The unemployed get stiffed again

You know what? Democrats couldn’t be bothered to lock this down when the had complete control. A major economic meltdown, but unemployment benefits terrified them:

WASHINGTON — The long-term unemployed have been left out of a deal between congressional negotiators and the White House to enact massive spending cuts and raise the nation’s debt ceiling before its borrowing limit is reached on Tuesday.

Under the so-called grand bargain President Obama tried to strike with House Speaker John Boehner (R-Ohio), federal unemployment benefits would have been extended beyond January 2012, when they are set to expire.

But those negotiations collapsed in July. On Sunday, congressional leaders and the administration crafted a not-so-grand bargain that will cut spending without raising taxes or preserving stimulus programs like federal unemployment insurance.

Asked Sunday night why spending to help the unemployed had been left out of the deal, a White House official said, “because it had to be part of a bigger deal to be part of this.”

In other words, Democrats need significant leverage to get Republicans to agree to additional spending on the unemployed. Federal unemployment insurance programs, which kick in for laid off workers who use up 26 weeks of state benefits, cost a lot of money: Keeping the programs through this year required an estimated $56 billion. In December, Democrats only managed to keep the programs alive for another 13 months by attaching them to a two-year reauthorization of tax cuts.

One thought on “The unemployed get stiffed again

  1. Unless they change some dates and add a tier 5, extending them again won’t help the long term unemployed. Unless they add a date structure for new people becoming unemployed now, they won’t eligible for extended benefits. I don’t know where the number comes from, but when NYS’s state-wide rate dropped below 8.5%, regardless of what your local rate was, extended benefits ended.

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