It is clear that the big-government radicals running Trenton today will stop at nothing to advance their vision of an even bigger nanny state no matter what or who is destroyed on the way to achieving the “Common Good.” So much so that they will pass drastically flawed and dangerous bills that will destroy New Jersey’s competitive business climate in favor of emotion based, job destroying politics. This time, however, they got caught on a procedural technicality.
The ultra-liberal Paid Family Leave legislation will force New Jersey taxpayers to fork over another $130 million in new taxes to seed the launch of this new radical entitlement scheme and small businesses already struggling in the nations worst business environment will be sacrificed while legislators suck up to Public Employee Unions.
The bill, which allows every single worker in the state six weeks Paid Leave for virtually any reason at all with pay of up to $550 would result in crippling lawsuits for New Jersey’s beleaguered small businesses if a worker were fired for taking the six week “leave.”
After prompting from conservative legislators, Americans for Prosperity citizen activists and New Jersey Business and Industry Association members, Attorney General Ann Milgram issued an opinion stating the bill is to vague and opens the small business community to costly litigation.
The bills proponents are so committed to advancing their socialist agenda and expanding the entitlement state they will stop at nothing to advance what they consider the “Common Good” no matter what the cost. Left to their own devices, the backers of this bill would have sought a way to by-pass Senate rules and shove this bill through this past Monday.
But Senate Republican leader Tom Kean and Assemblyman Rick Merkt pointed out that the bill contains a tax increase and therefore had to be introduced in the Assembly, not the Senate. Thanks to Kean and Merkt’s keen eyes, the only way the Senate Democratic majority (with the support of “Republican” Senator Bill Baroni), could pass this bill was under an “emergency” resolution requiring thirty votes. Those votes were not there.
The frightening lesson here is the willingness of those we elect to represent us to railroad destructive legislation past the voters in order to gain favor from State employee union leaders. It is impossible to believe the Senators who voted to pass the dangerous PFL legislation do not realize that New Jersey, already losing private sector jobs faster than any other state, will go into an economic free fall if this bill becomes law.
Yet it’s obvious they just don’t care. Because it’s more important for them to line their pockets with campaign cash from left-wing public employee labor unions looking for more ways to fleece the taxpayer than to represent the hard working men and women who pay the bills of government.
They were caught this time. The Senate will have to vote again. Now that we have revealed their lack of consideration for business owners, the employees who will lose their jobs when these firms move out of state and the taxpayers we must convince more citizens to pick up the phone and call Senators who voted yes and get them to change their votes to stop this job destroying entitlement scheme before it is voted again in the next month.
Steve Lonegan was Mayor of Bogota, NJ, and is Executive Director of Americans for Prosperity - New Jersey. Americans for Prosperity (AFP) and Americans for Prosperity Foundation (AFP Foundation) are committed to educating citizens about economic policy and mobilizing those citizens as advocates in the public policy process. He is a prolific writer, having been published in newspapers and blogs. He just published a book, Putting Taxpayers First: A Blueprint for Victory in the Garden State, that discusses the impact of the Trenton government on the well being of the taxpayers of the state. He offers solid and workable solutions. Learn more at lonegan.com.
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Yeah Steve!
Couldnt agree with you more! Of course we now know Joe Pennacchio leads the big-government radicals!
The Decline of the Small Business
I work for a company of about 50 employees, half of them unionized and this type of legislation could destroy us. We already have to give our employees an exorbitant amount of vacation days, sick days, and holidays. Now, ontop of that, we have to give them up to 6 weeks off if a family member gets sick or if they adopt or have a child. I can see aunts, uncles, and cousins getting sick all throughout the summer. Our employees, if they so wished, could kill our business and get paid for doing it. When did everyone start hating small business so much?
Thank you Steve for bringing these type of legislation to the attention of your readers. We will have to do whatever we can to keep small businesses in NJ if this one and more like it get passed.
Sean Colon,
Vice Chair, NJ Libertarian Party
Sean...
Do what I am doing... Moving to PA.
I'm just waiting for the offices to become available and the inital contingent of 20 or so folks will follow. A group of others, who live in NY State, will be moving into a NYC office. It's funny, but it's cheaper now for in-state New Yorkers to work in NYC than it is to work in New Jersey. This state has lost it's business advantages.
Just one thing, it you do move, move further than 50 miles. 80% of your workforce will either not transfer or quit within the first year. Then you can hire cheaper local labor without all of the baggage.
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The worst part, is that you have PFL, which for a $100K employee is $100, not $33. The $33 figure is an 'average' income amount. Then there is the business costs of managing that new burden, keeping the fund filled if employees use it since the tax rate will increase if the employers pools drops below a certain amount, and also the loss of the employees when on leave.
Since roughly 80% use this because of childbirth or child care after birth, women or young families may be descriminated against it.
Low income families won't use it because of the fear of losing their jobs when they return. Private companies may blacklist employees taking this time off so many of them won't use it. This is geared mostly for large union shops - only. So what happens is that low-income and private sector folks will be subsidizing the union workforces benefits. THIS IS AN EMPLOYEE TAX!
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Business is taking two other hits.
One was the Supreme Court who just expanded worker disability claims and their reasons for taking a claim.
The other is this new Universal Health Care, which will cost employers hundreds per employee each year.
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The non-business savy folks in Trenton don't understand that there are several components to business expenses, such as raw materials, building expenses, and employee expenses (just to name a few). If the employee expenses go up, then the slice of the pie earmarked for employees is used to pay these increases and taxes. This leave less for the employee to get in the form of pay increases, job advancements and bonuses. These fees and new expenses DIRECTLY impact the employee's take home pay!
Was it me?
When the bill was passed, the supporters interviewed were people with relatives that had chronic problems (autism, etc) and not the acute situations of the bill's intent.
Jersey is ALREADY taxed to DEATH!
“I am not among those who fear the people. They, and not the rich, are our dependence for continued freedom. And to preserve their independence, we must not let our rulers load us with perpetual debt. We must make our election between economy and liberty, or profusion and servitude. If we run into such debts, as that we must be taxed in our meat and in our drink, in our necessities and our comforts, in our labors and our amusements, for our calling and our creeds, as the people of England are, our people, like them, must come to labor sixteen hours in the twenty-four, give the earnings of fifteen of these to the government for their debts and daily expenses; and the sixteenth being insufficient to afford us bread, we must live, as they now do, on oatmeal and potatoes; have no time to think, no means of calling the mismanagers to account; but be glad to obtain subsistence by hiring ourselves to rivet their chains on the necks of our fellow suffers. Our land-holders, too, like theirs, retaining indeed the title and stewardship of estates called theirs but held really in trust for the treasury, must wander, like theirs, in foreign countries, and be contented with penury, obscurity, exile, and the glory of the nation. This example reads to us the salutary lesson, that private fortunes are destroyed by public as well as by private extravagances. And this is the tendency of all human governments. A departure from principle in one instance becomes a precedent for the second; that second for a third; and so on, till the bulk of the society is reduced to mere automatons of misery, to have no sensibilities left but for sinning and suffering. Then begins, indeed, the bellum omnium in omnia, which some philosophers observing to be so general in this world, have mistaken for the natural, instead of the abusive state of man. And the fore horse on this frightful team is public debt. Taxation follows that, and in its train wretchedness and oppression.”
-Thomas Jefferson