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Labor, trial lawyers like new landscape in Illinois

  • 11-07-2002
For so many years, Illinois businesses have known what to expect from Republican administrations in Springfield--a pro-business agenda that included stiff opposition to higher corporate taxes and support for reining in personal injury awards.þþNot anymore. The Democratic sweep of state government in Tuesday's elections has transformed the landscape. And now everyone from business lobbying groups to health-care insurers is scrambling to adjust to the new political reality.þþAs one might expect, those with long-standing Republican ties say they are worried that governor-elect Rod Blagojevich will bust the budget and expand government's role in regulating business.þþMeanwhile, groups that have largely been frozen out in Springfield, like labor unions and personal injury attorneys, are welcoming what they call a breath of fresh air.þþÿThe important thing is that we will now be able to have our bills heard in the Illinois Senate,ÿ said Margaret Blackshere, president of the Illinois AFL-CIO, the union confederation. ÿUnder (Senate President James) `Pate' Philip's leadership, we were simply denied a hearing. Over the last 10 years, our bills were never called, so they could never be considered.ÿþþTopping the Illinois AFL-CIO's ÿto doÿ list: a hike in the minimum wage as well as expansion of the pool of workers covered. Union members, who worked hard for a Democratic victory, have good reason to be optimistic on that score. Blagojevich has pledged to push for a minimum-wage increase.þþAnother group breathing easier is the Illinois Trial Lawyers Association. The 2,000-member association is so used to reacting to the Illinois legislature's attempts at so-called tort reform that it hasn't put together a new political agenda.þþOne thing is certain, says Jim Collins, the group's executive director: ÿWe feel good about the election. We have had some tough times in the last few years. Certainly, the makeup of the general assembly and governor's office will be more friendly to consumers than the prior administration.ÿþþA consumer-friendly administration, another Blagojevich promise, has other businesses ranging from utilities to manufacturers concerned.þþBlagojevich has the opportunity to appoint two commissioners to the five-member Illinois Commerce Commission, which regulates utilities including Commonwealth Edison Co. and SBC Ameritech, when the posts become open in January.þþManufacturers worry the new governor will do away with some tax breaks as he seeks to close a hole in the budget. Among them: a research and development tax credit and a sales tax exemption on the purchase of equipment and machinery. ÿNot having to pay the additional 6 1/2 cents on that purchase is sometimes a very important factor in increased capital spending,ÿ said Gregory Baise, president of the Illinois Manufacturers' Association.þþMore generally, the Illinois Chamber of Commerce is worried about Blagojevich's talk about ÿgender pay equity.ÿþþÿWe're not certain what that is,ÿ said Todd Maisch, the chamber's vice president of government affairs, ÿbut we're concerned it's a massive new effort on behalf of the bureaucracy to reach into the workforce and tell employers how much people should be paid.ÿþþAlso fretting about the election's outcome are insurance companies that fear state Democrats will require insurers to cover more medical services and allow patients more rights in appealing adverse decisions.þþTo fend off possible attacks, health plans are marshaling forces to plead that additional regulation will further drive up the cost of medical care.þþÿIt is more imperative than ever to work with our allies--the employers, unions and municipalities--and to educate the decision-makers about the enormous cost effects and consequences of some of the more liberal policies of health care,ÿ said David Dring, spokesman for the Illinois Association of Health Plans. ÿWe don't want to see the number of uninsured rise because of increasing health-care costs.ÿþþDoctors, too, have reason to be less than enthusiastic about the new Democratic regime. One of their top priorities has been limiting malpractice awards in order to curb big increases in their insurance costs.þþWhile they're unlikely to achieve that, the state's physicians wisely hedged their political bets this time around. The traditionally Republican-leaning Illinois State Medical Society surprised many observers by endorsing Blagojevich.þþOne pro-business group that isn't worried about working with the new administration is the Chicagoland Chamber of Commerce. After all, the business group has plenty of experience dealing with Democrats like Mayor Richard M. Daley.þþJerry Roper, the chamber's president and CEO, says he has been working with Blagojevich for six months ÿlaying out the issues that are important to the business community.ÿþþBlagojevich's election-night promise to look for ways to save money rather than raise taxes to close the budget deficit was encouraging, Roper said.þþAlso positive is Blagojevich's support for expanding O'Hare International Airport, a plan the Chicagoland Chamber is ÿ100 percent in favor of,ÿ he said.þþÿWe believe we can work with this administration. We have to. They're there,ÿ he said. ÿWhat all of these administrations have to understand is that businesses can vote with their feet. They can move anywhere they want.ÿþ

Source: Chicago Tribune