Stamas sponsors bill to help attract new high-wage jobs
LANSING, Mich. — Sen. Jim Stamas joined business, economic development and community leaders on Thursday to announce new legislation to help Michigan attract new and expanded business investments that result in the creation of more high-wage jobs in the state.
“Michigan has made significant strides to create a positive business environment that has helped create nearly half a million new private sector jobs in our state, but there is still work to do,” said Stamas, R-Midland. “We cannot afford to stand still in the race for new investment and new jobs. We must ensure Michigan can effectively compete with neighboring states in attracting new opportunities and jobs to help continue economic and job growth in our state.
“The Good Jobs for Michigan initiative would give us a critical tool in bringing good jobs to our state and help enable current residents and future generations to live and work here in Michigan.”
Senate Bills 242-244 would create a transparent and capped incentive program aimed at attracting large-scale projects that would provide a significant number of new high-wage jobs.
Under the legislation, business expansions or new locations creating at least 500 qualified new jobs that pay the prosperity region average wage or higher would be eligible to receive up to a five-year, 50 percent abatement on the personal income tax withholdings of the new employees. Companies creating at least 250 qualified new jobs paying wages at 125 percent or more of the prosperity region average wage would be eligible to receive up to a 10-year, 100 percent abatement.
Stamas said that the incentive program would be limited to 15 new projects per year, with a maximum value for all outstanding projects at any time capped at $250 million.
“This performance-based program is designed to create jobs and also protect taxpayers,” Stamas said. “The incentive will be transparent, capped and accountable. Most importantly, a business will not get the incentive unless it creates new jobs with certain high-wage requirements, and those numbers will be verified each year.”
The bills have been referred to the Senate Economic Development and International Investment Committee for consideration.