The Senate failed to move forward Tuesday on a bill Democrats argue would restrict the ability of U.S. companies to move jobs overseas.
Democrats weren't able to attract the 60 votes needed to move forward on the bill. The vote total was 53-45.
Republicans said Democrats brought up the bill to simply play politics in the run-up to the midterm elections.
The Senate moved quickly on to a procedural vote to
end debate on the continuing resolution to keep the government running.
The bill needs to pass before the new fiscal year begins Oct. 1.
The outsourcing legislation included a payroll tax exemption for companies that move jobs to the United States and included provisions that would prevent businesses from deferring U.S. taxes on the income they make from foreign subsidiaries.
Business groups such as the National Association of Manufacturers (NAM) are strongly opposed to the legislation, dubbed the Creating American Jobs and End Offshoring Act. NAM sent a letter to Senators on Friday arguing that the measure would make U.S. corporations less competitive and hurt job creation.