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Constitutionality
columnist: Lorena Remmell

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Topic: Constitutional Issues

Can Congress make small businesses hire 6 million unemployed?


Is the proposed bill H.R. 3681 the One Employee (ONE) Act allowed by the Constitution?
by Lorena Remmell
(libertarian)
Sunday, December 25, 2011

Rep. Daniel Webster, FL recently introduced H.R. 3681 the One Employee (ONE) Act to Congress in an effort to reduce the national unemployment rate. Although this seems like a rather innocuous attempt to lower unemployment and generate jobs for 6 million unemployed workers this little piece of legislation, only five pages, has profound implications to our nation.

Firstly, where in the United States Constitution does it allow the Legislative, Executive or Judicial branches of our federal government to enact policies requiring millions of businesses to hire an employee? Answer: None. But according to Rep. Webster, congress can do this by simply passing this bill 1.  Should there be another policy pushed on small businesses to hire an employee or should we let Free Enterprise dictate if businesses need to hire an employee? There are many who have already stated that government over-regulation is burdening businesses; so obviously H.R. 3681 is not needed. Since unemployment benefits are paid by each state shouldn't the reduction of unemployment and job creation be done at the State level?

According to this bill 6 million new jobs will be created by requiring small businesses to hire one new employee. That means that 6 million small businesses will have to hire one employee 2.  Who in the government will make sure 6 million unemployed workers are hired and which small businesses has complied with the legislation? How much will that cost taxpayers? Also, how will the government ensure that businesses are not fraudulently claiming the credit? If this occurs then more taxpayers money will be wasted and no savings will be attained.

Upon further investigation of H.R. 3681, the $5,000.00 credit is paid for by using the new tax revenue generated from income of the new hire as well as savings from being removed from unemployment benefits. The math does not equate in this case. Most of the 6 million jobs will be those that are paid just above minimum wage salary, which based on that they will only pay $3,500.00 a year in taxes. This will end up being a deficit of approximately $1,500.00 per employee or a total amount of $9,000,000,000.000.

So why is it that there is yet another Congressmen who feels it is the Federal Governments role to create jobs? Job creation comes from Free Enterprise and not government and small businesses do not need more regulations from the Federal Government.

There is no clause stated in the constitution that gives the government authority to force businesses to hire any number of employees not even just one employee. Therefore, H.R. 3681 is unconstitutional.

Resources:

  1. Email from Daniel Websteron December 21, 2011

  2. Rep. Daniel Webster's Öne New Employee”website:  [link edited for length]

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©2011 Lorena Remmell, all rights reserved. You must have written permission from the author in order to republish this work.
Published: Sunday, December 25, 2011
Last modified: Sunday, December 25, 2011

The views expressed in this article are those of Lorena Remmell only and do not represent the views of Nolan Chart, LLC or its affiliates. Lorena Remmell is solely responsible for the contents of this article and is not an employee or otherwise affiliated with Nolan Chart, LLC in his/her role as a columnist.

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