Scott Walker donor promised millions in tax breaks while laying off 1,900

[RandySF]

The board overseeing the state’s flagship job-creation agency has quietly approved a $6 million tax credit for Ashley Furniture Industries with a condition allowing the company to eliminate half of its state workforce.

As approved by the Wisconsin Economic Development Corp. board, the award would allow the Arcadia-based global furniture maker to move ahead with a $35 million expansion of its headquarters and keep 1,924 jobs in the state.

But it wouldn’t require Ashley to create any new jobs, instead granting the company license to lay off half of its current 3,848 Wisconsin-based workers in exchange for an enterprise zone tax credit, one of the most valuable and coveted state subsidies.

The board’s decision has not been made public because a contract with the company has not been finalized. But in a statement Friday, in response to questions from the State Journal, Ashley Furniture confirmed it is seeking state subsidies that include terms allowing for job reductions.



Read more: http://host.madison.com/news/local/govt-and-politics/wedc-board-ok-d-ashley-furniture-getting-million-tax-credit/article_6fe5690f-64d0-5829-bc51-3dc59533abe9.html#ixzz3BMmuBBlj

[yeoman6987]

1. Very confusing

Why on Earth does the Government care about how many people work at the company? The only question should be tax break or not.....what a weird prereq for getting the money. Did Hollywood have to lay off anyone for the tax break they received. This is just too weird. It seems that they WANT Wisconsin population to have more unemployed. That is just too crazy......why???????

[factsarenotfair]

2. They want to cull the herd? n/t

[AleksS]

3. What the so-called "job creators" have learned

What the so-called "job creators" have learned here in WI, is that our Gov. is easily intimidated into handing out bribes.

They know that at the very first mention of "Oh me, oh my, we might just be thinking of moving our business to Minnesota...." the current leaders (and I use that term loosely) will immediately throw buckets and buckets and buckets* of money at them, virtually no strings attached.

And since there's little to no oversight on WEDC, and certainly no accountability (and surprisingly little accounting!) this tactic works.

Our teahadist folks in the Chamber of Commerce are strongarming the gov. into giving our money away, and our gov. is happy to let them do it. (Though, to be fair, they toss him back a noticeable percentage in campaign contributions, so it's not all strongarming--it's also bribery.)

It is disgusting what 2010 let in the door here in Wisconsin.

*and buckets and buckets and more buckets.