Now is the Time for Congress and the President to Extend Jobless Benefits

Why are federal extended jobless benefits so important?  Unemployment benefits help famlies get back on their feet after losing a job, but they also go a long way to help boost the struggling economy when families spend their benefits in communities hardest hit by the recession.  Of special relevance to today's housing crisis, one major study also found that unemployment benefits reduce the chances that a worker will be forced to sell the family home by almost one-half.  Thus, unemployment benefits save family homes, which also helps save those communities where foreclosures are having a major impact on the economy.

Why extend federal jobless benefits now?   Compared to prior recessions, more workers are unemployed today for much longer periods of time, thus it is critical to provide the help they need when their state unemployment benefits run out after six months.  In January 2008, there were 1.4 million workers still unemployed after actively looking for work for more than six months (or 18.3 percent of all jobless workers).  That is more than twice the number who were long-term unemployed when the last two recessions began (in March 2001 and July 1990).  The National Employment Law Project estimates that 3 million workers will run out of state unemployment benefits in 2008 alone.

How long should extended benefits last?   Given the significant increase in long-term unemployment compared to prior recessions, it's especially important for jobless benefits to be extended for at least 20 weeks, or more than the limited 13 weeks provided after the last recession.  Legislation has been introduced in the Senate (S. 2544) to extend benefits by 20 weeks in all states, while also providing another 13 weeks (or 33 weeks total) to states with especially high unemployment (above 6 percent).  During the 1990s recession, President Bush and Congress provided 20-26 weeks of extended benefits to workers in all states.  Recognizing the record increase in gas and food prices, the Senate bill also calls for an increase of $50 a week in each worker's unemployment check.

Where are the Congress and the President on the need to extend jobless benefits?  The leadership of the House of Representatives and the President made a fateful decision not to include an extension of jobless benefits in the economic stimulus package.  The Senate pushed to include an extension of jobless benefits as part of the package, but the measure was defeated after falling just one vote short of the 60 votes needed for the initiative to pass.  Presidential candidates Obama and Clinton voted in favor of the measure, and Senator McCain was not present for the vote.   Now, it's up to the public, especially those families and communities hard hit by unemployment, to let their voices be heard in Washington, D.C., telling their elected offcials that now is the time to enact a federal extension of unemployment benefits.

How can I get involved to help convince Congress and the President to extend jobless benefits?  America’s laid off workers and their families deserve better, so please be sure to get involved and spread the word.  UnemployedWorkers.org is here to help families take part in this critical national debate to respond to those communities hard hit by the economic downturn.  The website will continue to provide struggling families with the information to help access available benefits to push for an extension of jobless benefits.  To get involved and make a difference in this critical fight, please sign up for legislative alerts, share your stories with others on the website, and spread the word about these resources to others in your community.  Thank you.

Louise Smith of the Philadelphia Unemployment Project speaks out with members of U.S. House of Representatives about the cutoff of extended jobless benefits in front of the Capitol building in Washington, DC on December 8, 2003.