President Reagan once said, “The best social program is a job.” Today, thanks in part to the policies of President Trump, essentially every American who wants a job can get one, providing some financial peace of mind for every able individual in our country. The fresh job numbers are the latest in a string of economic victories for President Trump.
The unemployment rate fell to 3.9 percent, hovering near a generational low. More than four million new jobs have been created since President Trump was elected, while black and latino unemployment rates are at record lows. In fact, the latino unemployment rate of 4.5 percent is roughly 25 percent lower today than when President Trump took office. Moreover, wages are growing at their fastest pace in a decade.
These jobs numbers come on the heels of the announcement last week that second quarter economic growth was 4.1 percent. Economic growth is on pace to meet or exceed 3 percent this year, a level which many experts said could not be reached. President Trump also negotiated an agreement to work toward eliminating tariffs with the European Union last week, a move that will let American consumers enjoy goods from across the Atlantic Ocean at lower prices and open up markets for small businesses. No wonder sentiment is soaring.
The policies of President Trump are fueling this economic and labor market fire. His tax cuts that took effect this year are putting more money in the pockets of ordinary Americans and small businesses, allowing them to stimulate their local economies. To take just one tax cut provision, the new 20 percent deduction for small businesses is allowing the biggest job creators in America to protect a significant portion of their earnings. Small businesses, which often operate on razor thin profit margins, have more funds to expand and raise wages with this added income.
These are businesses like Rabine Group in Illinois, a maintenance and construction company that is giving employees raises that are 50 percent larger than the past eight years, adding jobs and expanding into new markets because of its tax cut savings. These are businesses like Sports Clips in Pennsylvania that is using its tax cut savings to open another 12 locations, creating 120 new jobs and raising wages.
When policies like these are working, those in Washington should build on them. Yet, Democrats like House Minority Leader Nancy Pelosi and Senate Minority Leader Chuck Schumer have one goal, which is to tear down President Trump. That means attacking his successful tax cuts. They have promised to repeal it if they retake Congress this fall.
This position is dangerous. The path to control of the House this fall runs through the suburbs, including those in Pennsylvania, California and Florida. While their message might work well with the Democratic base in cities, it does not connect with middle class Americans living in the suburbs who would be hit the hardest by tax increases.
Democrats couch their tax position as only being opposed to tax cuts for the rich. Yet, many of the biggest tax cuts help the middle class the most and are actually off limits to the rich. For instance, the 20 percent small business deduction phases out at $315,000 of earnings for white collar businesses. The child tax credit phases out at $400,000.
Voters will have a simple choice this November. Either they are voting for a continuation of the labor and economic growth seen over the last year and a half, or they are voting against it. They are either voting in favor of the interests of hardworking American taxpayers or against them.
Alfredo Ortiz is president and CEO of the Job Creators Network.