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Blogging: What companies need to know
Short for weblog, a "blog" generally is an individual’s diary or personal journal
posted on the Internet. Blogging has become increasingly popular among the American public over the last several years; it was recently estimated that over eight million Americans maintain a blog of some sort. It should come as no surprise, then, that many individual bloggers choose to use their blogs as a place to vent frustrations with their jobs or gripes about their employers or bosses. According to attorney David Ritter of Neal, Gerber & Eisenberg, LLP, whatever the topic, blogging raises several concerns for employers. Read more at the website of Neal, Gerber & Eisenberg, LLP,
http://www.ngelaw.com/news/pubs_detail.aspx?Type=5440&ID=640.
Minority Enterprise Development (MED) Week — Global Trade Workshop to be held in Chicago, Thursday, September 7th
This free workshop is for minority companies who have been in business for over two years and are interested in tapping into the multi-million dollar global trade network by doing business internationally. The workshop will be held at the Hyatt Regency, 151 E. Wacker Drive, from 8:00 am-Noon, September 7. Presiding over the workshop is a panel of government experts that will include the U.S. Department of Commerce, U.S. Small Business Administration, Illinois Trade Office, and Alliances for Illinois Manufacturing and Export Import Bank. These agencies will share valuable information on how to take advantage of government financing programs and free trade services. For more information on how to register, visit
http://www.buyusa.gov/midwest/168.html.
IMA/Illinois DCEO’s Recycling Expansion and Modernization (REM) Program
Following a successful presentation in Oak Brook on August 2nd, there are still funds available to help companies throughout Illinois develop solid waste recycling programs. Funds may also be available to purchase equipment necessary for recycling. For more information, contact Judy Parker at the IMA
(jparker@ima-net.org, phone 217-522-1240, ext. 3036) or Jim Ganley of Performance Learning Solutions
(jganley@plstrains.com; phone 217-423-3451).
Proposals: Illinois employers should pay for universal health care
A state task force has released six competing proposals that would require Illinois employers to pay an additional $1.4 billion in payroll taxes to fund a statewide universal health care program. The task force, appointed by Governor Rod Blagojevich and legislative leaders, expects to consolidate the varying plans into one proposal for submission to the Illinois General Assembly early next year.
Legislation was approved in 2004 creating a task force to look at health care in Illinois. Advocates say there are 1.8 million residents in Illinois who lack health insurance. The task force, which was made up of doctors, hospitals, consumer groups, and insurance brokers, were asked to develop proposals to address the issue. Unfortunately, the state’s business community was not invited to participate in the panel’s deliberations.
Not surprisingly, all the proposals suggest that Illinois’ employer community pay the tab for the uninsured which could cost as much as a $1.4 billion. Adopting a "play-or-pay" approach, the schemes would force employers to purchase health insurance for every employee or pay into a state fund that will provide coverage.
Early analysis of the proposals suggests adoption of any would clearly have an alarming effect on the state’s economy.
- The estimated $1.4 billion tax increase will cover the first year only. Costs in subsequent years can be expected to rise without constraint.
- Taking a billion dollars out of the state’s economy will halt hiring, business expansions and serve as a major disincentive for attracting new businesses to Illinois.
- Illinois will become the Midwest dumping ground for anyone wanting government-paid health insurance.
"Over the past several years, the job climate in Illinois has resulted in eliminating nearly a quarter-million jobs in manufacturing — jobs, that in nearly every case, provided health insurance," said Gregory W. Baise, president and CEO of the Illinois Manufacturers’ Association. "Instead of promoting more costly government programs and continued reckless spending, public officials should be looking at ways to improve our business climate and expand the types of jobs that will reduce our welfare rolls and increase our payrolls. Clearly, this is a call to action for every businessman or woman across the state. We cannot allow any of these shortsighted proposals to become the law in Illinois. The economic implications for Illinois are devastating."
Baise noted that the federal government has been wrestling for over a decade with the question of how best to provide basic health care for millions of Americans without success. Consumer and social services advocates are now turning to individual states to try to do on a piecemeal basis what the federal government can’t.
"The result of these efforts is going to be fifty state programs with no two the same," Baise said. "The confusion this approach will create will be significant."
The next meeting of the Adequate Health Care Task Force is scheduled for August 15 in Chicago.
Congress amends Unemployment Offset Law, WOTC extension dead
Last week the Senate gave final approval to HR 4, the Pension Protection Act of 2006, by a vote of 93-5. This legislation includes a new federal prohibition against reducing state unemployment benefits when a claimant receives a non-taxable pension or 401(k) plan rollover distribution upon separation from employment. This bill passed the House last week and will be signed into law by the end of August.
However, a Senate filibuster led by Democrats blocked consideration of HR 5970, the "trifecta" bill. HR 5970 would raise the minimum wage, limit the estate tax, and extend expiring tax provisions, including an extension of the Work Opportunity Tax Credit (WOTC) and the R&D tax credit. Democrats supported the minimum wage increase but opposed the estate tax provisions.
According to Eric J. Oxfeld, President of Strategic Services on Unemployment & Workers’ Compensation (UWC), HR 5970 is probably dead for the year, but based on past experience, it is expected that eventually the WOTC will be reinstated on a retroactive basis. If your company uses this or similar employment tax credits, you should keep the records and file the paperwork as though the credit were in effect in order to preserve your rights.
The unemployment retirement offset amendment in HR 4 is a federal conformity requirement. In any state whose unemployment law is out of compliance, employers will be subject to FUTA at the full 6.2 percent rate rather than the normal 0.8 percent. The new law applies to weeks of unemployment as of the effective date of the new law. This provision will affect New York and any other states which require an offset for retirement plan rollover distributions. Previously, federal law gave states the discretion to include an offset for pension rollovers.
Illinois exports to China double since 2000
Illinois manufacturers have more than doubled exports to China since the turn of the century, according to federal Commerce Department statistics.
Last year, Illinois industry exported $1.195 billion in products. Machinery led the way with nearly $250 million in shipments accounting for just over a fifth of all activity. Computers and electronic products, electrical appliances, waste and scrap followed closely behind.
"This is encouraging news," said Gregory W. Baise, president and CEO of the Illinois Manufacturers’ Association. "A two-fold increase in five years shows Illinois manufacturers that foreign market opportunities can be expanded. Continuing this trend will not only help Illinois businesses but also help reduce our current trade imbalance nationally."
According to the Office of Trade and Industry Information, Illinois’ shipments increased nearly every year since 2000 when $533 million in exports were sent to the Asian giant.
"Electricity Choice Options for Ameren Customers" Seminar in Peoria August 23rd
Due to popular demand we are adding a fourth Ameren territory PowerSeries energy seminar and webinar. The seminar, scheduled for August 23 in Peoria and the webinar, scheduled for August 29, will feature speaker Phil O’Conner, PhD, Vice President, Constellation NewEnergy, and former Illinois Commerce Commission Chairman.
Will the upcoming electricity auction affect your prices or options? Learn about your choices and why waiting to decide may not be your best option. The Illinois electricity market will soon be fully open and competitive. Learn first hand from industry experts about the upcoming electricity auction and what it means and how these changes will affect central and downstate businesses. Topics will include the status of the upcoming electricity auction and how businesses can choose their best electricity supply options.
Ameren territory PowerSeries Energy Seminar
Peoria — August 23, 2006
Noon-1pm (lunch buffet)
1-3pm (seminar)
Holiday Inn City Centre
500 Hamilton Blvd., Peoria
To RSVP, contact Janie Stanley, email: jstanley@ima-net.org , 217-522-1240 x3020
Webinar: August 29, 2006, 9:00-11:00 am (Lines will open at 8:45 am)
Design a strategic electricity plan for your business to mitigate the effect of volatile energy prices and understand Illinois’ electricity price drivers. Bring a recent electricity bill and receive a personalized no-obligation energy analysis, or fax your two most recent electricity bills to 217-522-2367 to receive a personalized, no-obligation energy analysis.
Visit http://www.newenergy.com/portal/site/menuitem.4e7a7995c1f78f31c9595410da6176a0?CMP=EMC-IMApeoriaaugust&title=imapeoria
to register online.
DATES OF NOTE:
More events may be found at http://www.ima-net.org/calendar.cfm
September 28, 2006
A Primer on the National Labor Relations Act and the Labor Relations Board
Northern Illinois University
Naperville 8:30 am–12:30 pm
Presenter: Jim Spizzo, Vedder Price Kaufman & Kammholz, PC, Chicago. Our speaker will discuss the reach of the federal law and its application in your workplace. Practical advice and responses to your workplace problems will be a key focus of this interactive seminar.
Contact: Sara Liles,
telephone: 217-522-1240, ext. 3042
email: sliles@ima-net.org
October 3, 2006
HR Forum–Springfield
(for Central and Southern Counties)
Springfield IMA Office, Conference Room, 220 East Adams Street 9:30–11:30 am
Presenter: Donna Rogers, SPHR. The HR Forum is designed for networking with other HR professionals in the manufacturing field. Discuss similarities and differences among peers as well as solutions. Finally, provide valuable feedback to the facilitator regarding HR related member services.
Contact: Donna Rogers
Phone: 217-522-1240, ext. 3007
Email: drogers@ima-net.org
SAVE THE DATE:
November 8, 2006
Sales and Use Tax Seminar
Northern Illinois University
Naperville 8:30 am–12:30 pm
Presenter: Joe Bigane, Senior Tax Partner in the Tax and Financial Services Division of Wolf & Company. This seminar is specific to manufacturers.
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