Blank also meets with local business leaders as part of White House Business Council outreach effort

Acting U.S. Commerce Secretary Rebecca Blank today toured the University of Toledo Clean and Alternative Energy Business Incubator, a program that supports collaboration between clean energy companies and the university in order to help grow the clean and alternative energy industry in the region.  Since its opening in 2005, the incubator has had a regional economic impact of more than $700 million.   

At the University of Toledo, Blank discussed details of President Obama’s American Jobs Act.  Blank highlighted the different ways the plan could make an immediate impact on job creation: cutting taxes for small businesses, putting more money in the pockets of consumers through an expanded payroll tax cut, and preventing the layoffs of teachers, firefighters and policemen, while putting construction workers to work through much-needed renovations to school, roads, railways and airports. Blank underlined the need for Congress to act quickly on the bipartisan measures in the Jobs Act.

President Obama held a press conference today to continue his fight for Congress to pass the American Jobs Act. He explained what needs to happen to boost economic growth in the United States. One of the key proposals are tax cuts for small businesses. The president’s plan includes new tax cuts to businesses that provide immediate incentives for firms to hire and invest. These tax cuts would be available to all businesses, regardless of size, but are designed to target their impact towards the smallest businesses.

Key elements of his proposal are:

• A payroll tax cut to businesses, with a focus on small employers ($65 billion in combination with the payroll tax holiday for new wages)
• A complete payroll tax holiday for new jobs or wage increases
• Extend 100 percent business expensing through 2012 ($5 billion)
• Help entrepreneurs and small businesses access capital and grow

A payroll tax cut to businesses, with a focus on small employers ($65 billion in combination with the payroll tax holiday for new wages)

The president’s plan will extend the payroll tax cut to firms by cutting in half their payroll tax on the first $5 million in payroll. Next year, instead of paying 6.2 percent on their payroll expenses, firms would pay only 3.1 percent. The president’s plan would provide tax cuts for all firms, with focused relief on the 98 percent with less than $5 million in payroll.

How It Would Work for a Typical Firm: A construction firm with 50 workers earning an average of $50,000 a year–for a total payroll of $2.5 million–would receive a payroll tax cut of 3.1 percent of its total payroll, or about $80,000. The firm’s workers would receive an average tax cut of about $1,500 a year from the employee side payroll tax cut in the president’s plan.

President Obama continues to call upon Congress to pass the American Jobs Act. He has explained how his proposals will benefit the unemployed and put money back in Americans' pockets. One proposal includes Pathways Back to Work for Americans Looking for Jobs. This section of the president’s plan would help out-of-work Americans and their families by extending unemployment insurance to prevent six million Americans looking for work from losing their benefits, while at the same time reforming the system to help support programs that build real skills, connect to real jobs, and help the long-term unemployed. The president’s plan is targeted to address long-term unemployment in an aggressive, multi-pronged way, drawing from ideas about what is working from around the country and from both parties. 

Key elements of his proposal are:

• The most innovative reform to the unemployment insurance program in 40 years: As part of an extension of unemployment insurance to prevent five million Americans looking for work from losing their benefits, the president’s plan includes innovative work-based reforms to prevent layoffs and give states greater flexibility to use Unemployment Insurance (UI) funds to best support job-seekers and connect them to work.
• A $4,000 tax credit to employers for hiring long-term unemployed workers.
• Prohibiting employers from discriminating against unemployed workers when hiring.
• Expanding job opportunities for low-income youth and adults by investing in promising and proven strategies and programs like summer jobs and sector-based training programs.

White House fact sheet

Guest blog post by Francisco Sánchez, Under Secretary for International Trade, International Trade Administration

Today I had the honor of inaugurating the U.S. Pavilion at the Offshore Technologies Conference in Rio de Janeiro, Brazil. The pavilion is giving more than 80 U.S. firms the opportunity to exhibit their products and services to potential buyers in Brazil and elsewhere in the Western Hemisphere.  The pavilion also supports a Department of Commerce–certified trade mission that was organized by the state of Louisiana along with that state’s Committee of 100 for Economic Development.

Why Brazil? There are a lot of reasons for U.S. companies to look for business here, especially in the energy sector. Economically, Brazil is on the rise. It is the world’s seventh largest economy and in 2010 posted a real GDP growth rate of 7.5 percent. This strong growth is sure to continue in the long-term. One factor in that growth will be Brazil’s oil and gas sector, buoyed by the recent discovery of offshore oil reserves in the Santos Basin. The discovery of these reserves is good news for the United States—both for the potential market it represents for U.S. sellers of energy products, technologies, and services as well as for the likelihood that that it will make Brazil a stable and secure source of energy for the United States in the future.