Wednesday, July 28, 2010

Working against workers

An article by the NPRI written by Patrick R. Gibbons is about the Minimum Wage Law and its effect on unemployment. It states that,
Nevada's political leaders have only made the situation worse. The legislature kicked Nevadans while they were down with, yet again, a massive tax increase in 2009. Legislative leaders have also virtually destroyed what little economic confidence remained in the state by repeatedly talking up more tax increases and spending $250,000 on a dubious study to justify their hunger for a corporate income tax.

Nevada voters don't escape responsibility, either. They put a thoroughly destructive minimum-wage law in the state constitution by a voter initiative in 2006. Thus on July 1 of this year the state minimum wage increased to $8.25 an hour for laborers without health insurance.

In 2011, Nevada's political leaders will likely pass the largest tax increase in Nevada's history so that they can spend more money which they do not have.

Instead of raising taxes and spending money, we need to help businesses to grow to create jobs and stimulate the economy.

Monday, July 26, 2010

Employers 0, employees just getting welfare

This letter to the editor in the LVRJ, is about the extended unemployment payments. It states that,
There are jobs waiting to be filled, but far too many people who are receiving unemployment are not taking these jobs. Why, you ask? Because they get checks that are almost the same amount they can earn by actually working. Would you give up the money that the government is sending to you to stay home?

There is a lot of truth to this statement. I know at least 3 people that turned down jobs because they decided it was not worth working for the difference between what they would be paid and what they received from unemployment payments.

This letter also present these 4 facts.
First, it would be nice if members of our House delegation knew that "employers" pay for unemployment insurance, not employees.

Second, Nevada currently owes the U.S. government approximately $500 million that it has borrowed to make the current unemployment payments.

Third, before this past week's extension, Nevada's unemployed were receiving 99 weeks of benefits -- now it is 125 weeks. That is a staggering five weeks short of two-and-one-half years of unemployment benefits.

Fourth, next year the employers will be facing substantially increased unemployment tax rates in order to start repaying the government and the $90 million of interest that will be due on the borrowed money. These tax increases will keep businesses from hiring new employees

Now, I haven't checked these facts out for accuracy, but they are scary. I mean 500 million in debt. We had to cover an 800 million budget deficit last year and this wasn't included.

We are facing the largest tax increase in history in 2011 unless we make some drastic changes instead.