Obama, Congress may extend unemployment benefits

Deb Price of the Detroit News reports that with “100,000 Michiganians who will cash their last unemployment check by year’s end,” the Obama administration and Congress may soon pass another 13 week extension of unemployment benefits. With Congress set to return to Washington from the August recess this week, the issue of such an extension “will be one of the first issues they’ll address.”

Drew Hammill, spokesman for House Speaker Nancy Pelosi, said the economy will determine the future of the benefits expansion bill sponsored by Rep. Sander Levin, D-Royal Oak.

“Clearly, unemployment remains the lagging number in an otherwise improving economy,” Hammill said.

Senate Majority Leader Harry Reid said: “Soon after Congress returns to Washington we will need to address this matter … There is an economic case to be made for extending unemployment benefits.”

Meanwhile, top economic advisers to President Barack Obama signaled on recent Sunday news programs that another extension may be needed.

Unemployment benefits have already been extended three times in the past 18 months by Congress. But with unemployment remaining high even while there are signs of a budding economic recovery going on, more may be needed. There is also movement in the Michigan legislature to extend benefits even further at the state level, but in the middle of a state budget crisis it seems unlikely that it will pass.