Proposing Solutions

Brianna Nickell

English 201.050

April 29, 2009

Proposing Solutions for Unemployment

“The jobless rate recently hit 8.1 percent- the highest level in a quarter-century. American workers lost 651,000 jobs in February alone. All told, more than 12.5 million Americans are jobless- including 2.9 million who have been unemployed for at least 27 weeks” (Katel).

Our nation is depending on president Obama’s economic stimulus plan of $787 billion to create job growth through government spending and other projects (Katel). Extending unemployment insurance (UI) is one way to solve unemployment issues in the United States. The government should spend money, which would create a demand to produce goods and encourage spending. Also, the government should import jobs back to the United States that have been moved overseas. More training and education to the unemployed to improve computer and communication skills is another way to reduce unemployment. A faster economic growth is viewed as a means of generating more jobs, which will reduce unemployment.

People who have lost their jobs or who do not make enough money to survive qualify for unemployment insurance (Hubbard 542).

“The economic stimulus bill signed by Obama on February 17, 2009 authorizes state governments to extend the time limits and eligibility standards for UI payments, which are limited in some states. UI standards are set by state governments, which pay the full cost of the basic program, financed primarily through taxes on employers” (Katel).

The general UI program allows twenty six weeks of payments if the person has been laid-off, not for being fired from their job. The payments are designed to take fifty percent of an individual’s past salary (Katel). The federal government has an employer UI tax, which extends unemployment insurance during recessions (Katel). Given the current economic situation, demands for further UI extensions are going to sky rocket. That’s not necessarily a bad thing because...