Many business owners in the city of Milwaukee are disappointed that voters approved an adversory referendum to require mandatory sick leave for employees.
Business owners say the referendum that was approved by voters Nov. 4 could have some unintended consequences if it is enforced.
“I think we will have to consider relocating outside the city
of Milwaukee, as well as other cost reductions in order to offset these added costs,” said Les Wilson, financial officer and part owner of Pereles Brothers Inc., a plastic injection molder. “We are going to have to shoulder the burden of the added cost of this mandate, and our business is one that we cannot pass the cost on to our customers, without the risk of losing the customer. We can’t afford it.”
Jamie Maliszewski, president and chief executive officer of Elite Finishing LLC and president of Reliable Plating Works Inc., said his companies will respond by giving employees fewer flex days and paid holidays, and the employees will pay a larger share of their health insurance costs.
The Metropolitan Milwaukee Association of Commerce has issued a notice of claim to the city that it is assessing its legal options to challenge the ordinance.
“As well-meaning as this mandate is, it is seriously flawed and presents a serious risk to Milwaukee jobs and businesses,” said Tim Sheehy, president of the Metropolitan Milwaukee Association of Commerce. “This mandate will make the City of Milwaukee an island of regulation, discouraging business development and scaring away potential employers who want to locate in the city. Ultimately, the mandate will be a detriment to Milwaukee workers, not a benefit.”
The referendum will hurt Milwaukee, even if it ultimately is defeated in court, Maliszewski said.
“People will have to live with something they voted for without knowing what they were voting for,” he said. “Lawyers will make a lot of money on it, and businesses and the city will have to spend money to fight it. The costs will be astronomical to the city. It’s a travesty of justice and a misuse of American freedom.”