Tag Archives: American Jobs and Closing Tax Loopholes Act of 2010

Jobs, Jobs, Jobs

16 Jun

America is in a jobs crisis.  According to an April report, The Jobs Deficit, by the middle-of-the-road New America Foundation, we are short 12.3 million jobs (thats the difference between people looking for work and available jobs): 

Here is a look at what has stalled in Congress that would address this deficit gap, while bickering over the size of government distracts:

  • The American Power Act, which President Obama failed to demand the Senate pass last night, would create an average of 203,000 to 440,000 more jobs per year through 2020.  This is the time for green jobs legislation, but if the President stalls to happily “look at other ideas and approaches from either party” (as he did with healthcare legislation), we will be lacking the necessary leadership to get a bill passed.
  • The American Jobs and Closing Tax Loopholes Act of 2010, as watered down as it is, will inject $1 billion over ten-years into summer youth employment programs, creating 300,000 jobs for the youngest workers.
  • The Education Jobs Fund, introduced by Senator Harkin, would save more than 300,000 school jobs (teachers, paraprofessionals, bus drivers, cafeteria workers) by injecting $23 billion into local boards of education over two years.
  • 6-month extension of Federal Medicaid matching funds.  This money is critical to maintaining basic government services and public sector jobs.  Cutting jobs and unemployment benefits is not the way to restore fiscal discipline, let alone grow the economy.  The Senate has re-included this as part of the Jobs Bill (HR 4213) that they are voting on today, but it is expected to fail in favor of some unclear compromise. 

We need to get America back to work in a way where everyone prospers, not just the few at the top.  Congress must act now.

Labor Commissioners: Aid Needed for Summer Jobs

8 Jun

Labor Departments Unite to Urge Senate to Pass Summer Youth Legislation

$1 Billion Bill Could Change the Lives of Hundreds of Thousands of Youth this Summer

Albany, NY (June 07, 2010) – A short time ago, the U.S. House of Representatives passed legislation to authorize $1 billion in summer youth programs for this year.  The Senate is expected to take up the bill when they return from recess today, Monday, June 7.  This legislation is critical for youth in states like Massachusetts and New York, who served more than 36,000 youth last year thanks to federal funding.   

At a press conference in Springfield, Massachusetts Secretary of Labor and Workforce Development Joanne F. Goldstein and New York Labor Commissioner Colleen C. Gardner today called on the U.S. Senate to act immediately and vote “yes” on this important legislation.   Massachusetts estimates that with a $1B summer jobs package nationally, the state would receive approximately $20 M, which would result in around 8,500 youth served in summer jobs. If the Senate does not act on the $1B, only 916 youth will be put to work this summer with federal ARRA dollars.”It is critical that we obtain the funding for the public/private partnership that will provide summer jobs for young people, especially in our cities,” said Joanne F. Goldstein, Massachusetts Secretary of Labor and Workforce Development. ”Youth employment helps address the issues of urban unrest, allows young people to engage in productive activity and increases family income in these difficult economic times.”New York Labor Commissioner Gardner said, “Weather is getting nice across the country, people are venturing out to public parks, pools and beaches, and for hundreds of thousands of our nation’s youth, there is little or no hope that they’ll find a job this summer.  Unemployment among youth, especially in our urban areas, is at crisis levels, which is why the federal government needs to act immediately.  I urge them to do so.”  Research has shown that a key predictor of future success in the workplace is early exposure to a job.  In spite of this, young people are looking for jobs in New York, Massachusetts and states across the country.   In New York, the unemployment rate for youth ages 16 to 24 was 17.9 percent in 2009.  There is also an overwhelming demand for summer jobs, with as many as five youths applying every one summer job.  Summer youth funds are also considered “high velocity” dollars because they are spent locally to keep local economies going.”The summer youth employment program is an ideal way for young people to build vocational skills, earn money and develop a sense of pride that they are contributing to society,” Pennsylvania Department of Labor & Industry Secretary Sandi Vito said. “Action must be taken to ensure that this valuable program – which for many youth is their first introduction to the workforce – is in place and able to have a positive effect on the future of our workforce.”"These programs help teens use their summertime productively, and they help all of the participants build valuable skills that will give them a leg up now and throughout their lives,” said Washington State Commissioner Karen Lee, who also is president of the National Association of State Workforce Agencies.Connecticut Acting Commissioner Linda Agnew stressed, “Summer youth programs are critical if states are to enhance the future workforce talent pipeline. Last year approximately 6,000 young people were provided valuable employment opportunities through our summer program, but nearly 7,000 were turned away due to lack of funding. This legislation will help eliminate waiting lists and assure that additional summer youth employment opportunities are provided to many more young people in Connecticut.”Wisconsin Department of Workforce Development Secretary Roberta Gassman said, “Thanks to Congress, Wisconsin provided employment opportunities for over 4,000 youth and young adults last summer with funding under the American Recovery and Reinvestment Act. While the economy is steadily improving, challenges remain for youth seeking summer employment opportunities. I urge the U.S. Senate to approve funding for summer youth employment. More than summer jobs, we’re preparing a new generation of workers for the future by providing valuable work experience.”For more information, please visit: The Massachusetts Office of Labor and Workforce Development or the New York State Department of Labor  

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Fair Taxation

8 Jun


Government services are being cut, school teachers are being fired, unemployment benefits are being limited, all hurting young workers and all because of an unfair taxation structure that allows the rich to receive tax breaks while working families suffer.  The Washington Post today calls attention to another piece of the in-fighting over the long-awaited, much watered-down federal jobs bill: tax breaks for investment bankers.

$18 million in revenue is included in the American Jobs and Closing Tax Loopholes Act of 2010 passed by the House right before the Memorial Weekend recess by taxing “carried interest”, money private-equity firms make from appreciation of clients’ portfolios, as ordinary income.  There really is no justifiable reason for maintaining taxing this as capital gains, since its income.  Investment bankers are collecting this money by managing other peoples money, its more of a fee for service than a few extra dollars from a smart investment.

This revenue increase has failed in the Senate every year over the past three years, but as Jia Lynn Yang writes, “if ever there were a time to pass a tax increase on billionaire money managers — between public anger at Wall Street and lawmakers grasping for revenue anywhere they can find it — this would be it.”

The jobs bill has been continually watered-down, at the expense of working families and young workers who need the unemployment benefits and government services to survive in this economy.  In order to get it passed through the House, the state aid was stripped and the unemployment benefits were scaled back.  Why? Because they would add to the deficit.  So why would Congress balk at raising some funds from people who never deserved the tax break to begin with and most certainly can afford it?

American Jobs and Closing Tax Loopholes Act of 2010

26 May

Later today, the House is expected to vote on a jobs bill – the American Jobs and Closing Tax Loopholes Act – that will spur job creation, bring relief to working families, and begin to deal with the loopholes that have allowed BP and Massey Energy and other corporations to risk young worker safety and the environment in pursuit of profits.  Among the good stuff thats in the bill:

  • 1 billion over 10 years to support 300,000 summer youth jobs.
  • 6-month FMAP extension – to help states deal with significant budget shortfalls.
  • Continue the 65% COBRA subsidy for an workers terminated before Dec. 31.
  • Extend unemployment insurance and TANF funding through Dec. 2010.
  • Increase the liability for oil companies for disasters they cause – cleaning up the spill in the Gulf of Mexico could exceed $14 billion!
  • Offer tax credits for training mine rescue teams.
  • Extending tax incentives for refurbishing buildings to be more energy-efficient, spurring green jobs.
  • Eliminate $14.451 billion of foreign tax credit loopholes.

Also in the bill are tax credits and exemptions for both individuals and business, which are not particularly helpful for job creation and will only exacerbate the expectations among citizens that government should be able to provide services for free.  Regardless, this bill needs to pass.

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