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Small manufacturers press lawmakers on health insurance, energy costs and paid‑sick‑leave burdens
Summary
Representatives of small manufacturers told the Commerce Committee that energy prices, limited access to employer health plans and new paid‑sick‑leave rules are raising costs and administrative burdens for small firms and seasonal workers.
Multiple small manufacturers and association representatives told the Commerce Committee that rising energy costs, shrinking access to small‑group health plans and recent paid sick‑leave expansions are creating business pain points for companies that are often labor‑intensive and seasonal.
Nut graf: Testimony from Carmen Romero (Fascia/Fox’s Chocolates), Jeff Musendy (PTA Corporation) and Alan Nadeau (Southington Tool) emphasized three recurring pressures: energy cost differentials with other states, difficulty offering affordable health coverage to small staffs, and new paid‑sick‑leave administration that complicates scheduling for continuous‑operation manufacturing lines.
Carmen Romero, president of Fox’s Chocolates and president of the Small Manufacturers Association, told the committee her company invested in solar in 2021 and sometimes generates more energy than it uses, but the public benefit charge is assessed on total usage and not net purchases — a policy she said reduces the financial benefit of on‑site solar. Romero asked lawmakers to consider calculating the public benefit charge on net rather than gross energy use.
Romero also described a failed effort to offer small‑group health insurance after insurer exits made the policy unaffordable; she urged lawmakers to allow association health plans so small employers can pool risk and negotiate better rates. She added that many of her workers are seasonal and that indexed minimum‑wage increases can unintentionally harm the lowest‑paid seasonal workers.
Manufacturers also described administrative burdens from the new paid‑sick‑leave law. Jeff Musendy, controller at PTA Corporation, said hours of staff time have been spent adjusting payroll and tracking compliance; the company already provided paid time off but called the new rules an additional administrative burden. Alan Nadeau said his company pays 81% of employees’ premiums and that last year the employer share for policy costs for employees and dependents totaled $257,000.
Lawmakers asked for concrete examples and asked representatives to provide written details that could inform statutory or administrative fixes. The committee discussed potential policy fixes including allowing association health plans, adjusting the public benefit charge calculation for net energy use, and clarifying paid‑sick‑leave administration for critical continuous‑operation employers.
Ending: Committee members requested written examples of insurance costs and documented energy bills (net vs. gross) so staff can assess the fiscal and regulatory changes needed to help small manufacturers.
