Study On Mandatory Paid Leave Highlights SIGNIFICANT JOB LOSS
February 9, 2017
STUDY ON MANDATORY PAID LEAVE HIGHLIGHTS SIGNIFICANT JOB LOSS
ANNAPOLIS (February 8, 2017): In anticipation of tomorrow’s Senate Finance Committee hearing, the National Federation of Independent Business (NFIB) released a study demonstrating the harsh economic impact that mandatory paid leave in its present form would have on the Maryland small business community.
“Our study shows clearly that House Bill 1 and its companion bill, Senate Bill 230, will cost Maryland billions of dollars and 13,000 jobs by 2027. Lawmakers considering this proposal tomorrow need to pay very close attention to the impact that mandates like this have on the small business community. It’s going to be rather difficult to get a day off from a job that no longer exists,” according to Mike O’Halloran, NFIB Maryland State Director. “The reality is that employers that can afford to offer paid time off already do. The few businesses that do not offer such a benefit do not because they cannot afford to do so. Mandating paid leave does not change that fact”
The report conducted by NFIB’s Research Foundation analyzed the potential economic impact that House Bill 1 and Senate Bill 230 will have on the small business sector. The report takes into account the cost of complying with mandatory paid leave as well as the impact that paying workers for taking leave will have on employers. Of the noted job losses in the report, 57% would occur within the small business community.
“The impact on our members and the state’s economy as a whole cannot be understated. Legislators, no matter how well intentioned, must focus on the economic reality, not rhetoric from supporters who have no way of knowing the consequences this mandate will have on employers,” continued O’Halloran. “We should all be focused on improving our economy, not making it more difficult to operate a business in Maryland. House Bill No.1 is a step in the wrong direction.”