Stumping on the campaign trail last fall, candidates for Connecticut”™s General Assembly loudly proclaimed that jobs would be their No. 1 priority in 2011. Businesses are now counting on state lawmakers to fulfill that pledge by rejecting proposals that actually will put jobs at risk.
Mandatory paid sick leave (SB 913) and the “captive audience” bill (HB 5460 ”“ limits communications between employers and employees), both defeat the perception that Connecticut is open for business growth and job creation. Instead, both will further weaken business confidence and discourage employers from creating and keeping good jobs here.
Why? Because one significantly raises the cost of doing business (paid sick leave) and both seriously damage employers”™ ability to successfully operate a business ”“ and grow jobs ”“ in Connecticut. Neither bill will do anything to improve the employment picture in the state.
The reality is that other states are tearing down barriers to job creation. We don”™t want to start erecting them here.
Although some segments of our economy are improving, Connecticut still has a 9.1 percent unemployment rate, lost 6,000 jobs in March and still has to recover the 100,000 jobs lost in the recession.
Employers do pay attention to what is going on in Hartford and there is growing concern that despite the campaign pledges, bills like paid sick leave and captive audience may go forward this year.
Our business climate can”™t take the hit.
CNBC says Connecticut has the third worst business-cost climate in the U.S., and other national rankings put us no higher than sixth worst. CEO Magazine says we remain stuck as the 44th best place to do business.
We have a tremendous base of world-class companies already in Connecticut. The problem is convincing these and other companies to invest and grow in our state.
Already struggling to survive the recession and hold onto as many jobs as possible, employers in Connecticut now face $70 million in higher unemployment compensation taxes, as well as the tax increases contained in the new state budget.
Squeezed on costs and pressed by new mandates, many employers won”™t be able to create jobs or increase their investment in their operations and workforces ”“ exactly the kind of consequences lawmakers should be taking great pains to avoid.
What we hear from our member companies is, if legislators won”™t back off anti-jobs proposals in a year when our economy is losing jobs, when will they?
Employers want the Legislature to call a truce on proposals that would take away their ability to add jobs or compete in Connecticut. That”™s not just in businesses”™ best interest, but the state”™s best interest as well.
The good news is there is still time for state legislators to fulfill their pro-jobs pledges. They can start by rejecting these costly workplace mandates and work to make Connecticut a more welcoming place for investment, growth and job creation.
Joe Brennan is senior vice president of public policy at the Connecticut Business and Industry Association in Hartford. Reach him at Joe.Brennan@cbia.com.
