There may be good news for long-term unemployed men and women who were seeking a Tier 5 extension of unemployment benefits. Reports indicate that a senator, Debbie Stabenow introduced a bill that would extend unemployment benefits for an extra 20 weeks for individuals who have been seeking benefits past the 99 week cut-off for previous extensions. Also, the proposal may extend the tax credit that businesses have been using when they hire new workers who have been unemployed for more than 60 days.
Arguments in favor of extensions state that extensions of unemployment benefits only cause a minimal amount of individuals to remain unemployed long-term and men and women who have struggled to find employment have also stated that the funds received from unemployment benefits are often a vast decrease in the amount of income they would be gaining from full-time employment. Many officials and unemployed individuals believe that extending unemployment benefits will not cause unemployment to remain high, but will allow many the income they need to meet the most basic of needs while the job market slowly recovers.
While there are jobs being added to the economy each month, but there are more jobs lost than gained at certain times. Those who are in favor of extending unemployment benefits point to the fact that long-term unemployment is not the result of extended benefits but the fact that the economy is still losing jobs. While there are tax incentives for some businesses who hire new workers, and part of the proposal to extend unemployment benefits would also extend those incentives, there are many who believe that until jobs are created at a faster pace, long-term unemployment will be a problem whether extensions are provided for benefits or not.
There are, obviously, individuals who believe that extending unemployment will be detrimental to the economy as it will give incentives for many unemployed men and women to continue to remain out of work. While unemployment benefit extensions have been a highly debated topic over the past months, many argue that since there are too few jobs to meet the demand of unemployed workers, other areas of the economy may suffer as well. Housing, for example, has taken a huge hit due to unemployment and, unemployed men and women make the argument that unemployment benefits are not a long-term solution to financial demands, like a mortgage payment.
The long-term unemployed of our nation believe that a Tier 5 extension is necessary so that more jobs can be added and those who are jobless will have more time to find employment opportunities that presently seem to be so elusive. While there are those who believe unemployment benefit extensions promote laziness, and there are surely some individuals who are taking advantage of these long-term unemployment benefit extensions, many unemployed men and women stand to benefit from a Tier 5 extension since they have lost their income and are still unable to find employment.