Karen Bass: Did she stop jobs from fleeing Los Angeles?

Mayor Karen Bass has spent her first term trying to keep jobs in Los Angeles while production companies, downtown offices, and small businesses weighed their options. The question of whether her moves were enough comes up constantly ahead of the 2026 primary, especially as reports continue to show losses in entertainment employment and commercial real estate.

Production exodus numbers

Feature film shoots in Los Angeles dropped sharply between 2024 and 2026. Industry estimates put the total production jobs lost near 40,000 to 50,000, with many roles moving to states that offered larger incentives and fewer on-set requirements.

Business groups and rival candidates blamed high permit fees, slow approvals, and staffing mandates for pushing work elsewhere. Karen Bass responded by cutting some fees on a trial basis and reducing required city staff on productions.

Those adjustments arrived after the bulk of the departures had already happened. Critics argued the timing left the city reacting instead of leading on the issue.

City film office moves

In August 2025 Karen Bass appointed Steve Kang as the new film liaison, fulfilling a campaign promise made three years earlier. The role was meant to serve as a direct contact for studios facing permitting problems.

By April 2026 she issued temporary fee reductions and directed departments to lower the number of police and other city personnel required on sets. The changes were framed as a direct response to industry complaints about costs.

Industry observers noted that the steps came after several major shows had already locked in out-of-state locations. The question remained whether the adjustments would bring work back or simply slow further exits.

Downtown vacancy patterns

Nearly 1,000 businesses left downtown Los Angeles in 2024, leaving office vacancy rates near 40 percent. Large firms including Deloitte and KPMG trimmed space, while Wedbush Securities relocated its headquarters to Pasadena.

Owners cited safety concerns, empty storefronts, and reduced foot traffic as the main drivers. Karen Bass administration officials pointed to broader economic conditions and post-pandemic shifts in work habits.

The departures reduced the city’s tax base at the same time the budget faced a roughly $1 billion shortfall. Business leaders pressed for faster action on street conditions before the 2026 election cycle intensified.

Budget and workforce deals

City labor negotiations in September 2025 produced agreements that protected roughly 1,600 civil service positions from layoffs. Karen Bass announced the deals after months of talks aimed at closing the budget gap without mass cuts.

The outcome kept public-sector employment stable even as private-sector losses mounted in entertainment and downtown offices. Supporters described the agreements as proof that Karen Bass could manage fiscal pressure without immediate service reductions.

Opponents countered that protecting city jobs did not address the private-sector flight that was shrinking the revenue needed to sustain those positions long term.

Green jobs milestone

The city reached its target of more than 100,000 green jobs by the end of 2025, ahead of the original schedule. Karen Bass highlighted the milestone as part of efforts to create employment outside traditional entertainment and office sectors.

Supporters said the push showed diversification beyond industries facing immediate relocation pressure. The jobs ranged from clean-energy installation to maintenance roles tied to new infrastructure projects.

Critics noted that many of the positions paid less than production or professional services work that had left the city. They questioned whether the green sector could fully replace the scale of losses in film and downtown commerce.

Tax relief actions

Karen Bass issued emergency orders waiving or postponing business taxes for companies hit by the 2025 wildfires. The measures aimed to keep firms from closing or moving while they recovered.

Separate relief programs under the “LA is Open” initiative offered small businesses capital access and reduced permitting hurdles. City staff presented the steps as targeted support for employers still operating in Los Angeles.

Business owners affected by crime and vacancy trends said the tax measures did not address the day-to-day conditions driving customers away. They continued to call for visible improvements in safety and street maintenance.

External pressures noted

In August 2025 Karen Bass stated that immigration raids had “put a huge dent in the city’s economy” and destabilized both businesses and communities. The comments drew attention to factors outside direct city control.

City officials argued that state film tax credits and federal policy decisions also shaped whether productions stayed or left. Karen Bass emphasized that Los Angeles remained the historic center of the industry despite recent shifts.

Opponents maintained that local permitting and fee structures still created avoidable disadvantages compared with other jurisdictions actively courting productions.

Public and political response

Challengers in the 2026 race described the entertainment sector as having been treated like an inconvenience rather than a core asset. Social media commentary repeated claims that more than 40,000 production jobs had disappeared under the current administration.

Karen Bass countered on social platforms that she was “fighting every day” to keep the industry in Los Angeles and maintain the city’s status as the entertainment capital. Her team pointed to the film liaison appointment and fee reductions as evidence of ongoing work.

Voter attention has focused on whether visible results will appear before the primary. Business groups have scheduled meetings with city leaders to press for additional changes in safety and permitting.

Policy timing questions

Executive Directive 19, issued in April 2026, aimed to speed permitting for both housing and business projects. The order responded to long-standing complaints about delays that had pushed some companies to consider other cities.

Supporters said the directive showed Karen Bass recognizing that earlier processes needed adjustment. Detractors noted that the order arrived after several high-profile departures had already been reported in the press.

The sequence left open the question of whether earlier action on fees and staffing could have altered decisions by studios and downtown firms. City staff have said the changes position Los Angeles for future projects once the current production cycle stabilizes.

Outlook for retention efforts

Karen Bass faces a 2026 reelection test centered on whether production and downtown employment trends stabilize or continue downward. The combination of fee cuts, labor stability, and green job growth forms the core of her record on job retention.

Business owners and industry groups will measure results by whether new projects return to Los Angeles locations and whether downtown foot traffic recovers. The administration’s next moves on safety coordination and permitting speed will likely determine whether the recent policy adjustments prove sufficient.