4.8 Million Face Losing Jobless Benefits in 2014

Monday, 18 Nov 2013 12:34 PM

By Drew MacKenzie

  Comment  |
   Contact Us  |
|  A   A  
  Copy Shortlink
Millions of unemployed people would lose their jobless benefits in 2014 unless Congress extends the current program, according to The New York Times.

Congress is likely to adjourn in two weeks without passing an extension, which will result in 1.3 million people losing their benefits by the end of the year and 850,000 more being taken off the rolls in the first quarter of 2014.

Overall, said Gene Sperling, President Barack Obama’s top economic adviser, jobless benefits will expire for up to 4.8 million people through 2014.

To help the long-tern unemployed and their families during the deepest recession since the Great Depression, Congress agreed in 2008 to extend the number of weeks for jobless benefits, and has continued to extend the unemployment-insurance program since then, costing an estimated $250 billion to date.

According to the Economic Policy Institute,
4.1 million workers have been unemployed for more than six months, more than three times the number of long-term unemployed in 2007, before Obama was elected. Nearly 37 percent of these workers have been unemployed for more than six months, which is nearly 20 percent higher than the 2007 average of 17.5 percent.

Democrats are hoping unemployment insurance will be extended as part of a budget deal to avoid another government shutdown.

"Historically, there has not been a time where the unemployment rate has been this high where you have not extended it,” Sperling said. “Why would you not extend now, when you’re dealing with the nearly unprecedented levels of long-term unemployment coming off such a historic recession? This would be the wrong time to do it.”

But contentious budget talks between the House and the Senate are concentrating on changing the sequestration cuts, and so far have not included plans for another unemployment extension.

Sen. Patty Murray, a Washington Democrat and chairwoman of the Budget Committee, is working with Republicans to have unemployment insurance extended in the deal, a senior aide told the Times.

And William Allison, a spokesman for Rep. Paul Ryan, a Wisconsin Republican and the House budget chairman, said, “he hopes both parties can work together to cut spending in a smarter way.”

The Times says about 2.5 million unemployed people who have been out of work at least six months already have lost jobless benefits.

The Economic Policy Institute predicts that 310,000 people will lose their jobs in 2014 if unemployment insurance expires.

Related Stories:

© 2014 Newsmax. All rights reserved.

  Comment  |
   Contact Us  |
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
Zip Code:
Privacy: We never share your email.
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
Top Stories
You May Also Like

N. Dakota Oil Revenue May Lead to Free College Tuition

Wednesday, 01 Oct 2014 14:25 PM

North Dakota's oil drilling boom is financing millions of dollars in improvements at the state's colleges, and it may be . . .

Obama Urged to End Military Spending Caps to Fight ISIS

Wednesday, 01 Oct 2014 13:46 PM

With the Pentagon spending $10 million a day to fight the Islamic State (ISIS), two leading Republican lawmakers have ca . . .

Alaska Senate Race Heats Up With Candidates Set for Debates

Wednesday, 01 Oct 2014 13:36 PM

In the last month before Election Day, Republican Dan Sullivan and Democratic Sen. Mark Begich will face off in seven de . . .

Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

America's News Page
©  Newsmax Media, Inc.
All Rights Reserved