Many Small Businesses Not Impressed with Tax Credits Offered for Hiring New Employees

The response to efforts to stimulate job creation by offering tax credits has received mixed response from small business owners at best, who in a number of cases have stated it wouldn't have any effect on hiring, as the economy is still in shambles and there would be nothing for the new employees to do, implying they're having troubles keeping their current employees busy.

One recent example is in Maryland, where Gov. Martin O'Malley proposed a tax credit of $3,000 for those hiring new employees in the state between January 1 and December 31, 2010.

To qualify for the credit, the new employees in this case would have to either be receiving unemployment benefits or have exhausted the benefits within the last year.

Many small businesses owners were also unimpressed with the tiny amount of $3,000 being offered as an incentive to hire new employees, saying it would take a lot more considering the high costs of hiring to get them to take the step of hiring new people in the ongoing recessionary environment.