By Lisa Mascaro, Tribune Washington Bureau
PLEASANTVILLE, N.J. — Not far from once-booming Atlantic City, here’s what the end of federal unemployment insurance looks like in a tattered community where the jobless rate is still almost twice the national average.
A solitary Republican congressman stands in the afternoon sun, struggling against the odds and the majority in his own party, to rally a handful of supporters seeking the resumption of unemployment benefits that were cut off late last year.
The local workforce development office, a newer building in an otherwise shabby stretch of downtown Pleasantville, swells with job seekers, many from nearby casinos that fueled a boom before the bust when gambling revenue sank.
Long-term-unemployed workers, like waitress Chris Congleton, a grandmother sidelined with a foot injury, desperately look for any available job as they come to terms with the reality that the federal aid they’d come to rely on is probably over. Three months behind on her mortgage, Congleton is hoping to go back to waiting tables, even though her doctor warned against it.
“This is a world of hurt,” said Rep. Frank A. LoBiondo, who grew up not far from here and often talks to his constituents by phone on his commute from Washington back to the southern New Jersey district. “These heart-wrenching stories that I’m hearing … you can sense just the agony that people are going through.”
But the 10-term congressman’s campaign to renew federal assistance for the long-term unemployed is a lonely one, and unlikely to produce the outcome he is hoping for in Congress.
After repeatedly extending federal benefits, Washington has little political appetite for another round — what would be the 13th since jobs started disappearing at an alarming rate in the middle of 2008.
Before expiring in December, the emergency program had lasted a record five years, an unparalleled allocation of federal aid to combat an economic slump unlike any since the Great Depression. With the abrupt end of the weekly payments, which averaged $289, more than 2 million Americans lost their aid.
Never before has Congress allowed the emergency federal benefits to lapse when long-term jobless rates are as high as they are today — about 2.4 percent of the workforce. Congress has, however, shut off benefits when the overall unemployment rate dropped below 7 percent — as it did in December.
Now, nearly five years after the recession technically ended, this unprecedented outlay of federal aid for the jobless — $260 billion over 66 months, twice as long as the next-longest run — is seeing an equally unprecedented end.
Republicans in particular have grown weary of spending federal dollars on the unemployed, arguing that the aid provides a disincentive to finding work. And as the sluggish economy shows signs of improvement, Democrats have little leverage to compel Congress to act. Each month that passes without a renewal of benefits saps the remaining political momentum.
Though the Democratic-controlled Senate passed a retroactive extension in April, only six GOP lawmakers signed a letter drafted by LoBiondo to urge Speaker John A. Boehner (R-OH) to bring the issue to a vote in the Republican-controlled House. No vote is scheduled.
Copyright 2014 The National Memo