Senator Richard Durbin (D-IL) has reintroduced a bill in the Senate designed to use the tax code as a carrot to encourage U.S. companies to create and maintain domestic jobs with specific pay and benefits standards and maintain neutrality toward union organizing efforts. The Patriot Employers Act (S. 829) was initially introduced by Durbin – and co-sponsored by former Senator Obama – in 2007. While the current bill has not yet been released for publication, it is believed to contain the same provisions set forth in the earlier version. That bill would provide “Patriot Employers” with a 1 % tax credit if they do the following:

• Maintain headquarters in the United States;
• Pay at least 60% of the health care premiums of their employees;
• Observe a policy requiring neutrality in employee organizing drives;
• Maintain or increase the number of full-time workers in the U.S. relative to full-time workers outside of the U.S.;
• Provide full differential salary and insurance benefits for all National Guard and Reserve employees called to active duty; and
• Provide employees with certain higher levels of compensation and retirement benefits.

Similar legislation has already been introduced in the House this session. The Eagle Employers Act (H.R. 989), introduced by Rep. Jim Gerlach (R-PA) on February 11, 2009, contains nearly identical language, but lacks the provision requiring neutrality in employee organizing drives. 

The current Patriot Employers Act has been referred to the Senate Committee on Finance.