-- Connecting the dots between our economy, government and business --
Summary and audio linked here.
Chicago’s political leadership is floating a pension buyout program as evidence it is seriously addressing the city’s thirty-six-billion-dollar unfunded pension liability, but Mark Glennon, founder of the Illinois policy research organization Wirepoints, said that the proposal moves debt from one column to another rather than reducing it, and that the broader fiscal picture facing the city continues to deteriorate across every measurable dimension. Audio here.
Expect no retraction or apology. This what they do.
The state’s existing buyout program for its own pensions is the precedent for Chicago, which should be a warning: Look out for similar exaggerated claims and shoddy analysis.
Full interview and summary linked here.
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Must read article. Now pressure on McDonalds may cause them to leave Chicago and Illinois. Typical Democrats of sneaking in higher burdens on businesses with little scrutiny or study. $41 head tax when a $4 head tax was a burden on businesses? Taxing McDonalds on revenue from overseas? Can’t they Democrats see the obvious reactions of businesses to their little scams?
They will leave Illinois for sure. Lots of other states are making them great offers right now. The crazy taxes are only going to get worse. The lust for pension money is not going to end for generations.
The hits are going to keep coming. McDonalds is just the latest to reach a break point. Chicago will be the worst in IL, but the whole state is rotting thanks to Democrats and the public unions. Pritzker and IL Democrats are now viewed as a laughing stock across America, unable to do anything right. Inept and totally corrupt.
Serves McDonalds right. Moves from tax friendly Oak Brook to Chicago where it is now subject to the whims of a “tax the rich and big business” mayor. Shouldn’t it have seen this coming? After seeing other companies such as Boeing and Citadel leave?
This is a major threat. This EVP did not write this without the support of the Board of McDonalds. The Board answers to global shareholders about its global revenue stream. Less than 40% of McDonalds is US. https://corporate.mcdonalds.com/content/dam/sites/corp/nfl/pdf/McD_IU_FactSheet_Nov_2020.pdf Why should McDonalds keep its HQ in high-cost Chicago? It remains unloved for all its “commitment” to Chicago, and will just keep paying high salary for its HQ employees (who will pay high property taxes plus private school tuition because CPS is getting worse) and high rent for its properties, plus taxes that come off the bottom line for worldwide revenue (most… Read more »
And now you know why McDonalds is going to kiosk ordering. Less people. Less jobs. Great work pissing off a major employer.
Ordering from the Kiosk is a mess. The software is slow, it is difficult to find certain items, and they try to upsell you with every purchase. It takes me at least 3-4 minutes to place an order for 2-3 people and I’m fast. I’ve witnessed families, with lesser means and slower intellectual capabilities, take 7-8 minutes to figure out their purchases and pay at the kiosk. Kiosks will supplement cashiers but never replace them. And don’t even get me started with the Gaeilge language option Kiosks.
Is it the thought process of Illinoisans that these democrats they continue to elect year in and year out want to somehow make your life better? Do you really still believe that they give a rat’s behind what happens to you? When do you come to the realization that they have no desire or intent to fix anything? They only want the system destroyed and all institutions pulled down so they can replace it with a communist system? And here’s a newsflash, there is nobody, other than the leaders, who get rich in a communist system. I guess they didn’t… Read more »
The answer to the question in the headline is simple – socialists think that businesses add nothing more to the community than their value as tax (money) mules. Also, socialists mock ( or maybe hate?) capitalists. McDonald’s bought into all the woke views when it moved its headquarters from (relatively capitalist) suburban Oak Brook to the west loop. Now it is dealing with the longer term consequences of that very imprudent decision. The socialists, and their enablers such as Pritzker, seem firmly in control of the state and city. Given these proposed policies / taxes, the socialists don’t seem to… Read more »
Agreed. I find it interesting that the author calls out everyone but throws Pritzker a bone as if he doesn’t have his sausage fingers in all of these ideas. Nothing in this state gets thru without his greasy stamp of approval.
Now, now. No need to be concerned. New businesses will come in to take over the vacated spots. And then those new businesses will pay the taxes. Right?
You laugh but THAT is exactly what the marxists & bolsheviks believe. It’s why tyrant King Pritzker had no qualms about destroying thousands of small and mis sized businesses during the 2020 Covid coup d’état. They think demand just magically creates commerce and anyone could step in and fill that demand. What they dont understand is that capitalism is fundamentally about risk & reward first, and IL is all risk with little to no reward anymore. Unions, trial lawyers, regulations, the threat of being arbitrarily shut down over political movements, it’s just too risky here. It will take at least… Read more »
The McDonalds EVP thanks Pritzker for encouraging companies to do work in Illinois but seems to blame the legislature for the taxes. Stop. JB signs the budget, helps get these people elected and should know full well the financial chaos he is creating. He needs to take full responsibility for the IL mayhem but he obviously thinks McD won’t leave. Very dangerous because when shareholder value goes down, it makes companies take corrective action. This is a slap to the face to JB – does he realize it? McD should never have left Oak Brook. Go work go broke applies… Read more »
So what? It’s not like McDonalds can automate those jobs and eliminate them. Oh by the way, in the Chicagoland area most of those jobs are held by Hispanics. So much for caring about the Hispanics. Don’t make threats Mr. Banner. It will get you nowhere in Illinois. Either move or automate, those are your choices. Hoping for change here is borderline mentally disabled. Illinois’ neighbors thank you.
It’s a total Communist Totalitarian mind set. Illinois is an open slave plantation.
The democrats doing what they do best, destroying everything. Not surprised one bit. An absolute clown car of incompetence.
He is spot on though he lost me when he praised Pritzker for being pro business when in fact he’s raised taxes 70 times during his tenure. I take that praise as insincerely throwing him a political bone in effort to get Pritzker to up the pressure on the head tax and to pocket something for when McDonald’s needs something at the state level. Too many people and businesses have left the city and state for his praise of Pritzker to be taken as sincere.
Easy to answer question. The lust for money to pay for excessive pensions makes it so Chicago and Illinois have to continue to raise taxes for generations. Even after all the tax increases needed to fund pension payments, they are still broke. Illinois quality of life and business has been eaten by the Public Sector Greed. The public sector does not work for you, but you work for them.
Your last sentence is dramatically impactful at first glance, but it’s equally true in reverse as well. Consequently that statement loses much of its steam.. Every time a public sector worker buys something from a business the public sector purchaser is working to support the workers of those businesses as well. That’s the way our quid quo pro economy works.
Other people would call it quid pro quo (not quo pro.) Regardless, quid pro quo implies each person gets an even exchange. Paying someone $20/hr+ to take your $10 sandwich is not break even and is the twisted logic that got IL in this mess in the first place.
I didn’t say not imply that every exchange is equal. The point is each person gives something to get another thing in return. That’s the American way.
Thanks for the correction regarding my word usage! I’m “up there in years” and may well not remember it going forward in that I very seldom use that phrase, sorry to say, but your correction there is appreciated even so.