Under the Hood: Same Work, Fewer Workers, Less Income, Higher Costs
By Tim Carl
Today’s Under the Hood Spotlight
Welcome to Under the Hood, our exclusive Saturday series for Napa Valley Features paid subscribers.
Today’s Under the Hood Article Summary:
Since 2020 Napa County has seen a rise in business establishments without a corresponding increase in its civilian labor force, leading to fewer workers per business and lower real income per worker. At the same time, housing costs have continued to climb, reducing affordability and squeezing household budgets. This economic strain mirrors some pre–Great Recession dynamics but with different underlying causes, such as higher interest rates, tighter credit and constrained housing supply.
Beyond today’s discussion, we’re also diving into the latest data from our readers’ polls and providing insights from our economic dashboard, covering local Napa Valley, U.S. and global markets.
“What We’re Reading” features excerpts from recent articles offering a range of perspectives on topics shaping our community and the wider world. “Visuals That Caught Our Eye,” at the end, spotlights compelling charts and graphs that stood out this week.
“What We’re Reading”: Excerpts of the Day
“We have to do everything in our power to make the world a better place for the children alive today and for those that will follow.” – from Jane Goodall, in “Jane Goodall’s Final Message: ‘Don’t Give Up’,” Inside Climate News.
“Proposition 50 protects fairness in representation and strengthens the voice of our communities.” – from Supervisor Belia Ramos, in “Napa County Board of Supervisors Endorses Proposition 50,” press release.
“We have a really hard cash flow problem right now where we have a lot of money in the tanks, and it’s hard to actually sell the product that’s in the tank.” – from Anne Zwink, in “Americans are drinking less. What does that mean for winemakers in the Heartland?” KCUR.
“Tourism continues to be the lifeblood of Napa Valley’s economy—supporting more than 16,000 jobs, generating significant local tax revenue, and sustaining the businesses and workforce that make our community thrive.” – from Linsey Gallagher, in “Visit Napa Valley’s 2025 Destination Symposium Highlights Tourism’s Role as an Economic Driver,” Wine Industry Advisor.
“We’re cautiously, and I would stress that word again, ‘cautiously’ optimistic that we’ve hit the bottom here.” – from Bill Newlands, in “Constellation ‘cautiously optimistic’ on macro challenges having reached bottom,” Just Drinks.
“High disease pressure with great wine that no one wants to drink? I feel like I’m back in Europe.” – from the author, in “2025: a year in review,” Advanced Viticulture.