Tuesday, December 6, 2011

Idaho Senator in opposition to further extension of federal unemployment

Roger Madsen the Director of the Idaho Department of Labor sent a letter to Senator Crapo in opposition of the further extension of the federal unemployment benefits on Nov.7 for Thursday’s US Senate Finance committee hearing concerning unemployment. 

Idaho received federal funding as part of the 2009 American Recovery and Reinvestment Act, known as the Stimulus Act.  Out of the $787 billion act $40 billion was to extend unemployment benefits and increase the benefits by $25 a week.  The leftover funds would be plugged into the current state economy in hopes of saving nearly 1000 Idaho jobs. 

“I am deeply concerned about all Idahoans, especially those who are unemployed.  Our local office employees are doing everything in their power daily to help these people find work,” said Madsen.
$750 million in the federal extended benefits have gone to 20% of the labor force.

In his letter Madsen referred to the unemployment insurance program the most successful social program since its inception but expressed his concern that continuing the extension would deter many from going back to work. He also added that in continuing to accept so much federal funding for the unemployment program was only adding to the country debt deficit, calling the money “borrowed dollars”.

Madsen said, “If we want to give our Idaho businesses the confidence they need to increase hiring, action needs to be taken to reduce the national deficit, and unemployment insurance extensions must come to an end.”
“We won’t let those who are unable to find work through no fault of their own suffer, but Congress would do well to listen to the Idaho delegation’s legitimate concerns about spending money they don’t have,” said Governor Otter in a 2010 press release.  

Gov. Otter continued to explain, “Congress is ruining a great worker-and-employer-funded program by turning it into another open-ended federal entitlement for which Idaho taxpayers are on the hook. Our jobless Idahoans should at least get the benefits.”

In May of 2011 in a news release Governor Butch Otter discussed his Hire One program stating that Idaho businesses that were hiring Idaho workers and therefore improving the economy would receive a tax benefit.

This seemed like a step forward to decrease the almost 10% unemployment rate. 

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