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agenda city of watsonville city council/redevelopment agency meeting

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Santa Cruz County’s Targeted Employment Area (TEA)<br />

– Watsonville<br />

The shifting economy<br />

Over time, Watsonville has been known as the agricultural center <strong>of</strong> the Monterey Bay. The City is recognized<br />

for its strawberries, apples, cauliflower, broccoli and fresh cut flowers. Watsonville food processors freeze and<br />

distribute more fruits and vegetables than any other single area in the United States. While agriculture and food<br />

processing industry remains as the mainstay <strong>of</strong> Watsonville’s economic structure, the City’s economy has been<br />

diversified with an influx <strong>of</strong> electronics, manufacturing and service firms, in addition to the establishment <strong>of</strong><br />

distribution centers for non-agricultural products. In these days, main industries in Watsonville are agriculture,<br />

construction and manufacturing. Driscoll’s Strawberries, Martinelli’s, California Giant, Monterey Mushrooms,<br />

Graniterock, Granite Construction, West Marine, Vendwize, Fox Racing Shox and many other leading companies<br />

in the agriculture, construction and manufacturing industries locate their companies’ headquarters in<br />

Watsonville.<br />

At start <strong>of</strong> the shifting economy, Watsonville has been benefited a lot from the diversity <strong>of</strong> industries; however<br />

the recession and its aftermath have nailed Watsonville hard. A big hit has strike on to the manufacturing and<br />

agriculture and particularly construction.<br />

Unemployment<br />

Watsonville has been terribly hard hit with the recession. The jobless rate in Santa Cruz stands at a worrisome<br />

11.6 percent, while Watsonville’s is a whopping 27.9 percent. Since Watsonville has more blue-collar jobs, it has<br />

suffered more than Santa Cruz ,and which its trend can be played out on a national scale. In October 2010,<br />

Market Watch reported that national unemployment was 4.5 percent for college graduates, 10.8 percent for<br />

high school grads and 14.3 percent for those without a diploma.<br />

California Sunshine Regional Center (CSRC)<br />

4<br />

ATTACHMENT 1<br />

Page 5 <strong>of</strong> 21

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