The Rich Are Different. They Have Jobs
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Goldman Sachs, one of the Wall Street firms that got the H1N1 flu shot well ahead of millions of America’s school children, sent this health tip in a memo to its pampered, out-of-touch execs: “Resist the urge to open your own car door; let your driver do it.”
Yo, Jeeves. While you’re at it, dust around the edges of those massive CEO pay packages. Because according to a report released today by the Government Accountability Office (GAO), top executives at four companies that jettisoned their employee pension plans received $49.5 million in retirement and severance benefits in the years before the companies filed for bankruptcy, while retirees saw their benefits cut by as much as two-thirds.
Yet Wall Street bankers are making that cash flow keeps coming: Yesterday, writes David Dayen, Senate Republicans bowed low before their corporate masters and delayed a move by Sen. Chris Dodd (D-Conn.) to immediately take up a bill that would freeze all credit card rates, charges and fee increases.
Obama Signs Unemployment Insurance Extension
Long-term jobless workers finally have some relief, with President Barack Obama signing legislation today to provide up to 20 extra weeks of unemployment insurance (UI) benefits for workers who exhaust their benefits before finding new work. The bill had been held up for almost six weeks as Senate Republicans blocked several attempts to bring it to a vote.
Obama’s signature came just hours after it was announced the nation’s unemployment rate had soared to 10.2 percent in October, from 9.8 percent in September.
The legislation provides an additional 14 weeks of benefits to unemployed workers in all states and an additional six weeks for jobless workers in states with an unemployment rate of 8.5 percent or higher.
House Set to Act Fast Now that Senate Finally Passed Jobless Aid Extension
BREAKING: The U.S. House of Representatives this afternoon passed the unemployment insurance extension bill, by a 403-12 vote. The bill is on its way to President Barack Obama who could sign it as early as tomorrow.
After weeks of Republican stalling and obstruction that cost hundreds of thousands of jobless workers their unemployment insurance (UI)—the Senate last night approved extending UI to workers who have lost or will lose their benefits by the end of the year.
House Majority Leader Steny Hoyer (D-Md.) promised to move quickly—as early as today—to ensure a House vote on the bill so President Obama can sign the legislation and get the checks moving again. Said Hoyer last night:
For too long, Senate Republicans blocked progress on extending unemployment insurance, which would provide immediate and tangible help to those who need it most, while also boosting our economy. Democrats remain focused on doing everything we can to assist Americans struggling to make ends meet and extending unemployment benefits is part of that effort. Now that this legislation has passed the Senate, I will bring it to the House Floor for a vote.
Senate Clears the Way for Vote on Aid for Jobless Workers
After weeks of obstruction by Republican Senate leaders, millions of jobless workers who have or who will soon run out of unemployment insurance (UI) benefits may finally have a chance to grab an economic lifeline in the form of extended UI benefits.
The U.S. Senate yesterday approved a procedural motion that clears the way to a vote on legislation (H.R. 3548) that would provide an additional 14 weeks of benefits to unemployed workers in all states and up to 20 weeks in states with especially high jobless rates.
The Senate could vote as early as tomorrow, but a Thursday vote is more likely. Call your senators today and urge them to take swift action and pass H.R. 3548. You can call the Capitol switchboard (202-224-3121) and ask to be connected to your senators or click here to find your senators’ office numbers.
Unemployment Insurance Must Be Extended for Struggling Workers
With 26 million U.S. workers unemployed or underemployed, and the long-term jobless rate the highest since 1981—hundreds of thousands of struggling workers need relief. The U.S. Senate is expected to take action next week on an extension of unemployment insurance (UI).
Sen. Harry Reid (D-Nev.) says struggling workers will receive a much-needed boost from the UI extension—and workers whose UI has already run out will see it resume:
Our proposal from the outset has been simple: Let’s support those families who have been hardest hit by the recession. In the almost three weeks since Republicans first began to delay this measure, over 150,000 Americans have lost their unemployment benefits. Those Americans, and the thousands of others who will lose their benefits if we don’t act, need us to act now. It cannot be overstated how critical this assistance is to workers.
Showdown in Chicago: Thousands Protest Bankers
UPDATE: Check out photos and a video from today’s rally.
More than 5,000 people are packing the streets of downtown Chicago this morning, chanting, marching and rallying against Big Bankers and financial institutions that have taken taxpayer money and are using it to give big bonuses to CEOs and to lobby against financial reforms that would ensure they don’t go back on the public dole.
The crowd is marching to the Sheraton Chicago Hotel & Towers, site of the American Bankers Association meeting, to protest the banking industry’s greed and irresponsibility that crippled our economy, leaving millions of workers behind.
After the house of cards they built collapsed, bankers and the financial industry took $700 billion in taxpayer funds for a bailout. But rather than reform their failed practices, they want to go back to business as usual—with the chance of again precipitating another financial collapse and need for taxpayer bailout in coming years.
AFL-CIO President Richard Trumka, who is joining union members and allies at today’s events, has a clear message to bankers: You work for us.
Showdown in Chicago
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I’m in Chicago for the American Bankers Association meeting. Oddly, I haven’t been invited to the Roaring ’20s dance party I hear they’re having.
Why wouldn’t they celebrate the era of wild money and hot times (which slid into the Great Depression)? After all, the bankers are doing well these days.
They’re doing well because after financial institutions caused the global economic crisis, we bailed them out, to the tune of some $700 billion.
Now they’re in good enough shape to pay the suits $7 billion in bonuses for driving working families and our economy to our knees—to the verge of a second full-fledged depression.
Things might be turning around for the bankers, but for the rest of us, unemployment heads toward 10 percent and home foreclosures continue to devastate families and communities. Working families have lost health care, pensions and savings—and in exchange we’ve gotten predatory lending, outrageous overdraft fees and sky-high credit card interest rates.
Dancing with Jay and Daisy
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When you’re a member of the American Bankers Association (ABA) meeting in Chicago amid the worst U.S. jobless crisis and most disastrous economy since the 1930s Depression, what’s the logical move to make?
Dress up in a Roaring ’20s costume and party like it’s 1929.
Proving yet again that not only do taxpayer-bailed-out CEOs have no shame, word has it that they plan to flaunt their taxpayer-fueled wealth in our faces, the ABA is sponsoring its Roaring ’20s party in conjunction with its Oct. 27–29 meeting.
AFL-CIO President Richard Trumka will lead thousands of mad-as-hell Americans in a rally outside the ABA meeting on Oct. 27, demanding financial reform and re-regulation that will allow us to rebuild our communities, our lives and our economy.
(If you’re in Chicago, join us Oct. 27 at 10:30 a.m. CST. The march departs from the corner of East Wacker Drive and Stetson Avenue. After about a 15-minute march, the rally will be outside the Sheraton Chicago Hotel & Towers at 301 E. North Water St.)
Because when they’re not stocking up on Jay and Daisy attire, Big Bankers and financial institutions are using the $700 billion in taxpayer bailout money to attack proposals like the Consumer Financial Protection Agency that would actually help working people while decreasing the chance of another Big Bank-fueled financial meltdown. Of course, they’re not using all of our money to fight reform. Some of it—about $7 billion—is going to bonuses for top CEOs.
State-by-State Unemployment Data Show Economy Still Hurting
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The latest state-by-state jobs and unemployment numbers are out, and as the experts at the Economic Policy Institute (EPI) note we have a long way to go before we can say this recession is over.
Nationally, the economy lost 5.2 percent of all jobs since December 2007. In many states, the story is even more grim: Arizona has lost 10 percent of its jobs, Michigan has lost 9.8 percent and Nevada has lost 8.5 percent.
The official unemployment rate is at a 26-year high, at 9.8 percent, with states like Michigan, California and South Carolina even more severely affected. And the official unemployment rate doesn’t take into account the workers who have been discouraged due to long-term absence from the job market; it’s estimated that counting these discouraged, some 26 million people are out of work.
This is no time to play political games with unemployment insurance, as Republican Sens. Jon Kyl (Ariz.) and Orrin Hatch (Utah) are doing. Unemployment insurance must be extended so the U.S. economy isn’t further weakened. As Sen. Kirsten Gillibrand (D-N.Y.) noted in Huffington Post, the failure to provide unemployment insurance in this devastating recession doesn’t just hurt the unemployed, it hurts families, small businesses and communities:
Without an extension…about a million of our long-term unemployed nationwide will lose benefits by the end of the year. We must not allow this to happen, especially as the holidays approach. As our economic recovery continues to take shape, it’s crucial that we not forget about those families who are hurting the most, still struggling to find work in a very difficult job market.
Wall Street to Main Street: Lick My Versaces
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Given the raging jobless rate in this country, it’s no surprise that only 10 percent of Americans say now is a “good time” to find a quality job, reflecting no improvement since February, and less than the 33 percent who held similar views as the recession began in January 2008, according to a Gallup poll out this week. The poll concludes:
Job-market conditions across the U.S. are a little better than they were six months ago, but remain far worse than they were during the first year of the recession. Another jobless recovery—no matter its overall shape—is the last thing Americans need after the worst recession since the Great Depression.
It’s bad enough America’s workers can’t find jobs. But even those with jobs are experiencing such a decline in wages that the United States has seen a dramatic increase in economic inequality. According to a new paper by the Center for Economic Policy Research:
While the United States has long been among the most unequal of the world’s rich economies, the economic and social upheaval that began in the 1970s was a striking departure from the movement toward greater equality that…was a central feature of the first 30 years of the postwar period. This is…the direct result of a set of policies designed first and foremost to increase inequality.
