Businesses Wary of Unsigned Bills on Governor’s Desk
By HOWARD FINE
When the economy is in the doldrums, businesses typically look for government to extend a helping hand with tax breaks or other stimulus measures.
But this election year, with Democrats firmly in control in Sacramento and the state confronting a record $24 billion deficit, California businesses are seeing just the opposite from lawmakers: a host of measures that add mandates and restrict the flexibility of businesses to cut costs.
They are among the hundreds of bills now on the desk of Gov. Gray Davis, awaiting his signature or veto by the end of the month.
Topping the list is a sweeping new program to give workers of all California companies the right to take six weeks of paid leave to take care of a sick family member or other pressing family matters.
Also on Davis’ desk are measures to require severance pay for many workers, limit the ability of businesses to get lawsuits filed against them dismissed quickly, and mandate state regulators to establish an ergonomics regulation for all companies within two years.
It’s impossible to calculate in advance the cost of a lawsuit not filed or the impact of extended sick leaves. But taken together, these bills either will add costs to the bottom lines of businesses or restrict the ability of companies to cut costs.
While few, if any, businesses are likely to go under as a direct result, some may find it harder to grow their operations, especially in a sluggish economy.
“Rather than making it easier to do business, which is what one would hope for in times like these, an awful lot of legislative energy was spent on making it harder to do business in California,” said Dorothy Rothrock, vice president of government relations for the California Manufacturers
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