There are certainly more responsible ways to shore up our economy, lots of ways, all of which are being discussed by legislators now. Many of them are ideas that will not hurt Delaware's families, adversely affect any one group, or create more economic downturn.”
When it comes to alternatives, several prominent legislators have pointed to a series of tax cuts enacted for those in the highest income brackets over the years. They indicated that the first 4 or 5 of those tax cuts were passed based on the premise that they would create additional economic growth in Delaware.
However, these same legislators noted that the most recent 4 or 5 tax cuts for upper income Delawareans were passed because the state budget at that time was in surplus. They contend that those recent cuts are not necessarily still justified since the government surpluses are now deficits. Some legislators think it might be a good idea to create additional tax brackets at the highest income levels.
There are many other alternatives being proposed. Many of these, like the Kowalko Plan proposed by State Representative John A. Kowalko, Jr., were mentioned in Part 1 of this series of articles.
It has become clear that there will be a huge political price to pay for any legislators who support budget deficit solution measures that reduce the incomes of Delaware workers. With higher fuel prices, higher food prices, higher medical costs, higher insurance costs and more, Delaware workers understand that any government action aimed at reducing wages for any portion of the workforce will inevitably result in more pressure to reduce wages for other segments of the workforce. Delaware workers cannot afford lower income levels.
The usual tactic of divide and conquer concerning pay rates will not work although the usual suspects in Dover are already floating some proposals of this type. Anti-working class bias is alive and well in the Delaware legislature.
Certain Republican legislators are trying to exploit the budget deficit by trying to eliminate prevailing wage laws in the construction industry. This is another unfair proposal to drive down the standard of living for Delaware workers. These same legislators are completely ignoring the massive tax evasion and violation of labor laws by unethical out-of-state contractors who are often exploiting illegal aliens.
The pay cut proposals being pushed in Dover have united Delaware workers in an unprecedented fashion. The anger they have generated runs very deep. The sense of injury is turning into a very deep and lasting resentment that legislators will be facing for years to come. It is unlikely to go away before the next state election.
Sadly, alternatives are clearly available that are fairer and have many additional benefits for small businesses and the citizens of Delaware. The question remains “will the state legislature look at the alternatives that create jobs and opportunity or will they be blinded by an anti-working class bias?”
Written by Stephen Crockett (Host of Democratic Talk Radio http://www.DemocraticTalkRadio.com and Editor of Mid-Atlantic Labor.com http://www.midatlanticlabor.com) . Mail: 698 Old Baltimore Pike, Suite 303, Newark, Delaware 19702. Phone: 443-907-2367. Email: demlabor@aol.com.
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