Kaine urges expanded unemployment benefits
Gov. Timothy M. Kaine wants to help more unemployed Virginians get financial assistance while they look for work -- and boost the state's dwindling trust fund for unemployment benefits.
Kaine says he will propose changes in state law next week that would allow the state to receive $125.5 million in federal stimulus money by allowing jobless people to receive unemployment insurance while looking for part-time work or receiving job training. Currently, such people are not eligible for unemployment benefits under Virginia law.
The governor will propose the changes by Monday night so they can be acted upon by the General Assembly at its veto session April 8. But Kaine faces a political fight because of opposition from the business community and House Republicans.
"The governor thinks we should do whatever we can, within reason, to take advantage of the entire stimulus package," said Gordon Hickey, the governor's press secretary.
The decision to expand unemployment benefits already has stirred a debate over the best way to bolster a state system that is heading for insolvency because of the rising demand for benefits by people who have lost their jobs in the recession.
Employers already face a sharp increase in unemployment taxes to maintain current benefits, based on projections that show the state unemployment trust fund as low as 30.9 percent by midyear.
If the expanded benefits are adopted by the assembly, Virginia would receive a total of $187.5 million -- including $62.5 million that is not tied to changes in state law -- to lift the trust fund and postpone the need to borrow more than $232 million from the federal government to keep the system afloat.
But Virginia businesses warn that expanding benefits would raise the long-term costs of a system that already is going broke. Once the stimulus money is gone, they say, employers will bear the burden of a more expensive menu of benefits.
"You're asking Virginia employers to accept a permanent tax change for a temporary benefit," said Keith Cheatham, vice president of government affairs at the Virginia Chamber of Commerce, which opposes the proposed changes. "It's helpful until it's gone. When it's gone, what you have left is a system that costs more."
On the other side, advocates say the changes -- and the federal money that comes with them -- would strengthen a state system that is weak in providing benefits.
"At a time when so many Virginians are losing their jobs in this recession, providing a boost in unemployment benefits is critical," said Michael Cassidy, executive director of The Commonwealth Institute, a Richmond-based think tank.
The additional $125.5 million depends on the state choosing among four options offered by President Barack Obama for improving unemployment benefits.
Kaine picked two optional benefits:
- allowing unemployed people to receive benefits while looking for part-time, not full-time jobs, which the VEC estimates would cost about $10 million more a year or $2.36 per employee; and
- giving benefits to jobless people who are enrolled in a state-approved training program, which would cost about $8.1 million a year or about $2.20 an employee.
Cheatham, who leads a business task force on unemployment compensation, agrees that business taxes will go up without federal aid or any change in state law. But he argues that expanding benefits would punch a bigger hole in a leaking bucket, and that the Obama administration should give back more money to Virginia from federal unemployment taxes paid by businesses here.
"We will ask the General Assembly to just say no," he said. "I know it's painful."
Contact Michael Martz at (804)
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Reader Reactions
studebaker - since it really isn’t clear in what context you believe in the Bible - it’s pretty difficult to respond to you.
Secondly, you’ve continually missed the point that I have tremendous sympathy for those less fortunate than I am. I simply find that government intervention is usually more cruel and much worse than no intervention at all. You have constantly painted me as unsympathetic and apparently so self centered that I would refuse to help, despite posts to the contrary. It is apparent that you’re playing a sophomoric game, so, I think this should just about end our conversation. I’d rather exchange thoughts with someone who had something thoughtful to contribute rather than a mere critique. You offered up Amos and ignored my replies - certainly you had your mind made up while insisting that I see things your way or be a hypocrite. That’s the kind of elitism I’d just as soon pass by.
‘After some back and forth, I found that studebaker was simply a critic trying to get a rise out of me and was really not operating from a position of any meaningful principle. He refused to answer questions and when I asked if he believed the Bible - to which he had been directing me to throughout the conversation, he didn’t answer that either. It told me everything I needed to know about him - and it didn’t reflect well on him.’ Posted by ( Randy ) March 29
‘With regards to Amos - let me ask you this, do you believe what’s in the Bible? I mean, if you’re asking me to think about something in the Bible, certainly you wouldn’t be trying to feed me something you don’t believe - that would be hypocritical wouldn’t it?’Posted by ( Randy ) March 28
***
Randy,
I read the Bible frequently; and I ponder what I read. I do not “believe” the Bible in the Evangelical or Fundamentalist sense. I posted the scripture from Amos in response to your post regarding “AIG executives” & those who “demand unemployment and welfare benefits.”
‘Some may not find the notion of AIG executives getting huge bonuses all so tasteful - but, personally, I find it even more repugnant that people receive money from tax payers when they do not work, earn and produce it.’
‘If you’re a man, you should face those you demand unemployment and welfare benefits from. The process should be distasteful and this distaste should begin the process of leveraging the dissatisfaction of the recipient’s lot in life - to strive for something more than current circumstance deal you.’ Posted by ( Randy ) on March 28, 2009 at 9:07 am
Amos 8
3 “In that day,“ declares the Sovereign LORD, “the songs in the temple will turn to wailing. Many, many bodies—flung everywhere! Silence!“
4 Hear this, you who trample the needy
and do away with the poor of the land,
5 saying,
“When will the New Moon be over
that we may sell grain,
and the Sabbath be ended
that we may market wheat?“—
skimping the measure,
boosting the price
and cheating with dishonest scales,
6 buying the poor with silver
and the needy for a pair of sandals,
selling even the sweepings with the wheat.
7 The LORD has sworn by the Pride of Jacob: “I will never forget anything they have done.
Please answer
Jer - Yeah, he could have, and did, fool me too. I objected to the all of the social programs based on (a) the government being an inefficient medium of charity and (b) the notion that people who work and earn money should not be FORCED to support those who can work but won’t work, especially when working people have families to support as well - he introduced all of the religious stuff and I was dumb enough to respond in kind.
After some back and forth, I found that studebaker was simply a critic trying to get a rise out of me and was really not operating from a position of any meaningful principle. He refused to answer questions and when I asked if he believed the Bible - to which he had been directing me to throughout the conversation, he didn’t answer that either. It told me everything I needed to know about him - and it didn’t reflect well on him.
Could have fooled me and a lot of others !!!
“Studebaker, your religious quotations do nothing but warm the air around those nearest you. The provide no funds for those out of work or training for those that need it. As usual with those who quote the bible they provide no pratical solutions for a problem. They just insert mind numbing driveel into the process.”
Posted by ( Jer1234 ) March 29
Jer1234,
My “religious quotations” & quotes from the bible were directed at religious folks who condemn recipients of unemployment benefits on religious grounds. I am not a religious person.
studebaker
Studebaker, your religious quotations do nothing but warm the air around those nearest you. The provide no funds for those out of work or training for those that need it. As usual with those who quote the bible they provide no pratical solutions for a problem. They just insert mind numbing driveel into the process.
To the poster frowm SW Va. When I was out of work in another state due to the job situation I found a job someplace else. By your own statement many of the people in that area have lived there all their lives. That is their choice but if the jobs aren’t there move to where the jobs are. Don’t tell me you can’t find a job as I have always found one and have never been without work for longer than a month. Sorry but jobs are available so go get one.
Show these posts to your minister, Randy.
“Some may not find the notion of AIG executives getting huge bonuses all so tasteful - but, personally, I find it even more repugnant that people receive money from tax payers when they do not work, earn and produce it.” Posted by ( Randy ) March 27
I can understand your opposition to an increase of Unemployment tax from a business standpoint. But you passed moral judgement on those who would recieve compensation when out of work while giving a pass to the AIG boys. And you did so as a Christian. And I have called you on it.
Read these posts to your Preacher and to your congregation….
“It’s all about you, Randy. You have become a Christ unto yourself. You worship what you conceive yourself to be—not the real Jesus. I tell you the truth.“
Dang, I should have picked this up sooner. This is my fault. You’re only a critic. I mean, you don’t have any real principles on anything, you just do some sort of perfunctory evaluation and make a few judgmental statements based upon whatever prejudices and stereotypes are a part of your soul.
You don’t know what you’re talking about - that’s pretty sad.
Studebaker - Is one of the fruits of the spirit being a sucker? Is one of the fruits of the spirit shiftlessness?
I know you don’t like born again Christians, that’s your privilege. It’s also your privilege to read and quote parts of the Bible that you believe illustrate your point despite missing out on the larger context of our responsibilities for ourselves and each other. It’s also your privilege to call me angry and whatever else you imagine me to be. It’s your privilege to pass off your responsibilities (if you believe you have any) to your fellow man to a government who can’t do so efficiently.
You have stood in judgment of Christians and that’s fine. Certainly I never claimed to be perfect and I’ve got my faults for certain. But, considering your broad brush comments about Christians, I don’t see how anything you have advanced is a better way. I’ve worked hard for most of my life, served the country in the military and the community as a firefighter and raised a family in a middle class setting and after all of that, I can celebrate that we live in a country that allows you to look down your nose at people like me. I can celebrate that we live in a country that lets someone like you tell someone like me that I just haven’t done enough for other people and that I’m hard-hearted.
Really though, in my opinion, what is cruel and hard-hearted is to lead people to believe that they need the government and that they can’t do something on their own.
With regards to Amos - let me ask you this, do you believe what’s in the Bible? I mean, if you’re asking me to think about something in the Bible, certainly you wouldn’t be trying to feed me something you don’t believe - that would be hypocritical wouldn’t it?
It’s all about you, Randy. You have become a Christ unto yourself. You worship what you conceive yourself to be—not the real Jesus. I tell you the truth.
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