Corporate anger is growing over Biden’s infrastructure plan

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Major US business groups have opposed President Joe Biden’s $ 2.3 trillion infrastructure plan – even after many of them got behind his $ 1.9 trillion in coronavirus aid.

The opposition signals the headwinds the White House is having against promoting a package that the Biden designates as the next big step on its agenda, and a package he said would create 19 million jobs on Friday.

The US Chamber of Commerce went after the plan as “dangerously out of place.”

“ Done right, a major investment in infrastructure today is an investment in the future, and like a new home, it has to be paid for over time – say 30 years – by the users who will benefit from the investment, ” said the group in a statement. .

Business groups are lining up against tax increases in President Joe Biden's infrastructure plan - although Biden says it will create 19 million jobs

Business groups are lining up against tax increases in President Joe Biden’s infrastructure plan – although Biden says it will create 19 million jobs

“We strongly oppose the general tax hikes proposed by the government, which will slow the economic recovery and make the US less globally competitive – the exact opposite of the infrastructure plan’s goals.”

The group notably backed Biden’s first major achievement, the coronavirus law.

“ We support the new administration’s focus on removing roadblocks for vaccinations and reopening schools, both of which are important steps to accelerate a broad-based economic recovery for all Americans, ” said the group’s head, Neil. Bradley, a former House Republican staffer.

The Business Roundtable, another powerful business group, pushed for tax increases that it said would create “ new barriers to job creation and economic growth, ” while the National Association of Manufacturers said it would “ turn the clock back to archaic tax policies. ” – a possible reference to Biden’s call to increase corporate tax rates to 28 percent from 21 percent. The 2017 tax bill signed by President Trump cut them from 35 percent.

Biden's plan includes funding for roads and bridges, but Republicans are targeting track training and other programs

Biden's plan includes funding for roads and bridges, but Republicans are targeting track training and other programs

Biden’s plan includes funding for roads and bridges, but Republicans are targeting track training and other programs

The plan aims to create 'green jobs' and place many of them in ailing communities

The plan aims to create 'green jobs' and place many of them in ailing communities

The plan aims to create ‘green jobs’ and place many of them in ailing communities

“Raising taxes will not slow the economy at all,” Biden said, defending the proposed corporate tax and other measures that he said will not affect those who earn less than $ 400,000 a year.

Biden and the White House are doubling down on tax increases that they say are designed not only to fund roads, bridges and job training, but also to bring more fairness to tax law.

“Independent analysis shows that if we pass this plan, the economy will create 19 million jobs,” Biden said at the White House Friday, providing information from Moody’s analyzes. “Good jobs, workers jobs, jobs that pay well,” he said.

After Friday’s robust report of more than 900,000 jobs, Biden said the plan’s tax increases would not slow economic growth.

“Raising taxes is not going to slow the economy at all,” Biden told reporters. “Asking corporate America to pay their fair share will not slow the economy down at all, it will make the economy function better and generate more energy.”

‘If the Republicans claim we don’t need infrastructure. They have been talking about its necessity for years. If the Republicans decide we need it, but they’re not going to pay for it, the deficit will only get bigger, ”Biden said.

If the Republicans say that the next phase of my plan we don’t have to invest in VA hospitals and fulfill the sacred commitment we have made to so many Americans, when the Republicans say that the 400,000 homes and schools and daycares have lead pipes, lead pipes, that carried water to their doors, ”he continued.

“They say we shouldn’t do that?” he asked.

“What do you think would happen if they found out that all the lead pipes were on the Capitol every time they turned on the water fountain,” Biden added.

Biden and the White House said his 19 million job earnings came from Moody’s Analytics. The report quoted the figure as estimating what could happen in the next decade if the package goes into effect.

But it also found that the country would add 16.3 million jobs through natural job growth after Biden already signed the $ 1.9 trillion coronavirus bill – which followed other contingency plans.

That would bring the number of jobs produced by the infrastructure plan to 2.6 million in a decade. The analysis found that it would “ marginally slow ” growth amid corporate tax cuts, if they were to be enacted, and would create 13.5 million jobs in Biden’s first term.

Biden spoke on the day the Labor Department released a robust jobs report showing an increase of 900,000 jobs in March.

His defense came after Republican critics of the package trained fire on aspects they called “ social well-being ” rather than strict infrastructure plans. They said only $ 750 billion would go to traditional infrastructure.

That total accounts for about 5 percent of the bill’s price tag. ‘

Other elements include billions for environmental remediation and tackling ‘historical inequalities’ by spreading green jobs and apprenticeships among ailing communities, providing care for the elderly and taking into account the historical burdens placed on communities by roads and bridges.

Labor Secretary Marty Walsh highlighted the elements of the vocational training package at the White House on Friday.