Franken, Klobuchar strike similarly moderate positions in response to Medtronic news

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Is whether Metronic stays in Minnesota something our politicians can control? That's the question.
-- Correction at bottom --

Minnesota's eighth-largest company is relocating overseas. The New York Times views the move through the lens of federal tax policy and the taxes Medtronic can avoid paying by leaving America, while the company itself cites more benevolent reasons, like access to European markets.

In any event, the news doesn't sound auspicious for our state economy, right? But in response, DFL Gov. Mark Dayton is donning rose-colored glasses.

See also:
Medical biz prof Stephen Parente on Medtronic move: "It's kinda hard to see this occur"

"During my conversation with [Medtronic's Chairman and CEO, Omar] Ishrak and in further discussions [last weekend] between senior state and Medtronic officials, we were assured that the company intends to keep its operational headquarters here in Minnesota and that no jobs will be lost here due to this transaction," Dayton wrote in a statement. "Company officials also told us that Medtronic intends to create over 1,000 new medical technology-related jobs in Minnesota during the next five years, in corporate management, research and development, engineering, and manufacturing. That is tremendous news for Minnesota and evidences the company's continued commitment to our state."

On the other side of the spectrum, one of the Republicans running to take Dayton's job, Marty Seifert, blasted Dayton and Sen. Al Franken for allegedly waging a war on jobs, and said, "Rather than inventing things in their parent's garage, like the founders of Medtronic did, our young people are now more likely to live in their parent's garage than become innovators."

As you might expect, however, when we contacted their offices for comment last week, Franken and Sen. Amy Klobuchar struck a chord similar to Dayton's, though with a slight tone of dissonance mixed in.

"I recently spoke with Omar Ishrak, the CEO of Medtronic, who told me that this proposed deal could bring as many as a thousand jobs to Minnesota and increase investment in our state, which would be great," Franken wrote in a statement. "That said, deals that result in companies reincorporating abroad often mean that they can shelter profits overseas, costing taxpayers billions of dollars -- which I find troubling. This needs careful scrutiny, and I'll continue to look very closely at the specifics of the deal."

Compare that with the similar sentiments Klobuchar expressed to us:
I have spoken with Medtronic's CEO and my primary focus is making sure our jobs stay in the U.S., especially in Minnesota. Medtronic has told me that they intend to add jobs in the state as a result of this proposed merger and invest in continued growth, research and technology in Minnesota. However, I also believe the proposed merger highlights the serious need for comprehensive tax reform. We need to simplify our tax system to ensure companies are investing their money here at home.
That Minnesota's Democratic leaders would hang together isn't surprising. Along the same lines, the endorsed Republican running to take Franken's job, former investment bank CEO Mike McFadden, pinned the blame in a spot similar to Seifert.

(For more, click to page two.)



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43 comments
brownlifton
brownlifton

Big corps in the US generally get addresses in foreign countries to pay their taxes in. We provide the skilled labor, educated in our universities, subsidized by taxpayers, and these jerks wont pitch in, and their shareholders insist that they do this. Republicans always tell us that job creation depends solely upon our giving big corps a free ride. Wake me up when anyone does anything about this.

Cruz2016
Cruz2016

Thank you Ovomitcare and the Medical Device Tax. Not to mention Marx, Aimless, and Frankfurter.


ron.fresquez
ron.fresquez topcommenter

Medtronic is not going to listen to Dayton, Franken and Amy much less a dimwit like Seffert and a wannabe corporatist like Mitt McFadden.  

ron.fresquez
ron.fresquez topcommenter

Welcome to the new global economy. Al Franke or Amy or the Governor are powerless over what a company like Medtronic chooses to do.This is a talking point for brain dead wanna be Regressive who don't have a chance unseating Franken or Dayton. Would the Medtronic CEO take Siefert's or Mitt Mc Fadden's call? I doubt it.

Mary Aho
Mary Aho

This might be the first time I've agreed with either. Although the devil's in the details so I'm skeptical reality will follow the rhetoric.

Patrick Moinichen
Patrick Moinichen

Looks like both sides are idiots and Robert Hilstrom should run for office! What do you think happens when the media posts political rhetoric? Pisses everyone off!!

Angela Giedd
Angela Giedd

the conversation about MN businesses is really complicated. it is expensive to do business here, losing NWA was a blow, let's keep companies w/ MN HQ's and welcome new ones.

Jonathan London
Jonathan London

Weak leadership all around. It is the laws, policies and capital markets of the United States that made these companies great. Once they start to struggle, they leave to reduce their tax burden. Poor examples

Jeff55414
Jeff55414

You mean Amy couldn't have come up with anything more original than copying and pasting what Franken said? 

Mel UgoFurst
Mel UgoFurst

^^^yup, and this is an announcement for more corporate bail outs and cushy tax incentives.

Robert Hilstrom
Robert Hilstrom

How do you like spending trillions on wars and corporate bailouts?

Robert Hilstrom
Robert Hilstrom

Well I don't see democrats applauding businesses that leave for lower taxes...thus the comment

Dino Brusco
Dino Brusco

As much as this may burst your bubbles of both Dems and GOPers this isn't about taxes, unless you'e someone that thinks spending 40Billion dollars to avoid taxes makes sense. Coviden is a great strategic fit for the neurologic business, increases the sales reps bag tremendously and makes them more valauble to hospitals instead of selling one of prdts here and there, it also gives Medtronic access to strong international distribution networks that they did'nt have before so allowing them to sell more US products internationally with the potential to Create MORE US jobs... #ThinkAndDontJustParrotOutPartyTalkingPoints

Noel Barrick
Noel Barrick

Get with the times. The whole republican vs democrat thing is outdated. No one votes for those parties anymore because they see they pull the same shenanigans at the taxpayers expense.

Mel UgoFurst
Mel UgoFurst

From two of the biggest lackies in the legislature, who continually vote yes for all the massive tax increases to fund all the freebies and goodies. What they are talking about here is crony capitalism (Tax incentives for corporations). We little people are still screwed, there will be no tax breaks for us. They continue to stand behind the biggest tax hike in American history, the unaffordable care act. But you have to just love the game though: we break it and then pretend to fix it. Their low information supporters will fall for it every time.

Mel UgoFurst
Mel UgoFurst

Lol, yes the democrats will try and take credit for the 'fix.' While their supporters will applause them as money continues to be sieved from our wallets to pay for all the freebies and promises. And don't think the dens are anti war, democrat politicians have overwhelmingly voted to sustain occupations overseas and drone strike anything that moves, including thousands of women and children. War and military spending is a fully bipartisan adventure. This tax 'fix' will be more crony capitalism ... As politicians keep hopping in bed with businesses to keep them here. Us little guys.. We're still screwed.

Eliza Lathrop
Eliza Lathrop

Well said Robert! The republicans know little of what they speak of and just limit themselves to regurgitating lies and "half-truths" from fox "news".

Eric Mincke
Eric Mincke

^^this kind of thinking is what we are up against guys. We got a long road ahead.

Robert Hilstrom
Robert Hilstrom

And NAFTA actually started under Reagan. Fair trade turned into companies leaving for cheap Mexican labor

Robert Hilstrom
Robert Hilstrom

I don't debate with people that come out calling names. Typical republican!

Robert Hilstrom
Robert Hilstrom

Cheap labor, lax environmental laws, etc... Good companies don't worry much about taxes, it's all about the bottom line. That is why they all performed better before the tax cuts and loopholes.

Kirk Burback
Kirk Burback

Hey Robert, wasn't it the democrats that gave us NAFTA? Yep, democrats are the long proven masters of outsourcing American Jobs.

Kirk Burback
Kirk Burback

No Robert, it's more of an 'I told you so' moment. And when I say ‘I told you so’, I mean, when I said the (d) by their name stands for Dumb. You appear to fit into my ()

Cletus Ackbar
Cletus Ackbar

Well bless their hearts. I happen to think it's great the people of Minnesota sent not one, but two Senators to Washington with mental disabilities. Their Mongoloid expressions are precious.

Robert Hilstrom
Robert Hilstrom

And republicans now applaud companies that leave the US for cheap labor etc....how patriotic!

Robert Hilstrom
Robert Hilstrom

It looks like from the postings here that Republicans don't think their people spend tax money. I guess spending 4 trillion dollars on wars that did nothing doesn't count.

MicheleBachmann
MicheleBachmann topcommenter

Medtronic just proves the government needs to crack down on these tax havens and tax dodging companies.  

Kirk Burback
Kirk Burback

BOTH voted for the Affordable Care Act, and that one bill complicated the heck out of the tax code. Let's create a problem and then try to take credit for the fix. This is a clear statement about the people that vote for these two.

Michael Maher
Michael Maher

Someone is trying to use policies Dayton wouldn't....too bad we can't save Medtronic from leaving

Eric Mincke
Eric Mincke

2 tax and spend statists are going to reform and simplify the tax code? I'm glad Medtronic said enough is enough.

Rob Rydberg
Rob Rydberg

Now she supports it. Up til now she never ran into a tax she could not wait to pass. Harry Reid controls her votes. And Frankenstein too! We deserve better than these lackeys.

digitalprotocol
digitalprotocol topcommenter

tax incentives for corporations isnt crony capitalism for fucks sake, get a book

digitalprotocol
digitalprotocol topcommenter

taxes are part of the bottom line you dult

Jeff55414
Jeff55414

@OlWillyClinton Yeah, but if you would have read more than the first paragraph,  Clinton was the one who officially signed it into law stating, "NAFTA means jobs. American jobs, and good-paying American jobs. If I didn't believe that, I wouldn't support this agreement."


So it appears that both R and D were responsible for this.

OlWillyClinton
OlWillyClinton

@Jeff55414 I wasn't absolving anyone of blame for this. Simply saying the Right was all for it as well.

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