My Fellow Citizens, Let's Be Careful Out There

Job programs threatened

Federal cuts would curtail operations of employment, training services

While Republicans contend that curbing government spending ultimately will stimulate job creation, critics say jobs will be lost if the spending bill becomes law. One program that will take a hit is the Workforce Investment Act, which provides funding for employment and job training activities.

Jim Golembeski, executive director of the Bay Area Workforce Development Board, (Among the services provided by Bay Area Workforce Development are computer competency classes, assistance on unemployment insurance issues, aid to workers involved in mass layoffs, retraining for unemployed workers and companies, such as Marinette Marine Corp., which need to upgrade its workers skills in a hurry, and job-skill training for young workers), says he would have to shut down his operation if the cuts are approved.

Spokesmen for Sean Duffy and Reid Ribble say that while the Workforce Investment Act programs mean well, they are among those cited in a recent Government Accountability Office report as examples of government duplication and waste. The report found the government spent $17 billion last year on 45 job training programs that generally do the same thing.

It’s worth noting that 94.7 percent of the dislocated workers Bay Area Workforce Development assists get jobs.

So what’s the problem?  Too many are being trained or too many jobs are being created?  Oh, that’s right, the budget.

“The congressman recognizes there is way too much waste in government, and we are focused on cutting it," a spokesman for Ribble said.

Waste?  Getting people trained and back to work is wasteful?

“The bottom line remains that everyone has to share in the fiscal belt-tightening necessary to bring about full economic recovery,” Ribble’s spokesman stated.

Now, where have I heard that before?  Government workers and Medicaid recipients (Medicaid covers one in three children in the United States, making it the largest insurer of children) have certainly heard that before.

Wisconsin Governor Scott Walker signs tax cut bill into law

Businesses get break for moving into Wisconsin

Companies that relocate to Wisconsin won't have to pay income taxes for two years under a bill signed into law Monday by Gov. Scott Walker.  The measure joins three others Walker has signed in his first month in office that he said will send a message that Wisconsin is more business friendly.

Aid to public schools, the University of Wisconsin System, local governments and Medicaid programs were expected to be big targets for cuts in the Walker budget.

Walker's been focused on spending money through tax cuts. Two tax cuts he's already signed would add about $117 million to the state's budget problem over the next two years.

Today, Walker proposed that the state borrow $75 million to build a museum.  Borrow.  Oh, that’s right, the budget.

I’m privileged to have been befriended by many smart people.  One is an entrepreneur in the Chicago area.  He wrote to me:

Taxes are just one consideration when thinking about where to start / move a business.  You also have to factor in the following depending on type of business:

1.) Proximity to skilled labor force (we use a lot of computer programmers, graphic designers, etc. - there tends to be more talent in larger cities).

2.) Proximity to customer base and potential shipping / transaction costs (a huge consideration for manufacturing companies who have to ship product).

3.) Proximity to suppliers (similar to #2, how can you cost effectively get raw materials).

4.) Relocation costs (hard costs associated with moving, time associated with and ability to replace work force, etc.).

There are many other factors, but these are some key ones.

In the ‘80s, I used to watch “Hill Street Blues”.  My favorite part was when Sgt. Esterhaus would warn, “Hey, let’s be careful out there.”