Job Security

Yesterday, I was in a large retail store when I heard a woman question quite loudly, “Do you have anything in this store made in the USA?” Her question struck a chord with me on many levels.

Many of my clients are contractors struggling to stay in business. Unfortunately, they are often competing with contractors that are working illegally without any licenses or insurance. Typically, their helpers are being paid under-the-table. How can the legitimate contractor paying for insurance, licenses, and actual labor costs compete with this illegal worker? The answer is that they can’t; especially if the homeowner is just looking for the cheapest estimate. Just last week a contractor phoned to say that a homeowner he had bid a job for wanted to see his payroll reports prior to accepting his bid. Clearly, this homeowner wanted to be sure that the workers used by this contractor were legal workers being paid legally. Why should this be important to a homeowner? When workers are paid legally they are having taxes withheld and are contributing to our system instead of simply drawing from it. Additionally, workers that are paid legally on a contractor’s payroll are covered under the contractor’s worker’s compensation insurance. Many homeowners have found themselves the subject of a lawsuit for workers injured on the job when they were not being paid properly by their employing contractor. When you chose to hire a legitimate contractor you are rewarding them for taking the appropriate steps in running their business. Alternatively, when you hire a contractor who is working illegally you are supporting the illegal operation of his business and undermining those contractors that make the effort to do things the right way.

Included in this newsletter is information regarding the Domestic Production Activities Deduction. This deduction rewards companies that manufacture goods in the United States. As a young girl I can remember traveling with my grandparents to visit the historic mills in Lowell, Ma. Both of my grandparents had worked in these mills, and I remember my grandfather proudly pointing out the parts on the machinery that he had been responsible for maintaining. The success of our country was built upon the success of these mills that provided jobs and produced quality goods. Americans were proud of the things produced in their mills and factories.

So, I encourage you to cast your monetary vote. Where we chose to spend our money is just as powerful as the ballot choices we make. I hear that Italians make great shoes and I love English china, but I want the people that work on my home to be Americans. I want my food to come from the USA and everything I can purchase that can be made in the USA to be made in the USA. If that makes me prejudiced, then so be it; I’m not really afraid of offending anyone because let’s face it all of my clients pay their taxes. Anyways, I prefer to think of it as job security.

Happy Fall!