Here’s What Ohio Manufacturers Are Saying About How Tax Reform Will Help Grow the Economy

By December 7, 2017Shopfloor Main

While our elected officials in Washington debate comprehensive tax reform, manufacturers across the country continue to push for bold tax reform that would allow them to hire and reinvest in their businesses.

In fact, in the National Association of Manufacturers’ most recent Manufacturers’ Outlook Survey, we saw record-high optimism from the manufacturing community. An astounding 90.87 percent of manufacturers are positive in their company’s outlook. Last year, it was 59.77 percent. This is undoubtedly due to movement on tax reform. More than 64 percent of manufacturers said pro-growth tax reform would help them expand their businesses and increase capital spending.

We spoke with Tanya DiSalvo of Criterion Tool, a precision manufacturing facility for the medical device, aerospace and photonics industries with 43 employees, in Brook Park, Ohio. Tanya is the third generation of her family to work at Criterion and explained how tax reform would help her business and community:

Q:  What will tax reform mean to your company in terms of investment, hiring and growing the business?

A: It would give us the opportunity to invest in more people and equipment and to continue to grow. 

Q: If you’re a business owner, what would you do with the money from tax reform, and how would that benefit manufacturing workers? 

A: Reinvest, additional training, raise the level of our lowest team members to the next level and back-fill their positions. 

Q: Why do you feel Congress should pass tax reform now?

A: It is difficult to run a small cutting-edge manufacturing facility and be relevant. Tax reform would set more globally competitive income tax rates for both pass-through and C-corporations, allow for 100 percent business capital expenditures expensing, maintain business loan interest deduction (particularly for small businesses), increase the R&D tax credit and maintain some level of net operating loss protection to help with the next recession. 

We also discussed tax reform with Karl Reuther of Reuther Mold and Manufacturing Company in Cuyahoga Falls, Ohio. Reuther Mold and Manufacturing’s 60 employees produce tooling for the manufacturing of military and commercial jets and oil production. On tax reform, Karl told us how the changes will help him to reinvest in the business: 

Q: What would you do with the money from tax reform, and how would that benefit manufacturing workers?

A: To compete globally, we need a huge investment in newer technology. The newer technology enhances our ability to compete, for our workers to retain their jobs and for us to attract new manufacturing workers.

Q: How would that benefit middle-class Americans?

A: Over 80 percent of our workforce is middle-class Americans, 5 percent above middle class and 15 percent below middle class. If Reuther Mold does better, we enhance the lives of more middle-class Americans.

Q: What parts of tax reform matter the most to you and why?

A: Being able to invest more funds into Reuther Mold for greater growth and competitiveness for the long-term future of my company. 

Q: Why do you feel Congress should pass tax reform now?

A: Reuther Mold, being a successful third-generation business, needs tax reform to carry it forward. We have many regulations that hold back our growth and ability to sustain us. We need tax reform to help us to move forward into the future.

How will tax reform help your business? Share your tax reform story with us here or contact your representative about tax reform below!

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