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Obama makes job creation a top priority, but more needs to be done

BUDGET IS A GOOD START FOR STATE RELIEF, NEEDY FAMILIES, INFRASTRUCTURE AND TAX CREDITS

FOR IMMEDIATE RELEASE
Monday, Feb. 1, 2010

Contact:
Germonique Ulmer 202-339-9331

Washington– Alan Charney, campaign manager for Jobs for America Now, issued the following statement in response to President Obama’s fiscal year 2011 budget proposal:

“President Obama has proposed $100 billion for job creation, making this the first-ever significant jobs-creation budget. It’s a good start. In particular, we are pleased that the President’s budget helps states fund Medicaid at a time when state and local governments are feeling the dual pinch of greater demand for services and reduced revenue because of lower tax revenue.  These funds will preserve and create jobs as well as prevent service reductions.

And we are pleased that the proposed budget would include $2.5 billion in new funding for Temporary Assistance for Needy Families, with special incentives for states to use the funds to create subsidized jobs to help poor parents now unable to find work.

“However, this proposal does not roll back the unemployment rolls. It does not go far enough to fundamentally alter the dire jobless crisis we face today. According to the Economic Policy Institute, the nation’s unemployment rate is expected to climb to about 10.7 percent by the end of the third quarter of this year. In nine states – California, Florida, Kentucky, Michigan, Nevada, Ohio, Oregon, Rhode Island and South Carolina – the unemployment rate will be over 12 percent, in some cases well over 12 percent. We currently are mired in a jobless recovery and only a big and bold effort by the federal government can extricate us from this economic and moral crisis.”

Charney added that the five-point program favored by Jobs for America Now, serving as a complement to President Obama’s budget, would create four million to six million jobs. The five-point jobs plan would:

  • Provide relief through continued and expanded unemployment benefits, COBRA and SNAP (Supplemental Nutrition Assistance Program).  This relief aids those without jobs while at the same time creating jobs by boosting consumer spending.
  • Extend substantial fiscal relief to state and local governments.  Without this aid, state and local governments will have to cut their budgets, budget cuts that would lead to substantial job losses in both the public and private sector.
  • Create jobs that put people to work helping communities meet pressing needs, including in distressed communities that face severe unemployment.
  • Invest in infrastructure improvements in schools, transportation and energy efficiency, thus providing jobs in the short run and productivity enhancements in the longer run.
  • Spur private-sector job growth through innovative incentives and providing credit to small and medium-sized businesses.

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Jobs for America Now is a nationwide campaign of more than sixty groups organizing to put America back to work. For a complete list of participating organizations visit www.jobs4americanow.org