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NC Businesses Debate Potential Impacts of Constitutional Amendment

May 3, 2012 | Keri Brown

North Carolina is just days away from the May 8 primary. WFDD is taking a closer look at one ballot issue that's sparked controversy: The constitutional amendment to provide that marriage between one man and one woman is the only domestic legal union that shall be valid or recognized in the state.

Some business owners are concerned this issue may threaten the state's diverse business environment, while others believe they are protecting traditional family values.

Abba’s Family Thrift Store on Main Street in King has built a loyal customer base since it opened three years ago. Manager Steve Gilreath recently moved to the city from Kernersville. He supports the amendment, which defines marriage as between one man and one woman. According to Gilreath, the amendment won have a major impact on the state business climate.

“I don’t think simply by saying that you are not going to recognize a formal union as being a marriage doesn’t mean that you are excluding people from the state - and it certainly doesn’t limit courtesy and things of that matter. And I don't think it will change the business outlook at all,” said Gilreath.

The amendment confirms there will be no same-sex marriage in North Carolina. A state statute already says this, but the constitutional amendment would also ban civil unions and domestic partnerships.

Andy Haile, Elon University Business Law Professor, said the amendment would change how some businesses provide benefits to their employee partner and or children.

“The amendment prohibits public entities including counties, cities and the state from providing benefits to domestic partners either same-sex or opposite-sex. So for example, some counties in North Carolina - including Mecklenburg County - currently providehealth insurance for domestic partners and their children.  But that will no longer be available if the amendment is passed,” said Haile.

In addition to Mecklenburg County, public entities in Greensboro, Chapel Hill, Durham and in Orange County currently offer health insurance and other benefits to same sex or opposite sex domestic partners and their children.

According to Haile, passage of the amendment would force them to change how the do business.

“The Durham Chamber of Commerce has put out a statement saying they believe not having this in our constitution is a distinguishing factor that we have relative to other regional states and that we will lose that distinguishing factor if we add this amendment,” said Haile

But Haile said the amendment will not prevent private businesses in the state from continuing to offer benefits to domestic partners and their children.

“I see that as being a shift and I hesitate to say making more cosmopolitan the interest of the state," said John Lewelyn, a Professor of Communication at Wake Forest University.

Lewelyn said there’s been a shift in the state’s business culture.

“There are two North Carolinas. If you have an interstate [business], your economics and number of other things flow in one direction. And if you don't, times are a lot harder and I think that stance at least from some leaders in the business community suggests a kind of openness and interest in drawing talent from wherever it can be found. Fifteen years ago in North Carolina, I don't think you would have seen that,” said Lewelyn.

Dennis Quaintance, CEO of Quaintance Weaver Restaurants and Hotels, is working with his staff during lunch hour at the Print Works Bistro. It's in the Greensboro-based Proximity Hotel.

His company employs around 550 people and he wants to open a new hotel in the historic R.J. Reynolds building in downtown Winston-Salem. Five years ago, he tried to recruit one of the top event planners in the country to come to the Triad. According to Quaintance, the candidate was gay and had a partner.

“At the time we were recruiting him, he was sort of uniquely qualified to really help our company and we missed that opportunity. They decided on their last night here not to take the job because they didn't think they could be comfortable here as a couple. If we call again and say would you consider coming to North Carolina now, they would say that just proves our point,” said Quaintance.

North Carolina has one of the highest unemployment rates in the country right now at 9.7 percent. Elon Law professor Haile said some people are worried the amendment could also impact the retention of some businesses in the state.

“If the amendment is defeated, then from a business perspective it may make North Carolina more attractive to outsiders who do think in fact that a majority of people welcome diversity of views. 99 percent of Fortune 500 businesses have policies that prohibit discrimination based on sexual orientation -- they may look at this more closely and want to locate here,” said Haile.

But Charlie Watson, owner of King Lawn and Garden, said no matter what happens, his faith will always guide his business principles.

“You can't do right by going wrong and the Bible says one man and woman. I believe in that and that is how I'm going to vote. I don’t really have any business concerns. I think the Lord is in charge and he will look after the people that do right and I just don’t  believe that there could be any other way,” said Watson.


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