It used to be said when the United States caught a cold, Michigan caught a flu.
Well now that the US has caught the Wuhan-flu, Michigan is going into cardiac arrest.
The Detroit Free Press: Michigan unemployment claims top 1 million, 3 times more than during the recession
Thanks to San Fran Nan and her crew, there's no real relief for small business in sight: Stimulus program for small businesses runs out of money as Congress remains at odds over more funds
As one might expect, the funding for the payroll protection plan ran out of funds fast, and with the Dems refusing to refill it unless their unrelated demands are met, it's getting bad.
Basically Nancy Pelosi when asked about small business owner's plight said "Let them eat ice cream".
Multiple clients of mine who literally applied for less than 60k to remain afloat and keep all their people on payroll received notices that the program is out of money and they're outta luck. They're likely not going to get through this, and their employees won't have employers when this is over.
The Federal relief program is insufficient, underfunded and cannot sustain businesses now shut down by government edict and yet still had to pay their quarterly payroll taxes.
Add to the fun that Gov Half-Whit has extended the ban on Landlords from evicting residential tenants until May 17, but did not ban foreclosures, those Landlords will be now 2 payments behind and their properties will start falling into foreclosure. Already, real estate values here on rental properties are starting to slip, preventing owners from refinancing and protecting themselves as their renters live there rent free.
Landscapers are dying due to Gov Half-Whit's heavy handed ban on landscape services, plant nurseries are hosed for being unable to sell their products, and the list goes on.
It seems the state would rather everyone go on unemployment assuming they can even get through the system to apply) but those funds won't last without business tax revenue to fund them and that's not happening now. Expect business to face a double whammy - shut down now and not making income, and then having to pay massively jacked up unemployment insurance contributions to make up for all the extra UI premiums paid out during this mess.
This is the start of a major cascading failure unless we start opening back up, and fast.
3 comments:
And the band played on.....
Your governess doesn't care what happens to her serfs. OOPS, I mean "constituents".
Like Pelosi eating ice cream, all she cares about is making herself look good so she can get reelected....
Yep, agree with drjim!
Employees of the State of Michigan, its counties and municipalites - as well as its public colleges and universities - have lost how much income? Which party do their employees vote for? I'm sure the minority small business owners will all be told it is Trump's fault, rather than Gretchin's shutdown order.
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