TRENTON, NJ-A Washington, DC advocacy group is releasing a report today criticizing five state job incentive programs, including those in the Garden State, claiming they are engaging in “jobs fraud.”
Good Jobs First, a group that focuses on corporate and official accountability for tax subsidies, has singled out New Jersey’s employment incentives program that in some cases offer multi-million dollar incentives to attract existing jobs to the state, according to a report in The Record.
“It is just plain hard to avoid New Jersey when tracking subsidy trends,” states Greg LeRoy, executive director of Good Jobs First. “Over at least the three most recent administrations, with BEIP, the massively expanded ERG, and the Urban Hub Tax Credit (and its expansion), New Jersey has decided to put huge amounts of eggs in a small number of corporate baskets.”
The report characterized the practice of granting incentives for existing jobs as “wasteful and unfair” and states that economic development agencies should end what it terms as “piracy” policies that give companies incentives to relocate jobs that already exist. A spokesman for the New Jersey Economic Development Authority did not return a call seeking comment on the report.
Preliminary figures indicate New Jersey granted $591 million in job creation incentives in 2012, the newspaper reports. See story in The Record.