Loss hurts families, local businesses when they can least afford it

Congresswoman Chellie Pingree said today nearly $1 million is being lost to the Maine economy every week due to the expiration of emergency unemployment benefits last month. Over 3,300 Maine people were getting an average benefit of about $285 a week, which ended suddenly on December 28 when Congress failed to extend the program. That means in the first week alone $940,000 stopped flowing into the Maine economy--and that figure is expected to grow as more individuals see basic benefits expire.

"This is money that should still be coming into Maine to help struggling families make ends meet and help grow the local economy. It was wrong for Congress to leave for Christmas recess without extending emergency unemployment benefits," Pingree said. "It was wrong to do that in the middle of a cold winter and it was wrong to do that when so many people are still struggling to find work. I hope the Senate passes an extension of emergency benefits and I'm urging my colleagues in the House to do the same."

President Bush signed emergency unemployment benefits at the beginning of the current recession. Typically emergency benefits are continued until the economy improves and it becomes easier to find a job. Historically, emergency benefits have continued until the unemployment rate falls substantially below the current level.

(Source: US Dept. of Labor, Office of Unemployment Insurance.)