LANSING – The Michigan House of Representatives today sent the "Hire Michigan First" package back to the State Senate after restoring key provisions that were stripped by the Senate. The plan, which ensures that companies receiving economic incentives hire Michigan workers, was first proposed in the House two years ago and has awaited Senate action ever since.
"In these times of such economic turmoil, we must stand up for Michigan's hard-working men and women who helped build the middle class," said State Representative Dian Slavens (D-Canton), a sponsor of the plan. "'Hire Michigan First' will reward companies that invest in Michigan's workers and encourage them to create even more jobs for our highly skilled residents."
Sponsors of the plan said many key pieces were left out of the plan passed by the Senate in May. The Senate cut the portion of the plan that would put Michigan to work now by requiring a company that receives a state construction contract to hire 100 percent Michigan workers. The Senate also created a large loophole that allows companies receiving incentives to hire out-of-state workers. The House plan closes the loophole for out-of-state workers and restores requirements that companies hire 100 percent Michigan workers in order to receive state contracts.
"Our workers are among the best in the world and they can do any job that needs to be done," said State Representative Deb Kennedy (D-Brownstown). "With Michigan's unemployment rate topping 14 percent – the nation's highest – we must pull out all the stops in order to protect our hard-working families. Our residents deserve first crack at the jobs their tax dollars create."
The Senate's plan also stripped language that created penalties for companies that receive taxpayer incentives to follow state law, such as prevailing wage.
"The Senate's plan is a hollowed-out version of our aggressive job-creation package," said State Representative Bob Constan (D-Dearborn Heights), a sponsor of the plan. "Too many of our workers are seeing their jobs disappear due to outsourcing or downsizing, and they need the jobs that 'Hire Michigan First' will create."
House lawmakers accepted some additions from the Senate such as extending the "Hire Michigan First" requirements to the Michigan film incentive tax credits and creating an exemption for projects in border counties to hire workers from bordering states.
"While I'm glad to see the Senate take some action on this plan, I would prefer that they had gone further," said State Representative Marc Corriveau (D-Northville), a sponsor of the plan. "Our plan ensures that when taxpayer dollars are used to create jobs, Michigan workers will be first in line for those jobs."