DEAR EDITOR:
There is nothing more satisfying than to know that people do
care about who is representing them on a local, regional, state,
and federal level. It is no secret that strategists predict voter
turn-outs
– unfortunately, with accuracy.
DEAR EDITOR:
There is nothing more satisfying than to know that people do care about who is representing them on a local, regional, state, and federal level. It is no secret that strategists predict voter turn-outs – unfortunately, with accuracy. To any registered voter who has stayed home on Election Day, the only thing you accomplish is validating the prediction. To any registered voter who has taken the time to examine each candidate’s record and goes to cast a vote, go to the head of the class.
As mentioned in Denise Apuzzo’s column, the Chamber Board did not accept the Government Relations Committee recommendation of endorsement for Assemblyman Simon Salinas. The Chamber Board does not serve its members by “rubber stamping” a recommendation, and our members appreciate the fact that careful study is done before a position is taken. In this case, it was based on the voting record on key legislation that has affected California business, in general.
California has experienced a severe economic downturn for several years, the support from Sacramento to help businesses get back on their feet is critical.
The Dispatch, as well as newspapers through California, wrote articles just prior to the Paid Family leave law going into effect. Employees have been contributing to this fund since Jan. 1, 2004, and benefits were scheduled to begin in July. These articles were a valuable service to the business community, since many business owners were not aware of the new legal requirements. We have had a federal family leave law for the past 11 years; however, it applied to employers with 50 or more employees. California is the first state to allow for family leave benefits, no matter the number of employees, whether they are part-time or full-time, and without sufficient safeguards that the leave will be used for its intended purpose. It is anticipated that 300,000 employees per year will use the program, and it is questionable whether the State Disability Insurance Fund can support the numbers. California has taken on an experiment at a time that businesses are leaving the state, and those that remain are still having difficulty surviving.
California was on a very creative stream at the beginning of 2004. It also enacted legislation that opened a floodgate for former and current employees to “sue the boss” and receive a portion of the award. As a result of SB796, by June of this year, more than 65 major lawsuits have been filed, and in just the first nine lawsuits analyzed, companies in California were targeted with lawsuits of $336 million. The claims are now reaching $500 million and are expected to climb. Prior to this law, the Labor Commissioner and Cal/OSHA enforced laws pertaining to labor violations. The legislation has become so lucrative that attorneys have placed “how-to” guides for filing a SB796 lawsuit on the Internet.
If that is not enough to digest, consider this: California has the easiest Unemployment Insurance benefit eligibility requirements in the country. In 2004, California employer UI taxes and emergency solvency surcharges increased by $2.5 billion over the previous year. California also applied for a $1.3 billion emergency bailout loan from the U.S. Department of Labor – and the first payment is due this September.
On the horizon, a bill to increase the minimum wage from $6.75 per hour to $7.25 per hour in 2005, and to $7.75 per hour in 2006, recently passed the Senate Labor and Industrial Relations Committee. Should this bill pass, California will have the highest minimum wage in the country. Costs to employers are estimated to be $2.08 billion annually. Not only will more jobs leave California, but added costs will be absorbed by the consumers.
We believe our local employers are empathetic to the needs of their employees. Employers provide jobs and benefits, generate tax revenues to fund our city’s general services, support every possible fundraiser in Gilroy from health awareness to scholarships to youth sports, invest in capital improvements, and provide a host of products and services that enrich our lives.
Successful businesses invest in our community and give back many times over. To de-humanize any employer by suggesting that they can only act responsibly if there are government mandates is an unfair attack on the integrity of our business community.
The Chamber will always be an advocate for our business community. As long as Sacramento has a deaf ear, we will keep the volume up. And when Assemblyman Salinas and others support pro-business legislation, we will consider support for their candidacy.
Susan Valenta, Executive Director
Greg Edgar, 2004 Chamber President
Submitted Wednesday, July 14 to ed****@ga****.com
