Michigan Chamber Board Strongly Opposes Any New Tax on Workers' Compensation

The Board of Directors of the Michigan Chamber of Commerce has voted unanimously to strongly oppose a proposed new tax on workers' compensation currently under consideration by the State House and Michigan Senate as part of the state budget process, which must be completed by October 1, 2001.

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"The Michigan Chamber supports continuing to fund the Bureau of Workers' Disability Compensation with revenue from the state's General Fund because this state-mandated program benefits employees and employers equally," said Michigan Chamber President & CEO Jim Barrett. "Continuing General Fund support for the Bureau also spreads administrative costs of the program equitably among all parties and is necessary to maintain legislative oversight."

"Michigan's job providers strongly oppose eliminating General Fund support for this important program and replacing general revenue with a new tax on workers' compensation," said Nancy McKeague, Senior Vice President of Administration for the Michigan Chamber. "Employers already pay 100% of the cost of workers' compensation benefits paid to injured workers. Imposing a permanent new tax on work comp in the middle of an economic slowdown to solve a temporary budget problem is unnecessary, unfair and unacceptable."

The Michigan Chamber is a statewide business organization representing approximately 7,000 employers, trade associations and local chambers of Commerce. The Michigan Chamber was established in 1959 to be an advocate for Michigan's job providers in the legislative, political and legal process.


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SOURCE: Michigan Chamber of Commerce

Contact: Nancy McKeague, Senior V.P., Administration of Michigan Chamber
of Commerce, +1-517-371-2100

Website: http://www.michamber.com/