Do Corporate Handouts Work? Not by My Accounting!Posted: August 3, 2015
By Edward Zyskowski II
While Broome County along with the entire country cries about job loss and excuses are made, the bottom line in this area seems to be the subsidizing of businesses, many with recognizable family names, by further burdening taxpayers and destroying otherwise peaceful neighborhoods. The local IDA seems to have Carte Blanche, godlike control above any concerns of local citizens. However we must not just blame the IDA’s as there has been a greater problem. Broome County was a leader in this part of the state for manufacturing and technology. Many have blamed the loss of business and jobs on the economic climate and unskilled workers. Nothing could be farther from the truth. The fact of the matter is that thanks to our government, NAFTA and GATT allowed for the wholesale offshoring of jobs to many low-wage countries. Not only were products produced using nothing less than slave labor, the greatest number of millionaires and billionaires was created in America as greedy corporate CEOS reaped the benefits.
Let ’s look at EJ’s. It used to be “Which way EJ” but that changed when many competing brands started being produced in Mexico, Taiwan and the like. Let us look at Ansco. NYS gave the Kodak Company millions to purchase the Ansco film plant. This public expenditure was to guarantee the preservation of approximately 200 jobs held by long term workers at Ansco. Within months of receiving the public’s money Kodak closed the Ansco plant and the 200 local jobs were lost. Once again, corporate greed.
Looking at the tech aspect one only has to look at who bankrolled many of the other companies in this area and I’m referring to the US Government. This area was for years bankrolled by the backers of the military industrial complex. That in itself has one major flaw, that is “PEACE.” No war, no need for so many plants or contracts. We also have to add into the mix technological advancements and contract competition. The competition often had plants abroad that could do the work for less.
There are so many examples of lost business in this area but in order to bring it back does it need a taxpayer subsidy? I say no. If a company honestly produces a product worthy enough of purchase, it will pay for itself and not need the deals. After all, just how much of the “deal” goes into the business and not into the business owners pocket?
I haven’t even started on “The Mall” and strip malls. By the way, take some time to see who owns the Vestal Parkway malls and businesses. Just remember, the iPad you may be using, was produced in a country that pays a pittance to its workers while the CEO’s still rake in the cash and you paid top dollar.