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'Hire Michigan First' would put local workers first in line

Date Posted: February 27 2009

LANSING – The House Labor and Commerce Committee sent the “Hire Michigan First” job-creation plan to the full House on Feb. 10, moving on legislation to ensure that Michigan residents – not those from other states or countries – get first crack at jobs created by taxpayer dollars. The plan will also crack down on those that hire undocumented workers by canceling their state contracts and tax incentives.

The legislation came up last year, also. The driving force behind the Hire Michigan First policy is the state’s approval of a tax-free Agricultural Processing Renaissance Zone to support the construction of an ethanol plant in Marysville. Despite the state’s support, an out-of-state company brought in its workers from Texas for the project.

“Clearly business as usual is not working for Michigan employees and businesses,” said State Representative Fred Miller (D-Mt. Clemens), the lead sponsor of the package. “With unemployment reaching the double digits in Michigan, it’s more important than ever to make sure that Michigan tax dollars are creating jobs for Michigan residents. In this economy, we must fight for every single job.”

The “Hire Michigan First” plan would:

  • Award state tax breaks and other economic development tools to companies that hire the most Michigan residents. This rule would apply to projects handled by the Michigan Economic Development Corp. and certain state-funded programs, including the Michigan Economic Growth Authority, the Renaissance Zone Act and several others.
  • Encourage transparency and accountability by requiring companies that take economic development incentives to report on who they hire to ensure that Michigan residents are put first.
  • Crack down on companies that hire undocumented workers by canceling their state contracts and tax incentives, requiring them to pay back incentives they received and barring them from future contracts.

The last provision is drawing fire from the Michigan Chamber of Commerce. A spokeswoman told the Capitol News Service that the legislation forces employers to be “immigration police.”

The anti-union Associated Builders and Contractors of Michigan also objects to the bill, because it doesn’t address to their satisfaction union contracts which allow the importation of out-of-state workers to Michigan for jobs that require travelers.

Last year Republicans House members either “dissented” or “abstained” from voting on the package of bills that included the Hire Michigan First legislation. One Republican legislator called it “an assault on free enterprise.” House Minority Floor Leader Dave Hildenbrand (R-Lowell) argued that the state needs to have a better climate for companies to do business.

“Rewarding companies that hire Michigan workers is a common-sense solution,” said State Representative Robert Jones (D-Kalamazoo), the Chair of the Commerce Committee, which approved the legislative package. “Michigan has the best workers around, and they should get the first shot at doing the jobs that their own tax dollars make possible. By getting more folks back to work, we can help more families stay in their homes and get our economy back on track much more quickly.”

  • Award state tax breaks and other economic development tools to companies that hire the most Michigan residents. This rule would apply to projects handled by the Michigan Economic Development Corp. and certain state-funded programs, including the Michigan Economic Growth Authority, the Renaissance Zone Act and several others.
  • Encourage transparency and accountability by requiring companies that take economic development incentives to report on who they hire to ensure that Michigan residents are put first.
  • Crack down on companies that hire undocumented workers by canceling their state contracts and tax incentives, requiring them to pay back incentives they received and barring them from future contracts.
The last provision is drawing fire from the Michigan Chamber of Commerce. A spokeswoman told the Capitol News Service that the legislation forces employers to be "immigration police." The anti-union Associated Builders and Contractors of Michigan also objects to the bill, because it doesn't address to their satisfaction union contracts which allow the importation of out-of-state workers to Michigan for jobs that require travelers. Last year Republicans House members either "dissented" or "abstained" from voting on the package of bills that included the Hire Michigan First legislation. One Republican legislator called it "an assault on free enterprise." House Minority Floor Leader Dave Hildenbrand (R-Lowell) argued that the state needs to have a better climate for companies to do business. "Rewarding companies that hire Michigan workers is a common-sense solution," said State Representative Robert Jones (D-Kalamazoo), the Chair of the Commerce Committee, which approved the legislative package. "Michigan has the best workers around, and they should get the first shot at doing the jobs that their own tax dollars make possible. By getting more folks back to work, we can help more families stay in their homes and get our economy back on track much more quickly."