Business Leaders Blast Scheme to Fund Tax Breaks for Wall Street with Increased Fines on Small Businesses
Group says the increased and unnecessary Unfair Labor Practice (ULP) fines on small and local businesses in budget reconciliation bill will subsidize the SALT tax break for millionaires.
Washington, D.C. – Today, the Coalition for a Democratic Workplace (CDW), composed of more than 600 major business organizations, released the following statement in response to reports that Congressional Democrats included a provision in the budget reconciliation bill to increase the cap on the state and local tax (SALT) deduction, which the organization said primarily benefits wealthy households, while proposing increased ULP fines to generate tax revenue at the expense of small and local businesses.
Kristen Swearingen, Chair of the Coalition for a Democratic Workplace, said that the SALT scheme is a reprehensible effort to fund tax breaks for millionaires with fines on small and local businesses trying to stay afloat:
“It is unconscionable and offensive that Congressional Democrats are attempting to give tax breaks for millionaires while at the same time increasing unnecessary ULP fines, which will mostly be forced on small and local businesses across the country who lack the HR or legal departments available to larger corporations. A recent study found that these fines would also cause a significant reduction in economic activity, costing billions in lost tax revenue and job loss.
“In the end, small and local businesses will end up subsidizing this SALT tax break for Wall Street and Silicon Valley with the tax revenue generated from increased ULP fines. Congress should, instead, be focused on supporting Main Street and job creators as they attempt to recover from the economic damage caused by the COVID-19 pandemic.
“Instead of making it easier to own and operate a business, Congressional Democrats want to make it easier to own a home in New York or California. It is a shame that they are more focused on bailing out their donors instead of supporting American families and workers during this economic crisis.”
Swearingen concluded, “We urge Members of Congress to reject this SALT scheme that caters to Wall Street and Silicon Valley at the expense of average American families and Main Street businesses during this tumultuous economic time.”
About The Coalition for a Democratic Workplace
The Coalition for a Democratic Workplace (CDW) represents more than 600 major business organizations including the U.S. Chamber of Commerce, National Small Business Association, National Restaurant Association, National Association of Home Builders, National Retail Federation, National Grocers Association, International Franchise Association, National Association of Manufacturers, International Council of Shopping Centers and American Trucking Association.
CDW is a broad-based coalition of hundreds of organizations representing hundreds of thousands of employers and millions of employees in various industries across the country concerned with a long-standing effort by some in the labor movement to make radical changes to the National Labor Relations Act without regard to the severely negative impact they would have on employees, employers, and the economy. CDW was originally formed in 2005 in opposition to the so-called Employee Free Choice Act (EFCA) – a bill similar to the PRO Act – that would have stripped employees of the right to secret ballots in union representation elections and allowed arbitrators to set contract terms regardless of the consequence to workers or businesses.