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National right-to-work?

Started by Jaxson, January 08, 2012, 02:20:56 PM

Jaxson

I was watching the Republican debates on NBC this morning.  The candidates debated the merits of a national right-to-work law.  For a party that supports states' rights, some of those candidates seem to be unclear on the concept of allowing states to draft policies that work best for themselves. 
As for the effectiveness of right-to-work laws, I want to know effective these laws really are for business and job creation.  For example, Florida is a right-to-work state (and also has no state income tax) that routinely gets passed over for auto manufacturing plants.  South Carolina, Alabama and Tennessee seem to have benefited at the expense of our state.  Why is this so?
I would also like to know what the wages are for workers in states that are either closed shop or right-to-work.  Do labor unions deliver when it comes to raising wages for union and/or non-union sectors?
John Louis Meeks, Jr.

JeffreyS

Try to remember conservative views are only feigned by the Republicans.  They are no more conservative in principle than liberal. They are whatever their corporate masters say they are in each instance no guiding principle. Many Dems no better.
Lenny Smash

Traveller

QuoteSouth Carolina, Alabama and Tennessee seem to have benefited at the expense of our state.  Why is this so?

The states you list are also right-to-work states.  I believe the reason manufacturers choose to build plants in those states rather than in Florida is that those states' governments are more likely to "give away the farm" so to speak in terms of tax breaks or other incentives.  However, I admit I have not done significant research on the subject.

Also, you mention the fact that Florida has no state income tax.  While it has no income tax on individuals, corporations with Florida sourced income do pay 5.5% tax on that income.  Many states have gone to a single-sales factor formula for purposes of apportioning income to the state for tax purposes.  The goal of such a formula is to level the playing field between local businesses and out-of-state business with similar sales within the state.  Florida has been slow to adopt such a formula, only recently enacting a law that allows a corporation to elect single-sales factor apportionment if it invests many millions in new capital projects.  I believe Florida should allow such an election (or default treatment) for all corporations.