02.11.04

Today Senate Republicans Rejected Sen. Maria Cantwell's Push to Extend Unemployment Benefits for America's Dislocated Workers

WASHINGTON, D.C . - Today U.S. Senator Maria Cantwell (D-WA) fought on the Senate floor to extend temporary federal unemployment benefits that expired in December, but was blocked yet again by Senate Republicans. Congress's failure to act has left 90,000 unemployed workers each week out in the cold without any help to fall back on. Moved by the numerous constituents who have written in begging for compassion and help while they continue to hunt for a job, Cantwell warned her colleagues that she would continue fighting until something is done.

(facts and constituent stories to follow Senator Cantwell's brief comments)

Cantwell took her case to the Senate floor today: "I ask my colleagues: what are we going to do to help those unemployed workers for whom no jobs exist? More than a dozen times my colleagues and I have asked this body to extend the federal unemployment insurance program. And more than a dozen times Republicans have objected. In their objections, they argued that an extension is not needed and that we're in fine economic shape. Fine economic shape? I bet the families who are now running out of unemployment benefits would disagree.

"Without a paycheck or an unemployment check, these families are being forced to make horrible choices. A recent poll of unemployed adults found that over half have postponed medical treatment or cut back on spending for food. One in four has had to move to other housing or move in with friends or relatives. And more than one-third have had trouble paying gas or electric bills.

"My amendment will extend the federal emergency unemployment benefits program by six months. My amendment will help families keep a roof over their heads until the economy can produce enough jobs to get America back to work.

"My state of Washington continues to be hit particularly hard. We have faced both a high-tech recession and the devastation of the aviation industry, which has led to about 35,000 layoffs at Boeing alone. The unemployment rate in Washington state is 6.8 percent, and some counties have double-digit unemployment rates. Almost eight thousand unemployed Washington workers ran out of state benefits in December. By the middle of this year almost 50,000 people will be left high and dry."

Before Cantwell's amendment was rejected and she vowed to fight this on the floor again, she added, "Unfortunately, so far my Republican colleagues have missed the obvious – that there are not enough jobs to put people back to work."

Senator Edward Kennedy praised Cantwell's efforts stating, "Nine million Americans are out of work right now. Two million of them have been out of work for at least six months, and millions more are so discouraged that they have dropped out of the labor force. No one has been a more effective champion of those unemployed workers than Senator Cantwell. Our first priority must be to get Americans back to work, and no one has been more committed to that goal that Senator Cantwell. I look forward to working with her as she continues to push for another much needed extension of unemployment insurance benefits."

Before the U.S. Senate adjourned for recess in December, Cantwell tried four times on the Senate floor to have unemployment benefits extended before they ran out but was faced with opposition from Republican leadership each time.

FACTS:

What will Cantwell's amendment do?

Cantwell's amendment would extend the federal Temporary Emergency Unemployment Compensation program for six months. This means an additional 13 weeks of unemployment benefits in all states. Additionally, it will add another 13 weeks for high unemployment states, including Washington state.

Is this really needed?

8.3 million Americans are out of work.

For every job opening, there are three unemployed workers.

Starting December 21 st , 2003, 90,000 people per week began to exhaust their unemployment benefits. (That is half a million people in the last six weeks.) By the middle of the year, two million people will be cut off from unemployment benefits.

7,861 laid-off workers in Washington state exhausted their unemployment benefits in December.

The national unemployment rate is 5.6 percent. It is 6.8 percent in Washington state.

How much would Cantwell's amendment cost and how do we pay for it?

Cantwell's amendment would cost between $6-$7 billion. These funds would come from the federal unemployment trust fund, where there is currently $17 billion that is supposed to be used for unemployment insurance for situations like we face today.

How did the $17 billion get there?

Employers a federal unemployment tax for each employee as a result of the Federal Unemployment Tax Act (FUTA). In nearly all cases, employers pay annually no more than $56.00 per employee. The fund is used to fund state workforce agencies and cover the costs of administering unemployment insurance and Job Service programs in all states.

CONSTITUENT STORIES: (Please call or email if you would like personally identifiable information)

Woman from Renton, WA:

"I am an unemployed journeyman machinist facing eviction in about ten to 15 days. For 30 years, I have taken pride in working hard for what I have, and for not needing help from anyone. Unfortunately, I have not had the option of a steady job for a long time due to the economic recession. I have exhausted all available unemployment benefits so I am nearing the unknown of homelessness. I keep hearing about the economic recovery, but so far that has meant nothing to me if I cannot find work.

"What I want is to have an unemployment extension passed quickly before I, and thousands of others like me, are put out in the cold. I just want something that will buy a few months more time so I can have a chance to find work. I would like the Republican majority to try and put themselves in my place for once. Could they imagine what it is like to have their homes taken away from them and their families? Or wonder where the next meal is coming from? I hope they can."

Woman from North Bend, WA, Jan. 14, 2004:

"I am an unemployed worker in Washington State . I have a Masters of Science degree but even so am having difficulty finding work. I spend 8 to 10 hours a day looking for jobs and applying for them. I picked up my last unemployment check of $439 today. I have no reserves or family that can help me through this difficult time.

"Many other workers in Washington are also in this desperate situation. I was told that my benefits would extend through April, but then one week later learned that they were cut off.

"Can you please work to get a Temporary Emergency Unemployment Compensation (TEUC) passed for Washington ? We are not out of the woods yet."

50-year-old woman from Lakebay, WA Jan. 14, 004

"My concern is for the unemployed in our state, as well as our country. My husband was laid off in October 2003. His UI benefits run out the end of March 2004. He has 10 years of post high school education, has sent over 150 resumes to prospective employers, and has not had one response. We have paid on our home for many years, and are facing the dire aspect of losing it if he can't find work. I am 50 years old, and a part time nurse and, unfortunately, due to ill health, I can't work more. My income isn't enough to cover the bills. We have cut back to bare essentials. The only thing we have kept is our internet for job searches. Please encourage an extension of the UI benefit. We are not losers trying to take advantage of the government, we are hard working, educated people and we want a chance."

50-year-old male Senior Graphic Designer from Kenmore, WA Jan. 25, 2004

"On June 18th, 2003 I was laid off from my position as a Senior Graphic Designer at the Boeing Company in the Seattle area. Prior to that I had never been laid off or terminated from any job in my life. But, Boeing is one of the aerospace companies that was hit hard by the effects of the 9-11 terrorist attacks. At the time that I was laid off, there were extended unemployment benefits available from the federal government to people like me who might, through no fault of their own, exhaust their regular state benefits.

My state benefits run out this week. I have tried everything I can think of during the course of the last six months to find a new job. I have used the internet, I have used the newspapers, I have attended Worksource Washington seminars, and I have used my friends and acquaintances. I have personalized my resume and cover letter for almost every attempted application and I have produced a personalized multimedia CD for any significant potential employer. These CD's can take me 4 or 5 hours each to produce but I thought that the personalization and the display of honest effort would attract some attention. But it hasn't. And I'm out of time.

President Bush is telling the world that the employment situation in America is getting much better every day. He says, in fact, that it has gotten so good that we don't need to spend any more money on extending federal unemployment benefits to people like me because I am, by his assessment, in good shape now. I'm not working. I haven't worked since June last year. My wife is also unemployed. She lost her job last October. I have 2 young adopted children, ages 11 and 12 and a mortgage to pay for. None of us have any insurance coverage, medical or dental . We have bottomed out. I can't even find an "unskilled" job employer who would be interested in taking me just until things turn around for me.

This is not the time to dump me and my family in the street . We still need the help. I've been working hard to turn things around but it hasn't happened yet. Please do whatever you can to convince the federal government that, although this is an election year and it would be wonderful if things really were as rosy as portrayed by the current administration, it's not the right time to stop the unemployment extension benefits. There are many of us in the Seattle area who are still hurting. Please. I don't know what else to do."

Woman from Richland, WA Feb. 1, 2004

"I am currently unemployed since 7/31/03 . I have been meeting (and exceeding) my legal obligations to search for work, get extra training, and other means to make myself re-employable. I meet lots of unemployed technical people (engineers, etc.) at WorkSource; getting re-employed in that field is not easy at this time. It appears I will be taking a minimum wage job (which I am not too proud to do in order to keep from losing my home), or leave WA state for other work as my benefits run out in March.

"Question: What happens to me as an unemployment statistic after March?

"Please consider extension of unemployment benefits."