Heritage Foundation Expert Rachel Greszler testified before Congress’ Joint Economic Committee about the importance of workplace empowerment–and how a weak economy, outdated labor laws, occupational licensing rules, and government micromanagement of businesses thwart this goal.
She made six recommendations:
Policymakers should consider cost-benefit analysis of existing regulations and red tape, create greater certainty for businesses through fiscal discipline, and reform programs that discourage work among able-bodied individuals. Second, labor laws should be brought up to date, giving employees an individual voice on the job and the opportunity to be paid according to their work. Third, high marginal tax rates should be reduced and programs that impose disincentives for work should be reformed. Fourth, states should ease restrictions and requirements on licensure laws where evidence shows such laws to be unnecessary and harmful. Fifth, employers should consider allowing employees to choose between employer-provided benefits such as health insurance and cash or other benefits. Sixth, policymakers should look to the successes of less regulated businesses and entrepreneurs as ways to empower existing employers and employees, and should avoid micromanaging employers in ways that will reduce employee empowerment.
How do you empower workers in your business?