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Issue Position: Jobs

Issue Position

Location: Unknown

I am very "pro small business." Small businesses, not the government create jobs because the government cannot "create" jobs without using citizens' tax dollars to do so. The government, however, can help job growth by reducing the red tape, regulations, and taxes to encourage businesses to hire new employees.

One million small businesses are created every year according to the United States Department of Labor.

In addition, the Small Business Administration reports "small businesses have generated 64 percent of net new jobs over the past 15 years."

Also, small businesses with fewer than 20 employees annually spend 45 percent more per employee than larger firms to comply with federal regulations. These small companies spend four and a half times as much per employee to comply with environmental regulations and 67 percent more per employee on tax compliance than their larger counterparts.

The 1997 report of the US Census Bureau reveals that "the nation's 17 million small, non-farm businesses constituted 99.7 percent of all employers, employed 52 percent of private workforce and accounted for 51 percent of the nation's sales. Small business-dominated industries provided 11.1 million new jobs between 1994 and 1998, virtually all of the new jobs created during that time period. Small businesses are most likely to generate jobs for young workers, older workers and women, provide 67 percent of first jobs and produce 55 percent of innovations."

Here's an idea I have to create new jobs. The money currently being paid toward unemployment, food stamps, and other social programs could be reallocated to employers who then use it toward a new employee's salary. For example, if the government is paying an individual $250 per week to search for a new job, this money would then be given to a business. The cost to hire the new employee is then reduced by $250 per week. The goal being that the new employee would be productive enough to justify his /her salary at the end of the time period.

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