For Immediate Release
June 12, 2008 |
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FOR MORE INFORMATION:
Cullen Schwarz
Office: 202.225.4961
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Levin Hails Strong House Vote for Unemployment Extension |
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House Passes Measure 2-1;
226,000 Michigan Workers Would Be Eligible for an Extension
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(Washington D.C.)- The House of Representatives today passed legislation to extend unemployment insurance benefits to help the growing number of jobless workers nationwide and to stimulate the economy. H.R. 5749, the Emergency Extended Unemployment Compensation Act, passed by a two-to-one vote, 274-137. President Bush has threatened to veto the bill, saying that the unemployment rate is too low to warrant an extension—even though he signed an extension in 2002 when the unemployment rate was only two-tenths of one percent higher. The strong two-thirds vote today suggests the House may be able to override a presidential veto of the measure if necessary.
“The strong two-thirds vote today should send a clear message from the people of this country to the Senate minority and the White House that passage of extended unemployment compensation is a number one priority for millions of families throughout the nation,” said Congressman Sander Levin, a leader in the effort to extend unemployment benefits.
Rep. Levin also spoke on the House Floor today in favor of an extension. To view video of Rep. Levin speaking on the House Floor, click below:
“I think the more we discuss this, the clearer the issue becomes,” Rep. Levin said on the House Floor. “The unemployment rate when President Bush signed the last extension was 5.7 percent; it’s now 5.5. Essentially many Republicans opposing this provision are saying we’re going to deny benefits to well over a million people, with 3 million to come, because of a difference of two-tenths of one percent.”
The number of long-term unemployed (1.5 million) is now higher than it was when President Bush signed the last extension in 2002 (1.3 million). The percent of people exhausting regular benefits (37%) is higher than at the beginning of any of the last five recessions.
“If you lined up the people who have exhausted their benefits, and those who are likely to, the line would reach from here at this Capitol to Denver,” said Rep. Levin.
Of Republicans opposing this legislation, Levin said, “Essentially they’re obeying the position, if not the orders, from the White House—instead of the orders from people at home.”
With the highest unemployment rate in the country at 6.9 percent, Michigan would particularly benefit from an unemployment extension. It is estimated that over 226,000 Michigan workers would be eligible for an extension under the provision approved today, and approximately 4 million would be eligible for an extension nationally. The U.S. economy has shed nearly 325,000 jobs since the beginning of this year. In May, the U.S. experienced the largest monthly unemployment rate increase in over 20 years, from 5 to 5.5 percent.
Experts widely agree that an extension of unemployment benefits is one of the most effective and fast acting forms of economic stimulus, as benefits are spent quickly by unemployed workers and circulated back into the economy. It is estimated that every $1 spent on unemployment benefits generates $1.64 in new economic activity.
Federal unemployment trust funds, which have more than enough reserves to cover the cost, would finance the benefit extension.
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To Contact Congressman Levin: -
Email Congressman Levin In Michigan: 27085 Gratiot Ave, Roseville, MI 48066 | (586) 498-7122 | (248) 968-2025
In Washington: 1236 Longworth House Office Building, Washington, DC 20515 | (202) 225-4961
