says it has gathered enough signatures to push a proposed billionaire tax onto the November ballot. The move sets up a high-stakes political fight over wealth, jobs, and the state’s economic future. The campaign, led by the Service Employees International Union-United Healthcare Workers West, announced that supporters collected more than 1.5 million signatures. The group plans to submit them to state election officials this week for verification.
The proposed measure would impose a one-time 5% tax on the assets of California residents worth at least $1.1 billion. Supporters say the tax could raise tens of billions of dollars. Most of the revenue would go toward funding health care programs. Union leaders argue the measure is urgent. They point to recent federal cuts to Medicaid and other health insurance programs. They say California must act to protect patients and hospitals.
“Healthcare workers and our allies won’t quit,” said Suzanne Jimenez, a union leader, in a statement. “We must protect our patients from a growing healthcare crisis.”
The proposal has drawn national attention. Progressive leaders, including Bernie Sanders, support the tax. They say it would reduce economic inequality and ensure the wealthy pay more. However, powerful opponents have lined up against it. California Gov. Gavin Newsom and several Silicon Valley executives have pledged to fight the measure. They warn it could harm the state’s economy and drive billionaires out of California. Tech investor Ron Conway and Google co-founder Sergey Brin have helped fund opposition efforts. These groups argue the tax would hurt innovation and reduce investment in startups.
Opponents plan to release a new economic study that predicts major losses if the tax passes. The report estimates the state could lose about 108,000 high-paying jobs over two decades. It also warns of billions in lost income tax revenue. Consultants who worked under former governors Jerry Brown and Arnold Schwarzenegger prepared the study. Critics say the tax could push wealthy residents to leave California. This could shrink the state’s tax base over time.
“It’s a risky move,” said Dan Newman, a spokesman for an opposition group. “You could gain a short-term boost but face long-term losses.”
Supporters point to a different analysis. California’s Legislative Analyst’s Office found the tax could generate tens of billions in new revenue over several years. However, the office also noted that some wealthy residents might relocate, reducing income tax collections.
Opponents have not stopped at criticism. They are backing rival ballot measures that could block or weaken the billionaire tax. One proposal would ban new taxes on personal property and financial assets. Others include provisions that could invalidate the wealth tax even if voters approve it.
These competing measures could confuse voters. In California, if voters approve conflicting measures, the one with more “yes” votes becomes law. Ron Conway said these rival proposals could give Newsom leverage in negotiations. He suggested they might pressure supporters to drop the billionaire tax before it reaches the ballot.
The proposal still faces several steps before voters see it in November. Election officials must verify the signatures. At least 875,000 valid signatures are required for the measure to qualify. If the measure clears that threshold, supporters must decide by late June whether to move forward. The outcome could shape California’s economic policy for years. It could also influence national debates on wealth taxes and income inequality.
