[Congressional Record Volume 156, Number 133 (Wednesday, September 29, 2010)]
[Senate]
[Pages S7735-S7736]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
ECONOMIC RECOVERY
Mr. REED. Mr. President, yesterday we were again thwarted in our
attempts to take another important step in supporting our Nation's
economic recovery.
in 2009, we passed the American Recovery and Reinvestment Act, which
provided a much needed jump-start to get our economy going again, save
and create jobs, and make critical investments in our infrastructure.
In March of this year, we passed the HIRE Act, which has been
providing businesses with tax incentives to hire out-of-work Americans.
Just Monday, President Obama signed the Small Business Jobs Act into
law, which will provide support and relief to small businesses and lay
the groundwork to help these businesses create up to 500,000 jobs.
Yesterday, Republicans blocked consideration of the Creating American
Jobs and Ending Offshoring Act, which would have supported our Nation's
manufacturing sector by encouraging American companies to bring jobs
back to America. Even though we have been witnessing a growth in
private sector jobs, we are still struggling to prevent the loss of
good jobs.
The Creating American Jobs and Ending Offshoring Act would provide a
tax break to companies that bring jobs back to the United States, in
the form of relief from the employer share of the Social Security
payroll tax.
Additionally, this legislation would discourage firms from
eliminating American jobs and moving facilities offshore by prohibiting
firms from taking any deduction, loss, or credit for amounts paid to
reduce operations in the United States and start or expand similar
operations overseas.
It would also end the Federal tax subsidy--known as deferral that
rewards firms that move their production overseas by allowing them to
defer paying tax on income earned by their foreign subsidiaries until
that income is brought back to the United States.
The Creating American Jobs and Ending Offshoring Act would encourage
American companies to get back in the business of hiring American
workers. Nonfinancial companies in the United States are reportedly
sitting on $1.8 trillion of capital. With these reserves, it should not
be prohibitive to bring new American workers on the payroll. This
legislation would ensure that these companies are using their resources
to create new American jobs instead of sending those jobs overseas.
I am disappointed that my colleagues on the other side of the aisle
failed to join with us to support this commonsense legislation, which
would provide desperately needed jobs to out-of-work Americans and
support America's manufacturing sector. Instead, they have voted to
preserve tax breaks that reward companies who ship jobs overseas.
I am also disappointed that we have failed to extend the TANF
Emergency Contingency Fund, which is set to expire on Thursday. I
joined with a number of my colleagues to introduce and press for
legislation to extend the fund for 3 months.
[[Page S7736]]
The TANF Emergency Contingency Fund has been used to support the
successful Jobs Now program in Rhode Island, which has provided local
businesses with subsidies to hire workers from struggling families. In
addition to providing jobs to out-of-work Americans, this program is a
win for businesses that could not otherwise bring new workers on board.
Without this fund, these businesses will be hard-pressed to keep these
new employees on the payroll. Unfortunately, in outcome that has become
all too common, this extension was subject to an objection from the
other side of the aisle.
I hope my colleagues on the other side of the aisle will recognize
what is at stake and join us in the effort to give American workers and
businesses the help they need. I remain committed to pressing for
innovative and commonsense efforts that will bolster the economy,
create jobs, and help the middle class.
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