Ohio Governor Ted Strickland handed out a contract to a call center for Ohioans to get rebate information, using $171,300 of the federal stimulus money. Sounds like some jobs “created or saved” for Buckeyes, right? Something the Governor who’s in a tight battle for re-election to hang his hat on, right? So, how many Ohio jobs did that chunk of taxpayer money “create or save” for Ohioans? Zero.
You see, all the Ohio call centers put bids in of over $200,000 so Strickland shopped the contract out to… El Salvador. That’s right, the “create work now” “stimulus” money was sent to Central America. Ted just wanted to save money, you see, instead of “creating or saving” Ohio jobs.
One of Warner Todd Huston’s commenters had an interesting question. How much is it costing Ohio to pay for the unemployment benefits for the Ohioans who didn’t get the jobs the El Salvadorans got? That, indeed, is a good question, based on the idea that the money would’ve “created or saved” Ohio jobs. But the call centers may not have had to alter their payrolls to add that business to their call center work.
Another question is why a Democrat Governor can shop work out to Central America and still attack businesses who do the same? Or how many people think those El Salvadorans are even getting paid a rate equal to Ohio’s minimum wage (which is higher than federal minimum wage)? Do those El Salvadorans have US-approved health insurance?
Or, how much impact will that $171,300 that got shipped out of the country have on the Ohio economy? How many dollars will those El Salvadorans be spending in Ohio grocery stores? What is the multiplier on that money for the Ohio economy?