Thursday, November 8, 2012
IS IT POSSIBLE TO REDUCE UNEMPLOYMENT BY USING UNEMPLOYMENT DOLLARS?
Is it possible to significantly reduce America's unemployment along with unemployment benefits at little or no addition to deficit or burden to the tax payer? I think so and it is not as difficult as our experts make it to be.
And since am not even close to being an expert I am going to out line my case in very simple terms.
First a working database of all small business that were in operation continuously for 5 years prior to 2008 should be compiled.
Next a database of all unemployed from 2008 to 2012 showing demographics, experience and qualifications should also be complied. I know someone id going to say that the information already exist. This information should be precise and reliable.
Then everyone that is being paid unemployment should be matched against data the employment database. Matches from this database should then be compared to the small business database.
Now small business must be reclassified for this to work. A small business should be classified as employing 200 persons or less.
Unemployment monies paid to the unemployed candidate should be made available to the small business to aid with the employment cost of the unemployed. Also small businesses in need of managerial expertise would be able to shop the database,
Projected savings with the program should be used on a revolving basic to further assist these small business with growth and development.
The unemployed worker could continue to shop for other employment or remain with the company if growth potential exists. The small business should be given two years to solidify its position and should be able to show encouraging growth potential during that period.
Lets face it; these individuals possess great skills, qualifications and or experience. They are already being paid all be it at a reduced rate. In many cases their involvement could change the profile of small companies making competitive and able to appreciate their market share in their line of of work. Some of these workers will not be returning to their past positions and risk accepting jobs at reduced rates. Many might be in search of new careers.
I believe using monies already budgeted for unemployment to aid small businesses and increase employment and personal self esteem would benefit the country greatly.
We have to put people back to work and we cannot continue to do it on a charitable basis. There are thousands of middle age workers being retrained without the prospect for finding employment in the near future. There are many business on the verge of going under due to not being able to meet labor costs and employ the numbers necessary to turn the corner and become profitable. Institutions like SBA are a night mare to deal with. Many companies have had their credit destroyed because of the economic situation of the country.