Skip to main content

Rep. Costa Statement on Extension of Emergency Unemployment Benefits

July 22, 2010

Washington, D.C. – Congressman Jim Costa issued the following statement today upon House passage of an extension of emergency unemployment benefits. Approval by the House of Representatives sends the temporary extension to the President to be signed into law.

"Afterweeks of partisan delay, I am pleased that jobless Valley residents willreceive this temporary relief as they continue to search for employment," said Costa. "OurValley is home to some of the hardest working people in our nation. Extendingthese benefits provides those who've lost their jobs a needed lifeline as theyfight to get back on their feet and support their families. More than ever,Congress must focus on promoting economic growth and job creation in ourcommunities. This is why I will continue to secure additional water and thetools our Valley needs to put people back to work."

TheHouse vote to agree to Senate amendments to H.R. 4213, the Restoration of Emergency Unemployment Compensation Act,extends the Emergency Unemployment Compensation and Extended Benefits programsthrough November 30, 2010. This will retroactively restore benefits to peoplewho may have started losing their benefits as early as the end of May.

For video of Costa speaking in support of the extension on the House floor today, click here.

Background

Thecurrent lapse in extended benefits is unprecedented. Since 1959, thegovernment has never allowed extended unemployment benefits to expire when thenational unemployment rate is still above 7.2 percent.

Extendingunemployment benefits is widely acknowledged to be beneficial not just for theunemployed and their families, but for the economy as a whole. Moodys.com chiefeconomist Mark Zandi, a former advisor to the McCain presidential campaign,testified before the Senate FinanceCommittee that every dollar in unemployment benefits creates at least $1.61in economic activity as recipients spend their benefits in neighborhoodbusinesses.

According to a new survey by the PewResearch Center's Social & Demographic Trends Project, 55 percent ofalladults in the labor force say that since the economic downturn began 30 monthsago, they have suffered a spell of unemployment, a cut in pay, a reduction inhours, or have become involuntary part-time workers.

Unemploymentrates in Fresno, Kern, and Kings Counties for the month of June are as follows:

Fresno: 16%

Kern: 15.7%

Kings: 15.9%