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The Honolulu Advertiser
Posted on: Tuesday, December 8, 2009

Congress urged to renew aid to jobless


By David Goldstein
McClatchy-Tribune News Service

WASHINGTON — State labor officials yesterday urged Congress to renew emergency jobless benefits that have been available through economic stimulus funds, but are due to expire this month.

One million workers could lose their benefits in January without the extension, according to a new report on the stimulus act unemployment benefits, written by several labor advocacy groups.

"This is a lifeline," said Jim Garner, the secretary of the Kansas Department of Labor.

Garner was one of eight state labor officials who appeared at a news conference alongside labor advocates. Though last week's economic report showed hopeful signs, "We are facing a real catastrophe," said Christine Owens, the executive director of the National Employment Law Project, one of the co-authors of the report.

Backers of renewing the stimulus act unemployment assistance said it helped families pay for mortgages and other bills and kept money circulating into the economy.

"We stop now, we risk stalling the nascent recovery," said Heather Boushey, an economist with the Center for American Progress, a liberal policy organization and a co-author of the report.

The unemployment rate dropped slightly last week, to 10 percent, but more than 15 million people remain out of work.

Basic unemployment insurance provides up to 26 weeks of benefits at an average rate of about $284 a week.

The stimulus added as much as a year's worth of extended aid, depending upon a state's unemployment rate. It also provided an additional $25 boost in weekly assistance, a health insurance subsidy and a break on federal income taxes. Renewing the programs would cost about $100 billion.

State labor officials and others said they're hopeful that Congress will act. Though the Senate is bogged down on health care, Congress still must pass an omnibus spending bill to fund the government, which could provide a vehicle for the extended benefits renewal, they said.

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