By Christine L. Owens, Executive Director, National Employment Law Project
With the election behind us, the looming fiscal cliff has now moved front and center in our national debate. The stakes are enormous, though as many note, the “cliff” is really a “slope,” with the effects of going over it more gradual than immediate and remediable by future action. But for one group of Americans -- the long-term unemployed -- Congress’s failure to meet an end-of-year deadline means a catastrophic plunge. Here’s why.
The Emergency Unemployment Compensation (EUC) program enacted in mid-2008 and since renewed ten times, provides between 14 and 47 weeks of federal unemployment benefits, depending on states’ unemployment rates, for jobless workers who reach the end of their state benefits (typically, 26 weeks) without finding work. Since Congress last reauthorized and shrank the EUC program in February 2012, the total number of weeks of federally-funded benefits for long-term unemployed workers has declined significantly, by an average of 31 percent across the states.
The EUC program is now set to expire at the end of the year -- a demise that is premature. Though the unemployment rate is falling, at 7.9 percent it is still 40 percent higher than when EUC was first implemented. More significant, long-term unemployment -- joblessness longer than six months -- has grown substantially in recent years: At five million individuals, long-term unemployment accounts for 40.6 of overall unemployment, a share more than double that in mid-2008 (18 percent) and one that has declined only marginally from the 42.6 percent rate last February, when the program was renewed. With more than three unemployed workers for every job opening, the average duration of unemployment is 40 weeks. These jarringly long spells and sustained high rates of long-term unemployment are record-setting, underscoring the continued need for the EUC program.
Congress has allowed EUC benefits to lapse temporarily on several occasions in the past, but the program’s rules insulated most participants from immediate harm, allowing them to continue receiving assistance until they reached the end of the “tier” in which they were participating. However, when Congress renewed EUC in February, it imposed a hard cut-off: If the program is not renewed by year’s end, 2.1 million unemployed participants will immediately stop receiving benefits, and by the end of the first quarter in 2013, roughly one million more unemployed workers will move into the ranks of the long-term unemployed, without the crucial income support EUC provides.
Cutting off EUC would deal a devastating blow to the long-term unemployed and potentially to the economy overall. Unemployment benefits play a crucial role in helping the jobless return to work, both because the program requires job search as a condition of aid and because the income enables individuals to incur the costs -- transportation, applications, and occasionally, job training -- needed to seek work. Researchers at the John J. Heldrich Center at Rutgers have found that unemployed workers receiving benefits take more steps to look for work than those without benefits.
Unemployment benefits, though modest, also provide a basic floor of income support that enables many jobless workers and their families to stay in their homes and meet their basic needs. The Congressional Research Service found that in 2011, 26 million workers and their families benefited from unemployment assistance, including 2.3 million (more than a quarter of them children) lifted out of poverty because of the aid. According to CRS, unemployment assistance produced a “markedly higher impact on poverty in the most recent recession than in the previous two” recessions.
These benefits are also crucial to sustaining our fragile recovery. As Moody Analytics Chief Economist Mark Zandi put it, “There was arguably no more effective form of government support during the recession than the emergency UI benefits provided to workers,” which “financially stressed unemployed workers spend … quickly.” Every dollar paid out for unemployment benefits generates an additional $1.61 to $2.00 in economic activity. This economic boost is especially crucial as we approach the holiday season and long-term unemployed workers are facing the end of the EUC program: According to the National Retail Federation, 20 percent of all 2011 retail industry sales were during the holidays. Draining consumption from the economy at the time spending should be most robust is a recipe for disaster.
Renewing and preserving the EUC program for at least another year is critical for the economy overall -- and even more importantly, for the millions of men and women who want to work, need to work, and are looking for work but still cannot find jobs. They have already paid the greatest price for the reckless, profligate policies that propelled the nation into its deepest recession since the 1930’s. The least we can do for them is to preserve a program of modest income support, until the country’s job growth engine has enough steam to provide work for all of America’s workers.
Sources for all data cited in this post can be found here
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Currently the sales of
Currently the sales of assault firearms is at it's all time high. According to the American Constitution, the reason for the 2nd amendment is for the average citizen to protect them self agents the government! Our forefathers' did have vision of greed they also understood the seduction of power while in a powerful political office, go try to buy an assault rifle, they are sold out. People do understand what must take place. The sit in on Wall Street was a joke compaired to what is comming next!!!
Ending emergency unemployment compensation
I sure would like to get my hands on the guy that made that baby Boomer comment. We the sheeple need to take our government back.The federal government does what it wants and we the people have to ask for permission.Let's quit being sheeple and start being people and take our great country back from these invaders
..here is the answer..
Psalm 91: 14:16
A possibility?
Is there even a possibility of the bill being passed again? I can't find any info other than its ending...
I live in a rural part of NV. 70 MILE commute to las Vegas. Kinda hard without a vehicle.. hence why I am on une+mployment in the first place. Is there hope?
EUC extension 2013
I think my heart just dropped. Got a letter in mail. Today Dec 17. I just started Tierr 2. I'm single parent of two girls. Don't know how I'm going to support my family. I have no child support. No assistance from the state at all. I was denied any additional support such as food stamps. I have no health insurance as a result of loosing my job Jan 2 2012 I loss my job health and dental benefits was told I made too much unemployment. Im trying so hard to stay stronger my girls. Not a great thing to see that. My girls holiday will not happen. Because I have to hold on to the little I have for food. Other financial obligations. Lord knows I have rent to pay. I've been looking for work. Been on interviews to not get a call back. To get turned away for not having a college degree. I pray. For a miracle. God knows I need one I didn't choose to not work. My job closed. So now I'm at struggle. I'm a fighter. I've worked since 16. This is my first time being unemployed. Now I'm 37. I'm not trying to rob the system. Trying to get back on my feet. My feet. Now I can't pull my head from under water. Student loan debts , now I can't feed my f family need faith and hope that a man I elected for president won't turn his back on middle-class people. Who don't choose to not work. I want to succeed. Mishaps happen out of my control. If I didn't have God ill be without faith. Still hope! Obama... I voted because I believed you would make a difference. Don't forget about the unemployed not by choice.
I am also right there with you...
I am in the same boat that you are after my temporary assignment ended a week before Christmas. I re-applied for UI benefits on 12/16/12 and still haven't heard a thing yet. Rent, car payment, utilities are now due/ past-due. No health insurance, was hospitalized for 11 days during the end of Oct. and beginning of Nov. The sad thing is that I know that my assignment ended because I got sick (out of the blue) and had to take high dosage morphine. I even went to work to show that I am at least trying to do what I needed to do at the office. I pray that everyone in this situation is able to find permanent full-time employment that will allow us to take care of our families. In the meantime, I am asking that God will sustain us until the door of the new job opportunity presents itself. Lastly, my heart goes out to the individuals that are my age and older, that have experienced lay-offs at this point in their lives... As a person that has HR/Recruiting experience, I KNOW for a fact that companies discriminate against individuals that are older in age and without a college degree. My prayers are with you for your success in your endeavors in this NEW year!!!
Your story is exactly
Your story is exactly mine.... I too receive the letter yesterday and my heart started pounding... How will I take care of my child ? So scared !
EUC extension 2013
I think my heart just dropped. Got a letter in mail. Today Dec 17. I just started Tierr 2. I'm single parent of two girls. Don't know how I'm going to support my family. I have no child support. No assistance from the state at all. I was denied any additional support such as food stamps. I have no health insurance as a result of loosing my job Jan 2 2012 I loss my job health and dental benefits was told I made too much unemployment. Im trying so hard to stay stronger my girls. Not a great thing to see that. My girls holiday will not happen. Because I have to hold on to the little I have for food. Other financial obligations. Lord knows I have rent to pay. I've been looking for work. Been on interviews to not get a call back. To get turned away for not having a college degree. I pray. For a miracle. God knows I need one I didn't choose to not work. My job closed. So now I'm at struggle. I'm a fighter. I've worked since 16. This is my first time being unemployed. Now I'm 37. I'm not trying to rob the system. Trying to get back on my feet. My feet. Now I can't pull my head from under water. Student loan debts , now I can't feed my f family need faith and hope that a man I elected for president won't turn his back on middle-class people. Who don't choose to not work. I want to succeed. Mishaps happen out of my control. If I didn't have God ill be without faith. Still hope! Obama... I voted because I believed you would make a difference. Don't forget about the unemployed not by choice.
Obama
Obama does not owe you anything, you are a fool for voting for him. He can give this country away, and who can do anything to him?
Next time you think before you re-elect a person that has nothing to loose by breaking the trust he snookered you into though luck you got what you asked for, next time use a macro concept versa a micro or myopic view
Still bitter, eh?!?
I feel sorry for those of you that continue to vote against your own best interest. You will have to learn the hard way, because just as you are riding on your high horse, you can fall and be the grass being trampled by that same horse. Unfortunately, you don't learn this until it is almost too late!!
Btw... I hope you're not affected by Sandy, because your House Speaker decided not to vote on a bill that would provide aid to those that also need it most!
a miracle
I think my heart just dropped. Got a letter in mail. Today Dec 17. Just. Started Tier 2. I'm a single parent of two girls. Don't know how I'm going to support my family. I have no child support. No assistance from the state at all. I. Was denied any additional support such as food stamps. I have no health insuranmyself. As a result of loosing my job Jan 2 2012 I loss my job health and dental benifiState claimed to much on unemployment. Im trying so hard to stay strong for my girls. Not a great thing to see that. My girls holiday will nothappen. Because I have to hold on to the little I have for food. Other financial obligations. Lord knows I have rent to pay. I've been looking for work. Been on interviews to not get a call back. To get turned away for not having a college degree.l pray. For a miracle. God knows I need one I didn't choose to not work. My job closed. So now I'm at struggle. I'm a fighter. I've worked since 16. This is my first time being unemployed. Now I'm 37. I'm not trying to rob the system. Trying to get back ony. My feet. Now I can't pull my head from under water. Student loan debts , now I can't feed my family.I need faith and hope that a man I elected for president won't turn his back on middleclasa people. Who don't choose to.not work.hard. I want to succeed. Mishaps happen out of my control. If I didn't have God ill be without faith. Still hope! Obama... I voted because I believed you would make a difference. Don't forget about the unemployed not by choice.
Let our voices be heard
I share the same story with so many...60 years old and unemployed. We must make our voices be heard now and bombard Congress with emails. Does any one know who is spearheading the decision on EUC in Congress on both the Republican and Democratic sides? Please post.
Trying to Hold Back But
Seeing these posts made me tear up, I knew I wouldn't be alone but these posts are just so genuine. I am actually a 22 year old living with my grandmother who is a senior on a fixed income. I've been surviving off of temporary, seasonal jobs, here and there, and euc benefits. I've had interviews, first and second interviews like most of you but it almost seem like im just going through the motions and there wasn't even a position available in the first place. I ride public transportation in chicago, where they are hiking bus and train pass fares, now this. I wish you all the best and thank you for your posts.
Trying to Hold Back But
Seeing these posts made me tear up, I knew I wouldn't be alone but these posts are just so genuine. I am actually a 22 year old living with my grandmother who is a senior on a fixed income. I've been surviving off of temporary, seasonal jobs, here and there, and euc benefits. I've had interviews, first and second interviews like most of you but it almost seem like im just going through the motions and there wasn't even a position available in the first place. I ride public transportation in chicago, where they are hiking bus and train pass fares, now this. I wish you all the best and thank you for your posts.
unemployment letter
Received letter today. I am an intelligent 54 yr. old woman who
lost job in July.
My benefits run out at end of December.
Consequences: Discreet living out of my car in 3 weeks. Do not have any left to pay rent, all savings gone.
Subsequent Consequences Pending: I will probably get arrested for trying to sleep.
Have had several interviews, have made it to second and third interviews but much younger candidates always got position. Applied to 6 more jobs today. Good luck to everyone who is sharing this,
I'm sure we will meet on the road some day.
If you're so smart,
why are you the age you are without savings?
Our irresponsible generations, X/Y, are now going to have to take care of the most pampered generation in human history, the baby boomers.
You were all so smart for so long that you forgot you were going to get old and useless. You had all the opportunity in the world and you blew it. You grew up during the good times.
It's about time EUC is ending. Maybe now everyone will get back to work. I'm claiming benefits myself and it's better than working ever was. I don't even have to pay social security taxes on unemployment benefit income!
I hope you don't expect our generation to maintain your mcmansions while also being responsible for changing your diapers.
You're all going to the nursing home
You know what you sorry
You know what you sorry excuse for an american, Most of these people CANT help it! It does not matter what your thoughts are about someone saving money for this or that. Its their business. And futhermore who the hell are you to say anything to anyone about getting EUC when you just said you were. Then admitted it was better than working ever was. Well myself and many more do not share you mind set. Saying its better than working is a huge lie to those who are honest and hard working. Because its not better than working. Having a job and taking care of things yourself is a much better feeling that waiting to get EUC every week. But again we dont really have a choice when it comes to no jobs around, or not qualified. And dont tell anyone that they are going to the nursing home. Keep in mind this woman is someones daughter and might be someones mother,or sister. How would you like it if someone said that about your mom or dad? Kind of stings huh? So from now on you need to take a good look around and mind you words before you judge someone else's life. You have NO CLUE WHAT THAT WOMANS LIFE IS LIKE OR WHAT CAUSED HER TO BE IN THAT SITUATION!!!!!!!!!!!! Now shut up idiot!
"Well myself and many more do
"Well myself and many more do not share you mind set. Saying its better than working is a huge lie to those who are honest and hard working."
Who's to say that I'm not an honest hard working person just like you people are. I could easily say that the "victims" posting these responses are gaming the system because they haven't found a job in so long as well. Why am I singled out just because I think the benefits are too generous?
If anyone thinks the benefits are too small, it's because they're probably living way above their means in the first place. Mind you, I've always lived in an apartment, so it's hard for me to feel sorry about older people losing their homes and having to move into an apartment, like me.
And if taking care of yourself is so much more important, why didn't the 55+ year olds think to take care of themselves when they were young rather than complaining about age discrimination later in their life? That's a load of bull.
I'm sorry it stings, but get off your high horse. I'm not "gaming" the system any more than they are, I'm just not as desperate as they are. My career isn't over, but theirs is. They should have planned for that to happen. Unemployment benefits isn't a welfare program, it's insurance for people who lost their jobs. Their job loss was equal to mine and thus I should get the same help, even though my mouth doesn't consume as much.
"Well myself and many more do
"Well myself and many more do not share you mind set. Saying its better than working is a huge lie to those who are honest and hard working."
Who's to say that I'm not an honest hard working person just like you people are. I could easily say that the "victims" posting these responses are gaming the system because they haven't found a job in so long as well. Why am I singled out just because I think the benefits are too generous?
If anyone thinks the benefits are too small, it's because they're probably living way above their means in the first place. Mind you, I've always lived in an apartment, so it's hard for me to feel sorry about older people losing their homes and having to move into an apartment, like me.
And if taking care of yourself is so much more important, why didn't the 55+ year olds think to take care of themselves when they were young rather than complaining about age discrimination later in their life? That's a load of bull.
I'm sorry it stings, but get off your high horse. I'm not "gaming" the system any more than they are, I'm just not as desperate as they are. My career isn't over, but theirs is. They should have planned for that to happen. Unemployment benefits isn't a welfare program, it's insurance for people who lost their jobs. Their job loss was equal to mine and thus I should get the same help, even though my mouth doesn't consume as much.
Emergency Unemployment to an end
I am a 12 year active duty army veteran. I'm 35 years old and just graduated from the University of Arizona last year. I have been working as a Business Developemeny Officer for a small business lender for a couple months after school. There were cut backs and I was the first to go because I was new. I have been applying everywhere for work and haven't landed anything yet. Only 1 tier of unemployment for me and now nothing. I'm just one of many that will ha e problems. My prayers go out to all of you.
Human Rights Issue
i think the monetary issues at stake are starting to move into basic human rights territory. Dump millions of us long term unemployed people who did nothing wrong, into a system bursting at capacity, there are not even going to be enough homeless shelters to support us. Maybe the millions of marginalized people in the shadows who are jobless will come out into the fore front now. How can the numbers be this high yet we are not given acknowledgement? We need a voice and basic access to first world conditions unless we want this to get really ugly. God bless to all the other unemployed people out there. I am with you. We are not alone. Lets come together and talk about this.
Human Rights Issue
i think the monetary issues at stake are starting to move into basic human rights territory. Dump millions of us long term unemployed people who did nothing wrong, into a system bursting at capacity, there are not even going to be enough homeless shelters to support us. Maybe the millions of marginalized people in the shadows who are jobless will come out into the fore front now. How can the numbers be this high yet we are not given acknowledgement? We need a voice and basic access to first world conditions unless we want this to get really ugly. God bless to all the other unemployed people out there. I am with you. We are not alone. Lets come together and talk about this.
euc benefits ending
I received the euc benefits coming to an end. What am I to do at 57 years old after working my whole life and then layed off with no prospects of work. The age bracket I'm in no one wants to hire. Now what? I'm homeless with an 83 y.o. father I care for?
Do it!
Buy an assault weapon and use it in reference to the second amendment before you loose that too
Retire on your savings and
Retire on your savings and collect social security checks while working a cashier job?
Duh.....
Don't have savings? Don't worry, we'll pay back all the debt you took out for us.
So what's going to happen
So what's going to happen when 2.1 million people don't have any sort of income, all at once. 2.1 million homeless over night? That's gonna make for a good news report.
News report ?
Snap out of it! It's over, if you are listening to the news report you already missed the ride on the short buss. Start to barter for what you need . Don't trust anyone, get a gun and as much ammo you can afford. Cuz the xxxx is about to hit the fan for real . Act now, you do not have much time, most people have been planning for this for 10 + years. God bless you and your former country
I was wondering the same as I
I was wondering the same as I am only on tier 1 and I received my letter today saying all EUC ends in Dec what a nice way to start the new year. Its so sad.
Unemployment letter
I got the same letter today.. Completely terrified now, I've been looking going on interviews for the past 11 months still have not received a job offer. This is killing me knowing I could be out on my apt in a month or so cause I'm not going to be able to afford living.. So not only do I get disappointed from getting thank you for meeting with us but we are going another route phone calls.. I have this over my head of sorry we can't help you now. Good luck!! At least u know there's millions out there right now in the same situation.
Help your self
Buy a gun and a lot of ammo. It's okay I checked it out in the American Comstitution, 2nd amendment . The will to survive will kick in, it is pre-programmed into our DNA. Rember, act fast, the government wants to stop you from being able to buy a good gun, Evan after they ruined your life by design they are not dumb enough to allow you to have a fighting chance. You're life is over . But remember, as an American, you can feel good about sending billions of your tax dollars to other countries so they don't make fools of our political leaders LOL
Just give up, be a good American and allow the 1% to enjoy your mizzary for a few years until we are forced to work for third world countries that own us
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