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Standoff over jobless money continues

Tuesday, May 10, 2011
(Updated 2:48 pm)

RALEIGH (AP) — No end appears in sight for a stalemate that's held hostage extended unemployment benefits for North Carolina's long-term jobless for nearly a month, state legislative leaders said today.

Senate leader Phil Berger, an Eden Republican, said the General Assembly's Republican leaders are waiting for Democratic Gov. Beverly Perdue to propose a compromise.

Perdue vetoed the GOP proposal to extend the benefits only if the governor accepts double-digit cuts before budget negotiations begin in earnest. Perdue called the linkage "extortion." Republican leaders said they wanted to ease questions about continued state funding in case a budget deal isn't reached by the time the next fiscal year starts in July.

Jobless workers whose payments are stopped could recover the money down the road if legislators and Perdue later agree to change the eligibility formula. Meanwhile, the payments averaging $297 a week have been stopped.

The cutoff affects 37,000 people who were receiving extended unemployment benefits; those who've been unemployed for shorter durations are unaffected and continue to receive compensation.

"What I am telling people is the Senate and the House have passed a bill that extends those benefits. We think the question is: what has the governor done other than say, 'Do it my way. That's the only way that I'll accept.'" Berger said. "I would hope that either the governor would modify her position or tell us what it would take to modify her position."

A spokesman for House Speaker Thom Tillis, R-Mecklenburg, agreed with Berger than no resolution is imminent.

Perdue spokeswoman Chris Mackey said the governor has been clear that she would sign legislation that changes the formula without any add-ons.

"No further discussion should be necessary," Mackey said.

Minority Democrats have been unable to force a vote on a measure that simply changes the formula that would allow the unemployed to keep receiving benefits from the federal government for up to 99 weeks. All Democrats in the Legislature have signed a petition seeking a vote, but there are too few of them to force action.

Senate Minority Leader Martin Nesbitt, D-Buncombe, said his Democratic colleagues believe that the recession has deeply disrupted the economy and created an unusually large number of people who may be unemployable in the next few years.

"It's finally starting to dawn on people that we have long-term unemployed people that want a job and can't find it," Nesbitt said. "It's not people who are not educated. It's not people who don't have a skill. It's everybody from the top to the bottom of the spectrum who cannot find jobs in America today."

North Carolina is one of about three dozen states in which an extended benefits program of up to 20 weeks of compensation was created as a way to lessen the pain for the long-term unemployed caught in the recession's massive job losses.

The U.S. Labor Department notified North Carolina officials in early April that the extended benefits program had to stop paying out after April 16 because the state's recent three-month average unemployment rate had improved from 2010 and 2009. South Carolina and 13 other states have passed legislation to revise their formulas and keep the extended benefits flowing, the state's Employment Security Commission said.

Accompanying Photos

File photo (Associated Press)

Comments

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Panacea

May 10, 2011 - 2:40 pm EDT

Berger's so full of crap. HE is the one saying, "My way or the highway," not Perdue. Perdue HAS told him what he needs to do: not hold jobless benefits hostage to a blatant power grab over the budget.

Yvonne1

May 10, 2011 - 3:05 pm EDT

What can be done to stop/prevent Berger from continuing to hold 37,000 unemployed hostage? I don't blame Perdue.

mightymite

May 10, 2011 - 3:22 pm EDT

I wish some sort of budget compromise would be reached. I'd also like to know what percentage of the long term unemployed have felony convictions in their background and those convictions are actually what is hindering them from obtaining traditional employment. The furniture industry was one local industry that a convicted felon could find good work, when that industry tanked it left a large number of unemployable people. Long term unemployed people who want to work and who don't have felony convictions should be getting those benefits.

retiree

May 10, 2011 - 4:46 pm EDT

I'll agree the unemployment compensation issue should be a separate bill, but for over 100 years the state has been controlled by the Democrats and they essentially told the Republicans to take it or leave it, often not even including them on budget issues. Now that the shoe is on the other foot you'd think the sky is falling. It's called politics and it's not going to change and both parties use tactics like this to their own advantage.

Interested

May 10, 2011 - 5:24 pm EDT

The difference is the issue being held hostage. Berger needs to be reminded he is overseeing the state senate not the elementary school playground.

rmacz

May 10, 2011 - 6:37 pm EDT

The only thing kids from the elementary playground will be doing, is paying for this mess if people like Berger don't stand up to the run away budget.

Don't back down Phil! The voters are behind you!

Alf42

May 10, 2011 - 6:33 pm EDT

Paying people not to work for years on end is not a recipe for long term economic prosperity. There's a lot of people (not all, but a lot) that get this money and sit on their duff all day and play video games. I say get off your duff and get a job!

tdriver629

May 10, 2011 - 8:57 pm EDT

Well it is a shame the republicans are more worried about getting there way. Then extending benefits for people that need the money to live. They are so selfish. If they had to go several weeks without money they would change there mines. Vote them out before they destroy our state.

drewwes01

May 10, 2011 - 10:59 pm EDT

I think the Senate Republicans are dead on the money in this situation. Just like with raising the debt ceiling at the federal level, if we are going to spend this money there has to be significant cuts to spending in other areas to maintain fiscal responsibility and financial sanity. We can't keep expecting government outlays and not expect for it to cost anything. It doesn't work that way.

anthond99

May 11, 2011 - 4:08 pm EDT

the extended benefit program is federally funded, and will not cost the taxpayers of the state one cent, ZERO, it is extortion! There is others ways to reel in the budget, without taking from the unemployed. Wake up, people, the republicans are full of S%&T, THEY have money, why should they care. I cannot understand why so many people vote for them.

anthond99

May 11, 2011 - 4:11 pm EDT

Forgot to mention that I emailed every member that represent Gaston County, no one replied! These people are my neighbors, republicans though, no wonder why no reply! Yes, I am from Gastonia....thank you!

jk8588

May 12, 2011 - 10:50 pm EDT

I am 52 years old. I got my first job delivering The Knoxville News Sentinel when I was 12. I have paid taxes to the federal government since I was 16. I am not unemployed but if I should be these unemployment benefits are my money. I paid my taxes as my end of a business deal. I gave the government my money and I expect what I was promised. I am sick of hearing white trash right wing slaves tell me that government is here to run my life. I am sick of watching the politicians give my money to giant corporations to spend on private jets and cheap whores like Thom Tillis and Phil Berger.There are 7 unemployed people in North Carolina for every job. If you are too stupid to understand this math you need to stop writing letters to the newspaper.And for God's sake stay home during the next election. If you want to speak to your Representative or Senator in person you can find his house on Virtualglobetrotting.com. Never mind. He's probably playing golf in Scotland and joking about what an idiot you were to vote for him.

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