'Hire Michigan First' proposal draws fire
by Rob Dale | Capital News Service

Thursday February 28, 2008, 12:15 PM
LANSING - A proposal to help Michigan workers get jobs faces tough scrutiny from legislators and others.

The "Hire Michigan First" initiative, supported by House Democrats, was the subject of heated debate in the House Labor and Commerce committees. The initiative would give preference for state tax credits and contracts to companies that employ only Michigan workers.

But parts of the plan leave Republicans and some business groups unsure of its potential consequences.

In addition to promoting the hiring of state residents, the legislation says that employers who hire illegal immigrants, or use a contract agency that does so, could lose their state government contracts and potentially be forced to repay economic incentives from the state.

Wendy Block, of the Michigan Chamber of Commerce, which opposes the initiative, said it goes too far.

"The legislation makes the employers be the immigration police," she said.

Block said that chamber supports the principle behind the initiative but that the plan itself is "too cut-and dry."

An objectionable provision in the package would allow unions to bring in out-of-state workers, leaving only non-union shops to deal with the demand for an all-Michigan workforce, according to Chris Fischer, executive director of the Associated Builders and Contractors of Michigan.

Fischer said the plan "doesn't create a level playing field.

"All this really says is 'hire union first,'" Fischer said.

Rep. Fred Miller, D-Mount Clemens, first announced the proposal last August. Facing criticism, Miller reiterated Michigan's need to create jobs, citing "unprecedented economic challenges.

"Business as usual is not working in Michigan," Miller said.

Miller also said that Michigan gives incentives and tax breaks to bring companies to the state, but they often backfire when the companies don't hire Michigan residents.

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