The President, Retail and Jobs

NRF has always emphasized the importance of the retail industry to the nation’s economy. So, at a time when the economy is on an upswing after a two-year recession that presented challenges for retailers and consumers alike, it was particularly gratifying to see that role clearly recognized in this year’s State of the Union address.

President Obama made pro-business policy positions a centerpiece of the January speech, promising to “make America the best place on Earth to do business.”

In doing so, he pointed out “all of the good jobs from manufacturing to retail” that have resulted from job-targeted government policies like the funding of research and development. He also praised debit card swipe fee reforms sought by NRF and enacted last year as an example of “commonsense safeguards” for consumers. And he proposed a number of initiatives that would benefit retail, including a lower corporate tax rate in return for elimination of a number of tax breaks that apply mostly to other businesses.

This stepped-up embrace of the business community by the White House wasn’t limited to the State of the Union. Just a few days earlier, President Obama vowed to reduce or eliminate many unnecessary regulations that hamper small businesses. And the week after the State of the Union, he showed his commitment by venturing across Lafayette Park from the White House to the headquarters of the U.S. Chamber of Commerce, where he spoke before NRF and other business organizations and pledged to be “more neighborly” with the private sector.

During the Chamber speech, the President offered to work with businesses but also urged companies to “get in the game,” saying job creation hinges on businesses putting to work money that is currently being held in reserves.

Retailers — who already provide nearly 25 million jobs — are ready to meet this challenge and hire even more workers as the consumer-led recovery creates opportunities for expansion. We believe the nation’s economic recovery is real and sustainable — after seven months of positive growth and a better-than-expected holiday season, we are forecasting that retail sales will grow 4 percent this year. But the recovery needs to be protected and supported through the adoption of policies that recognize that job creation is mission-critical. The initiatives outlined by President Obama clearly support an atmosphere that encourages businesses to grow.

Every job created has a positive ripple effect throughout the economy, and the President’s promise to make jobs his No. 1 priority shows he understands that very clearly. As the industry that employs one of every five American workers, we stand ready to work with the President and Congress to promote initiatives that support job growth and economic prosperity.