Whitman’s plan for jobs is built around a supply-side philosophy of targeted tax cuts, regulatory reforms and incentives designed to make California more attractive for businesses and to encourage expansion and hiring.
Specifically, she aims to cut the $800 registration fee charged to new limited liability corporations; eliminate the tax on manufacturing equipment (which Brown has also said he would like to reduce); increase the tax credit for research and development activities from 15 percent to 20 percent; and eliminate the state’s tax on gains from capital investments – something Brown strongly opposes.
Like Brown, her plan also calls for an unspecified tax credit to spur hiring in the clean energy sector. Both candidates have also expressed a desire to eliminate unnecessary regulations that stifle business growth.
For instance, Whitman has proposed a moratorium on most new state regulations until a 90-day review of existing regulations is completed. She would also require a formal cost-benefit analysis be conducted for regulations that arise from state agencies. Both Whitman and Brown have proposed various measures to expedite permitting and consolidate the duties of overlapping regulatory agencies.
The Whitman campaign has estimated that tax cuts, streamlining and other reforms could lead to the creation of 2 million new jobs by 2015.
Also central to Whitman’s jobs theme is her record as a corporate executive, which is reflected in other policy proposals she has mentioned on the campaign trail. She has proposed hiring more qualified foreign workers through the H1B visa program, which is often used by technology companies. She has also called for a temporary guest worker program in the Central Valley.
Though she supports a one-year moratorium on Assembly Bill 32, which imposes greenhouse gas regulations that some Republicans fear could dissuade companies from hiring, she told Southern California radio hosts John Kobylt and Ken Chiampou that she would likely vote no on Proposition 23, which would suspend AB 32 until certain economic conditions are met.
To encourage more businesses to relocate or stay in California, Whitman has proposed extending the $250,000 cap on punitive damages that already exists on medical liability lawsuits to suits involving product liability.
She also proposes changing state labor laws to allow workers to work more than 8 hours in a single day without being paid overtime, which she argues will encourage companies to develop more flexible schedules for their employees.
Aug. 13, 2010
We want to cut taxes, too, and we are going to have to do that through a series of targeted tax cuts like getting the manufacturing sector going again, eliminating the start-up tax, and I want to be able to make Republicans and Democrats famous for keeping jobs in California. We should never have let Northrop Grumman leave California for Virginia, so let's focus on doing a small number of things really well that will make a difference to Californians, and I have to tell you, you know, the Legislature, I think, has a 9 percent approval rating in California, and so Californians are frustrated. They want a different course.
Source: Fox News
Specific policy point or details
July 27, 2010
George Stephanopoulos: Jerry Brown also says that the heart of your economic platform is tax cuts that are going to benefit you but not do much for the state of California. What is your position on that?
Meg Whitman: Well, my No. 1 focus is getting Californians back to work, and here's the plan for that. First is a series of targeted tax cuts to get employers hiring in California. I will give you a perfect example. Eliminate the factory tax in California. We're one of only three states that taxes manufacturers on the equipment they buy to manufacture in California. If you're running a large manufacturing organization, it is one of the best reasons to go out of state or go overseas. Then we have got to streamline regulations, George. We are strangling businesses of all sizes in California with layer upon layer upon layer of regulation, and then we have to stand up and compete for jobs. We haven't had a great economic development team in California for many, many years, and we have a choice. We could put our head in the sand and say 'hey, the weather is great in California. That will be enough to keep businesses here', or we are going to have to compete. We can't let Northrop Grumman leave California. We can't let DaVita, the largest kidney dialysis firm, leave California, so it is a targeted set of tax cuts, as well as streamlining regulation, and economic development that's going to put Californians back to work.
Source: ABC News
Specific policy point or details