A Path To Pension Reform
A
recent report that the Governor is considering borrowing $2 billion from
the giant state pension system may seem incongruous with his earlier statements
advocating full funding of pension obligations – not to mention sound
fiscal management. But if these reports are true, then the Governor may have
found a way to thread the pension reform needle to the long-term benefit of the
state.
I
should know – I was Governor Wilson’s Cabinet Secretary in 1991
during California’s last Great Recession. Then – as now – the
state’s contribution to the CalPERS system was seen as a legitimate
source of temporary revenues to balance the budget. Then – as now –
the Governor sought to make structural reforms to the state’s retirement
system to control spiraling pension costs yet maintain a fair and adequate
benefit to retirees.
The
difference today is we’ve had hard-knocks experience with what happens
when the path to reform is not taken: a $650 million estimated
obligation turns out to cost taxpayers $3.5 billion – and counting.
Workers Comp Redux
The campaign for workers comp reform was only six-plus years ago, yet, as Yogi Berra might say, it looks like déjà vu all over again. Workers comp is an important issue for business again with the threat of workers comp insurance premium increases possibly hitting 30-percent.
The Small Business Action Committee’s first important policy activity after it came into existence was to promote a change in the workers comp system that was crushing businesses. We amassed support from over 20,000 small businesses and a few large ones, as well, in our effort to reduce the burden on business.
Dan Walters gave an excellent recap of the once and future workers comp crisis in his column yesterday.
Why Carly Fiorina is the Only Choice for Small Business
The National Federation of Independent Business Save America’s Free Enterprise Trust endorses Carly Fiorina for U.S. Senate. On behalf of nearly 20,000 NFIB members in California, and even more small business employees and supporters across the state, this is a significant endorsement in an important election year. Never have the stakes been so high for our job creators – small business owners.
The differences in this race could not be clearer. Carly Fiorina is a business leader who advocates for reasonable regulations, lower taxes, and more incentives and opportunities for Main Street. Senator Barbara Boxer is an advocate for higher taxes and more government intrusion into the lives of small business owners with a decades-long record of anti-small business votes.
Carly has signed the front of a paycheck and understands the day-to-day struggles of small business owners. Sen. Boxer has spent the last four decades as a professional politician with a record that shows she fails to understand the challenges of Main Street businesses.
American Apparel CEO a Good Fit
The
calls intensified last week for Dov Charney to step aside as chief executive of
American Apparel.
That’s
nothing new. Even I opined in late 2008 that Charney should become chief
creative officer or some such, and turn over the CEO duties to an experienced
hand. What’s new is that virtually every analyst and stockholder now is
screaming it.
On
the face of it, such calls make sense. Charney’s stewardship of the
clothing company in recent years could be characterized as dismal. American
Apparel has been criticized for its provocative ads and Charney is forever
branded as a one-man generator of sexual harassment lawsuits. The
company’s financials have long been shaky.