Tag Archives: business friendly

Why Job Creators Aren’t

15 Monday Oct 2012

Posted by in About Reno, Business, Employee Retention, Ethics, Government, Government Regulation, Management Practices, Opinion, Politics, Public Relations, Taxes

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Job Creators in Nevada

Willard Mitt Romney and other conservatives try to promote the idea that private businesses are desperate to create jobs if only the government will let them; however, in May Romney gave a wink to the idea that Job Creators might be holding back millions of jobs to artificially stifle job growth to favor conservative candidates in the upcoming election. At the same time conservative businessmen are threatening their employees with layoffs if President Obama is elected.

Are Job Creators the victim of the federal government, or are conservatives trying to manipulate the citizens in order to make themselves wealthier?

Protest outside The Venetian during Republican debates

Nevada has led the country in high unemployment during this recession and has been increasing in July and August (now 12.1%.) Reno, Nevada was ranked the worst city in the nation to find a job. Yet, last week the conservative TaxFoundation.org ranked the Silver State #3 in its 2013 Business Tax Climate for the second year in a row because of its ‘business friendly‘ tax structure.

Since taxes are not holding business back from creating jobs, why is Nevada the Rodney Dangerfield of American employment?

PROFITS, ALWAYS PROFITS
The answer lies with the problems low unemployment cause for businesses. Low unemployment pressures employers (Job Creators) to offer higher wages and better benefits to attract and keep employees. High unemployment means employers can control the job market, which means higher profits. There is no reason for major Nevada employers like casinos to desire a change in the current employment environment.

This is probably why Nevada ‘Job Creators’ like Sheldon Adelson of The Venetian in Las Vegas are spending millions of dollars in support of conservative candidates who will make them wealthier rather than spend the money creating jobs.

Lack of Quality Jobs Killing Nevada’s Future

15 Wednesday Aug 2012

Posted by in About Reno, Business, College, Education, Ethics, Government, Higher Education, Politics, Public Relations, Taxes, Universities

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No degree? No experience? Welcome to Nevada where you have no future.

For years Nevada conservatives have waved the banner of the ‘business friendly myth‘ that low taxes and minimal regulation will attract new business to Nevada. The truth is that ‘business friendly’ does little, if anything, to attract quality jobs and makes this former Mexican province one of the worst in the nation in societal quality-of-life factors.

Poor Job Quality
Typical experiences of Nevada’s unemployment disaster indicate a long-term unemployment crisis and not a temporary business downturn.

In May of this year a master’s degree engineering graduate from the University of Nevada wanted to keep his family in the state but had to move his family to San Jose, CA to find employment. Another unemployed resident couldn’t find a job because she was “overqualified.” Her skills consisted primarily of a stable work history managing a telephone answering service. In Nevada there are no jobs now nor in the near future that will be available for anything but the lowest qualified worker.

Sheldon Adelson: Godfather of Conservative Politics

While most of the country has experienced some recovery from the massive job losses between 2008 and the first quarter of 2010, Nevada has not, despite the assurances of Governor Brian Sandoval. Conservatives point to wealthy Nevadans as the ‘job creators’ who will be the source of new jobs. Instead wealthy people like casino mogul Sheldon Adelson have poured millions of dollars into campaigns for conservative politicians ( $70 million so far,) while the citizens of the state have borne the impact of the unemployment crisis.

The Las Vegas Review-Journal article by Ed Vogel stated that of the few new Nevada jobs available in the future, most will be low-paying, low-skill, non-career jobs. The top four fastest growing jobs in Nevada are 1) retail salespeople, 2) waiters/waitresses, 3) cashiers, 4) gaming dealers.

These type of jobs do not provide for a career with a progressive future and leave the worker with little spendable income after basic living costs. The highly qualified worker has little hope of finding a job that matches his/her abilities. This creates a ‘Catch-22’ scenario. Educated, skilled workers can’t find work in Nevada so they go elsewhere and businesses with high quality jobs want quality workers, which Nevada can’t retain for a lack of quality jobs.

Nevada is a perfect storm of failure under conservative ‘business friendly’ policies which financially benefit those who allegedly are the ‘job creators,’ but leave the citizens in a ‘unfriendly’ job environment.

Nevada’s Death By Stupidity: The Business Friendly Myth

11 Monday Jun 2012

Posted by in About Reno, Business, Crime, Ethics, Government, Government Regulation, Higher Education, Politics, Public Relations, Taxes, Technology, Travel

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A shuttered grocery store sits in the shadow of one of Reno’s largest Casino’s

Nevada is the poster child of what not to do to save an economy. Politicians who promote failed policies continue to be elected in the State that leads the nation in being the worst at everything (unemployment, foreclosures, violent crime, education, etc.)  Voters have been little more than Pavlov’s dogs in Nevada politics and are roped in by the claim that all Nevada’s problems can be solved by lower taxes and smaller government, which allegedly will make the Silver State more ‘business friendly.’ 

Once Reno’s 2nd largest Mall, Park Lane Mall is now just a sign in front of a vast empty space.

The problem is that Nevada is one of the most business friendly States in the nation and yet Nevada’s economic and social ills continue to spiral downward. Nevada has no income tax, no corporate or capital gains tax, and is one of the easiest States in which to establish a business. Yet, politicians win elections through promises of more jobs by making Nevada what already is: business friendly.   

Nevada leads the nation in unemployment at 11.7% (April 2012). Ranked 50th out of fifty States in 2011 and 2010, and 49th in 2009, jobs¹, or the lack of them, is certainly a major issue for Nevada; however, Conservatives rank Nevada in the top three States as being the most ‘business friendly.’ The data used for this ranking is based primarily on low taxes and low business fees. So if Nevada is business friendly, why is the unemployment the highest in the nation?

Stores that relocate leave vacant commercial space, sometimes for years

(¹Unemployment for Nevada 2011 – 13.5%, 2010 – 14.9%, 2009 – 11.6%, 2008 – 7.0%. Note that in 2006, Nevada’s unemployment was only 4.2%.)

CNBC also has a business friendly ranking, but low taxes and business fees are only part of the factors considered. CNBC’s 2011 ranking placed Nevada as 45th in Business Friendliness. Among the major factors in the State’s poor ranking were Education (50th,) Economy (50th,) Quality of Life (44th,) and Technology and Innovation (37th.)

Nevada’s fate will be determined by the voter and if CNBC’s rankings are more indicative of business friendliness then Nevada voters must elect politicians willing to invest more money in quality of life issues and infrastructure. Revenue will have to be found to address the real issues or else the Silver State will continue its death spiral.

Next:  Poor Quality Jobs and Education Killing Nevada