Senator Bernie Sanders campaigned for California’s Proposition 40 on Monday, while labor leaders warned the measure threatens the retirement savings of working-class families.
The crowd at the Novo in downtown Los Angeles erupted in boos as Senator Bernie Sanders rattled off the names of California’s most famous tech titans—Elon Musk. Mark Zuckerberg. and Sergey Brin. Sanders stood on stage Monday, flanked by Representative Ro Khanna and art from Shepard Fairey, to champion Proposition 40. He framed the measure as a final stand against the 1 percent. telling the rally that the state has the power to reject the greed of oligarchs.
But miles away in La Palma, the battle over the November 3 ballot measure took a starkly different tone. At a union training facility. workers chanting “No on 40!” argued that the proposal is far more dangerous than its billionaire-tax label suggests. Xochitl Medrano. political director for the district council of the Ironworkers of the State of California and Vicinity. warned that the fine print creates a trap door for working families. She cautioned that the language allows state lawmakers to target the home equity. retirement accounts. and savings of average Californians—the sweat equity built over decades of labor.
The tension highlights a widening rift over a proposal crafted by a healthcare union to address a $100 billion federal healthcare funding cut approved by congressional Republicans and signed by President Trump last year. Supporters, including SEIU-UHW member Datosha Williams, fear the alternative is a collapse in care. Williams. who works in healthcare customer service. described the measure as a necessary backstop to prevent hospital closures. worrying that without it. her 8-year-old asthmatic son will face grueling waits in the emergency room.
Yet, even those within the labor movement remain deeply conflicted. Andrew Gonzales. a representative for the Los Angeles and Orange Counties Building and Construction Trades Council. noted that while the goal of quality. low-cost insurance is shared. the mechanism of Proposition 40 is fundamentally flawed. He pointed to the state’s already volatile budget. noting that some wealthy residents have proactively moved out of California. creating immediate fiscal instability.
The legislative landscape is further complicated by two opposing ballot measures. Propositions 41 and 42. which would nullify the wealth tax if either secures more votes. With over $300 million in campaign spending already poured into the race—nearly all of it opposing the measure—the stakes remain high for all sides. A late September poll from UC Berkeley and the Los Angeles Times showed 45% of likely voters supporting the measure. with 42% opposed and 13% undecided. Those figures indicate a cooling in support compared to a previous poll six weeks earlier, which showed 48% in favor.
As the election approaches, the state sits at a crossroads: choose a aggressive, controversial tax overhaul to fill a massive federal funding gap, or risk the potential instability and retirement threats that opponents insist are hidden within the measure’s text.
Bernie Sanders Proposition 40 California wealth tax labor unions California elections healthcare funding