All Eyes Are on Senate Republicans to Prevent More Economic Hardship and Job Loss
July 2nd, 2010
All Eyes Are on Senate Republicans to Prevent More Economic Hardship and Job Loss
June Labor Report Underscores Urgent Need to Pass UI Extension for Millions of Americans Struggling to Find Work and to Pass a Jobs Bill That Will Prevent Hundreds of Thousands of Cops, Fire Fighters, Teachers and Nurses From Joining Them
WashingtonDC– Leading economists say the excuses are wearing thin for Senate Republicans to continue obstructing not only a jobs bill but even a basic extension of unemployment benefits, especially in light of the new U.S. Labor Department report finding that the economy shed 125,000 jobs overall in June, despite creating 83,000 private-sector jobs.
Dean Baker, Co-director of the Center for Economic and Policy Research:“The June jobs report shows that the economy very much needs additional support. There are almost 15 million unemployed workers and millions more who have given up looking for work altogether. The situation will get even bleaker if state and local governments are forced to make layoffs to deal with budget shortfalls. Furthermore if unemployment benefits are not extended, millions of workers will lose the means to sustain their standard living. This cutback in consumption is bad news for the economy and disastrous for the workers directly affected." [Media wishing to speak with Dean Baker may call, 202-293-5380, 114]
Heidi Shierholz, labor economist at the Economic Policy Institute:“With a deficit of 10.6 million jobs, a 9.5% unemployment rate, and the private sector not yet able to provide a robust recovery, Congressional inaction in passing policies that support job creation and economic growth, including renewing extended unemployment insurance and providing fiscal relief to the states, is inexcusable,” said [See EPI’s detailed analysis of the June jobs report, JOBS PICTURE.)
Wednesday marked the third Republican filibuster of desperately needed legislation to extend unemployment benefits for Americans still struggling to find work. As a direct result, the Labor Department estimates that 1.7 million Americans have lost, or will lose, their UI benefits between the end of May and July 3rd -- and 3.23 million Americans will be cut off by the end of July. The most recent version of the bill Republicans objected to had set aside critically needed Medicaid assistance that would help states avoid hundreds of thousands of layoffs in response to budget shortfalls – layoffs of the some of most vitals workers in our society, including cops, firefighters, teachers, and nurses.
Tom McMahon, Executive Director, Americans United for Change:“You don’t have to be an economist to understand that allowing hundreds of thousands more Americans to lose their jobs – as Republicans seem content to do -- does far more damage to the deficit in the long run because there are that many fewer people paying taxes and that many more seeking out government services. This legislation makes total sense in the short run, as well, because every dollar of unemployment benefits generates $1.60 in economic growth. Amazingly, the same Republicans that found the money to bail out Wall Street banks and won’t vote to hold them accountable are now refusing to spend a dime to help America families that fell victim to these same banks’ greed and recklessness. After enabling the failed economic policies from the Bush era that left behind the worst recession since the Great Depression, isn’t it time for Senate Republicans to take some responsibility and help American families weather this storm until jobs become available? If won’t help -- will they at least get out of the way?”