The Kentucky of Chamber joined the U.S. Chamber and several other business organizations Wednesday in signing a letter of opposition to the federal reconciliation plan, arguing the legislation would place added challenges on employers across the nation, many of which are already struggling to navigate workforce shortages and supply chain disruptions.
The full text of the letter is embedded below:
TO THE MEMBERS OF THE UNITED STATES CONGRESS:
As we recover from the economic shock of the COVID pandemic, businesses across the nation face significant headwinds, including a worker shortage crisis, massive supply chain disruptions, and the highest inflation in more than a generation. We need Congress focused on helping address these problems. Unfortunately, the so-called “Build Back Better” reconciliation bill that is currently under consideration would add to rather than reduce the challenges confronting America’s employers.
Economic experts agree that the initial spending and transfer payments will add to near-term inflationary pressures, further harming American families and businesses who are already suffering from higher prices on everything from food to energy. The proposed tax increases, including a new corporate minimum tax on book income, a new tax on stock buybacks, and tax increases on U.S. business income earned abroad, will harm the recovery and hamstring America as we work to compete globally, especially with China. The pharmaceutical price controls could result in fewer drugs being introduced to the U.S. market in the coming decades. America may miss out on the next vaccine or treatment for the next pandemic because of these short-sighted policies. Anti-energy provisions in the bill would increase the cost of energy for all Americans and could lead to energy supply shortages and power outages while prices are already the highest in a decade, squander domestic energy security, and threaten the supply chain for clean energy technologies. The bill would also overturn nearly 90 years of labor law to tilt the playing field in favor of unions by threatening employers of all sizes with bankruptcy-inducing civil penalties that do not exist in current law. Finally, because of various budget gimmicks, including sunsetting new programs, in some cases after only one year, the true cost of the proposed bill is significantly higher than the nearly $2 trillion that is advertised.
We urge you to oppose the reconciliation bill as currently drafted and instead turn your attention to addressing the challenges holding back our economic recovery.
On Tuesday, the Washington Post reported that the U.S. House of Representatives is planning to vote on the reconciliation package by the end of the week, with debate on the bill beginning as soon as Wednesday. Should the measure pass the House, it would still need approval in the U.S. Senate before it could become law.
Stay tuned for more on The Bottom Line.