Washington, D.C. -- The National Retail Federation welcomed President Obama’s recognition of the importance of the retail industry to job creation in Tuesday night’s State of the Union address, and pledged to work with the White House on initiatives to promote continuation of the nation’s economic recovery.
“We are pleased to see that President Obama recognizes that jobs in the retail industry are good jobs and important to the economy,” NRF president and CEO Matthew Shay said. “It was significant that he voiced his continued support for ‘commonsense safeguards’ like the limits on swipe fees he signed last year, which will help retailers innovate and support the consumer spending that is crucial to job creation.”
Obama offered a number of proposals that would benefit the retail industry, including a reduction in corporate tax rates in return for eliminating many current tax breaks. NRF has long supported a broader corporate tax base with lower rates because it would allow businesses to make decisions based on the economic results of investment rather than tax consequences.
Obama also called for reform of individual tax rates, adoption of free trade agreements that would make it easier for retailers to import merchandise while helping open markets for U.S. goods, and deficit reduction through cuts in government spending rather than new taxes that would threaten the recovery.