The ‘JOBS’ Act is a Surefire Way to Destroy Actual Jobs

The ‘JOBS’ Act is a Surefire Way to Destroy Actual Jobs

The ‘JOBS’ Act is a Surefire Way to Destroy Actual Jobs

House Republicans have opened another front in their war against the unemployed.

Facebook
Twitter
Email
Flipboard
Pocket

House Ways and Means Committee Chairman Dave Camp has pitched the “JOBS” Act as an effort to strengthen unemployment insurance by giving states leeway to make necessary changes. As he explained this morning, “[T]hese reforms strengthen that core purpose. We also allow States more flexibility to test innovative strategies to help the unemployed return to work, including through wage subsidies and other innovative approaches that have received bipartisan support.”

In reality, the Camp proposal would allow states to bypass their current obligation to spend remaining federal unemployment insurance funds on the uninsured. Instead, state governments could use their share of the $31 billion payment to pay off loans, or make a deposit to thier unemployment insurance trust funds. Regardless of the path they take, states would be removing money from the economy. And the strong multiplier effect of unemployment insurance on the economy, this would damage future job growth. As the Economic Policy Institute points out:

“Putting cash in the hands of unemployed workers generates more economic activity than any other option: it results in more consumption of goods and services produced by private-sector businesses, generating more economic activity by their suppliers and contractors.”

At best, according to EPI, the Camp proposal would create 257,000 jobs, “a loss of about 65,000 jobs compared to current law.” Indeed, as EPI notes, each alternative enabled by the Camp proposal results in fewer jobs for the unemployed.

Between this, John Boehner’s demands for $2 trillion in spending cuts, and Paul Ryan’s plan to destroy Medicaid and Medicare, the GOP is working hard to both slow the recovery and gut the social safety net. That this remains unnoticed by mainstream voices is more than a little amazing.

Like this blog post? Read it on The Nation’s free iPhone App, NationNow.

We can not back down

We now confront a second Trump presidency.

There’s not a moment to lose. We must harness our fears, our grief, and yes, our anger, to resist the dangerous policies Donald Trump will unleash on our country. We rededicate ourselves to our role as journalists and writers of principle and conscience.

Today, we also steel ourselves for the fight ahead. It will demand a fearless spirit, an informed mind, wise analysis, and humane resistance. We face the enactment of Project 2025, a far-right supreme court, political authoritarianism, increasing inequality and record homelessness, a looming climate crisis, and conflicts abroad. The Nation will expose and propose, nurture investigative reporting, and stand together as a community to keep hope and possibility alive. The Nation’s work will continue—as it has in good and not-so-good times—to develop alternative ideas and visions, to deepen our mission of truth-telling and deep reporting, and to further solidarity in a nation divided.

Armed with a remarkable 160 years of bold, independent journalism, our mandate today remains the same as when abolitionists first founded The Nation—to uphold the principles of democracy and freedom, serve as a beacon through the darkest days of resistance, and to envision and struggle for a brighter future.

The day is dark, the forces arrayed are tenacious, but as the late Nation editorial board member Toni Morrison wrote “No! This is precisely the time when artists go to work. There is no time for despair, no place for self-pity, no need for silence, no room for fear. We speak, we write, we do language. That is how civilizations heal.”

I urge you to stand with The Nation and donate today.

Onwards,

Katrina vanden Heuvel
Editorial Director and Publisher, The Nation

Ad Policy
x