Levin: House GOP Proposal Worse than Expected on Unemployment Insurance

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Levin: House GOP Proposal Worse than Expected on Unemployment Insurance

The following press release was published by the U.S. Congress Committee on Ways and Means on Dec. 9, 2011. It is reproduced in full below.

WASHINGTON - Ways and Means Committee Ranking Member Sander Levin (D-MI) made the following statement today after Republicans laid out a plan to slash federal unemployment insurance by 40 weeks, a move that would cut off benefits to more than 1 million Americans:

“Republicans are turning their backs on Americans who have lost their jobs through no fault of their own. Cutting 40 weeks from federal unemployment insurance programs while families continue to struggle under the weight of the worst economic downturn since the Great Depression is unconscionable. The impact would be swift and severe for more than a million Americans, cutting off vital assistance that helps families put food on the table and a roof over their heads as they search for work. Republicans are also trying to erode a program that typical American families have relied on for decades in times of trouble.

“There is one legislative week left to get very important business done for the American people and the Republicans are taking us backwards not forwards. The American people have to be asking: How hard is it to extend unemployment insurance and a tax cut for middle class families? For the Republicans the answer seems to be ‘next to impossible.’"

BACKGROUND

GOP FEDERAL UNEMPLOYMENT INSURANCE PROPOSAL

* Slashing Unemployment Benefits

The legislation proposed by House Republicans would continue only a portion of the current Federal unemployment insurance (UI) programs. The legislation would cut more than half of the total number weeks of benefits now provided by the Federal UI programs, reducing the maximum number of federally-funded weeks from 73 to 33 in high unemployment States. More than 1 million Americans would be cut off federal unemployment insurance through the proposal.

* Targeting High Unemployment States for Biggest Cuts

By eliminating benefits under both tiers 2 and 4 of the Emergency Unemployment Compensation (EUC) program, while also allowing the Extended Benefits (EB) program to expire in States with prolonged high unemployment, the legislation would hit States with higher levels of unemployment the hardest.

The following States with unemployment rates of at least 8.5 percent would likely lose 40 weeks of unemployment benefits next year under the bill: Alabama, California, Connecticut, DC, Florida, Georgia, Illinois, Indiana, Kentucky, Michigan, Missouri, Nevada, New Jersey, North Carolina, Ohio, Oregon, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Washington, and West Virginia.

Source: U.S. Congress Committee on Ways and Means

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