Jobs bill gets little support in Salem

| Print |  Email
Articles - March 2011
Wednesday, March 02, 2011

0311_JobsBillOregon offers tax credits to e-commerce businesses, movie producers, rural physicians and homeowners who buy wood pellet stoves. But a proposal to attack stubbornly high unemployment rates by providing incentives to people who create new jobs is gaining little bipartisan support in Salem.

House Bill 3053 would offer qualifying employers a $3,000 tax credit for each job created. The new employee would need to be previously unemployed and remain in the job for at least a year. Employers must prove they have been doing business in Oregon for at least two years and that the new hire is resulting in a net increase in jobs at the company.

“It makes common sense,” says Rep. Kevin Cameron (R-Salem). “It doesn’t cost the state a dime until someone gets hired. These are real people on the ground, going to work tomorrow, who are going to pay income taxes.”

Republican lawmakers are pushing the tax credits as part of a multi-pronged strategy to make the state friendlier to business. Cameron says he has received significant support for the idea from business owners. “I’ve heard from many people who are struggling or just hanging on and are waiting for that extra little incentive that will get them to hire someone.”

Democratic Senate president Peter Courtney has voiced support for direct incentives for job creation in the past. But few of his party colleagues have voiced support for HB 3053 this year. Rep Tobias Read (D-Beaverton), co-chair of the transportation and economic development committee, says the program would be ripe for abuse. “The problem is, you can’t ever tell whether you are unnecessarily subsidizing something that would have happened anyhow.”

Read says Democrats are taking a cautious approach to tax credits given the challenge of simply providing basic services. “Every dollar we authorize in tax credits is a dollar that we don’t spend on education,” says Read.

A recent state report examines a dizzying assortment of tax credits including a biomass tax credit that is costing the state $14.6 million in the current biennium, a tax break for people who donate to the Trust for Cultural Development ($7.2 million) and the mother of them all, the business energy tax credit ($185 million). At $3,000 per job, $185 million would equate to 61,667 jobs.

BEN JACKLET
 

Comments   

 
Matthew
0 #1 Matthew 2011-03-07 10:29:27
So, if a business hires a full-time, minimum wage worker (
Quote | Report to administrator
 
 
Aly
0 #2 Job takers and job creatorsAly 2011-03-18 14:36:20
People take minimum wage jobs because they are better than the jobs that they have provided for themselves. We have created minimum wage jobs and every single one of those employees always gets paid before we do, and rarely do they stay at the min wage level. Most do well and progress up the pay ladder. For young people and the inexperienced it is a big risk for an employer to hire them. Incentives for hiring at any level would be welcome by actual job creators.
Quote | Report to administrator
 

More Articles

6 key things to know about summer baseball in Oregon

The Latest
Friday, June 05, 2015
basedthumbBY JACOB PALMER | DIGITAL NEWS EDITOR

As temperatures in Oregon creep into the 90s this weekend, Oregonians' thoughts are turning to — summer baseball.


Read more...

Fixing Oregon’s broken roads

The Latest
Tuesday, June 09, 2015
RUCCostComparison rev4-30BY KIM MOORE | RESEARCH EDITOR

The technology at the center of Oregon’s road usage fee reform.


Read more...

Destination Resorts 2.0

June 2015
Friday, May 22, 2015
BY LINDA BAKER | PHOTOS BY JASON E. KAPLAN

As the recession recedes and tourism grows, Central Oregon resorts redefine themselves for a new generation.


Read more...

Stemming the tide of money in politics

Linda Baker
Wednesday, June 10, 2015
 jeff-lang-2012-thumbBY LINDA BAKER

Jeff Lang and his wife Rae used to dole out campaign checks like candy.  “We were like alcoholics,” Lang says. ”We couldn’t just give a little.”


Read more...

An uncertain future

Guest Blog
Thursday, May 21, 2015
norristhumbBY JASON NORRIS | GUEST BLOGGER

Uncertainty is a part of doing business, whether in through the lens of investment opportunities and risks or the business of running an enterprise.


Read more...

Marijuana law ushers in new business age

The Latest
Tuesday, June 23, 2015
062315panelthumbBY KIM MOORE | RESEARCH EDITOR

Oregon’s new marijuana law is expected to lead to a bevy of new business opportunities for the state. And not just for growers. Law firms, HR consultants, energy efficiency companies and many others are expected to benefit from the decriminalization of pot, according to panelists at an Oregon Business breakfast meeting on Tuesday.


Read more...

No Boundaries

June 2015
Friday, May 22, 2015
BY AMY MILSHTEIN

Floor plans embrace the great wide open.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS