Regarding "63,000 Entrepreneurs" (Speaking Out, May), here we go again, embarking on another government boondoggle. People who can't find or won't take work are now going to be eminently qualified to start their own businesses and, on top of that, hire, train, supervise, and motivate other people.

Insofar as the suggested program goes, visualize this scenario: An individual who runs a small company of three employees fires one for continual tardiness, insubordination, and poor work production. The state unemployment compensation people, in their ultimate wisdom, decide to allow that individual to collect unemployment compensation. This is because the owner of the business did not have proper written records of his continued warnings to his employee as is done in larger companies. The government completely overlooked the fact that the owner is working a 16-hour day in order to keep his small business going, to pay his bills, and to meet his payroll.

The government, in its largesse, now turns around and gives this ex-employee a large sum of money to put him in business, most likely in competition with his former boss, who, although he couldn't teach him to get to work on time, did teach him everything he knew about his business. This unwarranted competition, which would not have occurred without government interference, may not put the owner out of business, but it may take away those few extra accounts that he desperately needed to expand his business, and to hire more people and build a more solid and stable company. It also introduces into his field a competitor who doesn't share his business ethics and may bring his business into disrepute.

Opportunity is rampant in this country for people who wish to start small businesses. Many people who are unemployed have received excellent separation packages from their previous employers, and many of them have received sums of money from profit-sharing plans that they could use to go into a business. They do not need the added government benefit of a lump sum of their unemployment compensation as well.

Published on: Aug 1, 1984