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Chad Stone

Chad Stone

Posted: June 16, 2010 12:16 PM

Lawmakers Fiddle While the Unemployed Get Burned

What's Your Reaction:

As Congress dithers over the latest jobs bill, unemployed workers throughout the country face another week of uncertainty about their unemployment insurance (UI) benefits. A needed extension of the temporary UI benefits and subsidized COBRA health insurance in last year's Recovery Act is being "held hostage" (as the New York Times puts it) to misguided budgetary concerns and wrangling over how big a tax break wealthy investment fund managers should have.

The details are complicated, but the bottom line is simple: today, unemployed workers have much less help than they did before the Recovery Act's UI/COBRA provisions expired on June 2 -- and much less than they need given the difficult labor market.

  • People who were receiving benefits under the federal Emergency Unemployment Compensation (EUC) program when it expired on June 2 were not immediately cut off, but many will end up receiving fewer weeks of EUC benefits than they otherwise would have. And of course, people who have (or will) run out of their 26 weeks of basic UI benefits after June 2 receive no help through EUC if Congress doesn't restart the program.
  • Many states have been providing additional weeks of benefits, beyond those available from EUC, through the permanent Extended Benefits (EB) program. But in 24 of those states, people receiving EB benefits got cut off immediately on June 2. Why? The Recovery Act temporarily provided full federal funding of EB (normally states have to pay half the cost), and many states responded by changing their laws to make it easier to activate their EB programs. But those changes were contingent on full federal funding, which expired along with the other temporary UI provisions on June 2. That put an end to EB payments in these 24 states.
  • What all this means is that at a time when the average jobless worker has been looking for work for 34 weeks -- the longest stretch on record -- and there are five job seekers for every opening, unemployed workers in 36 states who run out of their 26 weeks of basic UI benefits get no additional help.

    Restoring these benefits and tackling the country's huge jobs deficit should be Congress's top priority. It's past time for lawmakers to turn this map

    back into this one

    Chad Stone is Chief Economist at the Center on Budget and Policy Priorities and blogs regularly at Off the Charts.

     
 
 
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11:13 PM on 06/19/2010
Check out The Boomerangers Survival Guide (http://www.theboomeranger.com/boomerangers-survival-guide). We put a list of steps the recently laid off can take to maximize the funds they have for as long as they have to. Hope it helps!
08:45 PM on 06/19/2010
Under these current economic conditions, it is amazing that anyone in Congress would consider it reasonable to use EB as a bargaining chip, for the sake of partisan politics. My husband has been out of work for almost a year and a half, with only a couple of leads on jobs periodically - but nothing meaningful. As a family of five, we depend upon those benefits. Unfortunately, not only will his unemployment end this week, but our subsidized COBRA coverage ended this week as well.

Still, we continue to do everything we can to stretch our savings and unemployment benefits, but there is only so much you can do if there are no jobs and no more unemployment benefits. When my husband first got laid off, we moved in with the in-laws, which comes with its own challenges, but has helped immeasurably. Now due to the prospects for jobs and careers, it has become increasingly necessary to consider creating our economic recovery, by starting our own business. In response, I started a blog community for people with similar experiences. We hope to encourage and inspire them to use this time to not just pursue a job, but rather their passion - whether that means entrepreneurship or not.
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MeinNH
Ooooo Silly Me
09:34 AM on 06/18/2010
Lets be careful about falling in to the trap of blaming the illegals.....ultimately it is not their fault, it is the fault of the government and their corporate masters.....if we fall into that trap, we will be angry with the wrong people.
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Gay Pinder
11:31 PM on 06/16/2010
WHY ARE THERE ONLY 14 COMMENT TO THIS ARTICLE? HAS NO ONE SEEN IT. PUT IT ON THE FRONT PAGE.
02:24 AM on 06/17/2010
These elected politicians just seem to not give a damn about the American people. Why are they even needed if they do not care.
01:40 PM on 06/17/2010
DO YA THINK?!!! I was sent here by an Unemployment website blogger with the promise that HuffPost was an informative, "more influential forum" for this issue...well, here I learned that Calista and Harrison got married - huge relief! - plus a helpful article in religion about dying with dignity - thanks for that one...Had to SEARCH for Chad Stone's article, took 10 minutes on S-L-O-W website and: there will be 900K+ of us this week who are now 2 weeks past the 26 wks of UI and are getting NO EUC. At least "The 99ers" have had time to liquidate, write wills and research 'dying with dignity', which I'll do before being evicted to a NYC shelter. Clearly the most recently unemployed are 'disposable' Americans. I thought $430/wk was bare survival till I lost that. Here's a headline for you: "57-Yr-Old Brooklyn Professional Woman Jumps Off Roof Rather Than Starve"...story on page 419...
10:10 PM on 06/16/2010
HONESTLY PEOPLE......WHO cares about, or can even think about your future when you're scared to death that tomorrow you will become a STARVING HOMELESS AMERICAN!!!!!!!!! People need this bill passed IMMEDIATELY!!!! Since the day I graduated high school and entered vocational school at age 18 I have worked a min. 8 hrs a day for 13 years straight until last year, thru NO fault of my own I am now in this BULLS_IT situation, UI benefits are the only thing keeping me and many other millions from starving and sleeping on the streets, any SOB that says I dont deserve these benefits just simply shows their PURE IGNORANCE!!!!!!
09:20 PM on 06/16/2010
Somehow I am reminded of Orwells 1984, how long until we aren't sure what we are fighting for...
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MeinNH
Ooooo Silly Me
09:36 AM on 06/18/2010
That is why they are passing the buck to the illegals who supposedly 'take our jobs'....if we fall into that trap, we are blaming the wrong people. Keep your eye on those who have allowed this to happen and won't do anything about it....government and corporations.
09:17 PM on 06/16/2010
Honestly I am just very very scared. I got sick two years ago and could not make it back from chemotherapy in six weeks (In my state you get six weeks for medical leave) so I was fired. Second job I lost in a row because I couldn't work for longer than six weeks. January 2009 I was well enough to go back to work but who is hiring a cancer patient in this economy. If this bill doesn't pass I will be a homeless, starving, cancer survivor within the next three weeks. I don't think the government owes me a living but I would rather not have lived through cancer to die of starvation in America. I have never been a bum now or ever, and if there are politicians who seriously think people who qualify for unemployment are content to sit around on the government dime until hell freezes over they are dead wrong. Those of us who qualify for unemployment are the workers of America, we do work consistently, we want work today, and we are not living a generous lifestyle by any means. We are surviving, barely surviving, doing without. I am scared, really truly scared. Maybe I should jump the border and see if there is work in Mexico......
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08:26 PM on 06/16/2010
It is really a shame that stories like this are not making the front page on huffington post.
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Gay Pinder
11:20 PM on 06/16/2010
I agree. I cannot understand the mentality of this country anymore. I feel like I've fallen into another plane of existence.
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Angoradebbs
12:43 AM on 06/17/2010
I agree. This should be front page news. Our elected officials should be ashamed of themselves for allowing their constituents to suffer this way. How patriotic is that? It isn't. I don't believe in this country much anymore.
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MeinNH
Ooooo Silly Me
08:02 AM on 06/17/2010
Our elected officials are trying to decide if everyone on Unemployment should take a drug test or get a $25.00 per week reduction in benefits....It makes ones brain want to explode....How can this foolishness go on when people are a check away from hunger and homelessness. Oh wait, they are making lots of money and don't care!!!
07:12 PM on 06/16/2010
I've been unemployed for a flipping year. my benefits end in june and i've been told i need to go to the food stamp line. i am an educated, hard working (when i had a job) born in america citizen and i'm PISSED OFF. the politicians, state workers, ceo's and executives all have their cushy homes, cars, health benefits and retirement and i have .... advice from THE florida unemployment department to go the food stamp line. wth?? you know i want a representative in government that KNOWS what it is like to go to a state college and that drives a ford or chevy. AND i want a boss that eats lunch with his employees and not his or her mistress. AND i want to start contributing to MY COUNTRY again. how many people in the united states are using work visa's from another country? how many illegal aliens are working a job that could be mine?
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Gay Pinder
11:25 PM on 06/16/2010
I totally FREAKING hear you! I want to arrange a jobless march on Washington. But who would underwrite it? The jobless who don't live in the DC area can't afford to get there, right? I feel so powerless. I have written to my congressman and my senators so many times. My last letter was so impassioned I got a call from the office of one of my senators. These people who are so concerned about the federal bugdet need to understand that if Americans don't have money for a household budget, there will be no federal budget in the future. And way to go... take away unemployment benefits in the worse economy since the great depression and deprive me of the means to pay my electric, phone and internet bill so I can keep looking for work. If anyone would like to help me plan a jobless march on Washington, please contact me.
02:17 PM on 06/17/2010
Hey I am starting a personal march on my reps offices. The jobless can't get to Washington, we are broke, but maybe we can all band together and March on Monday on any Fed office near where they are. Or maybe the unemployment offices the one stops in most states that is the welfare office too and we can all get our food stamp apllications at the same time. Know any real blogger types that can maybe make getting the word out possible. Lets grassroots this damn thing if we can. bettymerrill@rocketmail.com, lets do this thing on Monday, if not this Monday next Monday.
09:23 PM on 06/17/2010
I would like to march on Washington, but getting people together who can afford the cost to travel is going to be a problem. I have been out of work for 1 1/2 years and my unemployment benefits were just suspended yesterday until this bill is passed. I am heading towards foreclosure, my savings is down to a couple of hundred and no one is willing to hire an unemployed person. I do not know where to turn. I applaud and graciously thank all the men and women who are fighting in our armed forces for our freedom and protection. Whether in the armed forces or regular Americans, we need this bill passed now. this is a bill for the unemployed, stop worrying Republicans and Democrats about how this is going to effect your re-election. If the vote were today, I would vote all you bums out. PLEASE!! stop fighting and pass this BILL!!!!!!!!
06:38 PM on 06/16/2010
WHY ISN'T THIS FRONT PAGE NEWS?!!? I just returned from Iraq in January and have been looking for a job ever since! There are NO jobs in my small town and my unemployment expires next week. I saved some of it but don't know how I'm going to afford my bills in the near future. I'm saving everything I can just so I can eat, and pay my most important bills. I've cut back everything.

This should be TOP priority in DC!! There are no jobs so ppl need to stop assuming we are not looking and are lazy! I spent a year at war and still get treated like sh*t bc I'm on unemployment and pps think we're lazy and don't want to work. I'm SICK of it!!! I just came home from war and now have to deal with finding a job in a horrible economy. I owe on student loans and the timing of this couldn't be worse. It's so bad I'm thinking about going back to war in Iraq just to have some income. But even that will take 6months if I'm even am allowed to go before another unit leaves to deploy. I don't know what I am going to do until then.
PASS THE DAMN BILL!! Stop playing politics both Dems & the GOP!
AMERICANS NEED HELP NOW!!
Pretty bad when going off to fight a war is the only option I have for a job.
06:50 PM on 06/16/2010
You are SO right! You drive home my point - sincerely, thank you for your service - and you should have priority in finding a job - let alone have to worry about those Bozos in DC. These games are NOT FUNNY.
You're right about having to be in the service to have a job - it's all I see here in Colorado Springs - don't misunderstand, I am proud to have them along side me and enjoy their youth - BUT the numbers are amazing. Somebody is greasing somebody's palms and it isn't ours.
PASS THE DAMN BILL and hope you find a job soon....I know you're not lazy...we just need a little help from our "friends".
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Gay Pinder
11:27 PM on 06/16/2010
Thanks for your service and yes, it sucks.
04:20 PM on 06/16/2010
It's embarassing to be on unemployment after working since 1973. I can't stay watching comments because I have to pack to move into our daughter's home - no longer can afford to have our own home. I have retrained and have a new position to go to, but need the unemployment to pay for the licensing fees.
This is a disgrace...I am sure the military boys don't have this USA in mind while fighting. Every incumbent needs to go until we get a group of people who know the meaning of "teamwork" and "empathy". Forget the words "re-election", "fundraising" or "lobbyist".
Personally, I'm going to be fine....but it's the others I worry about. I will not vote for any incumbent no matter how they vote and am sure I'm not the only one. The people are speaking now.
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yphili184
Musician
02:44 PM on 06/16/2010
This is front page news!
01:11 PM on 06/16/2010
the unemployed are ashamed and hiding
they should be forming groups and protesting
if you don't ask you won't get
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Gay Pinder
11:30 PM on 06/16/2010
I agree. I want to coordinate a march on DC or perhaps a syncronized march in every state. Care to help me organize this?
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Angoradebbs
12:46 AM on 06/17/2010
Don't live in the D.C area, but go to unemployedfriends.com for info on a March on Washington that is supposed to take place next week.
12:57 PM on 06/16/2010
...and this is not a front page story on HP because? (I would assume because at this point turning a blind eye to the poor and snubbing economic recovery is becoming quite popular amongst Democrats in congress.)