Congresswoman Waters Calls for Extension of Unemployment Insurance

Today, on the Floor of the House of Representatives, Congresswoman Maxine Waters (D-CA), the Ranking Member of the House Financial Services Committee, commemorated the 50th anniversary of the War on Poverty by calling for the extension of federal unemployment insurance benefits. Her statement was part of a series of speeches in support of unemployment insurance by members of the Congressional Progressive Caucus. The Congresswoman's remarks as prepared for delivery follow:

"I thank the gentleman from Wisconsin, Rep. Mark Pocan, for the time, and I congratulate him for organizing this Congressional Progressive Caucus Special Order on Unemployment Insurance.

"Fifty years ago this week, in his State of the Union address, President Lyndon B. Johnson declared a War on Poverty. He proposed initiatives that would – over time – improve health, education, nutrition, and access to housing, employment and economic opportunities.

"Although America has changed a great deal since that day, poverty and economic inequality are still at the forefront of our nation's problems. And they were only exacerbated by the Great Recession.

"The gap between the rich and the poor in America has become a chasm. Today, 20 percent of the income in our country goes to the top one percent of Americans. And the top one percent holds about 40 percent of the country's wealth. This inequity is mirrored in our communities, our housing and rental markets, and our financial system – where a lack of access to banking services often causes working families to have debts that spiral out of control.

"Mr. Speaker, inequality in this country has reached a point that for many, the American Dream of upward mobility and unlimited economic opportunity has been greatly diminished.

"The 2008 financial crisis cost our economy 12 trillion dollars, as millions lost their homes and jobs. This destruction of wealth disproportionally hurt our nation's most vulnerable and only widened the gap between the rich and the poor. Even the gains from growth during the recent recovery have overwhelmingly benefitted the wealthiest people in society.

"Almost 95 percent of the income gains since the recovery began have been captured by the top 1 percent. Meanwhile, the minimum wage has not been increased since 2009.

"This, Mr. Speaker, is unacceptable.

"Chronic unemployment and poverty still plague many of our communities. American families are still struggling to make ends meet. Four million Americans have been out of work for 27 weeks or more, and the economy still has 1 million fewer jobs than before the Great Recession began.

"Though there are other factors at play, much of this inequality is the result of government policy. And government policy can help reverse these alarming trends.

"But instead, House Republicans are digging us even deeper into this crisis. They passed a Farm Bill that cuts the SNAP nutrition program for low-income families by $40 billion. And then Republicans let unemployment insurance for the long-term unemployed expire – three days after Christmas.

"Already, 1.3 million unemployed Americans have lost their federal unemployment insurance. That includes 20,000 military veterans.

"And each day this program sits expired, thousands of additional struggling Americans are adversely affected.

"As state benefits are exhausted in the first six months of 2014, an additional 1.9 million Americans will lose their unemployment insurance. In fact, every week, another 72,000 job-seekers will lose their benefits during the first half of this year.

"Mr. Speaker, unemployment insurance is critical for struggling families. According to the Center on Budget and Policy Priorities, unemployment insurance kept 2.5 million people above the poverty line in 2012, including 600,000 children.

"Unemployment insurance is good for the economy. According to Moody's Analytics, every dollar of unemployment insurance generates $1.55 in new economic activity in the first year. The bipartisan Congressional Budget Office estimates that 200,000 jobs could be lost in our economy if unemployment insurance is not extended.

"We must act immediately to extend unemployment insurance. I call on my Republican colleagues to bring the Emergency Unemployment Compensation Extension Act (H.R. 3824) to the House floor and pass it now.

"With one in five American children living in poverty, it is clear that the War on Poverty has gone on for far too long. Let's take action now to help all Americans share in our nation's growth and prosperity. Let's bring an unemployment insurance extension bill to the floor now. Let's bring a substantive jobs bill to the floor now. And let's bring a minimum wage increase bill to the floor now.

"American families have suffered enough. It's time to restore the American Dream!"

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