Save what’s left of the local economy

Just the facts

 THE CNMI’s (struggling) economy needs workers. They’re already here, including those on CW-1 permits who were vetted and approved by federal authorities. But then there’s the “touchback” rule which is as arbitrary (and mindless) as any government rule that was concocted mainly for political reasons. The rule is supposed to benefit “hypothetical” U.S. workers (voters) — while harming actual U.S. workers in the government and the private sector whose work-hours will be reduced or who may even lose their jobs if the economy continues to fall apart. And it will if businesses are deprived of their workers.

Given the federal red tape involved, the 30-day exit required by the touchback rule can stretch to several months. Meanwhile, what happens to the businesses whose workforce has been decimated?

The case for repealing the touchback provision is based on well-established facts, and these include historical records, demographics, census figures, several economic reports including those issued by the GAO, and the experiences of other nations and jurisdictions who have larger populations and more prosperous economies that pay higher wages but are still grappling with severe labor shortages.

More facts

THIS is not an either/or issue. This is about the economy. And everything is interconnected in an economy. Several businesses that will have to downsize or, worse, shut down all at once will have a tsunami effect on the local economy.

Businesses and their workers are also customers, tenants and/or vendors of other businesses. All of which generate the revenue the government can collect. And this is the same government that is the largest (and preferred) employer of local residents (voters), and the primary provider of an extensive array of public services and benefits.

This is not a CW issue. This is a CNMI issue. The viability of the local economy is at stake. Everyone will be adversely affected if the economy deteriorates further, and it will if its law-abiding, legitimate employers are deprived of their workers all because of a senseless rule.

How senseless?

THE federal CW law, like most laws, assume that because it says so, it will be so. The touchback provision, its proponents say, will “force” CNMI employers to reduce their reliance on foreign workers.

How is that working in the U.S. where employers are eager to hire undocumented migrants and pay them high wages because of an acute and persistent labor shortage for certain jobs — the same jobs that are badly needed in the CNMI?

The CNMI has a small local population. (Over 17,000 local men, women and children, according to the 2020 Census.) As U.S. citizens, moreover, local residents can get a U.S. college diploma and/or move elsewhere in the U.S.  Their career choices are virtually limitless. Why do you expect that a sufficient number of them will choose jobs that do not require a college diploma?

Again, how is that working out in the U.S., Western Europe, Japan and other developed countries with larger populations, ever increasing wage rates and a profusion of workforce training/apprenticeship programs?

Please allow the local economy to breathe a little

THE CNMI should be allowed to rebuild its economy. Economic recovery and growth will create more jobs, more business and livelihood opportunities, more programs and services, including workforce training and apprenticeships for more local residents.

All the feds have to do is to allow legitimate CWs who are already here and are lawfully employed by law-abiding employers to continue working here. That is all.

The modification or repeal of the touchback provision will not cost the U.S. Congress anything. And it has nothing — absolutely nothing — to do with the ongoing immigration debates in the U.S. that involve millions and millions of illegal or undocumented immigrants.

To his credit, Congressman Kilili has already introduced legislation to delay touchback for three years. A repeal would have been preferrable, but in light of the unfortunate stateside immigration politics involved, even a three-year delay is so much better than the current rule.

For his part, Governor Palacios has requested U.S. lawmakers to modify, if not repeal, the touchback provision. The CNMI House of Representatives and Senate should follow suit and adopt  a joint resolution expressing support for Congressman Kilili’s bill. The mayors and municipal councils should likewise chime in. And the local business community must continue  educating U.S. lawmakers about this issue.

The federal government should do no further harm to the local economy which is already choking from the stranglehold of other capricious federal rules.

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