[Congressional Record Volume 157, Number 187 (Wednesday, December 7, 2011)]
[House]
[Pages H8245-H8252]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
{time} 1820
EXTENDING UNEMPLOYMENT INSURANCE
The SPEAKER pro tempore. Under the Speaker's announced policy of
January 5, 2011, the gentleman from Michigan (Mr. Levin) is recognized
for 60 minutes as the designee of the minority leader.
General Leave
Mr. LEVIN. Mr. Speaker, I ask unanimous consent that all Members may
have 5 legislative days in which to revise and extend their remarks and
include extraneous material on the subject of my Special Order.
The SPEAKER pro tempore. Is there objection to the request of the
gentleman from Michigan?
There was no objection.
Mr. LEVIN. Mr. Speaker, today we're here to talk about the need to
extend unemployment insurance. The numbers are staggering. If we do not
act by the end of this month, in January well over a million people
will lose their unemployment insurance, by mid-February the total will
be well over 2 million, and by the end of next year, if we do not act,
over 6 million people. As I said, these numbers are staggering. But the
people behind these numbers are overwhelming.
We're here today to talk about the numbers and also talk about the
people who are involved. When we've had emergencies like this, we have
never failed to act. Today, we face an emergency beyond any we've seen
since the Great Depression, and it's absolutely vital as a result that
we act.
I'm joined by some of my colleagues. I want to call on them. As I do
so, I want to read stories. I'll start by reading just one story and
then call on one or more of my colleagues.
Let me start by reading what came in from a person in Amherst, New
Hampshire, Jackie: ``Unemployment benefits helped me make ends meet
while I was using my savings and 401(k) to keep up with everything. Now
they are gone. My savings are long gone. My 401(k) is almost gone. I'm
watching everything I worked so hard for my entire adult life slip away
from me. I am 50. I will never recover from this.''
I would now like to yield to the gentleman from Texas, if he would
like to join me.
Mr. REYES. I want to thank my colleague for yielding and some time to
speak on this very important issue here.
Mr. Speaker, recently, the Department of Labor reported that the
national unemployment rate fell to 8.6 percent in November, its lowest
point in nearly 3 years. Coincidentally, in El Paso in the 16th
District of Texas, the unemployment rate has also declined. This is
very good news and very positive news for not just our respective
districts but for our country.
We have been told by economists that once our economy gets going and
operating at full strength, it can literally drive the economies of the
rest of the world. These positive signs make it evident that, in fact,
our economy is moving forward and that we are on the road to recovery.
However, as our economy continues to heal, we cannot afford to become
complacent. Instead, we need to immediately pass legislation that will
help create jobs and put more people back to work.
First, I believe, Mr. Speaker, that we must pass the American Jobs
Act. My district, as well as the districts of my colleagues, in talking
to them here, would greatly benefit from the President's Jobs Act. For
instance, El Paso would receive over $66 million to upgrade and
modernize our schools to meet 21st-century needs. In addition, school
districts in the El Paso region would receive funding to keep teachers
from being laid off.
For example, our largest school district, the El Paso Independent
School District, would receive an estimated $45 million to keep
teachers from being laid off and to perhaps hopefully continue to hire
desperately needed teachers in our classrooms. These are smart
investments on our part for the future
[[Page H8246]]
which will also boost our economy in the immediate future.
Second, we must extend unemployment benefits. I want to thank my
colleague for highlighting this and make sure that we extend
unemployment benefits to those that are in desperate need. In fact,
these benefits are the only thing that stand between them and
homelessness and going without. During this downturn, unemployment
benefits have kept over 3 million people in food and clothing and the
basic essentials. It has also served as a booster to our struggling
economy. We must protect these families who are still struggling and
help them by the Jobs Act to find a stable source of income.
I have heard, like many other of my colleagues here, many stories
from those in my district that have had difficulty in the last months
and years in finding a job. So today we cannot and we must not turn our
backs on the American people--the American people that need our help
and need the passage of the American Jobs Act. They also need for us to
step forward, stand with them, and pass the unemployment insurance.
Rather than being distracted and being misled by our colleagues on the
other side of the aisle, we must focus on our priority, which should be
the creation of jobs, the passage of the unemployment insurance, and
getting this economy going.
So I pledge to my colleague and my colleagues here that we must
continue to work together to create jobs not just for El Paso and not
just for Texas, but for our country. And when we talk about the United
States economy that literally drives all other economies, people around
the world are waiting for us to work together to get this done. With
that commitment, we can turn things around. We're seeing some very
positive signs. We must continue to work for all the people that have
sent us here to do that work.
With that, I want to thank my colleague for yielding.
Mr. LEVIN. I thank the gentleman from Texas for joining us and
explaining what this means in his State and throughout the country.
We're determined to tell the stories and, as I said, to put faces on
these numbers. And to do that, I have joined with other Ways and Means
Democrats to launch an extend unemployment program e-call Web site. As
of this week, 2,590 Americans have joined the e-call, and we have
received 501 stories from jobless Americans.
Before I call on the gentleman from Illinois to join, I would like to
read, if I might, just a couple more. This is from Nick of Clinton
Township, Michigan. ``I was unemployed from August 2008 until March
2010 after working for 23\1/2\ years at my job.
{time} 1830
``My job was sent to Sao Paulo, Brazil. Had it not been for extended
unemployment benefits, I would have lost my house.'' Nick of Clinton
Township.
And let me read what was said by Peter of Warren, Michigan: ``I was
permanently laid off from American Axle. I worked there 15 years and
our jobs were sent to Mexico. As of this time, I have not found a job.
I have been looking over 2 years now, and nothing in Michigan. I am in
the TRA/TAA program to be reeducated, but my benefits will run out
before I finish my school, and I will not get the degree in my field.''
Again, from Peter of Warren, Michigan.
I now would like to call, if I might, on the gentleman from Illinois
to join us. And then, if I might, the sponsor of this legislation, Mr.
Doggett of Texas.
Mr. DAVIS of Illinois. Let me thank the gentleman from Michigan for
yielding, but I also want to commend him for his many years of
excellent service to this body that we know as the United States House
of Representatives. And I want to commend him for the tremendous
leadership that he provides as the ranking member of the Ways and Means
Committee.
Mr. Speaker, it is December 7, and Republicans still have not enacted
legislation to protect the millions of Americans hardest hit by one of
the worst economic crises in our Nation's history. The well-being of 6
million Americans, including 100,000 from my home State of Illinois,
hangs in the balance. Our Nation is in an unemployment crisis, and we
must act now to help our citizens.
At this time last year, Republicans emphasized that the economy was
so horrible that the wealthiest Americans needed 2 years of tax cuts,
yet they only saw the need to help the unemployed for 1 year of
emergency assistance. Now, 1 year later, as the emergency assistance
runs out, Republicans remain comfortable with the $180 billion in tax
breaks for the wealthiest 3 percent of Americans, but they cannot
support $50 billion in 2012 to help millions of the neediest
Americans--and never mind any consideration of helping the millions of
Americans who have exhausted their Federal benefits and still can't
find a job.
Our Nation, yes, is indeed in an unemployment crisis. Over 45 percent
of all unemployed workers--more than 6 million people--have been out of
work for more than 6 months. There are approximately 6.4 million fewer
jobs now than at the beginning of the Great Depression. The Department
of Labor data showed that there are over 4.2 unemployed Americans for
every one job. Even if every job were filled, 8.9 million citizens
would remain unemployed.
During this protracted storm of economic hardship, unemployment
benefits are a critical lifeline for our citizens and for our economy.
Unemployment benefits have kept 3.2 million Americans--including nearly
1 million children--from falling into poverty in 2010 alone. New
research shows that the current Federal unemployment programs provide
$2 in economic stimulus for every $1 in unemployment benefits
circulating in the economy. The Federal unemployment programs saved or
created 1.1 million jobs as of the fourth quarter of 2009 alone. And
the Economic Policy Institute estimates that preventing unemployment
benefits from expiring could prevent the loss of over 500,000 jobs.
Our Nation is indeed in an unemployment crisis, and we must act now
to help our citizens. We cannot protect the wealthy while ignoring the
millions of Americans hardest hit by one of the worst economic crises
in our Nation's history. We cannot deliver a windfall to the privileged
and deny the poor. Such a position is not responsible leadership, and
such a position is not consistent with American values.
So I join with my colleagues in urging the Republican leadership to
protect vulnerable Americans by extending the unemployment benefits.
I want to thank you, Mr. Levin, again for the opportunity to
participate.
Mr. LEVIN. And I thank the gentleman from Illinois for your
distinguished service and your passion that you bring to this and so
many other issues.
I want to yield to the gentleman from Texas, who's the lead sponsor
and ranking member on the relevant subcommittee. But before I do that,
since you're from Texas, I want to read one of the hundreds that we've
received, a word from people who are the unemployed.
This is Jessie of San Antonio, Texas: ``I have submitted over 350 job
applications and have only been called for two face-to-face interviews
and five over-the-phone interviews. I am a disabled Navy veteran whose
appendix ruptured in October 2010 and was filled with cancer cells. My
State benefits expired at the end of August, and now my Federal
benefits will expire in 6 weeks.
``It seems that no one is hiring adults over 56 years of age. I'm a
very good, positive employee, and I feel that with every job
application I'm due to get hired soon. Please help me in any way
possible.''
It's now my privilege to yield to the lead sponsor of this
legislation, Lloyd Doggett from the great State of Texas.
Mr. DOGGETT. Thank you, Mr. Chairman. And I still call you ``Mr.
Chairman,'' though the formal leadership of the committee has changed
with the change in the majority here in the House. And I guess if you
were in fact still the chairman with full authority we would not be
here, nor would there be any unemployed individual in the United States
among the millions whose benefits would expire next year who would be
wondering the night before Christmas what would happen the day after
their unemployment coverage expired next year.
We face a great challenge, and as you have been pointing out in
describing individuals like Jessie, a retired--not
[[Page H8247]]
voluntarily retired, but retired, removed from the workforce by
unemployment in San Antonio, these are very real human beings, not just
unemployment statistics.
With over 6 million fewer jobs than when the recession began and more
than four workers competing for every job opening, too many Americans
have nowhere to go. They are like the lyrics from that working man song
of the Nitty Gritty Dirt Band:
Had me a job until the market fell out;
Tried hard to borrow, but there was no help.
Now I've got nowhere to go.
I need a job for these two hands;
I'm a working man with nowhere to go.
And if our Republican colleagues continue to insist that unemployment
is caused by the unemployed instead of by the troubling economy we
have, there will be about another 5 million Americans with nowhere to
go, looking as to where they will find the resources to put food on the
table, make the car or pick-up truck payment, take care of the kids and
meet the other necessities of life if their unemployment insurance
expires.
While the Republicans continue to have a really factless finger-
pointing at the unemployed, I think it is past time for us to lay the
facts straight out on the table and respond to some of these myths that
they've been promoting.
Fact: An unemployment check is not a substitute for a paycheck.
People like Jessie know that. An unemployment benefit usually amounts
to a fraction of what a worker was making before someone lost his or
her job.
Fact: Unless you are actively searching for a job, getting job
training for a new job, or are on temporary layoff, you're not likely
to be entitled to an unemployment check.
{time} 1840
I'm not for just paying people to be idle; but these are individuals
who are either getting training, who are actively involved in a job
search, or the few that are in the temporary layoff category. There is
little evidence to support the Republican claim, repeated again and
again, that unemployment insurance benefits are a significant factor in
discouraging folks from going out and looking for work.
Fact: to receive extended benefits, an unemployed person is required
to accept reasonable offers of employment. Two out of three of the
unemployed respondents in the Heldrich Center survey, and 80 percent of
those who were receiving unemployment benefits, said they were willing
to take a pay cut in order to get a new job, as so many Americans have
had to do with the challenges in our economy.
Fact: one economist estimates that for every $1 dollar we spend on
these unemployment insurance benefits, about a $1.61 in economic
activity comes back. In fact, some of the estimates from one group that
began its survey back during the Bush administration for the Department
of Labor say it's even higher than that in terms of the economic
rewards.
So I believe that we must create jobs. Certainly, we must do the
kinds of things that this Congress has failed totally to do in terms of
job creation and promoting economic recovery. But we also must provide
a vital lifeline for those folks who are out there actively searching
for work and the jobs are just not there for them.
The facts are clear. The time for us to extend unemployment coverage
is now, not to wait until next year, not to wait until Christmas, and
not to wait until these families are faced with the critical situation
of not having the unemployment insurance coverage that they should have
to meet these basic necessities, but to act right now in the next few
days.
It's for that reason, as you well know, that we're working together
to try to get this unemployment insurance coverage extended, as it has
been done often on a bipartisan basis in the past whenever the
unemployment rate was at a level near what it is today.
So, hopefully, in our sounding the alarm here again tonight, in your
telling these stories about individual Americans and what a loss of
this coverage means, we can begin to involve and get the support of
more of our colleagues to do what we really need to have accomplished
just as soon as possible.
Mr. LEVIN. Thank you. What we're trying to do, as you say, is to
bring America into this debate because if the faces are shown and the
voices heard, our faith is that somehow we'll act.
And as you say, Republicans tend to blame the unemployed instead of
blaming themselves for inaction. And we're not going to leave here,
we're not going to leave here until there's an extension of
unemployment benefits; isn't that correct? That's your pledge.
Mr. DOGGETT. It is our pledge, because there's just too much at stake
here. This Congress has been incredibly unproductive. You might think
it had been unemployed for much of the past year. And we need to stay
and complete the work.
This is work that was done practically on Christmas Eve last year,
when this extension was in jeopardy again. And we ought not to go right
down to the wire like that again. There's no reason that this could not
be done in the coming week, but for this ideological commitment saying
that unemployment insurance coverage is not good for the economy. The
facts don't bear that out.
The individual stories that you're telling us about tonight, those
are the individuals, those are the families that have so much at stake.
And of course, because of this economic effect, those unemployed
families, when they get a dollar of unemployment insurance, they have
to spend that dollar. They may be spending it at the grocery store.
They may be paying a landlord or a mortgage company. They may be paying
on their credit card or their car, just to have the basic necessities
of life; and that's why the economic impact on small businesses is so
significant from doing what we would need to do in order to support
these families engaged in an active job search or getting the
retraining and the retooling they need to have an opportunity for a job
in the future.
Mr. LEVIN. It's so important that you've talked about the facts. The
more we discuss the facts about unemployment insurance, and the more we
talk about the unemployed, the more persuasive is the need for action.
There's so much mythology, and the stories help to blast the mythology.
I just would wish that we could get into the shoes--there are 6
million whose benefits are threatened here. If you lined up the 6
million from here, they'd go, I think, to Sioux Falls, South Dakota.
But it's hard for us to receive the stories or to obtain them
because, under the Privacy Act, we don't know the names; and that's why
you and I and others have joined to, essentially, have a Web site so
people can tell us how to reach them.
But your recitation of the facts is so important because, in the end,
I think the facts will prevail. The stories will be telling.
And so, Mr. Doggett, you've been such a lead person on this. You're
the lead person on this legislation. So many of us have been working on
this.
As you said, one of the facts is we have never failed to act, and
this is a deeper recession than we've known. In fact, one of the facts
is that there are now nearly 7 million fewer jobs in the economy today
compared to when the recession started in December 2007. Seven million
fewer jobs. And so when people search, they're often hitting a wall.
By the way, this gentleman, Jesse, refers to his age. And it's very
true that the older--they're not very old--people are having trouble.
I had a forum in Michigan, and it was so heartbreaking that a person
said to me--I would guess in her fifties--that I've taken all of the
years off of my CV, when I went to college, when I graduated, when I
first had a job, and the date of every position she had because she's
afraid that when these resumes come in, people look at the age and a
stone wall is hit.
It's my privilege, Mr. Doggett, to join with you. I'd now like to
have join us a very distinguished Member from California. And if you
give me a minute, Barbara Lee, the very distinguished woman, I want to
find a story from California. And so if I might just read this before I
yield to you.
This is Benjamin of Los Angeles, California:
``I've been actively looking for work for 8 months now. Unemployment
insurance has been crucial in my survival. It has literally kept me
alive.
[[Page H8248]]
It's allowed me to buy food and pay all my bills. Bills have no
conscience. They come, regardless if one is working or not.
``I really feel for and extend my empathy to those who are unemployed
and have children. I wholeheartedly support the emergency extension of
unemployment insurance.''
Benjamin of Los Angeles California, your home State.
You do such honor to your State and the whole Nation, and it's my
privilege now to call upon the gentlelady from California, Barbara Lee.
{time} 1850
Ms. LEE of California. Thank you so much.
First off, let me thank the gentleman from Michigan for those very
kind words, more importantly for your leadership on so many fronts and
for caring about those who are falling through the cracks at this
point, and also for this very sobering Special Order tonight, because
this is very sobering on the need for an immediate extension of
unemployment benefits for the millions of Americans who are struggling
to find work.
While we received some welcome news on the unemployment rates from
last week with the national unemployment rate falling to 8.6 percent
from 9 percent, we cannot stop. We cannot abandon the millions of job
seekers during the middle of a faltering recovery.
In fact, failing to extend these critical benefits would really
cripple our recovery and cost the economy over half a million jobs.
The slow pace of private sector job creation is not because of
regulations or uncertainty in the Tax Code. If you speak to nearly any
business person, they will tell you that they are not hiring because
they don't have customers.
Abruptly ending unemployment benefits during the holiday season,
first of all, it's mean and it's morally wrong. It would strip 2
million customers out of the economy by March, and over 6 million
customers out of the economy by the end of the year. But again, more
importantly this is just morally wrong. This is just not who we are as
Americans.
We could not make a worse decision than to cripple our economy by
failing to protect millions of families and children from poverty
because that is just what unemployment benefits do. It keeps 1 million
children from falling into poverty. So we absolutely must extend this
critical benefit to workers who were laid off through no fault of their
own before the end of this year.
Hidden, though, within the positive 0.4 percent drop of unemployment
is the discouraging news that over 300,000 Americans dropped out of the
workforce and that the long-term unemployment picture is not improving,
with the average length of unemployment now rising from 39 weeks to 40
weeks.
So not only must we immediately extend the emergency unemployment
benefits, but we should also immediately pass legislation that
Congressman Bobby Scott and myself have introduced, H.R. 589, which
would add an additional 14 weeks of tier I unemployment benefits for
the millions of Americans who have already completely exhausted their
benefits. And I hope that the Republican leadership will bring that
bill to the floor for an up-or-down vote.
We can't ignore the needs of people who have hit the 99 weeks,
because unfortunately when we extend unemployment benefits, there will
be 2 to 3 million people who still won't be covered because they've hit
the 99 weeks. So we can't ignore the needs of the millions of Americans
who have run out of time and who are now losing their homes, falling
out of the middle class, and relying more and more on our help.
In addition, there was a startling rise in the African American
unemployment rate from 15.1 percent to 15.5 percent in the same period.
There can be no clearer reminder of the ongoing racial and ethnic
disparities that continue to plague our Nation and keep minority
communities suffering disproportionately than higher rates of
unemployment, poverty, near poverty, and tragic health disparities like
unconscionably higher rates of HIV infection.
When the national employment picture improved significantly for the
first time in months, African Americans faced a marked increase in
their unemployment. That means we must take immediate and bold action
to implement targeted programs and policies to ensure that we truly are
a Nation that provides equal opportunity and leaves no one behind in
terms of accessing the American Dream.
Now, Congressman Levin, I held a job fair in my district a few months
ago. Thousands of people showed up in Oakland for the few jobs--four
people for every job--that were available.
But let me tell you, people want to work. They want to work. We in
the Congressional Black Caucus held five job fairs around the country,
thousands of people showed up for limited jobs. I can say with
certainty, people want to work, people want to work.
And so we have to, however, extend the safety net or this bridge over
troubled waters until we figure out how we can deal with the politics
of getting the American Jobs Act passed, and also other opportunities
and legislation to provide jobs for people because people want to work.
So we have to extend this unemployment compensation until we do that.
We have to save our economy and the millions of struggling families
from poverty and immediately pass and extend unemployment benefits now.
Let's not forget again the 2 million-plus people who've hit that 99-
week limit who will not be eligible for an extension unless we figure
out a way to include them in these initiatives and in this policy.
Mr. Speaker, we've got a lot of work to do. But I know we intend to
stay here until we do our job, until we extend this bridge over
troubled waters, the safety net for people just to survive. That's all
this is, is for people just to survive.
If we don't do that, those of us who call ourselves people of faith
really need to come to grips with our faith and who we are, and how we
propose to move forward within the context of looking out for and
making sure that the least of these are addressed and taken care of
until we can provide them those opportunities and dismantle those
barriers so they can reignite the American Dream, because it's turned
into a nightmare for millions and millions of people.
So Congressman Levin, I want to thank you again for, again, this
clarion call to our conscience. It should prick our conscience tonight.
We should, tomorrow, say let's pass this now. The holiday season is
upon us. People need some certainty in their lives. They need to know
that they have a bipartisan effort to help them through this period,
and they need to also know that we're going to work very hard to pass
the American Jobs Act so that they can finally get a job, because
that's what this is all about. And people want to work. Thank you
again.
Mr. LEVIN. Thank you for your eloquent statement.
As you said, this is one estimate, four people for every job. You
mentioned this is a matter of faith. A few weeks ago, I met a minister.
I had never met him before. And we got to talking about the challenge
of unemployment insurance. And I paraphrase what he said to me: This is
a challenge to America's soul.
Thank you very much.
Before I call on the distinguished colleague from Wisconsin, I want
to read one more story.
I have a story that's given to us, one of the more than 400, from
Nathan of Madison, Wisconsin.
So let me read this before I call on my distinguished colleague and
friend from Wisconsin, Gwen Moore.
I quote: ``I have been unemployed twice in the past 5 years, and they
were not by choice. I have a master's degree in organic chemistry and
have worked in the pharmaceutical industry and related industries since
finding a job out of school in 1998. After 2 years with my first
company, I received a double promotion. So my layoffs have not been due
to my performance, abilities, or capabilities.
Anyone who says unemployed people are lazy or have it good are
ignoring the fact that people are hurting across the board.'' From your
fellow resident of the State of Wisconsin.
It is now my distinguished privilege to yield to you, Ms. Moore, from
the State of Wisconsin.
Ms. MOORE. Absolutely, Representative Levin.
[[Page H8249]]
Let me start out by thanking you for this Special Order. And that
letter is just one in 58,000 people, off the top of my head, that will
be immediately affected by our inability to expand unemployment
insurance. That's one story.
As you indicated, it's a person who is from Madison, Wisconsin, well
educated, and cannot find a job in this recession.
I just think it is really curious, and I guess I would like to engage
in a dialogue with you about this, you being the ranking member on Ways
and Means, maybe you can help me understand a little bit better. Our
colleagues in the majority, the optic and the narrative in the country
for them is they want to preserve benefits for millionaires and
billionaires. They want to preserve corporate tax expenditure benefits
for corporations.
{time} 1900
They want to maintain foreign profits for expatriated funds. They
want to maintain a very high tax exemption for estates over $5 million.
They want to maintain capital gains benefits, benefits on dividends.
So I'm just curious, Representative Levin, why they don't want to
provide this governmental benefit for unemployed people. This is very
distressing to me when I consider who the unemployed are. When I think
about the people the majority party wants to preserve benefits for and
then when I get an optic of the people who would most likely benefit
from this unemployment insurance, there is a stark contrast. Perhaps
that starts to explain why there is a reluctance, an unwillingness and
an unreadiness to provide this benefit.
Now, as you know, the overall national unemployment rate dropped from
9.1 percent recently to 8.6, which is something that I think we can
claim some victory for; but when you peel back the curtain and
disaggregate these numbers, you're going to see that there's a sharp
and problematic racial undertone as it pertains to black unemployment.
When you look at the unemployment for white men, Representative
Levin, their unemployment dropped from 7.9 percent to 7.3 percent,
which is very high; but black men endured a spike from 16.2 percent in
unemployment to a disturbing 16.5 percent in unemployment. So those
lowered unemployment rates certainly do not reflect what's happening in
the African American community.
Of course, according to the Bureau of Labor Statistics, unemployment
declined for every demographic within the white community--for
teenagers, men, women--but it actually increased for every measured
group within the African American community--for men, women, teenagers.
Even worse is after the fact, when the recession is over, when black
unemployment won't be any better than white unemployment is right now.
I guess that's sort of racial inequality 101. When we peel back the
layers of this improved economy, what we find, Representative Levin, is
that single mothers--women--are suffering, that they're some of the
hardest hit.
As you will recall, Representative Levin, this institution on a
bipartisan basis--and I understand I was not here when Mr. Newt
Gingrich was Speaker of the House--decided that the most important
legislative initiative that they could undertake was to end aid to
families with dependent children and to put women and children under
the vagaries and vicissitudes of a cyclical economy. So now that we
have an economy that is as bad as it was during the Great Depression,
we can look at the unemployment numbers among women, especially among
single women, and we can find some very, very distressing data.
Poverty among women climbed to 14.5 percent in 2010 from 13.9 percent
in 2009, the highest in 17 years. According to a recent report by Legal
Momentum, recent Census data on poverty paints a bleak picture for
single-mother families. This report finds that the poverty rate for
single moms, for people who by definition have to feed their kids every
night, reached 42.2 percent last year, up from 38.5 percent in 2009,
and way up from 33 percent in 2000. It is chilling to contemplate the
predicament of women and children when there is no aid to families with
dependent children and no entitlement. When you consider that you've
got folks like the gentleman you described in your letter who has a
master's degree and who cannot find a job, a mom with kids is competing
in that same job market.
There is a great deal of need in these populations. Even as the
economy begins to show growth, they're forced to make cuts in the
family budgets. They're living with food insecurity--not enough food--
and the quality of the food is not good. They're eliminating health
insurance. I know families in my district who are taking medicines
every other day, doing without transportation, clothing, and where
utility cutoffs are very prevalent.
Mr. LEVIN. I was looking through some of the letters. Let me just
read a letter in which the author is a single parent from Geneva:
``I never thought that I would have to start all over again looking
for work in my late forties. I hadn't even been 1 year cancer free. I'm
a single parent of a teenage daughter. So, when my job terminated, so
did my medical insurance . . . I had to move back to my mom's house. I
could no longer afford my rent, car note, insurance, and the basic
everyday needs of raising my daughter and keeping my own place . . .
Please don't take away UI so soon. People like me need to keep it until
we can find full-time work to take care of our families and help us
keep our self-esteem.''
Ms. MOORE. I tell you, that is a very moving letter. You say she had
to move with a teenage daughter back into her mom's house. I mean,
teenage kids need things other than food. Something like toilet paper
becomes an issue when you're sharing a household and when you don't
have enough money to make those contributions.
The other thing that makes me very curious, Representative Levin, is
the rhetoric around the desire to help small businesses. Do you realize
if we don't extend this unemployment benefit, economists have
calculated that, in 2012, this will take $90 billion out of the
economy? You won't buy that teenager shoes because you're unemployed.
Mr. LEVIN. Absolutely.
We're focusing today on the stories of the unemployed, on the
personal stories, in order to put a face on the numbers. It's also
important--and you referred to it--for the economy of our country.
Every economist, I think without any exception, says that unemployment
insurance is one of the two most beneficial instruments that we have in
terms of putting money back into the economy because people who are
unemployed and who receive their insurance--they work for it--spend it.
We have some other stories from single parents. Let me just, if I
might, read another story. Then perhaps we should ask the gentlelady
from Texas to join us if she would like.
``I am a military spouse that was forced to move and leave a great-
paying office management position since my husband was transferred to a
new duty station . . . I have applied for jobs that would barely cover
our bills just so that I can be among the working again . . . My
soldier can't afford to support us on a military income--and it's not
just about me. I have a son to think of. I hope and pray that an
extension is approved so that it doesn't cause our family structure to
crumble. I believe that an extension should be approved as it is
keeping not only my family but millions of other American families from
drowning in a sea of financial ruin.''
That's from Rachel of Lemoore, California.
It is now my privilege to yield to the gentlelady from Texas, Ms.
Sheila Jackson Lee.
{time} 1910
Ms. JACKSON LEE of Texas. I thank the gentleman very much and thank
him for his leadership on this issue. And reading these passionate
letters, I don't know how anyone could bring us to the brink of
disaster where we find ourselves today.
I just want to read from the U.S. Department of Labor a simple
sentence that I think speaks volumes:
``The unemployment insurance system helps the population most
directly affected by recessions, those who have lost jobs through no
fault of their own.''
Mr. Levin, you have heard my colleagues speak of the double-digit
unemployment in distinctive populations,
[[Page H8250]]
the young, recent college graduates, African Americans and Latinos who
remain at the bottom of the heap, but who are looking for jobs every
day. I am reminded of a job fair at the Fallbrook Church in Houston,
Texas, where throngs came seeking opportunity and basically refuting
the commentary of one Presidential candidate no longer in the race, Mr.
Cain, who said if you're broke and if you're unemployed, it's your
fault.
And now the front-runner, Mr. Gingrich, says that poor children have
no role models, their parents don't get up and go to work, they have
not seen anybody go to work. How outrageous to speak about those who
have lost their job, their children are poor, and they would blame the
victim.
So I think it is crucial that we pass this legislation; and we have
never, Mr. Levin, not passed this legislation when unemployment in our
country has been near 9.1 percent. It is not 9.1 percent, but it's very
well near there.
And unemployment benefits will keep us from losing over 500,000 jobs.
It will also help some of the bankrupt States. There are States that
are, in fact, looking to $5 billion in tax hikes on employers in nearly
two dozen States. These solvency provisions will stop putting $5
billion in tax hikes on employers in nearly two dozen States, as well
as provide $1.5 billion in interest relief.
Some of these very Members who may be objecting to this, debating
about it, come from States that are themselves facing a question of
solvency because of the unemployment insurance.
Where is the life raft, if you will? Where is the helping hand? Where
is the rescue for the people who are desperate?
You might not be able to see this, but it's a very small picture of a
person living in a disastrous home impacted by Hurricane Ike. There was
some decision about some funds going there in Houston, Texas, today.
I'm not happy with the meager distribution to help people like this.
They're not getting all the money that they need.
I can assure you if they're living in some homes like this, many
times they may also be unemployed. So they're living in devastated
housing in many instances. They are in need of food on their table.
They are likewise trying to provide for their children, and they don't
have the resources.
Mr. LEVIN. The gentlelady referred to a particular situation. Let me
read from another story, if I might.
Ms. JACKSON LEE of Texas. Please do.
Mr. LEVIN. This is Linda of Seattle, Washington:
``I am a person, a hardworking American person at that, and I will be
forced to live on the streets if EUC is not extended. It terrifies me;
and if it happens, the struggle I will face to once again be a
productive member of this society, in these times, by myself, is not
one that I'm likely to win. There are thousands of stories just like
mine that won't be told here. We are people, we have faces and lives
and dreams just like everyone who still has a job. I am telling you: we
will be on the streets without this extension, and only some of us will
ever make it back from that.''
Ms. JACKSON LEE of Texas. First, you read about a mother and her
child that has to move back into their family's residence, or her
parents' residence. These are now senior citizens.
Then you tell me about someone who's actually going to be homeless.
Then we hear about a person that's degreed, has the ability to
contribute to the engine of this economy in science, and they're
unemployed. And then if you would, Mr. Levin, just look, I'm on the
floor with Mr. Garamendi, the gentleman from California, and we use
this to show how flat-lined our working and middle class have been in
terms of the growth of their income; and we see the top percent of
wealth right here shooting up to an enormous amount--that is the blue
line. This is how the wealthy have progressed and grown.
And then we hear our friends saying the poor little rich person,
where the very rich person in this group, because I'm not involved in
class warfare, is saying we understand and we're willing to have the
burden of sacrifice with the benefit of living in this great country.
And so when we look at this wealth, think about this woman who is
saying she is near homelessness and think about the 160 million
Americans that if we do not do a payroll tax cut; but think about, most
of all, the 6 million Americans who will be left to homelessness in
contrast to the enormous wealth that is on this poster board and the
meager proposal of surtax on the 1 percent for 10 years, starting in
2013, to pay this off and to keep solvent Social Security. It is
unbelievable that we would not rush to do this as we are nearing the
holiday season.
I am just noting for you, Mr. Levin, just to say that the powerful,
passionate letters that you have read are volumes in terms of those who
are seeking our help.
And for anyone that has been to Occupy Houston or Occupy Wall Street
or Occupy any city, if they talk to the people individually, they will
know that these are simply hurting Americans who have lost their jobs
who are seeking to come and seek opportunity. They want to work; and
everyone that I have spoken to, the lady who is here with this home, 56
years old, I know that whether she's employed or not, the condition of
her home suggests that she is in need. And the homeless persons,
because they have no job, are in need.
I don't believe that the wealthy that are speaking on this particular
poster board would argue about the solution that you have come to and
that you are advocating and that those who are writing in are saying,
they are asking, just give me a lifeline and help me to survive.
I am prepared to stay here, Mr. Levin, as you have indicated, to make
sure that we do right by the people who are so much in need.
Mr. Speaker, I rise today to address the issue of extending
unemployment insurance. We must not go home for the holidays if we
cannot agree to extend unemployment insurance.
With a national unemployment rate of 9.1 percent, preventing and
prolonging people from receiving unemployment benefits is a national
tragedy. As of today, in the City of Houston, the unemployment rate
stands at 8.6 percent as almost 250,000 individuals remain unemployed.
Indeed, I cannot tell you how difficult it has been to explain to my
constituents whom are unemployed that there will be no further
extension of unemployment benefits until the Congress acts. Whether the
justification for inaction is the size of the debt or the need for
deficit reduction, it is clear that it is more prudent to act
immediately to give individuals and families looking for work a means
to survive.
If there is a single federal program that is absolutely critical to
people in communities all across this nation at this time, it would be
unemployment compensation benefits. Unemployed Americans must have a
means to subsist, while continuing to look for work that in many parts
of the country is just not there. Families have to feed children.
The American people are relying upon us to stand up for them when
they are in need. This is not a time to take a vacation, go home to our
families, and watch our unemployed constituents suffer through
holidays.
Unemployed workers, many of whom rely on public transportation, need
to be able to get to potential employers' places of work. Utility
payments must be paid. Most people use their unemployment benefits to
pay for the basics. No one is getting rich from unemployment benefits,
because the weekly benefit checks are solely providing for basic food,
medicine, gasoline and other necessary things many individuals with no
other means of income are not able to afford.
Personal and family savings have been exhausted and 401(Ks) have been
tapped, leaving many individuals and families desperate for some type
of assistance until the economy improves and additional jobs are
created. The extension of unemployment benefits for the long-term
unemployed is an emergency. You do not play with people's lives when
there is an emergency. We are in a crisis. Just ask someone who has
been unemployed and looking for work, and they will tell you the same.
Currently, individuals who are seeking work find it to be like
hunting for a needle in a hay stack. For every job available today,
there are four people who are currently unemployed. You can not fit a
square peg in a round hole and point fingers at the three other people
who when that job is filled is left unemployed. Let's be realistic
there are currently 7 million fewer jobs in the economy today compared
to when this recession began.
Although according to the U.S. Bureau of Labor Statistics the State
of Texas continues to have the largest year-over-year job increase in
the country with a total of 253,200 jobs.
[[Page H8251]]
There are still thousands of Texans like thousands of other Americans
in dire need of a job.
UNEMPLOYMENT INSURANCE
A study was conducted the research firm IMPAQ International and the
Urban Institute found Unemployment Insurance benefits:
Reduced the fall in GDP by 18.3%. This resulted in nominal GDP being
$175 billion higher in 2009 than it would have been without
unemployment insurance benefits.
In total, unemployment insurance kept GDP $315 billion higher from
the start of the recession through the second quarter of 2010;
kept an average of 1.6 million Americans on the job in each quarter:
at the low point of the recession, 1.8 million job losses were averted
by UI benefits, lowering the unemployment rate by approximately 1.2
percentage points; made an even more positive impact than in previous
recessions, thanks to the aggressive, bipartisan effort to expand
unemployment insurance benefits and increase eligibility during both
the Bush and Obama Administrations. ``There is reason to believe,''
said the study, ``that for this particular recession, the UI program
provided stronger stabilization of real output than in many past
recessions because extended benefits responded strongly.''
For every dollar spent on unemployment insurance, this study found an
increase in economic activity of two dollars.
According to the Economic Policy Institute extending unemployment
benefits could prevent the loss of over 500,000 jobs.
If Congress fails to act before the end of the year, Americans who
have lost their jobs through no fault of their own will begin losing
their unemployment benefits in January. By mid-February, 2.1 million
will have their benefits cut off, and by the end of 2012 over 6 million
will lose their unemployment benefits.
Congress has never allowed emergency unemployment benefits to expire
when the unemployment rate is anywhere close to its current level of
9.1 percent.
Republicans seem to want to blame the unemployed for unemployment.
But the truth is there are over four unemployed workers for every
available job, and there are nearly 7 million fewer jobs in the economy
today compared to when the recession started in December 2007.
The legislation introduced today would continue the current Federal
unemployment programs through next year.
This extension not only will help the unemployed, but it also will
promote economic recovery. The Congressional Budget Office has declared
that unemployment benefits are ``both timely and cost-effective in
spurring economic activity and employment.'' The Economic Policy
Institute has estimated that preventing UI benefits from expiring could
prevent the loss of over 500,000 jobs.
In addition to continuing the Federal unemployment insurance programs
for one year, the bill would provide some immediate assistance to
States grappling with insolvency problems within their own UI programs.
The legislation would relieve insolvent States from interest payments
on Federal loans for one year and place a one-year moratorium on higher
Federal unemployment taxes that are imposed on employers in States with
outstanding loans.
According to preliminary estimates, these solvency provisions will
stop $5 billion in tax hikes on employers in nearly two dozen States,
as well as provide $1.5 billion in interest relief. The legislation
also provides a solvency bonus to those States not borrowing from the
Federal government.
We must extend unemployment compensation. This will send a message to
the nation's unemployed, that this Congress is dedicated to helping
those trying to help themselves.
Until the economy begins to create more jobs at a much faster pace,
and the various stimulus programs continue to accelerate project
activity in local communities, we cannot sit idly and ignore the
unemployed.
PAYROLL TAX CUT
For 337 days, the GOP House majority has failed to offer a clear jobs
agenda. Congress must not leave Washington for the holidays without
extending the payroll tax cut and unemployment benefits that put money
into the economy and promote jobs.
GOP is risking tax relief for 160 million Americans while protecting
massive tax cuts for 300,000 people making more than a million dollars
per year.
Extending and expanding payroll tax cut would put $1,500 into the
pockets of the typical middle class family.
At least 400,000 jobs would be lost if Republicans block the payroll
tax cut
In November, Senate Democrats proposed reducing it to 3.1 percent for
2012, and cutting employers' taxes on the first $5 million in taxable
payroll to the same level, which helps small businesses. To pay for the
cut, the bill calls for a 3.25 percent tax on gross income over $1
million for single filers and married couples filing jointly, the so-
called ``Millionaire's Tax.'' This is a reasonable compromise.
There are other ideas floating around this Chamber that touch on tax,
such as repatriation. Lowering taxes is always a good idea, but
scattershot approaches to tax reform almost always lead to undesirable
outcomes.
Targeted Tax Relief for American Workers
The 2% payroll tax cut in effect for 2011 has provided $110 billion
of tax relief to 159 million American workers.
If the payroll tax cut is not extended, a family struggling through
the economic recovery making $50,000 will see its taxes go up by
$1,000.
Expanding the 2% payroll tax holiday to 3.1% will cut Social Security
taxes in half for 160 million American workers next year.
This targeted tax relief will mean an extra $1,500 for a typical
American family making $50,000, and $2,500 for a family making $80,000.
Mr. LEVIN. Your chart leads me to the last letter I'll read.
I read from Ralph of Warren, Michigan, because your chart shows
what's at stake for middle-class America:
``Unemployment insurance must be extended so you can pay your bills
and buy food. Without this insurance you would see the foreclosures go
through the roof. Start looking out for the middle class that built
this country.''
And this issue of extension of unemployment insurance is critical for
all America, and it surely is critical for the middle class that helped
to build this country in that now, and the millions are finding, they
have lost their jobs, they are looking for work, they can't find it. We
need to respond, and we need to respond right now.
And I close with this pledge from all of us on the Democratic side in
the House: we do not intend to vote for a motion to adjourn until we
have acted on the payroll issue, continuing on the physician
reimbursement issue, and very much so on extending unemployment
insurance so that people out of work, through no fault of their own,
can be assured there won't be millions of people in this country,
beginning the 1st of January, who are left out in the cold.
I thank all my colleagues.
Mr. Speaker, I yield back the balance of my time.
Mr. WAXMAN. Mr. Speaker, I rise today in unqualified support of
extending unemployment benefits for the long-term unemployed.
The United States is a great nation. We're a great nation because we
are the land of opportunity. We're a great nation because we are the
home of the American Dream, where hard work and playing by the rules
have always equaled success. But the United States is also a great
nation because we assist our fellow citizens in need--those who have
fallen on hard times and through no fault of their own are in need of a
safety net.
An out-of-control Wall Street and the reckless deregulation pursued
by the Bush Administration brought us the greatest economic crisis
since the Great Depression. Tens of millions of American's lost their
jobs, and fourteen million still are unemployed today. Forty-five
percent of those unemployed have been out of work for six-months or
more.
Every day, I hear from constituents that lost their job during the
great recession and have been struggling to get by.
From one constituent:
I have been unemployed for almost 2 years. Never in my 51
years of life have I ever experienced anything like this. I
submit resumes via Craigslist daily, I network and I have
done whatever I can to get back to work. I will be homeless
if [unemployment] benefits are not extended.
And another:
I'd really like to know if there's another unemployment
benefits extension in the works. I am 53, with no family, and
no car that I can live in, but I will lose my apartment if I
can't find a job . . . or get more benefits. It's no secret
that jobs are VERY hard to come by, and I've had a really
good work history, but that means nothing right now.
And another:
I have sent out hundreds of resumes, both for positions in
my field, and for positions I knew I could do, or have done
when I was just starting out. I have received less than ten
acknowledgements of receipt of my resume over the course of
21 months. My background and education are solid.
And another:
My job as CFO of a small restaurant chain, headquartered in
Santa Monica, was eliminated in Dec. 2010. Since then I have
been unable to find employment and, as a result, had to sell
my condo at a considerable financial loss. I have been
surviving through the extended unemployment program offered
by the federal government. If this program is not renewed, I
have no idea how I will cope, financially, or mentally.
And another:
I'm 63, was let go from a very significant position back in
February 2008 after eight
[[Page H8252]]
years of being a Multi Award Winning Sales Executive, in two
industries . . . in working over 40 years without
interruption I have been collecting unemployment benefits for
two years. I'm embarrassed to tell you how many resumes and
contacts I've made, competing with men and women in their
20's, 30's, 40's.
This has taken a huge toll on my life as you can imagine .
. . my condo is for sale and I'm being audited by the IRS . .
. my health has deteriorated and I didn't have health
insurance for the past two years.
For too many Americans, unemployment benefits are the difference
between having a roof over their head, or sleeping on the street;
having food to feed their kids, or skipping dinner; seeing a doctor, or
living with chronic illness.
As a great nation, we have an obligation to provide a lifeline to
these fellow citizens. It is incumbent on us a decent society.
I have cosponsored legislation to extend unemployment insurance
through the end of 2012. I have also cosponsored legislation to help
the so-called ``99-ers,'' by extending the length of federal benefits
by an addition 14 weeks, to 113 weeks total.
But Congress must do more. My constituents need more than a safety
net. They need jobs.
According to a recent report by the Washington Post, this Republican
House is on track to be least productive first session in 20 years. In
a full year, Republicans have yet to pass a single bill to create a
single job.
The Republicans' refusal to take up measures to help restart our
economy--like President Obama's American Jobs Act--is all the more
reason that we must extend these essential unemployment benefits. I
urge my colleagues to stand up for the unemployed Americans who are
facing catastrophe through no fault of their own and vote now to extend
this critical lifeline.
____________________