February 9: National Bankruptcy Day for Handmade Toy Makers - Open Knowledge — LiveJournal
Dec. 10th, 2008
12:48 pm - February 9: National Bankruptcy Day for Handmade Toy Makers
Mark your calendars! Another example of the nanny state run amok:
….[Due to the lead paint scandal, Congress] passed the Consumer Product Safety Improvement Act (CPSIA) in August, 2008. Among other things, the CPSIA bans lead and phthalates in toys, mandates third-party testing and certification for all toys and requires toy makers to permanently label each toy with a date and batch number.
All of these changes will be fairly easy for large, multinational toy manufacturers to comply with. Large manufacturers who make thousands of units of each toy have very little incremental cost to pay for testing and update their molds to include batch labels.
For small American, Canadian, and European toymakers, however, the costs of mandatory testing will likely drive them out of business.
* A toymaker, for example, who makes wooden cars in his garage in Maine to supplement his income cannot afford the $4,000 fee per toy that testing labs are charging to assure compliance with the CPSIA.
* A work at home mom in Minnesota who makes dolls to sell at craft fairs must choose either to violate the law or cease operations.
* A small toy retailer in Vermont who imports wooden toys from Europe, which has long had stringent toy safety standards, must now pay for testing on every toy they import.
* And even the handful of larger toy makers who still employ workers in the United States face increased costs to comply with the CPSIA, even though American-made toys had nothing to do with the toy safety problems of 2007.
Ignore the anti-foreign jingoism, as their proposed changes to the law seem reasonable.