Workplace Fairness

Menu

Skip to main content

  • print
  • decrease text sizeincrease text size
    text

Mark Meadows predicts no Covid-19 relief bill until after September

Share this post

Matthew Choi, Digital Producer, POLITICO, photographed Sept. 3, 2019 in Arlington, VA. (M. Scott Mahaskey/Politico)

White House Chief of Staff Mark Meadows said Wednesday he is not optimistic about reaching a new coronavirus relief deal before the end of September, predicting House Speaker Nancy Pelosi will use the government funding cliff at the end of next month as leverage to strike a deal on pandemic aid.

Speaking with POLITICO’s Jake Sherman and Anna Palmer, Meadows said his staff had reached out to Pelosi’s office Tuesday but added that he does not anticipate a response. The White House chief of staff said lawmakers from both parties have privately expressed to him a desire to make progress on coronavirus relief. The hold up, Meadows said he suspects, is that Pelosi is holding back her party’s rank and file in order to secure more Democratic priorities in any legislation.

“It’s really been Speaker Pelosi really driving this train as a conductor more so than really anybody,” Meadows said. “And I think privately she says she wants a deal and publicly she says she wants a deal, but when it comes to dealing with Republicans and the administration, we haven’t seen a lot of action.”https://4fee4843261b3bebc0da3603fc4c1230.safeframe.googlesyndication.com/safeframe/1-0-37/html/container.html

Pelosi spokesman Drew Hammill told POLITICO that a member of Meadows’ staff texted the speaker’s staff to confirm they had the correct number for the chief of staff, but did not mention resuming talks. Meadows also said he would call Pelosi during an interview on ABC News on Sunday, but Hammill said he never did.

“Democrats have compromised in these negotiations,” Hammill said in a statement to POLITICO. “We offered to come down $1 trillion if the White House would come up $1 trillion. We welcome the White House back to the negotiating table but they must meet us halfway.”

Senate Republicans floated a “skinny” coronavirus relief bill earlier this month that could be tacked onto a continuing resolution to keep the government funded beyond the end of next month. That proposal also included $10 billion for the U.S. Postal Service, which has faced economic precarity during the pandemic even as millions of Americans are expected to cast ballots in November’s presidential election by mail. But Democrats rejected that measure as a piecemeal solution

Senate Democrats, for their part, have placed blame on Republicans for being unwilling to negotiate a comprehensive coronavirus relief package. Sen. Tim Kaine (D-Va.) predicted Republicans would turn a more amenable leaf after the Republican National Convention ends this week.

“It was clear the White House, for some reason, they wanted to go into their convention blaming Democrats,” Kaine said last week.

This article originally appeared at Politico on August 26, 2020. Reprinted with permission.

About the Author: Matthew Choi is a breaking news reporter. Matthew started at POLITICO as an editorial intern on the breaking news team. He later joined staff full-time as a digital producer. Previously, he was a reporting fellow with the Texas Tribune and managing editor at The Daily Northwestern. Matthew studied journalism and political science at Northwestern University, and enjoys listening to Simon and Garfunkel while cooking French country food.


Share this post

Economy hurting after Congress fails to act on stimulus

Share this post

This image has an empty alt attribute; its file name is 20200221msmrebecca-rainey001-20-300x300-1.jpg

Just weeks after Washington lawmakers allowed a $600-a-week boost in payments for millions of unemployed workers to expire, the economy is already starting to feel the pain.

The number of workers lining up for jobless aid has been rising. The retail and delivery sectors, which especially benefited from laid-off Americans spending the extra cash, have cut back on hiring. Walmart, the nation’s biggest retailer, reported record profits in the second quarter thanks to government aid to consumers but now says sales growth is slowing.

As lawmakers dig in their heels over how much cash to spend to prop up the pandemic-battered economy, the cut in unemployment aid and the expiration of a program that provided more than $500 billion in loans to small businesses to keep workers on the job are threatening to drag on the recovery. That’s likely to ratchet up pressure on Congress and the White House to come to a deal on a new economic relief package.

Unemployment insurance added about $25 billion a week to the economy during the four months the additional aid was in place, and now since the expiration of the extra benefit, it’s running closer to $10 billion, former U.S. Treasury economist Ernie Tedeschi said. That’s going to have “devastating individual implications for the families that receive that payment and also going to have economic implications for America as a whole,” he said.

“When you have $60 billion less going to families,” Tedeschi added, “that means that there’s going to be something close to that less in spending.”

With less money to spend on groceries, gas and other goods, the lapse of federal pandemic aid has aggravated the labor market outlook. Businesses acutely affected by consumption have started hiring fewer workers, according to Nick Bunker, economic research director at Indeed Hiring Lab. Listings for jobs in beauty and wellness seeking workers like hairdressers, nail technicians, fitness instructors and cosmetologists are falling, as are those for retailing and delivery drivers and truckers.

The number of job listings posted in the week ending Aug. 14 were 20 percent lower than they were at this time in 2019 — and the first drop the website has seen since late April, according to Indeed.

“Really the last few weeks we’ve started to see a significant slowdown in the trend in job postings,” Bunker said.

Hiring, hours worked and the number of employees working over the last six weeks — a period that began before the extra unemployment aid ended on July 31 — has slowed down or flatlined, according to data from workforce management platforms Kronos and Homebase.

At the same time, the number of jobless claims rose to 1.1 million in the week ending Aug. 15, halting several weeks of decline and suggesting that large numbers of people are still being pushed out of work due to the pandemic.

Economists say the July-to-August plateau is especially concerning because jobs usually pick up this time of year due to increased demand in the summer season.

“We’re expecting the next few months to be — even barring a significant recurrence of some Covid hot spots — a very slow recovery,” said David Gilbertson, vice president at Kronos.

Republican lawmakers have argued that the $600-a-week boost allowed many laid-off workers to make more money at home than they earned at their previous jobs. That, they said, was creating a disincentive for them to return to work and slowing down the economic recovery.

But the lack of a pickup in business activity is “a warning sign,” said Ray Sandza, vice president of data and analytics at Homebase. “Any expectation that removing [unemployment insurance] benefits was going to suddenly fill a bunch of jobs was, predictably, misplaced,” he added in an email. “There just aren’t enough jobs to go around right now; it’s not a supply issue.”

According to the Real-Time Population Survey, which was created by researchers at Arizona State University and Virginia Commonwealth University, the unemployment rate was 15.5 percent in the week ending Aug. 15.

“There was a really rapid recovery going on in May and June, and then since June things still have been modestly getting better but just at a much slower pace,” said Adam Blandin, assistant professor of economics at VCU, who helps develop the real-time survey. “And between the new virus cases and the changes in policy … the million dollar question is are we going to stay at something above 10 percent unemployment, for a long period, or is it going to continue to go down like it did early in the summer?”

Without another stimulus deal from Congress and less money for Americans to spend, companies are unlikely to risk expanding their workforce, meaning fewer jobs available for laid-off workers to fill and tamer growth in the economy.

“Consumers are not spending money, at least in some sectors,” Gilbertson of Kronos added. “The face of our economy is changing.”

Until businesses are confident that Americans will start spending more, “they’re probably not going to be expanding their hiring,” he said.

The stock market’s robust performance isn’t doing much to spur lawmakers into agreeing to provide more relief. While fears of a slowdown led shares to plummet in March — and motivated Congress to take sweeping action to rescue the economy — the precarious state of the nation’s workforce now hasn’t generated a similar reaction.

While jobless Americans are facing dire economic conditions, Wall Street has gained back all the losses it suffered early on in the pandemic. The S&P 500 has been hitting record highs.

Even a slide in share prices at the opening bell Thursday, in response to newly rising unemployment claims, was short-lived as prices recovered by midday.

The stock market also isn’t representative of most Americans, especially the low-wage workers hit hardest by the recession. While about half of American families own stocks, the vast majority of the value of shares is held by wealthier investors.

The stalemate in Washington over how much additional Covid-19 aid the federal government will offer to help struggling businesses and Americans has also clouded the outlook for large companies, many of which have done considerably well during the pandemic.

When Walmart touted its second-quarter profits during its quarterly earnings call on Aug. 18, it cited spending “aided by government stimulus.” But Brett Biggs, the chief financial officer and executive vice president, said sales began to revert back to normal toward the end of the quarter when $1,200 stimulus checks the government had doled out to millions of Americans ran out.

“There’s just a lot of uncertainty right now and so much variance in how customers are feeling about their situation,” said Douglas McMillon, Walmart’s president and CEO, during the call.

Target, bracing for an additional drop in expected fall demand because of schools switching to remote learning, has offered to extend its back-to-school season.

“It’s a very challenging environment for us to provide guidance,” Brian Cornell, the chairman and CEO of Target, said during the company’s earnings call Wednesday. “We’ve got the pandemic in front of us. We’ve got uncertainty about back to school, back to college, the state of the economy.”

Now that laid-off workers are no longer receiving the extra $600-per-week unemployment payment, Behnaz Mansouri of the Unemployment Law Project, which provides services to laid-off workers in Washington state, says her clients are facing more difficult choices than they encountered at the beginning of the pandemic.

The year “has been made bearable by this patchwork of financial assistance,” Mansouri said. “And now without it, I fear, it’s going to become unbearable.”

“I’m hearing a lot of people struggling to assess their living situations over the next couple of months,” she added. “Do they potentially start looking for jobs, even if they’re in a high risk category or live with someone who’s in a higher risk category?”

Kellie Mejdrich contributed to this report.

This blog originally appeared at Politico on August 24, 2020. Reprinted with permission.

About the Author: Rebecca Rainey is an employment and immigration reporter with POLITICO Pro and the author of the Morning Shift newsletter.


Share this post

Florida may turn down Trump’s plan to increase jobless aid

Share this post

Republican and Democratic legislators alike say they don’t understand why Florida hasn’t acted yet.

TALLAHASSEE — Although Florida has some of the lowest unemployment payments in the nation, Gov. Ron DeSantis remains undecided about whether to ask for the stripped-down federal benefits recently authorized by President Donald Trump.

Eleven states have applied for a $400 weekly extra unemployment payment program, which was initiated following Trump’s expansion of jobless aid via executive action. Florida, however, remains on the sidelines and it could stay that way.

The longer the DeSantis administration delays, the longer it will take for hundreds of thousands of out-of-work Floridians to receive the extra help Trump promised — if the state eventually does apply for it. There is also a risk that the limited federal funding available could run out before the state acts.

But the delay speaks to the conundrum that Trump’s actions pose for Florida, a state led by a key campaign ally of the president. While extending the benefits could pump tens of millions into the battleground state’s economy, the federal proposal could prove extremely costly — and unwieldy — for the state to carry out given the rules surrounding the effort.

When asked about the funding on Thursday, a spokesperson for DeSantis did not say when — or if — Florida plans to act.

“Florida is currently reviewing guidance issued by the Department of Labor and the Federal Emergency Management Administration to determine the best course of action that will preserve the state’s financial stability while providing important assistance to Floridians in need,” said Cody McCloud, a spokesperson for the governor.

Republican and Democratic legislators alike say they don’t understand why Florida hasn’t acted yet.

“We should be exploring every option and following the lead of other states that have been successful,” said State Sen. Jeff Brandes (R-St. Petersburg).

Florida’s tourist-based economy collapsed amid the coronavirus pandemic and the forced business shutdown. More than 3.5 million Floridians have filed jobless claims since mid-March — including another 66,000 who filed their initial claim last week. The state has paid out more than $13 billion in the last five months, but most of that money has been an extra $600 a week payment that Congress included in the CARES Act. That extra payment expired at the end of July, but the House and Senate have been at odds over a new coronavirus relief package.

Trump stepped in and authorized dipping into $44 billion worth of disaster relief funds to pay for a new round of extra benefits. DeSantis last week suggested he was considering having Florida apply to FEMA to receive what is being called “lost wages assistance.”

The problem, however, is that the FEMA aid requires 25 percent matching money from states. Initially Trump suggested states could use unspent money that was part of the CARES Act but DeSantis has told the White House that such an approach could not work. The governor plans to use the more than $5 billion sent to Florida to help pay for coronavirus response and to patch holes in the state’s budget.

Federal authorities then told states they could use money they are already spending on state unemployment benefits to count toward the matching requirement. But there are complications with that approach as well. The first obstacle is that money spent by the state must be on or after Aug. 1.

That’s a problem because Florida benefits — which pay out a maximum of $275 a week — are capped at 12 weeks. Congress authorized additional payments to workers whose state benefits are exhausted but those are paid entirely out of federal aid. Many jobless Floridians already have rolled over from the state program to the federal one. Florida’s budget is in tatters and there’s no other place the state could easily get the matching money. DeSantis suggested that the state could perhaps borrow money for its unemployment trust fund, but such a move risks triggering tax hikes on employers.

Rich Templin, director of politics and public policy for the Florida AFL-CIO, said all the complications with the extra aid show that it’s “not a workable solution.”

“This really seems like a campaign soundbite just to get us through November with no real understanding how this will work,” Templin said.

Rep. Evan Jenne (D-Dania Beach) saaid DeSantis still needs to act quickly and take care of Floridians reeling from the economic collapse.

“If Donald Trump is going to offer him a bucket and a mop then he needs to take the bucket and mop and clean up the mess,” Jenne said.

This blog originally appeared at Politico on August 20, 2020. Reprinted with permission.

About the Author: Gary Fineout came to POLITICO Florida in February 2019 after spending more than two decades covering Florida politics and government.


Share this post

Unemployment claims jump back over 1 million

Share this post

States have been processing roughly 1 million new unemployment applications each week since mid-March.

The number of workers applying for unemployment benefits jumped to 1.1 million last week, the Labor Department reported Thursday, the first time in two weeks that new claims have gone up.

States have been processing roughly 1 million new unemployment applications each week since mid-March, when the coronavirus pandemic began sweeping through the country, forcing the shutdown of many businesses.

An additional 542,797 workers filed for jobless aid under the new pandemic unemployment assistance program, created for those not traditionally eligible for unemployment benefits like the self-employed and gig workers.

How bad is it?: New jobless applications filed in state programs are still far above the previous record of 695,000 in 1982 — and have topped that record for 22 weeks in a row.

That figure also doesn’t include the thousands of workers who are applying for jobless benefits under the federal pandemic assistance program.

In total, there are more than 28 million people receiving jobless benefits, the department said.

New Jersey saw the largest jump in new claims last week, reporting an estimated 24,646 new applications, a more than 10,000 increase from the previous week. New York also received 62,397 new claims last week, nearly 10,000 more than it saw the week before.

Where’s Congress?: Lawmakers left Washington after Democratic leaders and the White House were unable to agree on another round of pandemic aid.

The House will gavel in for a rare weekend session on Saturday to vote on a bill to shore up the U.S. Postal Service, but Democratic leaders have been facing pressure within the party to also vote on aid programs like beefed-up unemployment insurance. Democrats are considering a proposal that would automatically extend jobless benefits to millions of Americans if the economic and health crises continue.

Unemployed workers were receiving an extra $600-a-week boost from the federal government under a program created by the CARES Act, the massive economic relief bill passed in March. But those payments expired on July 31, cutting most unemployed workers’ checks by at least 50 percent.

Republicans meanwhile, are planning to introduce a “skinny” coronavirus relief bill that is expected to include $300 in boosted weekly federal unemployment benefits until Dec. 27.

What are states doing?: Eleven states so far have applied to tap into a $400 extra unemployment payment program initiated following President Donald Trump’s move to expand jobless aid via executive action.

Arizona, Colorado, Idaho, Iowa, Louisiana, Maryland, Missouri, Montana, New Mexico, Oklahoma and Utah have been approved for extra federal assistance, according to the Federal Emergency Management Agency.

The program was launched after Trump on Aug. 8 issued an executive memorandum instructing FEMA to use disaster relief funding to send the extra $400 a week to unemployed workers.

But laid-off workers in those states will probably not see the extra cash on their unemployment checks for several weeks. The president’s memo required states to create and implement a new system and fund one-fourth of the additional $400 benefit.

Because states have to adjust their unemployment insurance system to access the funds and “accommodate program requirements,” the DOL estimates it will take each state three weeks to set up the program.

This blog originally appeared at Politico on August 20, 2020. Reprinted with permission.

About the Author: Rebecca Rainey is an employment and immigration reporter with POLITICO Pro and the author of the Morning Shift newsletter.

 


Share this post

New unemployment claims fall below 1 million for the first time in five months

Share this post

The number of workers filing jobless claims last week fell to 963,000.

New unemployment claims fell last week to 963,000, the Labor Department reported Thursday, the first time in months the figure has been less than 1 million.

An additional 488,622 laid-off workers filed for jobless aid under the new pandemic unemployment assistance program, created for those not traditionally eligible for unemployment benefits like the self-employed and gig workers.

Though the numbers are gradually falling, the report indicates workers are still being pushed out of their jobs at historic levels during the coronavirus pandemic.

New applications filed in state programs are still far above the previous record of 695,000 in 1982, fueling concerns that the economic recovery may not be fully under way.

In total, more than 25 million people are currently receiving jobless benefits, according to DOL.

Why it matters: Another week of elevated unemployment claims is likely to add more pressure on lawmakers to reach a deal on another coronavirus aid package. Despite nearly three weeks of negotiations, party leaders are no closer to a deal, and it’s likely the stalemate will drag into September.

A major sticking point in the talks is how much extra aid Congress should give to laid-off workers. President Donald Trump signed a bill in March that included an extra $600 per week in unemployment benefits, but that payment expired on July 31.

Democrats want to extend the extra jobless aid into 2021. But Republicans don’t want the benefit to continue at $600, arguing that it paid some workers more to be unemployed than they earned at their jobs and would encourage people not to return to work.

To prod negotiations along, Trump over the weekend signed an executive action that would offer jobless workers an extra $400 a week. But, the move would require states to opt in, implement a new system, and fund one-fourth of the aid. Governors of some states have complained that Trump’s plan would be too expensive or logistically impossible.

This blog originally appeared at Politico on August 13, 2020. Reprinted with permission.

About the Author: Rebecca Rainey is an employment and immigration reporter with POLITICO Pro and the author of the Morning Shift newsletter.


Share this post

‘Can’t possibly be serious’: Trump’s bid to shore up jobless aid falls short

Share this post

The president’s order depends on already cash-poor states being able to create and implement a new system and fund one-fourth of the aid.

Tens of millions of jobless Americans are unlikely to see their weekly unemployment checks grow anytime soon — despite President Donald Trump’s executive action promising an extra $400 a week.

The president’s order depends on already cash-poor states being able to create and implement a new system and fund one-fourth of the aid, which for many governors would be a difficult if not impossible task.

It also would draw from a limited pool of funding, meaning enhanced benefits might only last a few weeks once the program is up and running. And it imposes a minimum benefit requirement, which could render some low-wage and gig workers ineligible.

“I honestly think this can’t possibly be serious,” said Michele Evermore, a senior policy analyst with the liberal-leaning National Employment Law Project. “The White House must have released this thinking that this is just a negotiating tactic because it really is an empty promise.”

How would it work?

The action uses presidential powers under what’s known as the Stafford Act to use disaster relief funding, in combination with state dollars, to send money to unemployed workers.

The Labor Department has so far said it will work with states, the Department of Homeland Security and FEMA to help provide the relief, but it has not provided more specifics. Some states, like Hawaii and Missouri, have issued notices saying they are awaiting further guidance from DOL on how to implement the program.

States have to apply for the federal funding, and if they choose not to opt in or say they do not have the funds available to supply their portion of the aid, then unemployed workers in their state will get no extra benefit.

The memo instructs states to distribute the payments through their regular unemployment systems. But many experts and Democrats say they are confused as to how already struggling state systems would be able to administer Trump’s plan. “That’s something that we just don’t understand how that would work,” a Senate Democratic aide told POLITICO. “You basically need to set up this whole new entity.”

Where would the money come from?

Trump’s memorandum says the federal government would cover 75 percent of the costs, while states would provide the remaining 25 percent — or $100 per worker per week. But the president’s messaging on who would be required to foot the bill for the program has shifted in recent days, as he suggested he could have the federal government cover all of the costs or more than 75 percent.

“We have a system where we can do 100 percent or we can do 75 percent. They’d pay 25. And it’ll depend on the state. And they’ll make an application, we’ll look at it, and we’ll make a decision,” Trump told reporters Monday in New Jersey. “So it may be they’ll pay nothing in some instances.”

But White House press secretary Kayleigh McEnany appeared to knock down that idea during a Monday press briefing, noting that states are legally required to pay for a quarter of the aid. She added that states can use CARES Act funding “as a way to bring that hundred dollars forward.”

A White House spokesperson told POLITICO that “states could also apply their existing state unemployment benefits” as funds that meet the 25 percent share.

But some cash-strapped state governments have been holding on to a portion of that money, hoping that Congress will provide them with the flexibility to use it for budget gaps caused by declining tax revenues.

Can states afford it?

Governors are already making clear that it won’t be easy to come up with their required portion of the aid, nor to set up a new system in the middle of a pandemic that has already wreaked havoc on state budgets.

The nonpartisan National Governors Association, which for months has been calling for $500 billion for states from the federal government, said in a statement Monday it was “concerned” about “the significant administrative burdens and costs this latest action would place on the states.” The group called instead for Congress and the Trump administration to work out a solution that would not place new administrative and fiscal burdens on states.

“States are going broke and millions of Americans are unemployed, yet the solution calls for the states to create a new program we can’t afford to begin with and don’t know how to administer,” New Jersey Democratic Gov. Phil Murphy said on Monday.

And Ohio Gov. Mike DeWine, a Republican, said Sunday his state was still reviewing whether it could afford to fund its share of the new program. “The answer is, I don’t know yet,” DeWine said on CNN’s “State of the Union.”

How quickly will workers get paid?

Requiring states to implement a new program could take weeks or months as they reprogram their antiquated systems to calculate who will be eligible. States will also have to find a way to separately fund administration of the new aid alongside regular unemployment benefits.

“It will definitely be months,” Evermore said. “And that’s in states that are able to pay it out at all.”

The White House acknowledged on Monday the uncertainty around standing up such a system. “I can’t pinpoint a timeline,” McEnany said during a press briefing.

Who is eligible for benefits?

The memo says workers must receive at least $100 in benefits a week in order to be eligible, a requirement that could leave out many gig-economy, low-wage and part-time workers.

State unemployment benefits, which vary by state, typically replace about 50 percent of a worker’s wages. Most states will pay a minimum benefit far lower than $100, suggesting that some part-time and low-wage workers could fall below the threshold to receive the federal help.

Will this help the economy?

Experts warn there is not enough money available to have a meaningful impact on the economy.

Since Trump doesn’t have authority to order the spending of new money, the most he can do is push existing programs to spend their existing funding in new ways, said Jack Smalligan, who previously worked as deputy associate director at the Office of Management and Budget.

There’s roughly $44 billion available in the Disaster Relief Fund, from which the government will draw the federal portion of the benefit. Andrew Stettner, a senior fellow at the progressive Century Foundation, calculated that would provide about six weeks of benefits if every state were to take up the extra unemployment insurance program — “not enough to endure the current Covid-19 surge and get to the point when jobless are able to go back to their jobs,” he said.

He also noted that the extra $400 per week for eligible jobless workers would still represent an average 22 percent pay cut for those who had through July been receiving an extra $600 weekly from the federal government.

And that in turn is likely to lead to a drop in consumer spending that has been supporting jobs. The Economic Policy Institute, a progressive think tank, estimates that cutting the enhanced benefit by $200 per week would cost 1.7 million jobs.

“Compared to actually doing another installment of emergency unemployment insurance legislation,” Smalligan said, “what’s done in the executive order is really quite paltry.”

This blog originally appeared at Politico on August 10, 2020. Reprinted with permission.

About the Author: Rebecca Rainey is an employment and immigration reporter with POLITICO Pro and the author of the Morning Shift newsletter.

About the Author: Megan Cassella is a trade reporter for POLITICO Pro.


Share this post

Economy Gains 1.8 Million Jobs in June; Unemployment Declines to 10.2%

Share this post

The U.S. economy gained 1.8 million jobs in July, and the unemployment rate declined to 10.2%, according to figures released Friday morning by the U.S. Bureau of Labor Statistics. The improvements reflect the continued resumption of economic activity that previously was curtailed because of the COVID-19 pandemic.

Last month’s biggest job gains were in leisure and hospitality (+592,000), government (301,000), retail trade (258,000), professional and business services (170,000), other services (149,000), health care (126,000), social assistance (66,000), transportation and warehousing (38,000), manufacturing (26,000), financial activities (21,000) and construction (20,000). Mining lost 7,000 jobs in July.

In July, the unemployment rates declined for teenagers (19.3%), Black Americans (14.6%), Hispanics (12.9%), Asians (12.0%), adult women (10.5%), adult men (9.4%) and White Americans (9.2%).

The number of long-term unemployed workers (those jobless for 27 weeks or more) was little changed in July.

This blog originally appeared at AFL-CIO on August 7, 2020. Reprinted with permission.

About the Author: Kenneth Quinnell is a long-time blogger, campaign staffer and political activist. Before joining the AFL-CIO in 2012, he worked as labor reporter for the blog Crooks and Liars.


Share this post

Black workers are hurt most as Congress doesn’t extend unemployment

Share this post

One mostly unintended—definitely on the Republican side—aspect of the $600 in added unemployment benefits is that it reduced racial disparities. But that means that one aspect of the $600 expiring is that those same racial disparities have come roaring back. Why? Because, for one thing “Black workers disproportionately live in states with the lowest benefit levels and the highest barriers to receiving them,” The New York Times reports. “Without the $60 federal payments, the most an unemployed worker in Florida or Alabama can receive is $275 a week.” Nearly 60% of Black workers live in the South, where state governments have spent decades ensuring workers would have the weakest protections and rights possible. So the additional $600 a week in unemployment benefits has dramatically equalized the situation between states with relatively few Black workers and relatively generous unemployment benefits and those with relatively many Black workers and appallingly weak unemployment insurance.

These disparities aren’t an accident. “Yesterday’s racist system becomes today’s incidental structural racism,” RAND Corporation economist Kathryn Edwards told The New York Times. The added federal benefit also reduced racial disparities by expanding the categories of workers covered by unemployment, since historically another way Black workers have been excluded from government assistance is by excluding the types of work Black workers do from being covered. And frankly, as Republicans resist renewing the additional $600 in unemployment that they allowed to expire, we have to consider the fact that it benefits Black people as one more reason Republicans oppose it.

This blog originally appeared at Daily Kos on August 8, 2020. Reprinted with permission.

About the Author: Laura Clawson has been a Daily Kos contributing editor since December 2006. Full-time staff since 2011, currently assistant managing editor.


Share this post

South Florida AFL-CIO Rallies for Unemployment Insurance

Share this post

Working people across the United States have stepped up to help out our friends, neighbors and communities during these trying times. In our regular Service + Solidarity Spotlight series, we’ll showcase one of those stories every day. Here’s today’s story.

The South Florida AFL-CIO, led by President Jeffrey Mitchell (TWU), partnered with Rise Up Florida! to protest and rally on Friday at Trump National Doral Miami golf resort. Union members and our allies called on President Trump and U.S. Sens. Marco Rubio and Rick Scott to pass the HEROES Act and extend enhanced unemployment insurance. The central labor council purchased two giant rats, one for Rubio and one for Scott, and a Trump inflatable to be part of the event. “Without that money, we cannot continue with our life,” Roy James, a member of UNITE HERE who lost his job at the Miami International Airport in March, told NBC 6 South Florida. “Even with $1,000, I cannot pay my bills because even my rent is $1,500.” After the rally at Trump’s resort, a caravan of union members traveled to the senators’ Miami offices.

This blog originally appeared at AFL-CIO on August 4, 2020. Reprinted with permission.

About the Author: Aaron Gallant is a contributor for AFL-CIO.


Share this post

Big support for $600 unemployment benefit, but people don’t know who to blame for its lapse

Share this post

Americans want the $600 pandemic unemployment benefit renewed by a huge margin, a new poll from HuffPost/YouGov finds. Continuing the benefits gets 54% support with just 29% of people opposed. 

What’s incredibly frustrating in the poll, though, is that 39% of people say congressional Democrats are “at least somewhat responsible” for the expanded unemployment lapsing last Friday, with 41% pointing the finger at congressional Republicans and 29% at least somewhat blaming Donald Trump. That’s despite the fact that the House, which is controlled by Democrats, passed an extension of the $600 months ago, in the HEROES Act. Now, Speaker of the House Nancy Pelosi is pushing hard to continue the $600 while Republicans, both in the Senate and from the White House, push to slash the boosted amount.

Delays on the unemployment renewal are also coming from the fact that, while Republicans are united in wanting to slash it from $600, they’re in disarray on basically everything else, with no consensus among Senate Republicans and the White House typically muddled.

Meanwhile, by the end of August, 5.4 million people will be unable to pay their bills—in addition to those who already can’t—if the benefits aren’t renewed. More than 40% of people receiving unemployment insurance will get less than $800 per month without the additional money from the federal government. Republicans’ refusal to extend the unemployment aid before it ran out to begin with is already hitting people hard with fear of what’s to come.

“Just a few men have to make this decision for how many million people? Ten guys to make a decision over these millions of people’s lives?” Willie Wood, a former banquet server at a New Orleans hotel, told The Washington Post. “This country not taking care of American citizens like they’re supposed to. We didn’t bring this pandemic home. We were at work, and you hit us with a pandemic.”

And Republicans aren’t ready to do the right thing yet, even though it’s also the popular thing. Don’t expect them to do the right thing until the public gives them the blame they deserve.

This blog originally appeared at Daily Kos on August 5, 2020. Reprinted with permission.

About the Author: Laura Clawson has been a Daily Kos contributing editor since December 2006. Full-time staff since 2011, currently assistant managing editor.


Share this post

Follow this Blog

Subscribe via RSS Subscribe via RSS

Or, enter your address to follow via email:

Recent Posts

Forbes Best of the Web, Summer 2004
A Forbes "Best of the Web" Blog

Archives

  • Tracking image for JustAnswer widget
  • Find an Employment Lawyer

  • Support Workplace Fairness

 
 

Find an Employment Attorney

The Workplace Fairness Attorney Directory features lawyers from across the United States who primarily represent workers in employment cases. Please note that Workplace Fairness does not operate a lawyer referral service and does not provide legal advice, and that Workplace Fairness is not responsible for any advice that you receive from anyone, attorney or non-attorney, you may contact from this site.