Since an employer need only hire a worker for 6 months to get the credit, for a full time employee, the credit effectively reduces the $7.25 minimum wage (from the employer’s perspective) to only $3.40 per hour for a six-month hire. While minimum wage jobs would certainly offer no enticement to those collecting unemployment benefits, the lower effective rate may create some opportunities for teenagers and some low skilled individuals whose unemployment benefits have expired. However, most of these jobs will end after six months so employers can replace those workers with others to get an additional tax credit.
The plan creates incentives for employers to replace current minimum wage workers with new workers just to get the tax credit. Low skill workers are the easiest to replace as training costs are minimal. The laid off workers can collect unemployment for six months and then be hired back in a manner that allows the employer to claim the credit. The only problem is that the former worker may prefer collecting extended unemployment benefits to working for the minimum wage!
The result will simply create classes of winners (those unemployed for four or five months) and losers (the newly unemployed and the long term unemployed). Ironically, the law banning discrimination against long-term unemployed will make it much harder for such individuals to find jobs. http://nation.foxnews.com/peter-schiff/2011/09/20/ceo-blows-away-congressional-hearing-i-was-fined-hiring-too-many-people
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The Blaze reports: We Are Heroes, Who Need to Create a Crisis: SEIU’s Stephen Lerner at Progressive Summit Tells Unions, Community Organizers and Students They Need to Escalate Protests, Break Laws, Occupy Abandoned Houses and Spread the Crisis All Over U.S. and-students-they-need-to-escalate-protests-break-laws-occupy-abandon-houses/ http://www.theblaze.com/stories/we-are-heroes-who-need-to-create-a-crisis-seiu-stephen-lerner-at-progressive-summit-tells-unions-community-organizers-
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The Blaze reports: The U.S. and other allies are scrambling for a path to push Palestinians back into direct peace negotiations with Israel, but prospects appear to be grim. Diplomatic efforts by Western member states aimed to head off a UN resolution on Palestinian statehood have achieved little or no progress thus far. In a weekend interview, an Iranian official described the effort as merely another step in a much broader plan. Mojtaba Amani, Iran’s ambassador to Egypt, openly conceded in an interview with Al-Watan al-Arabi, that the PA’s push for full membership as a UN member state “is a step towards wiping out Israel,“ and that ”the Palestinians must follow a correct example and complete all the measures to prevent the Zionist Entity from depriving them their rights.” http://www.theblaze.com/stories/iranian-ambassador-u-n-vote-on-palestinian-statehood-is-a-step-towards-wiping-out-israel/
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Yahoo Finance reports: It's not just millionaires who'd pay more under President Barack Obama's latest plan to combat the deficit.
Air travelers, federal workers, military retirees, wealthier Medicare beneficiaries and people taking out new mortgages are among those who would pay more than $130 billion in government revenues raised through new or increased fees.Airline passengers would see their federal security fees double from $5 to $10 for a nonstop round-trip flight and triple to $15 by 2017, raising $25 billion over the coming decade. Federal workers would face an additional 1.2 percentage point deduction from their paychecks to contribute $21 billion more for their pensions over the same period. Military retirees would pay a $200 fee upon turning 65 to have the government pay their out-of-pocket Medicare expenses. They'd also pay more for non-generic prescription drugs.
And it'll cost corporate jet owners a new $100 fee for each flight.
The fees aren't taxes. They're charged to people who use government services or receive benefits such as taxpayer-subsidized health care, and they typically defray the government's cost of providing a service. The fee on corporate jets and other private passenger planes, for example, would raise about $1 billion a year to help finance the cost of air traffic control. Recreational flyers won't have to pay. http://finance.yahoo.com/news/New-government-fees-pepper-apf-4120540659.html?x=0&.v=2
-------------------------------------------------------------------------------------------------------------The Yahoo News writes: U.S. hospital and drug industries lashed out at provisions of President Barack Obama's deficit reduction plan that would saddle them with more than $200 billion in federal healthcare spending cuts.
Lobbyists vowed to fight proposals for Medicare, which covers the elderly, that are aimed at saving $135 billion on prescriptions by requiring drugmakers to provide steeper rebates similar to those for Medicaid, which covers the poor.
Another $42 billion would come from adjustments in Medicare payments to hospitals, skilled nursing facilities and in-patient rehabilitation centers. http://news.yahoo.com/hospitals-drugmakers-lash-obama-deficit-plan-211050962.html
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The New York Post wrote: Not that there was ever any doubt, but the Associated Press ran the numbers on President Obama’s soak-the-rich tax scheme, and guess what?The president’s a fibber.
The news agency culled figures from a number of key authorities -- like the IRS and the nonpartisan Tax Policy Center -- and demonstrated conclusively that top US earners pay far higher rates than other folks.
And foot a wildly outsized portion of the federal tax tab.
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