My friend’s family is in a bind. Her mother works the third shift at Walmart and her father was recently laid off from his foundry job. With one child in college and two in grade school, they may have to move to Kentucky where her father can find a position comparable to the one he previously held. Although I know this must be a very difficult time for them, their story could very well be the same as any Wisconsin family right now. As of December 2009, Wisconsin’s unemployment rate was 8.3 percent. In Menominee County, that figure is 12.2 percent, which is about the same as the unemployment rate at the beginning of the Great Depression. The questions to ask are: why can’t Wisconsin’s economy hang onto jobs, and what does it mean for the workforce?
Unemployment was low during the ’90s, and the state’s historic low, 2.9 percent, was recorded in 1999. Jobs dropped drastically, however, in conjunction with the recent national financial crisis. Wisconsin employers such as Mercury Marine threatened to move elsewhere, and job stability dropped. Meanwhile, Gov. Jim Doyle, in his recent State of the State speech, celebrated Wisconsin’s new tax incentives for large companies and state expenditure cuts. Although it may be true that state government has scaled back operating costs and offered tax breaks to big businesses, the actions within large companies are too-little-too-late, and new jobs are nowhere to be seen.
Fortunately, with large companies staying in Wisconsin to take advantage of our loose business tax restrictions, some jobs are staying in Wisconsin. But this strategy falls short on other fronts. Getting companies to stay here does not ensure the quality with which their workers are treated, and Doyle admitted “union workers approved painful concessions.” Mercury Marine can now pay a lower wage to new employees and those returning from being laid off. Concessions like these lead to overall lower wages and lost benefits, which is counterproductive to workers’ rights — in fact, the Milwaukee Journal Sentinel reported the union associated with Mercury Marine, the International Association of Machinists and Aerospace Workers Lodge 1947, may file an unfair labor negotiation grievance against the company. As Mark Zillges, local union president said, “I can tell you that no one on the bargaining committee…vote[d] for this.”
Doyle’s tax incentives were useful in the short run — they provided quick jobs — but have not been as effective at providing long-term jobs. Had the bill been more extensive, it probably wouldn’t have snared as many companies into the Wisconsin economy. But at least it would have ensured Wisconsin employees had a good, secure job they could work for the next 30 years. What happens when Mercury Marine is offered a better deal a few years down the line? The company has been struggling with the decision to remain in Wisconsin for quite some time, and though they are here right now, they may not be for much longer.
As for the creation of new jobs, Doyle suggested the state legislature “pass legislation to create a Regional Transit Authority.” Of course, having an updated, reliable transportation system is never a bad idea, and implementing such a system has the potential to create many decent jobs. Doyle fails to mention, however, that so far the proposals for the rapid transit system haven’t gotten past the very expensive planning stage. Although the state has received a funds allocation for the project, an actual high speed train system is a long way off.
Whenever something goes wrong, my grandmother always says, “Well at least we have our health.” But for 22,000 low-income workers — or more — they can’t even say that. Doyle, in support for BadgerCare Plus, said, “We have found practical ways to help hardworking people get basic health care.” Really? With 22,000 people on the waiting list, it hardly seems as if the program is, as Doyle said, “proof of our success.” Wisconsin devotes only 19 percent of its budget to individual aid, and Doyle said the BadgerCare Plus plan had “enrolled 64,000 people in the first few months, but the program had to be capped to stay within our budget.” Maintaining confidence in the scale of the program, Doyle said, “Look, I know that without a job, or even with a low-paying job… [it] isn’t easy. But it is something.” Yet, is “something” really enough?
For the administration, it’s all about figures. But for unemployed Wisconsinites, it’s about their health and their families. Half measures and partial pandering solves very little in the real world, and as Jim Doyle faces the remaining year of his term, Wisconsin faces a platform of Band-Aids and promises. While policy-makers count big companies and railroad dollars, they don’t have to face working the third shift for low pay. They are assured of their healthcare and their job security. But for people like my friend’s parents, the future is a little less certain.
Taylor Nye ([email protected]) is a freshman majoring in English, French and Spanish.






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Quick note: I take issue with current government unemployment statistics. During the Depression unemployment was actually counted the right way, where underemployed and part-time workers were counted as unemployed. Even people who worked in government programs like the TVA I believe were counted as unemployed because they were doing government make-work jobs, not real jobs. Today the government doesn’t include in the unemployment rate the accountant who was making 100,000 a year and now works part time at McDonald’s. If you include those numbers like they use to unemployment would be conservatively estimated at close to 20%. Obviously you don’t see the long lines anymore because so many unemployed just live off the dole, but look at the lines, err riot, that formed in Detroit when they were giving out free handouts, or the hundreds that line up for one job. They’re out there.
And speaking of unemployment, FDR’s New Deal did not work. Unemployment in 1933 when he took office was in the high teens, and when right before WW2 in ‘38 it was just as high, 18 or 19 percent. His secretary of Treasury Morgantheau even admitted all that the New Deal gave us was nothing but a great big debt.
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After citing case after case where government has failed, this author then turns to government as the solution. But why?
Is it possible that government intervention in the economy, whether through tax incentives, union favoritism, redistribution of wealth, public make-work projects, health care restrictions, welfare, manipulation of the money supply, bail-outs, etc. is the cause of all these problems?
How in the world is Doyle, or any other politician, going to create jobs? They do not produce anything. All they can do is take from one person and give to another, whether through taxation, handouts or special favors.
There’s only one thing that government can do to foster job creation and prosperity: protect freedom. I.e, get government out of economics and allow people and businesses to function freely.
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Shouldn’t the State provide free food to the poor? Food is basic to physical health.
Shouldn’t the State provide free housing to the poor? Shelter is basic to physical health.
Shouldn’t the State provide free clothing to the poor? Clothing is basic to physical health.
Shouldn’t all of these things be provided to the poor, before the State provides free health care?
Shouldn’t the State provided all of these basic needs, to “the poor”?
Isn’t demagoguery a wonderful thing? def.: Demagogue : A leader who makes use of popular prejudices and false claims and promises in order to gain power
Doesn’t that definition fit Gov. Doyle and President Obama perfectly?
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The last time liberals had a bright idea was back in 2004…blue state secession. Look what we’re dealing with now. Thanks, liberals, for wussing out on the only opportunity to kiss off the GOP once and for all! Now Republicans are heroes! You had a chance to change everything and…plfff!
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Wisconsin keeps trying squeeze companies and other tax payers to support the tax eaters, and it’s a big surprise that companies are looking to relocate?
People CAN vote with their feet and decide to relocate to a state that treats tax payers better.
What’s the plan for when the only people left in Wisconsin are tax eaters? Well I guess the farmers may be stuck, but they can go Galt fairly easily and just feed themselves.
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“Half measures and partial pandering solves very little…”
That’s right Taylor! Partial pandering is sooooooo 2009! We want the whole Obama enchilada of Progressive Pandering, oozing with Nancy Pelosi guacamole! We want the 2010 Hopey Changey 110% Pandering Political LaLaPaLooooooza!!!!!!
You GO, Marxist Girrrl!!!!
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Yeah, it’s a great life if your momma or grandma is Nancy Pelosi.
Pelosi’s Children and Grandchildren Used Military Jets As Cross-Country Shuttle Service So They Could Avoid Dealing With the Rabble
http://directorblue.blogspot.com/2010/01/pelosi-children-and-grandchildren-get.html
I don�t want to hear any more crap from her about my carbon footprint, that�s for sure … .
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This is a great post. I�m glad it was bumped. Otherwise I would�ve missed these very useful information.
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