Posted: Sept. 7, 2009 EDITORIAL Detroit Free Press While recovery waits, extend jobless benefits
It's hard to really celebrate Labor Day when 15% of your labor force is out of work, looking and growing increasingly anxious. That is the situation in which Michigan finds itself on this holiday, not only persistently leading the states in unemployment but also with thousands of residents at or near the exhaustion of their jobless benefits. With national unemployment at 9.7% and real estate still in the doldrums, it's not like all these Michigan folks can just sell their stakes here and head for greener pastures. More likely many will be forced to turn to public assistance unless Congress acts this month to again extend their jobless benefits, the preferred alternative, at least for states where unemployment is 9% or higher. If nothing is done, up to 100,000 unemployed people in Michigan will be drawing their last benefit checks before this year is done. Nationally, the number could hit 1.5 million. "Michigan remains ground zero for the nation's economic recession, and that makes help for unemployed workers a critical need," Gov. Jennifer Granholm said last month. "While we may see some glimmers of hope for the economy, we know that our unemployed workers will continue to need unemployment benefits for themselves and their families until the economy fully recovers." Critics say that extending jobless pay just removes incentives to find work. That assumes there is work to be found, which for many people in Michigan today is just not the case. There are pockets of unemployment in excess of 25%. According to the governor's office, Michigan provides up to 79 weeks of unemployment insurance benefits -- 26 weeks of state benefits, 33 weeks of federally funded Emergency Unemployment Compensation (EUC), and 20 weeks of federally funded extended benefits. Those receiving benefits also draw $25 a week in federal additional compensation (FAC). The EUC and FAC programs expire in December; pending legislation would extend them through 2010. Several members of the White House economic team said last month that President Barack Obama was ready to "do what's necessary" to extend benefits. "I think that is something that the administration and Congress are going to look very carefully at as we get closer to the end of this year," Treasury Secretary Timothy Geithner said on ABC's "This Week." A lot of families in Michigan and elsewhere will be looking carefully, too -- for jobs and a little extra help _______________________________________________ Marxism-Thaxis mailing list Marxism-Thaxis@lists.econ.utah.edu To change your options or unsubscribe go to: http://lists.econ.utah.edu/mailman/listinfo/marxism-thaxis
