Saturday, Indianapolis Business Journal ran an op-ed digging into Salesforce’s decision to bring 800 new high-wage jobs to Indiana
“…beyond the numbers, Salesforce’s decision could have profound impacts statewide for a generation to comeâ€-Indianapolis Business Journal, 5/14/2016
–Monday, Moody’s annual Investor Service State Debt Medians report showed Indiana’s tax-supported debt ranks among the lowest in the nation.
“Indiana has $463 in tax-supported debt per household, which ranks 11th-lowest in the nation.†– Inside Indiana Business, 5/16/2016
–Thursday, Governor Mike Pence announced the Department of Workforce Development has paid back the state of Indiana for its advance of funds that enabled Indiana to eliminate the outstanding federal unemployment loan and the FUTA penalty on employers. Business leaders across the state are lauding this week’s economic news.
“The move saved businesses about $327 million this year.†– Fort Wayne Journal Gazette, 5/20/2016
“…by paying off the balance of the federal loans using surplus money in November 2015, the Pence administration was able to end the extra payments for businesses early, which would have cost $126 per employee—or $327 million in total—in 2016.†– Indianapolis Business Journal, 5/19/2016
–Today, Indiana’s April employment report, issued by the Indiana Department of Workforce Development, reports that Indiana’s economy added 12,000 jobs in April, bringing the total jobs added to the state’s economy to more than 150,000 since the Governor took office. More Hoosiers were working in April of 2016 than ever before.
“…means more out-of-work people are confident about finding a job†– Indianapolis Business Journal, 5/20/2016
“…spurred Indiana to its highest number of private sector jobs in state history†– WFYI, 5/20/2016
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“…the number of Hoosiers working is the highest it’s been in 16 years†– Indy Politics, 5/20/2016
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What They’re Saying About Governor Pence Eliminating the Tax on Hiring…
Kevin BrinegarÂ
President and CEO
Indiana Chamber of Commerce
“Employers now have $327 million in additional funds available for other workplace priorities. They can further invest in their organizations and employees, as well as add more jobs, instead of sending that money to Washington as an ongoing penalty for the loan being in place.
“This early payoff, strongly supported by the Indiana Chamber, was a common sense step taken by lawmakers and Gov. Pence to help employers and their employees. It has had among the greatest impacts of any public policy over the last year on the business community.â€
Barbara Quandt Underwood
Indiana State Director
National Federation of Independent Business
“Many politicians campaign making promises to the small business community that don’t materialize, but once again, Governor Pence and Indiana legislative leaders have proven that they value the contribution our members make to the Hoosier economy.
“By completing the payoff and eliminating the tax on hiring, Indiana’s employment sector will continue to strengthen in a way that many states can only dream of. Governor Pence and Indiana’s pro-business legislature should be held up as a national leadership example for implementing sound economic policies and eliminating redundant and anti-business regulations that only hinder growth.â€
News coverage
COOK & CULP: Six reasons Salesforce expansion is a coup
Indianapolis Business JournalÂ
Eight hundred new jobs and $40 million in capital investment. Based on these stats alone, Salesforce’s announcement to expand into the Chase (soon-to-be Salesforce) Tower is a monstrous economic development project worthy of the attention it has garnered. But beyond the numbers, Salesforce’s decision could have profound impacts statewide for a generation to come.
Pence touts Indiana’s modest debt load
Indianapolis Star – Tony Cook
Indiana has a relatively modest debt load compared with other states, according to two new reports this week. The state had $3 billion in net tax-supported debt in 2015, according to an analysis by credit rating firm Moody’s. That includes debt from bonds and leases and amounts to $463 per resident — the 11th best in the nation.
Indiana Touts Public Debt Report
Inside Indiana Business – Andy Ober
An annual Moody’s report suggests Indiana’s debt is among the lowest in the nation. The financial analytics company reports Indiana has $463 in tax-supported debt per household, which ranks 11th-lowest in the nation. Governor Mike Pence says the report “proves we’re managing our state budgets with prudent fiscal management and responsibility. Pence’s office says Indiana is “diversifying its economy in a way that efficiently manages its existing tax base.”
State unemployment fund pays back $250M loan
Indianapolis Business Journal
The state’s long trek back from a bankrupt unemployment trust fund is now fully over. On Thursday, the fund—which is used to pay benefits to unemployed Hoosiers—reimbursed the state some $250 million it had owed it since last fall. That’s when Gov. Mike Pence took cash from the budget surplus to pay off the last of roughly $2 billion in federal loans the state’s unemployment system accepted during the Great Recession, money needed for benefits when the taxes paid into the fund by businesses were woefully short.
Fort Wayne Journal Gazette – Niki KellyÂ
The remnants of Indiana’s longtime unemployment debt – and resulting fine on businesses – are officially gone. State officials confirmed Wednesday that the Department of Workforce Development has paid back the state’s General Fund for its advance of about $250 million borrowed in November.
State restores surplus after paying unemployment debt
Northwest Indiana Times – Dan Carden
The Department of Workforce Development returned $250 million to Indiana’s budget reserve Thursday after using the money in November to pay off the state’s remaining unemployment insurance debt to the federal government.
Indy Politics – Abdul Hakim-Shabazz
The Indiana Department of Workforce Development says the number of Hoosiers working is the highest it’s been in 16 years. Officials says the state’s labor force continued growing in April with 20,743 more Hoosiers joining the labor force.
Manufacturing Led The Way As Indiana’s Job Growth Rebounded In April
WFYI – Brandon Smith
Indiana’s private sector job growth rebounded in April, adding 12,000 jobs last month. Yet, the state’s unemployment rate increased for the third consecutive month. Almost every employment sector added jobs in April, led by significant growth in manufacturing. That spurred Indiana to its highest number of private sector jobs in state history.
State jobless rate rises as more Hoosiers join labor force
Indianapolis Business JournalÂ
Indiana’s labor force—which is composed of both employed and unemployed-but-willing-to-work residents—has grown by 82,000 since the beginning of the year and by 178,000 since January 2013. That surge means more out-of-work people are confident about finding a job, but their addition to the labor force can drive up the unemployment rate.
