Saturday, February 16, 2019

Connecticut's New Tax: Connecticut's Unsustainable Paid Family Leave Law

AN ACT CONCERNING PAID FAMILY AND MEDICAL LEAVE.
To establish a paid family and medical leave system in Connecticut.
Introduced by: Labor and Public Employees Committee


Imagine leaving work and being paid up to $1000 a week for 12 weeks.  Imagine you are a small business with five or ten employees and all get to go out for 12 weeks under Connecticut's new paid Family Leave Law.  But under this new law small business owners must apparently "chill" and figure out how to run their businesses with less employees.  And or hire temporary employees only to fire them after a short period of time and thus pay higher state unemployment taxes.
The costs to Connecticut taxpayers would be $14 to $18 million dollars to start this program, an unknown amount of money to administer the program and a mandated .5% tax on all employee wages to supposedly pay for the program. How this tax will cover the upcoming onslaught of those individuals who are going to use and in many cases abuse the program is beyond me.  However I am confident that this tax will not be enough and thus they will be many increases of this tax in the future.  Again like the crumbling foundations tax Connecticut Taxpayers must pay we will be subsidizing another poorly run state program that will do little to help those who truly need help in taking care of family members.  This new payroll tax will take approximately $35 to $45 million dollars out of our economy monthly to help pay for this program in the short run.  Thus $35 to $45 million dollars will no longer be spent or saved in Connecticut on a monthly basis.  This loss of spending and saving will continue to make Connecticut's economy lag behind the rest of the country.
Why doesn't our state legislature meet with businesses and industry officials and develop a private sector solution to this supposed problem?  I would tend to believe that many employers in the state work with their employees who have issues that they must deal with ill family members.  Since when did taking care of your family become a function of state government? 
I am opposed to this new law that is being considered.  It is irrational to think that our state government bureaucracy has an ability to help people in need taking care of their families. 
Connecticut's has yet another new tax.  Connecticut's Unsustainable Paid Family Leave Law Tax.  More lies force fed to Connecticut Taxpayers.

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