September 28, 2019 | 747 Views
In its annual survey for the best states for business, CNBC ranks Nevada 29th. As we can predict, the leisure and hospitality industry is the State’s largest non-government employer, which makes for 28% of the State’s private workforce, according to the Nevada DETR research and analysis bureau.
The CNBC survey placed Virginia at the top and considers ten factors in its state-by-state rankings, combining scores from those categories into an aggregate figure to arrive at each State’s overall rank on the list. Those factors are access to capital, education, infrastructure, business friendliness, cost of doing business, cost of living, economy, quality of life, technology & innovation, and workforce. The casino giants MGM Resorts International, Caesars Entertainment, Las Vegas Sands and Wynn Resorts are among the State’s top private employers. Nevada has a strong economy and solid infrastructure, but they can’t claim their win with its unskilled workforce,” according to CNBC. The State’s workforce rank was 48 out of 50 states this year, down from 37 in 2018, awarding the State a grade of “F” on the survey.
In May, Nevada casinos published gross gaming revenue of $981.8 million, a 6% decline on a year-over-year basis. An area of concern is an increase in the legalization of sports wagering across the country, a market previously monopolized by State prior to the Supreme Court repealing a ban in 2018. Nevada gets “F’s” for education and technology and innovation, according to CNBC, though the State’s ranks in those two categories improved significantly from last year.
The State does not have a personal income tax and does not use a corporate tax, and the State garnered a “D” grade for price living. Only Alaska at number 47 had a lower overall standing in the CNBC report. Some of that 4% could be attributable to a recent slew of layoffs at MGM properties as part of that company’s cost-cutting efforts.
Just like many casinos look for ways to diversify their revenue, Nevada is also looking for other contributors towards the State’s economy.
As the leading gaming market in the US, Nevada is looking to become a player in alternative energy. The State is the second-largest producer of geothermal energy and one of the top solar and wind states in the US. This move could prove well-timed as coal production declines and utilities look for cheap, cleaner alternatives.