| 01/20/2005 |
| Colapietro: To get state money, keep business here |
| By STEVE COLLINS , Journal Register News Service |
|
HARTFORD -- When the state hands out
the taxpayers’ money to lure businesses to Connecticut or help
companies expand, it should make sure the firms aren’t shipping jobs
to other countries, says a veteran state senator. "There are
some people taking business overseas" after receiving state money,
state Sen. Tom Colapietro, whose 31st District includes Bristol,
Plainville, Plymouth and part of Harwinton, said Tuesday.He said it is wrong to hand out tax money to companies that use it to ship jobs and contracts to foreign firms. Without the restriction, Colapietro said, there are times when "we’re helping someone who’s going overseas." Though Colapietro declined to cite any particulars, he said he knew of at least one case where a company received state aid and proceeded to hand off work it had done in Connecticut to a company in South America. Colapietro’s bill would "prohibit the Department of Economic and Community Development and the Connecticut Development Authority from providing financial assistance to any business that outsources jobs out of the United States." Colapietro said he doesn’t mind using state dollars to encourage business in Connecticut. "But not if we give it to them and they’re abusing it," said the senator, who co-chairs the General Law Committee. A similar measure is on the agenda in Washington, though it is unlikely to win approval from the generally free trade-leaning Republicans who control the White House and Congress. Last year, U.S. Rep. Bernie Sanders, an independent from Vermont, introduced the Defending American Jobs Act with support from about 50 House colleagues. Sanders told cable financial news channel CNNfn last year his measure is aimed at making sure companies that get tax money use it to expand and grow in the United States. "What we are calling for is an end to the absurdity of the taxpayers of this country providing billions and billions of dollars in corporate welfare for the largest corporations in America who then say to the American people: Thanks very much for this welfare; we are off to China and we are going to lay you off," he told the network. Colapietro said he is concerned about more than just laying off workers in Connecticut in order to hire new employees in lower-wage countries. He said he is also taking aim at companies that shift contract work from Connecticut companies to overseas producers after taking tax dollars. Sanders said the argument isn’t about outsourcing directly, it’s about companies collecting money from taxpayers and then shipping jobs to other countries. "We have to get a grip on this," Sanders said. "The function of the government is to protect the middle class of America, not just corporate America." But business groups have opposed the proposal and it’s gone nowhere on Capitol Hill. One critic, newstarget.com, said that Sanders’ intention "may be noble," but his proposal "is a disaster. It aims to destroy free trade principles and punish U.S. employers by forcing them to hire U.S. workers regardless of their merit." The Web site said Sanders’ measure is "a political sham, of course, and it would only hurt the competitiveness of U.S. companies. The real problem here isn’t that companies are trying to save a buck by moving jobs overseas, the real problem is that U.S. workers simply aren’t competitive these days thanks to a failing national education system that churns out dopey students who can’t do math except when it comes to figuring out how high their salary should be. They think they should be paid top dollar, but they perform at the bottom of the rung." According to The Hill, a weekly covering Capitol Hill, "the Aerospace Industries Association and the Coalition for Employment through Exports, which represents banking and information-technology companies, are leading an informal group" devoted to swatting down efforts such as Sanders’ bill. Colapietro said recipients of state financial assistance, which range from internationally known companies to small manufacturers, claim that state economic development aid creates jobs in Connecticut. "I’m not sure that’s true," Colapietro said, because there’s nothing to stop the firms that get money from outsourcing some of the production that officials intended to occur in Connecticut. Colapietro said his bill will likely go before a legislative committee in Hartford. He said he hopes it will win approval there and reach the floor of the House and Senate. |