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WASHINGTON – The U.S. House of Representatives today passed legislation to extend unemployment benefits by up to 13 weeks in all states and 26 weeks in states – such as Michigan – with an unemployment rate of 6 percent or higher. U.S. Congressman Bart Stupak (D-Menominee) voted in support of the legislation, noting its impact on the 3.8 million Americans struggling to find work and its particular importance for Michigan families.
“I have heard from workers across northern Michigan who are struggling to find employment in our lagging economy,” Stupak said. “With costs rising for food, gas and health care, these individuals need our help while they look for work or retrain for a new career path.”
H.R 5479, the Emergency Extended Unemployment Compensation Act, would double the length of time that unemployed workers in Michigan would be eligible for benefits. Under current law, workers in every state are eligible for a total of 26 weeks of benefits. Based on Michigan’s unemployment rate of 7.2 percent, Michigan workers would be eligible for an additional 26 weeks for a total of 52 weeks of benefits through March 2009.
Independent estimates have found that extending unemployment benefits is one of the most immediate and cost-effective ways to stimulate the economy because the money is spent quickly. Every $1 spent on unemployment benefits generates $1.64 in new economic demand.
“Providing extended unemployment benefits is a good first step that will provide relief to many of the families who need it most,” Stupak said. “But we must also take another look at some of the underlying issues that created the economic situation we currently find ourselves in.”
Since Congress first took action to address the current economic situation by passing an economic stimulus package providing tax rebates to millions of American families, Stupak has been advocating for further action. He has called for the extension of unemployment benefits and expansion of Trade Adjustment Assistance for displaced workers. He is also working, as a senior member of the House Energy and Commerce Committee and chairman of its Subcommittee on Oversight and Investigations, to address rising energy and health care costs.
“It is time to rebuild our economy,” Stupak said. “Incomes are declining while middle class families are being squeezed. We need to partner with businesses here in America to transform our economy, and in doing so we must make American workers our top priority.”
House Republicans worked to defeat the bill by a narrow margin on Wednesday, but Democrats rallied today to pass H.R. 5749 by a vote of 274-137. It now awaits action in the U.S. Senate. |