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FOR IMMEDIATE RELEASE
December 8, 2003
Contact: Hilarie Chambers
202-225-4961
 

Republicans Leave Washington – for 2nd Year - Without Extending Unemployment Insurance

Michigan’s unemployed workers hardest hit: 39 Weeks of Federal Assistance Drops to 0

(Washington, D.C.) – For the second year in a row, Congressional Republicans are leaving Washington for the year without extending the federal Temporary Extended Unemployment Compensation (TEUC) program, allowing the program to end on December 21st. Last year, Congress was forced to restore benefits, after much public pressure, in January.

"Once again Republicans are leaving unemployed workers out in the cold for the holidays," said Rep. Sander Levin. "No amount of talk about economic indicators by the Bush Administration can erase the fact that we are in a deep job hole in this country, with more than 3 unemployed workers scrambling for every available job, and now because of this inaction, no federal assistance during this difficult time for workers and their families.

The TEUC program was enacted in March 2002 to provide additional weeks of federally-funded unemployment benefits to those who have received all of their regular, state-funded benefits but still have not found a job. The program was continued twice since then. The unemployment rate (5.9% nationally) is higher today than it was when the program was established (5.7%). This will be the first time ever that an extended benefits program is scheduled to end when unemployment is higher than when the program started. Without an extension of the TEUC program, as of December 21st, approximately 80-90,000 Americans a week will lose eligibility for extended unemployment benefits.

In Michigan, with the highest unemployment rate of 7.6 percent, this inaction will be very difficult for unemployed workers. Under the extended program, Michigan’s unemployed workers could access 39 weeks of additional federal assistance, now they will receive no additional weeks once their 26 weeks of state benefits expire.

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