September 29, 2017 at 4:40 p.m.
Walker looks to cut small business costs
Streamlining regs remains important, governor says
Walker looks to cut small business costs
In addition, the governor said he is going to pursue policies that will prepare a skilled work force, remove barriers to work, and attract new talent to the state.
The governor made his announcement at a roundtable discussion in Rothschild at the governor's annual Small Business Summit. It is the seventh such meeting.
"Our small businesses are at the core of Wisconsin's economy, so it's critical we listen to and address business leaders' concerns and make sure they have the tools they need to succeed," Walker said. "Our annual Small Business Summit allows these key business leaders to gather together and network with each other while working with government leaders to keep our economy strong and moving forward."
Walker says the strategy is working. According to Chief Executive Magazine, the governor said, Wisconsin is a top 10 state for business, up from 41st place in 2010.
To reduce business costs, Walker said he would continue to work to lower property taxes, stop unemployment fraud, and increase penalties for people who knowingly make false statements to obtain unemployment insurance benefits.
Likewise, the governor said, streamlining regulations is critical. He says state governments should sunset all regulations every seven years and a standing legislative committee should review each regulation so that elected representatives rather than bureaucrats have the final say.
The governor also said his administration would push for lawsuit reforms to protect small businesses and reduce frivolous lawsuits.
Education is a given in the governor's agenda. He pointed out that the new state budget invests $11.5 billion into K-12 education and increases Wisconsin Fast Forward grants to help employers with customized worker training programs.
Next up, Walker said, is to expand opportunities in technical colleges, and strengthen ties between the UW System and the workforce
In addition, Walker said the administration would aggressively remove barriers to work by ending the public assistance benefits cliffs. His administration has already eliminated the so-called cliff for child care to encourage more people to work, take more hours, and advance into higher wage jobs, he said.
More than that, Walker said the administration would require able-bodied adults to work or receive employability training.
"We are expanding public assistance requirements to include at least 80 hours per month of work or employability training to help individuals move from government dependence to true independence," he said.
Able-bodied adults will also have to pass a drug test before receiving public assistance.
"We are expanding the areas where we require a drug test to get public assistance," Walker said. "Those who fail the test are offered rehabilitation so we can get them healthy and into the workforce."
Going forward, the governor said he wants to target specific populations to enter the workforce, and to invest in training and accommodations for veterans, for people with disabilities, and for ex-offenders to get them back to work.
Finally, Walker, says, attracting new talent is critical. Part of the plan, the administration says, is to undertake direct marketing to attract talent from outside of Wisconsin.
Reaction
Both big business and small business praised Walker's framework.
National Federation of Independent Business state director Bill Smith said Walker was demonstrating bold leadership by understanding and valuing the contribution of the small business community to the economy.
"By reducing business costs, ensuring the workforce is prepared, removing impediments to work, and attracting new talent to the state, existing small business owners will have the ability to hire qualified, educated workers and those considering starting a business will have confidence that our fiscal environment is sound and ripe for growth," Smith said. "We look forward to working with the governor to assist in executing the plan."
Wisconsin Manufacturers & Commerce was no less enthusiastic.
"Since coming into office in 2011, Gov. Walker has been a great friend to the business community, and his small business agenda shows a continued dedication to growing Wisconsin's economy," Kurt Bauer, WMC president/CEO, said. "Each part of this agenda plays a key role in encouraging businesses to stay and expand in our state, but also ensures our employers have a talented workforce they can rely on."
Bauer said Walker's effort to reduce frivolous lawsuits was particularly important, as was attracting and training new workers.
"It is a well-known fact that our state's employers need a prepared workforce that can fill the roles available now and in the future," he said. "While we can continue to train and retain workers currently living here, WMC strongly supports Gov. Walker's plan to directly market to people outside the state. Wisconsin cannot continue to be the best kept secret in the Midwest. A paid advertising campaign in other states is a needed step to ensure our businesses can continue to compete both nationally and internationally."
The Wisconsin Civil Justice Council, whose president is also the NFIB's Bill Smith, said litigation reform was common sense because the high transactional costs of litigation can devastate small businesses.
"Having a competitive legal environment has never been more important," Smith said.
In a recent survey of corporate attorneys, Smith said 85 percent believe a state's litigation environment is likely to impact business decisions at their companies, such as where to locate or do business. That is an increase from 75 percent in 2015 and 70 percent in 2012, he said.
And, Smith said, the easiest way to lower litigation costs for everyone, including large and small businesses, state and local governments, and all litigants, is to address the escalating transaction costs associated with discovery.
A recent study found that most of the documents retrieved in discovery are never submitted as evidence, Smith said. In 2008, of the close to 5 million pages of documents produced in discovery in major cases that went to trial, only 4,772 exhibit pages were marked. That means over 99.9 percent were never used, Smith continued.
"That is an incredible waste of time and money," he said.
The broad requests for documents, including electronic data, can cost tens of thousands to tens of millions of dollars, Smith said, and it can cripple small business owners who would have no choice but to settle even if they could win on the merits of the case.
Comments:
You must login to comment.