Commerce, Justice, Science, And Related Agencies Appropriations Act,
Madam Speaker, I rise in strong support of H.R. 2847, include my statement for the Record, and also submit to the Record excerpts from recent joint economic hearings underscoring the need for targeted, timely action to boost employment.…
Madam Speaker, I rise in strong support of H.R. 2847, include my statement for the Record, and also submit to the Record excerpts from recent joint economic hearings underscoring the need for targeted, timely action to boost employment.
Madam Speaker, at recent hearings of the Joint Economic Committee, which I chair, economists, forecasters, and business leaders have laid out the need for targeted, immediate action to spark job creation.
H.R. 2847--Hiring Incentives to Restore Employment Act--delivers timely incentives for businesses to hire, including a temporary tax break for businesses that hire workers who have been unemployed for at least 60 days.
CBO Director Douglas Elmendorf recently told the JEC, by bringing down the cost of adding new employees, employer tax credits like this one will spur new hiring and strengthen our economy.
In January, I sent a survey to the CEOs of Fortune 100 companies and leading small businesses seeking their ideas on job creation.
The ideas I got back were varied. But there was broad agreement that Congress needs to act now.
I urge my colleagues to support the HIRE Act to create jobs and put Americans back to work.
Finally, I would like to submit for the Record excerpts from recent JEC hearings underscoring the need for targeted, timely action to boost employment.
Manpower Chairman and CEO Jeffrey Joerres, Joint Economic Committee
Hearing, February 26, 2010
Manpower has been in the business of jobs and job training
for over 60 years. We've seen the economic ups and downs.
It's clear that this recession is by far the most severe in
this downturn. It's been a privilege [to hear] some of the
thoughts that we get and feel from on the ground, and those
actions that I've presented this committee. We consider that
partnerships between government and industry is critical for
this to move very quickly.
Congressional Budget Office Director Douglas Elmendorf, Joint Economic
Committee Hearing, February 23, 2010
What we have--what we have said in our initial report, and
in our letter to you, and you can see in the--in those bars,
is that in our judgment policies that cut employers' payroll
taxes are more cost effective in terms of stimulating
employment over the next couple of years, than many of the
other policies that we've considered.
And our judgment--what firms will do with a cut of that
sort is partly to take advantage of their lower cost by
cutting the prices of their goods, and thus trying to
stimulate demand. And it's the--really the shortfall in
demand that is the crux of the recession, or the crux of the
problem in hiring. Additionally these tax credits provide an
incentive to use more labor by lowering the cost of labor in
particular.
Dr. Richard Berner, Co-Head of Global Economics and Chief U.S. Economist, Morgan Stanley, Joint Economic Committee Hearing, February
26, 2010
A refundable payroll tax credit, perhaps for firms that
increase their payroll, would be among the most effective
short-term remedies. CBO estimates that a well-designed
credit could boost employment by about 9 years of full-time
equivalent employment per million dollars of budgetary cost.
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