Dear Chamber Members and Partners,
Something doesn’t add up in Seattle right now. We are asking more from our businesses than ever, while increasingly treating them like the problem.
We are home to some of the most innovative companies in the world. They create good-paying jobs. They bring people back downtown. They support small businesses. And they fund a significant share of the public services we all rely on. In fact, according to a 2023 Downtown Seattle Association report, businesses pay roughly 66% of the city’s revenue, a figure that is likely even higher today.
And yet, more and more, they are treated like it’s still not enough.
At the same time, many small businesses are hanging on by a thread. A recent Intentionalist survey found 67% are more financially strained than during the pandemic, and 63% report declining sales. These are the same businesses we say we want to support.
These aren’t separate challenges. They’re the same system.
Small businesses depend on the foot traffic, investment, and economic activity that larger employers create. And larger employers depend on strong local ecosystems to attract and retain talent.
Right now, both are under pressure.
We are asking more from businesses across the board to do more, pay more, and absorb more, at the same time that both large and small businesses are already feeling strain. That is not a healthy dynamic for an economy that only works when all parts are moving together.
If you’re in the business community, you feel it. Our economy is deeply connected.
“Big business” is not a narrow group. It’s the engine supporting working families across this region. For every one job created in tech, more than four others are created across the broader economy, from construction workers and nurses to restaurant staff and childcare providers. This impact is even more pronounced given that nearly half of Washington’s growth over the past decade has been driven by the technology sector.
And many of those businesses believe in the same values Seattle prides itself on. Fairness. Opportunity. Shared prosperity.
Now look at the structure underneath it.
Since 2020, nearly all of Seattle’s budget growth has come from the payroll tax. It has raised more than $1 billion. Fewer than 500 companies pay it out of roughly 50,000 businesses in the city. And just 10 companies account for about 75% of the revenue.
We are asking more from fewer. And then casting them as the problem.
The same businesses funding city services, bringing people back downtown, and helping the businesses around them stay open are also the ones being targeted.
That contradiction has consequences.
Because when those businesses pull back, everything feels it. Downtown. Neighborhoods. Services. Opportunity.
This is Seattle’s duality, and you can see it everywhere.
We say we want to support small businesses, but too often make it harder for them to survive. We say we want strong public services, but make it harder for the businesses funding them to stay and grow. We say we want companies here, but often act like we don’t.
This is the reality we’re living in.
And it’s time we’re honest about it.
But despite all of this, this region is still one of the strongest economic engines in the country. Our economy has outpaced the national average. Wages are higher than most peer regions. We lead in industries that shape the future.
People still want to be here. Companies still want to invest here.
That doesn’t happen by accident.
It happens because businesses keep showing up. Hiring. Investing. Taking risks. Believing in this place.
So, this moment is not about choosing sides.
It’s about recognizing something simple.
The businesses driving this economy are not separate from our community. They are a core part of it.
And if we want Seattle to thrive, we have to act like it.
Seattle wants the jobs, the investment, and the services businesses make possible.
But we can’t keep asking more from them while treating them like the problem.
That’s not sustainable. And it’s not honest.
Because if businesses can’t grow here, the services we all depend on don’t grow either.
That’s the tradeoff.
We are asking more from fewer. And we should be grateful they’re still here, still investing, and still showing up because the alternative would be much worse.
This is why we at the Seattle Metropolitan Chamber, along with so many of our partners, want to say thank you to our business community.
Thank you for your hard work. Thank you for enduring. Thank you for supporting our communities. Thank you for navigating the world’s challenges and still showing up for your employees, your customers, and for this region. |
