SAVE LIVES. TAX BILLIONAIRES.

Protect Healthcare Jobs and the Businesses Around Them

Protecting healthcare also means protecting the people who work in it—and the businesses that depend on their customers, contracts, and paychecks. Prop 40 can direct funding to providers and services facing cuts. [1]

Read the facts ↓Help pass Prop 40 →
Yes on 40Evidence checked September 10, 2026Campaign/legal review draft

VOTE YES ON PROP 40

Vote Yes on Prop 40 to help keep care in our communities. An economy needs people who can get treatment and workers who can keep providing it—not just wealthy investors.

The facts at a glance

Prop 40 permits funding to prevent or reduce healthcare closures and service cuts. [1]

The Berkeley jobs figures are pre-enactment scenarios, not observed layoffs. [2]

The California Nurses Association (CNA) and the California Federation of Labor Unions have documented support for Prop 40. [3][4]

The National Union of Healthcare Workers endorsed Prop 40 in September 2026. [7]

A healthcare cut reaches beyond the hospital

A provider’s budget supports more than equipment and buildings. It supports the people who answer the phone, schedule appointments, clean rooms, deliver meals, and care for patients. According to the UC Berkeley Labor Center, over 2.6 million Californians work in the healthcare sector, across hospitals, doctor’s offices, home health, nursing homes, and other care facilities. That’s 14% of the state’s total workforce. So when that funding is withdrawn, the impact can spread to suppliers and local spending. [6]

UC Berkeley Labor Center researcher Laurel Lucia modeled that connection in an April 2025 analysis. In scenarios with $10 billion to $20 billion less annual federal Medi-Cal funding, the study estimated a loss of 109,000 to 217,000 jobs across California. Healthcare accounted for about two-thirds of the modeled losses and other sectors would be affected too. [2]

Use the jobs research for what it actually shows

That study was published before the final federal bill. Its figures are scenarios, not a tally of layoffs already caused by the enacted law and not a forecast of the exact number of jobs Prop 40 would save. Its relevance is the economic connection: cutting healthcare funding is predicted to affect more than healthcare employers and workers. [2]

For a local business, that connection is easy to understand. A supplier may lose a customer. A worker with fewer paid hours may spend less in nearby shops.

Prop 40 directs money toward keeping care available

The proposed healthcare account can fund Medi-Cal and other coverage, support hospitals and other providers, and prevent or reduce facility closures and service cuts. Those uses are written into the measure. [1]

It also bars using the new revenues to replace existing state support for the designated purposes. New tax receipts should add resources to the response rather than merely change the label on money the state was already spending.[1]

Workers have a place in this decision

The California Nurses Association’s endorsement list supports Prop 40. The California Federation of Labor Unions also announced its support. Those are documented positions from organizations representing workers—not endorsements inferred from somebody’s occupation. [3][4]

Their support is a reason to hear the people who deliver care and work in California’s communities. It is not a substitute for a fiscal analysis. This page connects both: the worker organizations’ positions and the evidence about what the measure is allowed to fund.

The National Union of Healthcare Workers also endorsed Prop 40 in September 2026. [7]

A vote for care is a vote for a stronger foundation

Prop 40 does not promise a job to every worker or financial relief to every business. It creates a targeted revenue source and names healthcare protection as its principal purpose. [1]

When we decide what helps California’s economy, we should count the cost of losing care as well as the cost of raising revenue. Keeping a clinic available and a care team working are economic priorities worth defending.

A few more answers

Does Prop 40 directly tax my small business’s payroll?

No. It is a tax on covered billionaire wealth not a new payroll tax. A billionaire’s ownership interest can be part of that person’s covered wealth. [1]

Can we say Prop 40 will save 217,000 jobs?

No. That is the upper end of a particular funding-cut scenario in the cited 2025 study, not a measured Prop 40 benefit. [2]

The people and institutions behind the evidence

Author of the healthcare-funding jobs scenarios

Laurel Lucia

Authored the April 2025 UC Berkeley Labor Center scenario analysis. The study predates the enacted federal bill. [2]

Read the relevant source →

Research publisher; no endorsement inferred

UC Berkeley Labor Center

Published the cited 2025 healthcare-funding jobs scenarios. No institutional endorsement is inferred. [2]

People and organizations backing a Yes vote

California Nurses Association

California Nurses Association supports California Proposition 40 (2026).

Support appears in CNA’s California ballot-measure list. [3]

Read the support record →

California Federation of Labor Unions, AFL-CIO

California Federation of Labor Unions, AFL-CIO supports California Proposition 40 (2026).

The state federation’s endorsement; not a separate endorsement by every affiliated union. [4]

Read the support record →

National Union of Healthcare Workers

National Union of Healthcare Workers supports California Proposition 40 (2026).

The September 15 campaign announcement reports NUHW’s endorsement and quotes a union vice president on hospital staffing and access to care. [7]

Read the support record →

Keep reading

CHECK THE EVIDENCE

Sources behind this page

Each reference identifies what it establishes. A cited agency or researcher is not automatically a campaign endorser.

01Proposition 40: text of proposed laws

California Secretary of State · 2026 voter guide · Proposed law

The actual proposed rules on taxpayer eligibility, valuation, payments, spending, and reporting. Tax payments begin in 2027; audit authority and special trust rules remain. Section 50310 governs possible amendments.

Where to look: Gov. Code §16355, PDF pp. 4–5; Rev. & Tax. Code §§50301, 50303–50304, 50308–50312, PDF pp. 5–13.

https://vig.cdn.sos.ca.gov/2026/general/pdf/prop40-text-proposed-laws.pdf

02California Could Lose Up to 217,000 Jobs if Congress Cuts Medicaid

UC Berkeley Labor Center · April 24, 2025 · Conditional economic analysis

An April 2025 scenario modeled $10–20 billion less annual federal Medi-Cal funding in 2026 and estimated 109,000–217,000 job losses across healthcare and other sectors. It predates the final federal law; those are not observed losses or a prediction of how many jobs Prop 40 would save.

Where to look:

https://laborcenter.berkeley.edu/california-could-lose-up-to-217000-jobs-if-congress-cuts-medicaid/

03California endorsements

California Nurses Association; hosted by National Nurses United · Undated live roster; checked September 10, 2026 · First-party endorsement

The California Nurses Association’s statewide ballot-measure roster lists support for Prop 40.

Where to look: California Statewide Ballot Measures

https://www.nationalnursesunited.org/california-endorsements

04California Federation of Labor Unions Overwhelmingly Supports Billionaires Tax, Prop 40

California Federation of Labor Unions, AFL-CIO · August 4, 2026 · First-party endorsement

The state federation’s own endorsement announcement. An umbrella organization’s position does not establish separate endorsements by every affiliate.

Where to look:

https://calaborfed.org/press-releases/california-federation-of-labor-unions-overwhelmingly-supports-billionaires-tax-prop-40/

05Prop 40: The California Billionaire Tax Act

SEIU United Healthcare Workers West · Undated live page; checked September 10, 2026 · First-party campaign support

SEIU-UHW’s own page supporting and sponsoring the proposal.

Where to look:

https://www.seiu-uhw.org/ca-billionaire-tax-act/

About this page. Published as a review draft by the Yes on 40 campaign, which advocates passage of the measure. Sources were checked on September 10, 2026. Research estimates, proposed legal provisions and endorsements are identified separately. This page is not individual tax or legal advice. Send corrections with the relevant source to the campaign’s press contact.

Vote Yes on Prop 40.

Vote Yes on Prop 40. Protect the care, workers, and everyday economic life that make our communities work.

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