Ballot Measure 1 puts Alaska’s small businesses and workers at risk

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Cars are driven on Fourth Avenue in downtown Anchorage on Oct. 7, 2024. (Photo by Yereth Rosen/Alaska Beacon)

As the debate around Ballot Measure 1 picks up steam, Alaskans from all walks of life should take a closer look at the real consequences this measure would inflict. Despite claims of this initiative supporting working Alaskans, it is clear it will do more harm than good—especially for small businesses and workers who are already struggling just to get by in today’s difficult economic environment.

The first red flag is who is funding this effort. Once again, groups from outside Alaska seek to use our state as social experiment by passing risky legislation that can then be expanded into other states . As is often the case, these outsiders don’t seem to understand our state’s unique economy. Ballot Measure 1’s supporters have proposed something that will unleash widespread negative consequences. How? It is written with vague language and overly broad definitions that leave too much open to interpretation. This will create confusion for business owners and lead to unnecessary and costly legal battles. Even worse, the measure has been crafted without considering how it will affect our small businesses — the backbone of our economy — nor the workers who rely on them for their livelihoods.

Ballot Measure 1 will force small businesses, already struggling to meet payroll, to absorb the cost of extended mandatory sick leave. This isn’t just a problem for the businesses. When employers are required to provide significantly more paid time off, those costs are passed on to consumers through higher prices on goods and services. With Alaska’s cost of living already soaring, do we really want to make everyday necessities even more expensive? The irony is that these rising costs hurt everyone, including the very workers Ballot Measure 1 claims to protect.

Small businesses, from your favorite local restaurant to the independent contractor trying to make a living, will be hit hardest by these changes. Adding increased labor costs to their balance sheets will force many of them to cut employee hours, reduce staff, or even close their doors altogether. And who suffers when that happens? Again, the very workers the measure claims to protect.

Ballot Measure 1 also ignores the realities of Alaska’s labor market. Our state is different from the Lower 48—our remote geography, harsh weather conditions, and limited population already pose challenges for employers. The additional burdens created by this measure would make those difficulties worse and discourage new businesses from setting up shop in Alaska. That means fewer job opportunities for Alaskans.

Unfortunately, we cannot pick and choose the parts of the ballot measure we like and leave the rest. This is an all-or-nothing vote, and the consequences of passing it in its entirety are too severe to ignore.

The authors of this measure may have been well-intended, but they’ve overlooked the unique needs of Alaska’s workforce. They didn’t consult with local experts or engage with the very people who will be most impacted by these changes. Organizations like ours are sounding the alarm because we understand what’s at stake for the businesses and workers we represent. Alaskans deserve better than this one-size-fits-all approach that fails to address the unique challenges we face. We need policies that support both employers and employees, not measures that drive up costs and hurt the people they mean to help.

We urge our fellow Alaskans to learn more about the issue. Let’s protect our small businesses, safeguard current and future jobs, and ensure that Alaska remains a place where opportunity thrives.

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