Texas Governor Greg Abbott tells CNBC in defense that the new anti-abortion law will not affect the state’s growth in home technology companies.
He stated that the new anti-abortion law will not hinder the state’s growth in home technology companies.
Texas is a growing hub for business – sometimes referred to as a “tech mecca” – it is home to industry giants such as Oracle, Hewlett Packard and Tesla, with more than 17,000 tech companies and more than 200,000 employees who chose to move from California to Texas. Because of the lower cost of living and favorable tax laws, many people move.
Some fear that Texas’ controversial abortion ban could harm its thriving business.
Shelley Alpern from Rhia Venture stated, “I think Texas should be concerned because they have created a very unsympathetic environment.”
A poll conducted by an abortion rights group revealed that two-thirds (63%) of highly skilled workers think the new law will make it difficult to get a job here. Smaller technology companies may also be affected.
“It may be that some of the companies that have chosen to open or relocate offices in Texas may reverse that decision,” said Lori-Lee Elliot, CEO of Future Sight AR.
Bumble and Match, two state-based women-led businesses, have offered financial support for people who wish to have an abortion. Salesforce also offers to relocate employees and their families from Texas.
Elliot fears that the Texas law’s negative consequences will affect smaller businesses like hers.
She stated that the law affects small companies like mine, which have to hire employees. “Those companies are great at bringing in talent, so we have a lot of talent from which to recruit.”
Tesla is one of the larger companies that has remained silent. CEO Elon Musk tweeted that he would prefer not to be involved in politics.
Governor Abbott says the state’s conservative laws — without state revenues or corporate taxes — are still very attractive to businesses.
He stated that it actually speeds up the process for companies to move to Texas.
But, estimates show that Texas’ new law could cost Texas almost $15 billion annually. It is argued that it makes it more expensive for women to have children, and then care for them. Women of color, young people, and the disabled are among those who cannot afford to be unemployed or out of work.
Black communities account for about 13% of Texas’s total population, but 26% of Texas’s abortions.