News Release

WASHINGTON - The U.S. House of Representatives today passed a bill to strengthen the Trade Adjustment Assistance (TAA) program, making more workers eligible for improved TAA benefits.  Rep. John Spratt (D-SC) voted for it.

“This program has helped hundreds of South Carolinians build a bridge to the future,” said Spratt.  “I was proud to support this bill and see it pass the House.”

The Trade Adjustment Assistance program was created to help workers who have lost their jobs as a result of imports or plant relocation.  The bill passed by the House, H.R. 3920, the Trade and Globalization Assistance Act, would update and expand the program.

“The additional benefits and job training assistance in the bill will help provide a cushion for the workers and their families affected by layoffs, while enabling them to pursue the job training and educational programs that will help secure future employment,” Spratt said.

H.R. 3920 would extend benefits to service workers as well as to workers employed “downstream” from an affected firm or industry, covering all workers affected by trade. Additionally, the bill would double funding for job retraining, and increase the length of time a person can receive income support to 130 weeks, allowing time to complete a college degree.

Spratt said that in addition to cash payments and job training, the expanded TAA program would provide:
 
INDUSTRY WIDE COVERAGE: Allows certification of an entire industry, instead of on a firm by firm basis as under current law, whenever three petitions from companies in the same industry are certified within a six-month period.

AUTOMATIC COVERAGE: Provides automatic coverage for workers if the International Trade Commission (ITC) has already certified that the company and its workers have been harmed in an anti-dumping, countervailing duty, or safeguard proceeding.

IMPROVED HEALTH CARE TAX CREDIT: Increases the Health Coverage Tax Credit (HCTC) from 65% to 85%. The HCTC is a tax credit for unemployed workers used to help the purchase of health coverage lost from their previous job.

IMPROVE UNEMPLOYMENT INSURANCE: Provides financial incentives for states that enact policies to improve unemployment insurance coverage for low wage, part-time and workers separated from their jobs as a result of a compelling family reason, including domestic violence and care for an ill relative.

MINIMUM NOTICE OF LAYOFF: Increases the minimum advance warning employers are required give to workers who will lose their jobs as a result of a mass layoff or plant closing from 60 days to 90 days.

EXTEND ELIGABILITY FOR COBRA COVERAGE: Extends the right of workers 55 and older, and who have worked for a company for at least 10 years, to buy health insurance through COBRA until they find new health coverage. Currently, eligibility to buy health insurance under COBRA expires after 18 months.

MANUFACTURING REDEVELOPMENT ZONES: Establishes “Manufacturing Redevelopment Zones” designed to encourage the redevelopment of communities that have suffered substantial reductions in manufacturing employment through tax incentives and tax exempt bonds to promote economic development and affordable housing.

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