As a person who now has a job created in Delaware, I’m taking more of a vested interest in what goes on in the First State. I’ve been on the mailing list of the 9-12 Delaware Patriots for some time now, and today they sent out an update from the state’s Senate Republican Caucus. (Like Maryland, the Senate GOP is on the short end of the stick insofar as numbers are concerned, but the deficit is closer as it’s only a 12-9 Democrat majority there.)
The one thing I found interesting was a twist on the trend of states becoming right-to-work states. In Delaware, Senator Greg Lavelle had the thought of creating small “right-to-work zones” encompassing specific employers. I’ll let the Delaware Senate GOP pick it up from here:
The Senate Labor and Industrial Relations Committee declined this week to release a bill aimed at revitalizing Delaware’s manufacturing industry.
By not releasing Sen. Greg Lavelle’s (R-Sharpley) legislation to create right-to-work zones in Delaware, the Democrat-controlled committee has essentially killed the bill.
Under the measure, workers within these zones could not be forced to join or financially support a union as a condition of employment. It would also exempt manufacturing businesses adding at least 20 new workers from paying the Gross Receipts Tax for five years.
During Wednesday’s hour-long public hearing in Legislative Hall advocates of the bill, including representatives from several business organizations, argued such an initiative would create a more competitive environment, attract new businesses to Delaware and generate more jobs.
Sen. Lavelle identified multiple Delaware locations where the idea could take root, such as the former General Motors Boxwood Road plant near Newport, as well as other existing facilities in New Castle, Kent and Sussex counties.
His feeling after the meeting was that while the bill may be dead, the idea is not.
“For me, what came out of the meeting was that this was the first formal discussion that we’ve had about this issue in Delaware,” he said. “The fact is, coming out of the recession, where many other states have added manufacturing jobs, Delaware has lost another 3,000. So the conversation on how to turn that around has to continue. And judging from the many comments we heard in committee supporting this bill, there’s no doubt this conversation will continue.”
Worth pointing out is that Delaware has lost many of its manufacturing jobs over the last decade, declining from 33,800 such jobs in 2005 to 25,500 a decade later. That’s a 25% decrease, meaning for every 4 manufacturing jobs the state once had one was lost over the last decade. If you were the unlucky one to lose your job, it means you either had to relocate out of state or change careers, with the unfortunate byproduct of that choice being that skills gained atrophy over time.
This is a different approach than the one tried in Maryland, where Delegate Warren Miller has annually introduced a statewide right-to-work bill where the compelling arguments in its favor unceasingly fell on deaf Democratic ears in the Economic Matters Committee. Personally I think the way to go about it is a piecemeal approach, beginning with the Eastern Shore. Far from what Big Labor critics believe, Indiana – a recent convert to right-to-work – added 50,000 union jobs last year as part of an overall surge in employment growth. We can use the Eastern Shore as a petri dish for a right-to-work experiment, because Lord knows they try to impose everything we don’t want on us (tier maps, onerous septic regulations, and the PMT, to name a few.)
One big difference between Maryland and Delaware is the fact that over half of its Senate will be at stake in the 2016 elections – it is possible for the GOP to gain a majority by winning 6 of the 11 contested seats. The state GOP should make this an issue in trying to decrease joblessness – after all, a union does you little good if you are not working and over 8,000 onetime factory workers are doing something else because the state lost its competitive edge.
Delaware has always had a reputation of being business-friendly, but in this changing employment climate they have to step up their game. Going into an election year, an issue has to be made of how the state will compete going forward – after all, my job depends on it.