Thursday, June 24, 2010

Unemployment Benefits Extension Looks Unlikely

The US Senate has been grappling for weeks over a bill sent to it by the US House which, among other things, provides for an extension of unemployment benefits.
"A Republican filibuster appears increasingly likely to kill long-sought legislation extending jobless benefits and a host of other spending and tax measures, despite a new round of cuts to the measure Wednesday that reduced its deficit impact even further.

Failure to pass the bill would mean about 200,000 jobless people a week would lose benefits that average more than $300 a week because they would be unable to reapply for additional tiers of benefits enacted since 2008. Governors denied help with their budget woes are likely to lay off tens of thousands of state workers."

Government-provided unemployment benefits are a mixed bag. Although a (rather weak) argument can perhaps be made that providing these benefits is a proper role of a federal government, it's undeniable that these same benefits should be fairly short-lived and have a declining pay-out ratio to those receiving them. In addition, there should be a means-test employed as well, so those that have assets that could be sold to provide an income aren't provided a stipend from the government when one is not clearly needed.

Back to the issue currently before Congress though - continuing to extend these same benefits sends the wrong message to the recipients - that the government, not themselves, are responsible for their own well-being.

It's time for all Americans to grow up and realize that, given the state of our national finances, there's no such thing as a free lunch. A proper role of a legitimate government is not to redistribute income and property from one group to another. If one group believes another is worthy of their charity, they will freely and willingly give to that other group or person.

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4 Comments:

Anonymous Anonymous said...

I agree that unemployment help cannot go on forever, but these are unusual times. The same congress that we are talking about helped to create the problem. I have a freind who has a BS in business and twenty years experience that cannot get a job as a retail clerk. SO what are these people to do? We bail out large corporations, but will not help the people that payed taxes for years and now are on tough times. Wake up, people are in trouble and need help. It is not the governments job to provide everything for everyone, but it is their job to help when great need exists. Remember many of these people had funds paid into unemplyment for years without ever taking a penney in the past. We will pay for seasonal workers year after year (some make more in six moths than most do in a year).

June 24, 2010 at 6:58 AM  
Anonymous Anonymous said...

time to grow up?..I suppose I'll offer the benefit of the doubt and assume that you've not seen the numbers that show 5 applicants for every 1 available job in this country right now...but,its easy to have that opinion when sitting at a computer spewing this sort of nonsense about something that you have no experience on (assuming you've not been in the situation before of those who you are accusing of being children)..I find it humorous that the only people who hold such a view fall into one of 2 categories...they either have been fortunate enough to not have had their job taken from them ( as of yet anyway )...or they are republican politicians who's agenda is geared towards disagreement with the democrats at all cost and making sure the the most wealthy individuals in this country are taken care of rather than helping Americans who actually need help as it should be..I wonder if the writer of this article would be in line for unemployment checks if they lost their job and couldn't find another...My guess is "Yes" and the hypocrisy that's found in most people who have his/ her view would shine through as it always does.

June 24, 2010 at 7:11 AM  
Anonymous Anonymous said...

I almost find it humorous to see people who have never been exposed to this kind of situation make the arguments that this author makes. I lost my job just over six months ago, and my regular unemployment benefits have just expired in the past few weeks. Because of this, I fear I won't be able to pay my rent next month, and I will soon have to start repaying student loans, as I can no longer afford to enroll in classes. I have been on dozens of interviews in the past six months, and haven't even been able to land a job as a waiter.

I am 27 years old and have only myself to support, and I'm still in this dire situation. I can't imagine what it must be like for people with families to support, who are having a hard enough time even while collecting unemployment.

But this can't be something that we expect "Tom," the writer of this blog and self-proclaimed Fortune 500 tax exec, to understand.

June 24, 2010 at 7:55 AM  
Blogger Tom said...

Although I certainly emphasize with the people above who have left comments arguing against the position set forth in the blog, it is simply wrong for Congress to continue to extend unemployment benefits again and again. Those who need help can still get help (think food stamps, housing, etc.) from various federal, state and, yes, even private charities. Perhaps receiving help from these programs is thought of as demeaning, but what exactly do you expect when you throw yourself at the mercy of strangers? The answer to our nation's fiscal woes (and our national debt is the greatest and most pressing danger facing our country as a whole by far) is not to continue to borrow increasing amounts of money to pay for more and more social programs and simply leave the bills for a future generation to repay.

June 25, 2010 at 6:47 AM  

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