Tuesday, December 14, 2010

Jobless-tax rate for employers raised

This article in the Review Journal states,
State Employment Security Division administrator Cindy Jones decided Tuesday to increase the average unemployment tax rate paid by employers by 50 percent starting in January.

Later, it states,
Because of Nevada's highest-in-the-nation unemployment rate of 14.2 percent, the state has had to borrow more than $579 million from the federal government in the past 14 months to keep paying the state portion of unemployment benefits.

It continues later saying,
Even with the higher rate, Jones expects the state to have to borrow an additional $250 million from the federal government by Sept. 30.

With Nevada's unemployment at the highest in the nation, the state is raising taxes on employers based on the wages paid. Employers will be looking for ways to reduce employees. They will not be trying to hire more.

The Nevada legislature will also be looking at additional taxes on businesses in their next session. No wonder Nevada has the largest unemployment in the nation.

I suggest that we pass immigration legislation similar to Arizona or Oklahoma. The money saved on health care and schooling of illegal aliens could be used instead of raising taxes.

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