I am writing in response to the recent Bangor Daily News OpEd written by Rep. Joel Stetkis, “ Let’s call the minimum wage what it is: a job-killing mandate.” I agree with Stetkis that a government-mandated minimum wage is not the answer to the economic troubles in rural Maine. Our free-market, capitalist economy has provided our country with centuries of prosperity. The laws of supply and demand dictate what businesses will pay for services according to market forces. The supply of unskilled, workers in rural Maine is high. Therefore, business will pay as little as possible to acquire the services of these workers. Government intervention will not have the desired effect that many believe.
I also agree that focusing on low-wage jobs will not bring prosperity the rural parts of Maine. Our state must attract and retain businesses with higher paying jobs. Because many of the factories, shoe shops and textile mills that once populated the rural parts of our state have closed or moved oversees, our state must provide an environment that will attract new and innovative industries.
As I was reading this article, it reminded me of a BDN article from last year: “ Where are Maine’s jobs? Counties, employment and moving trucks,” published June 10, 2014. In that article there was a graphic of the state of Maine that showed the unemployment rate for each of the counties. As I looked at the graphic, it occurred to me that there was something in common with every county that had lower levels of unemployment. Anybody who has ever used the Maine Gazetteer could easily identify the similarity — Interstate 95! The most prosperous regions of the state follow the I-95 corridor all the way to Aroostook County. Where there is infrastructure, there is prosperity. It simply doesn’t get any simpler than that!
Newton’s first law states: “A body at rest will stay at rest until acted upon by another force.” Areas of prosperity will continue to prosper because they will generate tax revenue that governments can use to invest in infrastructure. Areas without economic prosperity will continue to lag behind because they lack funds to invest in infrastructure to attract new industries. What every individual in the state needs is economic opportunity — plain and simple! In order to give them that, the state must focus more resources on rural areas to build infrastructure. No amount of tax cuts or deregulation will bring industry to an area with crumbling roads; slow Internet speeds; untrained, unskilled workers; and high operating expenses.
We must work diligently to ensure that Maine’s transportation systems are maintained to allow for the flow of goods throughout the state — not just the I-95 corridor.
We must ensure that every individual in the state has access to reliable broadband Internet access. The world is moving online. With an effective technology strategy, rural Maine can compensate for the lack of transportation infrastructure by creating an online presence. Twenty-first century business can successfully complete literally from the middle of nowhere!
We must ensure that every child in Maine has the same educational opportunities. These must start at an early age (Head Start and statewide preschool) and continue past high school. What businesses need more than anything else is a highly skilled, capable workforce.
We must divorce health care from our employers! In no other industrialized, developed country are businesses forced to provide health care for their employees. It is completely illogical that employment is a prerequisite for health care. How can our small and medium-sized businesses compete globally when similarly sized companies around the world don’t have to pay for insurance for their employees?
Global economic conditions have changed dramatically in the past few decades. Ideas of the past are no longer effective. Free trade has moved labor-intensive jobs overseas and left many rural communities without local employers. Tinkering with taxes and attacking the opposing party will not bring economic opportunities to areas of the state that lack basic infrastructure. Neither will enforcing a minimum wage, unionizing employees or forcing employers to carry the burden of health care.
All members of all parties at all levels of government must work intelligently and collaboratively. We don’t need our politicians to play politics — we need them to govern. Economic opportunity is the only solution to issues such as unemployment, welfare, poverty, drug abuse, crime and hunger. Let’s find a way to provide business the environment it needs to thrive and provide this economic opportunity. Let’s find a way to develop economic policies that look forward and not backward.
Roy Ulrickson III of Dexter is in his final year of the Master of Social Work program at the University of Maine and is a former member of the Dexter Planning Board.