Wisconsin can’t afford to keep subsidizing private jobs

No one likes to hear about possible job losses. But in business, as economic climates and consumer’s tastes change, sometimes job losses are inevitable. Unless the government steps in and throws money at the company to get them to keep those jobs in place. Such an effort is now underway in Wisconsin, where the Kimberly Clark Corporation announced earlier this year that would shutter two of their plants in the Fox Valley area, putting more than 600 people out of work. Before announcing its decision, Kimberly Clark did not plea to the state to give them money to allow them to keep operating the plant. But the state made an offer anyway, and it is a doozy. Under the deal approved by the Wisconsin Assembly, Kimberly Clark would receive wage incentives from the state for each of the next 15 years. They would also get 15 percent of the cost of any improvements made to its Wisconsin factories, and any equipment upgrades would be exempted from the state sales tax. The total cost to taxpayers for such a deal would top $100 million. The legislation however is stuck in the state senate, and it is not clear if they have the votes to pass it, particularly given that the billions given by the state to Foxconn may not result in the number of jobs promised. The fact is, the state can’t afford to keep paying companies to keep jobs, essentially having taxpayers subsidize worker salaries. It is unfortunate that hundreds of jobs may be lost in Wisconsin, but our state government’s first responsibility should be to the taxpayers of the state, not to a company that didn’t even ask for state help.