Employers Pessimistic about Jobs Plan

    People wait in line to enter a job fair in New York August 15, 2011. U.S. President Barack Obama began a bus tour of the U.S. Midwest focused on jobs and the economy on Monday, aiming to leave behind doubts about his leadership that could dent his 2012 re-election prospects. 

    Shannon Stapleton / Reuters

    This could be bad news for President Obama and his jobs proposal. Employers say only a strong economy, not tax credits, will prompt them to hire new workers. For some employers, there just isn't enough business to give new workers something to do. As for the credit given to employers who hire those who have been unemployed for six months or more, some CEOs said they were unlikely to do so even if the government gave them a $4,000 tax credit. Economists estimate the jobs plan could create between 500,000 and 2 million new jobs next year, but most of those jobs would come from infrastructure spending and increased consumer spending made possible by the payroll tax cut for workers.

    Read it at The New York Times