Tag Archives: unemployment

Fukushima

Japan Quake = No Economic Recovery

11 March 2011.

Japan’s huge earthquake, Tsunami and huge aftershocks, are not only devastating for the people of Japan, but are devastating to Japan’s economic recovery, as well as the world’s economic recovery.

Infrastructure for densely populated areas of Japan, hit by the flooding, are destroyed. Nuclear power plants are shut down. One nuclear power plant is in emergency mode because its cooling system, and back up systems, have failed. Auto manufacturing plants have been shut down. A major oil refinery is on fire. A lot of the land flooded by the Tsunami is farm land, which means no crops this year, adding to the what the UN is calling a World Food Supply Crisis for 2011.

This on going event of Mother Earth is adding insult to injury for Japan’s struggle for economic recovery. Before the quake hit, Japan’s so called recovery stalled, with its credit rating downgraded because the country is deep in debt. Recently there was hope that investors would start buying up stocks in Japanese companies, because they were considered a bargain, and, it was thought they would pick up in value as the Japanese recovery picked up steam. Now all that is in doubt.

It looks like Japan, helped by Mother Earth, might become the next domino to fall in the world economic crisis.

Business/Economics, Idaho, U.S.

Pocatello, Idaho, Could be Site of New Super VA Clinic

A little history:  When I was a student/employee at Idaho State University, in Pocatello, Idaho, there was hope that the State of Idaho would use the old hospital to create a much needed medical school.  After all, the local economy was going down, a new owner of the hospital was building a new hospital and vacating the old one, and, the United States is suffering from not enough medical personnel.  But, our wise state leaders basically said no (some of those leaders are currently campaigning for re-election).

On to plan B.  The owners of the Portneuf Medical Center (PMC) announced that they have been working to convince the Federal Department of Veterans Affairs (VA), to turn the soon to be vacant old hospital (West Campus facility) into a Super VA Outpatient Specialty Clinic.

PMC West Campus, Pocatello, Idaho.

The new PMC hospital (East Campus facility) is complete, and they will be moving out of the old West Campus.  The new East Campus should be open by the middle of 2011.

PMC East Campus, Pocatello, Idaho.

Officials from the cities of Pocatello, and Chubbuck, as well as Bannock County officials, are working to help convince the VA to choose Pocatello.  What are the benefits?  Because of the War on Terror there is an increasing need for VA clinics and hospitals.  The old West Campus hospital would be ready made, no need to build a new facility, and, PMC says they will even leave medical equipment behind.  The location would mean that East Idaho, Montana and Wyoming veterans would not have to travel to Salt Lake City, Utah, for treatment.  Idaho State University, located right next to the West Campus, would be involved because they are already getting Department of Defense grants for several veterans programs.

A recent meeting with officials in Washington D.C. revealed that funding has become an issue, even with the fact that the VA wouldn’t have to build anything.  I think the residents of Idaho need to get behind this plan, especially since the Idaho National Guard (including members from Montana and Oregon) is currently serving another War on Terror tour of duty.

Business/Economics, Idaho, U.S.

Idaho part of Growing Concern over Unemployment Fraud commited by Employers, Or are they?

The use of third party administrators (law firms) by employers, to challenge unemployment claims, is not only on the rise, but,  just like the mortgage fiasco, is starting to look like many cases are fraudulent.

Early this year, the Idaho Department of Labor sent a letter of complaint to one of the biggest third party administrators (TPA), Talx.  Talx, a division of Equifax,  represents Walmart, Home Depot, Marriot, Best Buy, FedEx and even PBS.

It was a PBS program, called Need to Know, that reported the growing problem of TPAs working to deny unemployment benefits for those who qualify.  Unemployment benefits are paid out to people who are laid off (and continue to meet requirements to keep getting the benefits, until they find a new job), or to people who’ve gone through a legal process which proves the were fired unjustly.  What’s happening is that many unemployment  benefits are being denied because the employers are falsely claiming the employee was fired, when they were laid off.  Or, in the case of wrongful firings, the TPAs are appealing those cases, even when it is obviously the fault of the employer.

The resulting court cases are, of course, partly paid for by taxpayers.

Some states claim that Talx intentionally delays unemployment claims, floods courts with protest letters and lies about how an employee lost their job.  In May, the Idaho Department of Labor announced that agreements were made with Talx.  Those agreements seem weak to me:

  • Collaboration on training for Idaho employers on the state unemployment insurance system;
  • Modification of documents used by both TALX and the state in the unemployment claims process;
  • Development of performance expectations subject to ongoing review and analysis

These are things that should already be the norm.  Also, Idaho’s unemployment system, Idaho Job Service, is actually paid for by employers, and employers actually get money back for having low unemployment payouts (at least that’s how it was explained to me, by a Job Service employee who’s job it was to refund the employer’s money).

There was supposed to be a follow up meeting between Talx and the Idaho Dept. of Labor, in July, but I haven’t found any info on it.

Business/Economics, Idaho

Hoku Turning to China to Help Finish Pocatello Plant

13 October 2010

Hoku Corporation has taken on several millions of dollars in loans, from Chinese banks, in order to finish construction of their Pocatello, Idaho, polysilicon plant.   That’s according to information on Hoku’s website.

Also, Hoku has amended its construction contract with JH Kelly.  A result of delays due to Hoku having difficulty with funding the construction.

Hoku Corp. produces fuel cell membranes, photovoltaic systems, and hopes to produce polysilicon for solar panels at the new Pocatello facility.

Hoku has made several supply agreements with companies based in Asia, but, those agreements hinge on the completion of the Pocatello plant, and, successful demonstration of polysilicon production.  Those agreements have resulted in hundreds of millions of dollars of pre-payments by the Asian companies.

Hoku is hoping to get production started by the end of the year.

Idaho, Opinion

Red Cross Hummers. Why?

Brand new Red Cross Hummer seen in the Fred Meyer parking lot in Pocatello, Idaho.

General Motors has been donating Hummers to the American Red Cross since 2004, along with a lot of cash ($100,000 in 2004). GM claims the vehicles help with disaster response. I can see the Hummer H1 as practical for this, but the H2 & H3 are among the most impractical  SUVs out there.

Why not deck out one of GMs big four door 4×4 pickups with all kinds of rescue gear, that would be more practical. Are the H2s & H3s meant for rescuing the upper class in style?

This is just another example of the lack of wisdom in our corporate leadership. Oh, but wait, I bet GM got a huge tax write off for doing this. A tax write off for an expensive vehicle that was seeing declining domestic sales (a little more than 9,000 in 2009 compared to almost 56,000 in 2007). Oh, isn’t General Motors the company that got bailed out by U.S. taxpayers (yes, they did pay it back, at least on paper).

Here’s better news; the Hummers aren’t even made anymore. The Chinese government rejected plans to buy Hummer, and GM officially ceased production this year (apparently the last Hummer H3 left the production plant in May 2010).

So the question now is; is GM going to continue to donate vehicles to the American Red Cross, or was it just a way to write off their unsold Hummers? If they do give the ARC more vehicles I hope they choose a more practical truck.