Sen. Gresham announces support of legislation to aid small business owners

October 23, 2009

Sen. Gresham announces support of legislation to aid
small business owners

(NASHVILLE, TN), October 23, 2009State Senator Dolores Gresham (R-Somerville) said today she supports legislative efforts to repeal a new law which requires certain construction subcontractors and independent contractors to carry workers’ compensation insurance on themselves.  The bill directly impacts small business owners who
say the law, Public Chapter 1041, will cause them severe economic hardship and may cause them to close.

“I voted against this law when it came before us and I will continue to oppose it,” said Senator Gresham.  “This law imposes severe economic hardships on our small business owners and must be addressed during the upcoming legislative session.”

A Joint Worker Compensation Committee heard testimony on the effects of the new law in Nashville on October 22.  The committee heard from several small business owners, who say they cannot afford the additional expense.  Those most acutely impacted by the legislation are independent contractors and sole proprietors. Those testifying reiterated that requirements included in the new law will cost them at a time when business owners are struggling because of the recession, and may force them to close.

“We should not be forcing mandates on small business owners, especially in the current economic climate,” Gresham added.  “This could cost our state many jobs at a time when we cannot afford it.  Hopefully, we can immediately take action to delay the implementation of this law upon the legislature’s return in January.

The legislature has adjourned until January 12.  The new law is scheduled to take effect on December 31.

Senator Gresham represents Senate District 26 which is comprised of Crockett, Haywood, Fayette, Hardeman, Chester, McNairy, Hardin, and Wayne Counties.


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