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Georgia

Very High Risk

Private Equity Risk Score

81/100
  • Georgia is among the top 10 states for the number of layoffs at private equity-controlled companies as a share of the state’s total private sector workforce.
  • Georgia is among the top 10 states for the share of single-family homes purchased by corporate investors over a five-year period.
  • Georgia is among the bottom 10 states for the share of state pension assets invested in private equity.
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Risk score from 0 to 100, Higher score = Greater risk.

Private Equity Risks

Workers and Jobs

Risk Score: 56/100

  • Share of private sector workforce at private equity-controlled companies (Average 2018-2022) 8.5% 377,000 jobs
  • Change in the share of workforce controlled by private equity from 2018 to 2022 35.8%
  • Layoffs at private equity-controlled companies (2015-2022) 9,785
  • Employee deaths and hospitalizations at private equity-controlled companies (2018-2022) 42

Health Care

Risk Score: 45/100

  • Share of hospitals that are private equity-controlled 3.0%
  • Average Medicare patient survey rating of private equity-controlled acute care hospitals (1 = lowest, 5 = highest) 3.7
  • Rate of readmission after discharge from private equity-controlled acute care hospitals 14.4
  • Share of nursing homes that are private equity-controlled 0.8%
  • Average Medicare quality rating of private equity-controlled nursing homes (1 = lowest, 5 = highest) 3.0
  • Substantiated complaints per private equity-controlled nursing home (2019-2022) 0.7
  • Share of population in a metro area where single private equity firm controls over 30% market share of one or more physician specialties 68.5%

Housing

Risk Score: 100/100

  • Percentage of homes purchased by medium, large and mega investors (2018-2022) 16.6%
  • Change in share of homes purchased by medium, large and mega investors from 2018 to 2022 62.1%

Public Pensions

Risk Score: 60/100

  • Share of state pension assets invested in private equity 0.7%
  • Share of state pension assets covered by private equity fee disclosure (including carried interest) 0.0%
  • Share of state pension assets covered by responsible contractor policy 0.0%

Policy Solutions to Address Private Equity Risks

Workers and Jobs
Adopted?

  • Severance for mass layoffs: For mass layoffs, require 90 days advance notice and require employers to pay one week of severance pay for each year of employment
  • Bonding for unemployment insurance: Require private equity-controlled companies with high debt ratios to post a bond to the unemployment insurance system to cover unemployment insurance taxes in the event of a bankruptcy

Health Care
Adopted?

  • Review of health care mergers: Require notice, public review or approval process for hospital and other health care mergers
  • Medical debt collection: Regulate medical debt collection
  • Nursing home staffing: Require specific percentage of Medicaid or overall revenues in nursing homes to be spent on staffing costs for patient care
  • Hospital fees: Limit hospital facilities fees

Housing
Adopted?

  • Good cause evictions: Prohibit evictions of tenants for reasons other than specified causes, such as non-payment of rent
  • Rental cost caps: Cap annual rent increases statewide at inflation plus a small percentage or allow local jurisdictions to cap rent increases
  • Tenants' right to purchase: Give tenants of mobile home parks and multi-family housing advance notice of sales and first right of refusal to purchase
  • Landlord registry: Create a mandatory registry to identify beneficial ownership of all corporate landlords with multiple holdings

Public Pensions
Adopted?

  • Fee disclosure: Require disclosure of all fees paid to each private equity fund by state pension funds
  • Compliance with all state laws: Require signed affirmation from private equity fund managers that all of their portfolio companies comply with state labor laws, environmental laws and health codes