Billionaire investor and entrepreneur Kevin O’Leary, known as “Mr. Wonderful,” is not mincing words when it comes to his criticism of California Governor Gavin Newsom. During his appearance on Fox Business’s “The Big Money Show” on Monday, June 17, O’Leary laid out a scathing assessment of Newsom’s management of California, highlighting how the governor’s policies have devastated the state’s business climate.

O’Leary, who has made a name for himself not only as a successful businessman but also as a straight-talking commentator on economic issues, pinpointed a “triple whammy” of challenges that he believes are stifling California’s economic vitality. He began by explaining the first two issues: changing consumer behavior due to the COVID-19 pandemic and rampant inflation. “People’s dining preferences have shifted dramatically since the pandemic; they simply don’t go out as much anymore. Then you have inflation itself, which is shredding profit margins,” O’Leary said.

However, O’Leary didn’t stop there. He went on to highlight what he sees as the core problem: policy mistakes under Newsom’s leadership. In particular, O’Leary criticized the state’s recent move to raise the minimum wage. “But also you’ve got policy mistakes. I’m here in California shooting season 16 of ‘Shark Tank.’ The casual dining sector in this state has been decimated by a policy mistake on minimum wage. They’re shutting down left and right,” he noted.

This criticism comes in the wake of California’s decision nearly three months ago to mandate a $20 minimum wage for workers at restaurants with 60 or more locations. The move, intended to help low-wage workers, has instead led to widespread restaurant closures and layoffs, highlighting the unintended consequences of such policies.

O’Leary went further, likening Newsom’s policies to those of Venezuela, a nation plagued by economic mismanagement and hardship. “Gavin Newsom made a huge mistake. I think he knows that now, he’s turning this state into a sort of version of Venezuela,” O’Leary asserted.

The consequences, according to O’Leary, are dire. He argued that Newsom’s policies are not only obliterating the restaurant industry but are also driving people and capital out of California. “It’s just killing business, not only in restaurants, but in everything. There’s all kinds of capital leaving here for more competitive states,” he warned.

Reflecting on his personal experiences in California over the past 15 years, O’Leary painted a bleak picture of the state’s decline. “Listen, I’ve met him. He’s a nice guy, but I can’t be more critical of his policies. He’s a bad manager. He’s decimated this place. I’ve been coming here for 15 years; this is a shell of what it used to be,” O’Leary lamented.

O’Leary’s blunt assessment underscores a broader conservative critique of progressive governance in states like California, where high taxes, stringent regulations, and policies perceived as hostile to business are driving away investment and opportunity. As more businesses and individuals flee to more business-friendly states, the long-term economic prospects of California under current leadership remain uncertain.

In the eyes of Mr. Wonderful and many conservatives, California stands as a cautionary tale of what happens when well-intentioned but poorly executed policies meet economic reality.