Job Creators Network Leads 28 Business Groups Endorsing The Keeping Workers Paid and Employed Act

Washington, D.C. (March 19, 2020)— Today, the Job Creators Network (JCN) led 28 business groups in signing a letter to Senators Rubio and Collins in support of their bill, The Keeping Workers Paid and Employed Act.

Senators Rubio and Collins are distributing the letter to all of their Senate colleagues. As President Trump said today, small businesses are “the engine of the country,” and The Keeping Workers Paid and Employed Act will play a critical role in helping small businesses weather the coronavirus outbreak, minimize job losses and lay the groundwork for a Main Street Recovery. To read the letter, click here.

In the letter, JCN and other business groups highlight “two key aspects” of The Keeping Workers Paid and Employed Act as especially important:

• “First, an emergency loan program to support small businesses during this crisis, with loans made available through private banks, supported with a federal guarantee. Using the private banking system to provide these loans is critical, as small business needs the liquidity immediately.”
• “Second, including in the emergency loan program a clause that forgives a portion of the loan equal to an appropriate percentage of payroll (with an appropriate salary cap) for any business that keeps their employees on salary despite having to shut down.”

“Small businesses’ backs are up against the wall and the Rubio-Collins bill is a save small business operation that should receive unanimous support in the Congress,” said Alfredo Ortiz, JCN President and CEO. “The Keeping Workers Paid and Employed Act will help keep America’s small business community up and running and set the stage for a Main Street Recovery when this is over.”

The full text of the letter and a full list of signatories is below:

Dear Senators,

We, the undersigned business leaders applaud your efforts to support small businesses during this crisis. In particular, we support two key aspects of your efforts.

First, an emergency loan program to support small businesses during this crisis, with loans made available through private banks, supported with a federal guarantee. Using the private banking system to provide these loans is critical, as small business needs the liquidity immediately.

Second, including in the emergency loan program a clause that forgives a portion of the loan equal to an appropriate percentage of payroll (with an appropriate salary cap) for any business that keeps their employees on salary despite having to shut down.

Small business employers are job creators. Small business employers want to keep their employees on salary during this crisis. A small business emergency loan program that includes forgiveness for an appropriate percentage of payroll for any small business that keeps their employees on salary will allow small businesses to keep America employed.

This is not a bailout. Small businesses are closed and the employees are not working because of a government order.

This is not as costly as may appear. Individuals who are laid off will receive unemployment insurance. This effort would simply shift the payment from the unemployment system to an employment system. Our economy is better off paying someone to remain employed, rather than having them unemployed.

This has long term benefits. The dislocation costs associated with widespread unemployment are severe. Once a person separates from their job, rehiring is less likely. And, maintaining employees on salary saves on future training costs. This is superior to an outright small business grant, as the money would be provided in order to foster employment.

We thank you for your leadership, and hope both Republicans and Democrats can come together to support The Keeping Workers Paid and Employed Act.

Sincerely,

Job Creators Network

American Association of Orthodontists

American Hotel Lodging Association

American Society of Appraisers

American Society of Travel Advisors

Angel Capital Association

Asian American Hotel Owners Association

Associated Builders and Contractors National

Blue Roof Franchisee Association (IHOP)

Coalition of Franchise Associations

Council on International Educational Exchange

Denny’s Franchisee Association

Dunkin’ Donuts Independent Franchise Owners

FreedomWorks

Global Business Travel Association

Gusto

Independent Electrical Contractors

International Foodservice Distributors Association

International Franchise Association

NAIOP | Commercial Real Estate Development Association

National Association of Landscape Professionals

National Association of REALTORS

National Ready Mixed Concrete Association

National Retail Federation

National Stone, Sand & Gravel Association

The Payroll Group

The Real Estate Roundtable

Tree Care Industry Association

U.S. Travel Association