By now you’ve read the whiny op-ed in the WSJ by Ari Fleischer’s brother, explaining that the evil government is to blame for him not hiring more employees. Putting aside the fact that Bogen’s main business is… as a contractor for various government entities (via), this comment at OTB was pretty informative:
The fact is that if Mr. Fleisher’s company has to buy an extra box of paper clips it will cause them to go belly up. He’s in not position to hire anyone regardless of tax policy.
The reason Mr. Fleischer’s company isn’t hiring has nothing to do with taxes or the policies of any administration. It’s because his business has been in decline for a decade. As the CEO, that decline is his fault. All his complaining about taxes and benefits is just a smokescreen for his own incompetence.
The world changed around them a decade ago and they failed to adapt. In 2000, their annual sales were 66 million dollars with cash on hand of 12 million. By 2003, sales were down to 55 million and cash was down to 6 million. That was before the financial crisis and under the allegedly pro business policies of the previous administration. In 2009, sales were down to 44 million and cash was down to 2 million. They manages to lose 17 million dollars that year and got a carry back refund of some 5 million dollar. Mr. Fleischer should spend less time complaining about taxes and more time thinking about how he can correct 10 years of mismanagement.
Don’t take my word for it, read the balance sheets yourself.
Can a brother get a “Heh-indeedy?” I think Mr. Fleischer should join the rest of the productive people out there and go Galt.
And on a serious note, it still amazes me that companies do not include the amount they pay in benefits (especially health insurance) on their pay slips to employees. You want to change the cost of health care- start mandating that be put on every employee’s paystub.