Small businesses have faced numerous challenges in recent years, including new laws protecting workers in certain states.
For example, Illinois recently passed several laws to help workers, including a minimum wage increase and mandatory paid leave. Small business owners largely agree that these laws are beneficial to workers, who certainly deserve fair compensation. But in addition to the other issues businesses are grappling with, such as inflation, high state corporate taxes, and recovering from the pandemic, these laws can make it difficult to maintain profitable businesses.
Some small business owners in Illinois recently spoke to 25 News about these challenges. They generally understand the need for worker protections, but wish the state would consider small business needs more often when crafting laws.
Katie Kutsunis, owner of the Four Seasons women's clothing store, told 25 News, “It's no different than when you have a little baby or toddler at home. You help them more. You help them learn to crawl and walk. The state should learn to help little ones crawl and walk, and hopefully they can become big business.”
Of course, having different rules for small business workers may make it more difficult for small businesses to attract and retain workers. However, states that want to pass such laws may also be able to support small businesses in other ways to limit the negative impact.
For example, some states, such as California, have implemented grant programs to reimburse businesses for the costs they incur in providing paid family leave. Many states across the U.S. offer grant programs to small businesses. But even many small business owners who have received grants say this is only a temporary solution.
Protecting workers and ensuring fair wages and working conditions are important and worthy goals. But small businesses also make tremendous contributions to their communities. Balancing these two important elements is not always easy. But states and localities that are able to support and incentivize small businesses without hurting workers, such as through tax incentives, ongoing grant programs, or pro-business policies, are likely to succeed.
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