As we move into mid-September, New Jersey finds itself at a critical crossroads. The gubernatorial election is quickly approaching, and with it comes an opportunity to set the course for our state’s economic future. The stakes are higher than ever. Uncertainty continues to surround both the national and state economies, and our next governor and legislature must make the economy a top priority. New Jersey must be positioned not only to grow in good times but also to withstand the next downturn that might come.
The reality is clear: our economic foundation is weakening, and the warning signs can no longer be ignored. New Jersey plummeted from No. 19 in 2023 to No. 30 in CNBC’s Top States for Business rankings in 2025, and we now sit at a shocking No. 49 in Business Friendliness. That is not just a number on a chart, it is a flashing red light that companies and investors are looking elsewhere.
Across the state, key industries that form the backbone of our economy – construction, PHARMA, trade, leisure, and even the public sector – are losing jobs. Many of New Jersey’s largest employers have recently announced sweeping layoffs, cutting hundreds of positions as part of national restructurings. These are not isolated events; they are symptoms of a deeper, more troubling economic malaise.
At the same time, significant capital is being invested outside our borders. In my previous message, I mentioned that our neighbor Pennsylvania recently benefitted from pledges of $92 billion in private-sector investments focused on artificial intelligence and energy infrastructure. New Jersey got nothing. Energy and AI are two areas the Murphy Administration said were major priorities, so the losses hurt even more.
Even the state’s fiscal health reflects this downward trajectory. The combination of Corporation Business Tax and Business Alternative Income Tax, our second-largest General Fund revenue sources, continues to decline. In July, collections in those areas dropped by 26 percent compared with the prior year. These numbers underscore an urgent truth: without decisive action, New Jersey risks falling further behind.
That is why we are asking the gubernatorial candidates and our legislature to provide clear and direct answers to critical questions:
- Do you commit to making the economy a top priority?
- Would you support reinstating the former Red Tape Commission (previously proposed to be the GEARR Commission) to reduce outdated or overly burdensome regulations on employers?
- Energy will drive the economy. How will you ensure energy reliability, accessibility and affordability for businesses, especially as industries face increased energy demands from AI and other technologies?
- What would be your plan to attract jobs, reverse our state’s reputation as one of the least business-friendly in the country, and convince existing New Jersey businesses to expand in the state?
The choice before us is stark: either we confront these challenges head-on, or we allow New Jersey’s economic decline to accelerate. Our businesses, our workers, and our future prosperity depend on leaders willing to act boldly. The time for a true economic focus and plan is now.
This tees up my last question:
- What is your economic goal for New Jersey? Without a goal, there’s no clear path or focus leading us to economic prosperity.