Hawaii Ranked Dead Last in New CNBC National Report for Business Friendliness

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HONOLULU – Photo courtesy of HTA

CNBC has released its report America’s Top States for Doing Business 2013. No surprise to business owners in Hawaii that the 50th state came in dead last in the annual ranking and is considered the worst place to do business in the country.

States were judged in part by the National Association of Manufacturers and the Council on Competitiveness on ten categories.

Hawaii ranked worst in the categories of infrastructure and cost of living.

Hawaii also ranked poorly for the cost of doing business, technology, business friendliness, the economy, education and the workforce quality.

On the bright side, in the CNBC Report, Hawaii ranked at the very top for quality of life.

The Chicago-based Truth in Accounting produced an exclusive study for Hawaii Reporter on June 28 that compared the results of six state rankings including: Truth in Accounting Taxpayer BurdenForbes Best State for BusinessCNBC Top State for BusinessChief Executive Magazine Best and Worst State SurveySmall Business and Entrepreneurship Council’s Business Policy IndexAmerican Legislative Exchange Council’s Rich State, Poor State Study.

Specifically, Hawaii ranked: 48 (TIA), 49 (CNBC 2012), 48 (Forbes), 43 (Chief Executive Magazine), 40 (ALEC), and 45 (Small Business and Entrepreneurship Council). Hawaii’s 2013 ranking with CNBC just released dropped from near last to last place.

The analysis of the six reports showed Hawaii as consistently being the most hostile place to do business.

Senate Minority Leader Sam Slom, who also heads the small business advocacy group, Smart Business Hawaii, blames the government in large part for the challenging conditions under which Hawaii’s businesses must operate.

“What? Another study showing Hawaii’s business climate in the tank? Not only is there no surprise from business owners, but there is no reaction from government leaders who have created and maintained Hawaii’s hostile business climate,” Slom said.

“Unfortunately there are many people in government and regulated industries that are doing quite well in this environment and have no incentive to change or improve Hawaii’s ability to compete economically,” Slom added.

Slom said “it is a shame” that government officials won’t make the changes they could to help Hawaii’s businesses thrive.

“Those of us in business know that with some simple and basic reforms to the tax, regulatory and employer mandates environment, Hawaii could have not only quality of life but quality of business achievement,” Slom said.

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