Tax-Break Firms Break Jobs Pledges

Regardless of whether you support the idea of tax breaks for firms that retain or create jobs in a given locality, businesses that signed up for these tax breaks and cut the number of jobs in those localities or failed to create jobs should be held accountable. This is just the experience in New York City:

More than 100 businesses have slashed 4,111 local jobs despite getting more than $91 million in tax breaks and incentives from the city intended to spur job growth, The Post has learned.

According to a new report from the city Economic Development Corp., government aid has been granted to more than 500 companies since 1998 "to support investment, job retention and growth."

The report reveals that 35 of the 500-plus deals carried a minimum job requirement last year, and that eight of the 35 failed last year to create the jobs they promised as part of their deals. Despite this, only one company lost any of its benefits.

Among the eight companies are international investment bank Brown Brothers Harriman, teen-clothing chain Delia's and the former concert and sporting-event producers SFX Entertainment, now owned by Live Nation.

These businesses got tax breaks on the promise that they would keep their business in New York City and create jobs. They've failed on those promises, and should not be entitled to the tax breaks.