According to Fox News, The National Association of Manufacturers launched the Manufacturers for Sensible Regulations coalition to address the “onslaught” of federal regulations impacting the industry. The association sent a letter to Biden’s Chief of Staff, Jeff Zients, to request the White House designate a senior-level advisor to work with agencies and manufacturers to ensure achievable regulatory practices moving forward.
According to the letter, the federal regulations impact manufacturers’ ability to hire new workers and suppress wage growth for manufacturers that are the backbone of the supply chain. They also stall or prevent manufacturers from purchasing equipment, conducting research and development, and investing in their communities, putting manufacturers in the U.S. at a competitive disadvantage globally.
More than 63 percent of manufacturers reported spending over 2,000 hours per year complying with federal regulations, and more than 17 percent exceeded 10,000 hours,
Business concerns also climbed, with 65 percent of manufacturers saying they would purchase more capital equipment if the regulatory burden decreased and 46.9 percent saying they would increase compensation. 43.2 percent would hire more workers, 40.1 percent would invest more in research, and 38.1 percent would expand their facilities.
While they praise the 2022 Chips and Science Act and key energy provisions in the Inflation Reduction Act, many regulatory agencies are creating impediments. They suggest that businesses be at the table when these decisions are made. That coordination would better help to bring the whole government together.