From Bryan Thomas
Communications Director for Rep. Rick Larsen
Rep. Rick Larsen, WA-02, [on July 9] co-sponsored legislation to bring jobs back to the United States by rewarding companies that in-source jobs and closing loopholes for out-sourcers. The Bring Jobs Home Act would create a 20 percent tax credit for costs associated with moving a production line, trade or business back to the United States and would close loopholes that benefit companies that out-source jobs.
“I stand with the workers in Everett today who want to bring jobs home,” Larsen said. “I am supporting the Bring Jobs Home Act because passing it would mean more jobs right here in Northwest Washington. We need to reverse the incentive that encourages companies to ship their jobs overseas, and instead push them to invest more here. It is time to stop out-sourcing and start in-sourcing.
“Northwest Washington is home to some of the most skilled manufacturing workers of the nation. I know our workers will prosper on a level playing field. This bill will help them do just that.”
Larsen states: …”reverse the incentive”….
You don’t reverse positive incentives that cause companies to do business overseas (or wherever).
Nor should we “push them to invest more here”. Business is really tired of government ‘pushing them around’.
Rather: Government should help facilitate (create) positive market incentives and a healthy market culture that makes it profitable for business to come home – not just bribes (tax credits).
Unfortunately our politicians don’t ‘get it’ – they only want to ‘get elected’ one more time!
Joe, What are some examples of incentives you would like to see that encourage people to in-sourcing/reshoring jobs?
The greatest incentive for corporations off-shoring jobs to China is the huge difference in labor costs for similar work — especially assembling components manufactured here and elsewhere, which is labor-intensive work that used to be done in this country and supported middle class families. I know from direct experience, as three of the companies I’ve invested in have done so recently.
Therefore I endorse Congressman Larsen’s proposed tax credit for on-shoring jobs, to help level the playing field. It’s not “bribery” as Cohen claims. It makes good sense.