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CNN Live Saturday
Thousands of Unemployed Lose Benefits Tonight
Aired December 28, 2002 - 18:29 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
FREDRICKA WHITFIELD, CNN ANCHOR: Thousands of people without jobs will lose their unemployment benefits at midnight tonight. That's when an emergency extension program ends. Almost 800,000 people will be affected, CNN's Jeanne Meserve with more on the program's end. And, Jeanne why are so many people losing their benefits at this time?
JEANNE MESERVE, CNN CORRESPONDENT: Probably useful, Fredricka, to take a look back at exactly what the program is. Most Americans get 26 weeks of state unemployment benefits. Now because of the lagging economy, Congress decided to supplement that with 13 weeks of federal benefits. Now that is running out today, that program.
And so, about 750,000 to 800,000 people who were in the middle of that 13 week cycle will be losing their benefits. Some, of course, had already exhausted them and then there are other Americans who won't get the federal benefits when their state benefits run out in the coming days but this is expected to be a temporary situation.
WHITFIELD: And temporary because it is hoped that perhaps Congress will quickly come to the rescue and extend the benefits?
MESERVE: That's right. Congress was well aware that this deadline was coming up but they couldn't come to an agreement on what to do about it. One plan for extending federal benefits passed in the Senate but in the House there was a different, less expensive proposal and members could not come to a meeting of the minds so they left town without doing anything. The Democrats are playing this up accusing the House Republicans of playing Scrooge at Christmastime.
But, President Bush has now entered the picture. He was silent before. Now he is weighing in. He says this should be a top action item when Congress returns on January 7th and a highly placed House Republican aide tells me it is a 100 percent certainty that something is going to pass. What it will be, we just don't know. There are a number of proposals circulating.
One Democratic plan would extend the federal benefits to all jobless individuals for a total of 26 weeks. A Republican proposal would allow those whose 13-week benefit cycle was interrupted by today's expiration to complete those 13 weeks and for the jobless in certain high unemployment states there would be additional weeks of benefits.
WHITFIELD: And, Jeanne, is there any way of knowing how some of these families are coping? MESERVE: No. One hears anecdotal stories of course. I know CNN talked today to a woman in New York. She was a single mother with a young son. She'd been getting something in the area of $600 of unemployment benefits every couple of weeks. Now she says she's going to have to get by on a $700 child support check she gets from her former husband and on the generosity of friends and family. Many Americans are going to find themselves in similar situations.
WHITFIELD: All right, Jeanne Meserve thank you very much from Washington.
TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com
Aired December 28, 2002 - 18:29 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
FREDRICKA WHITFIELD, CNN ANCHOR: Thousands of people without jobs will lose their unemployment benefits at midnight tonight. That's when an emergency extension program ends. Almost 800,000 people will be affected, CNN's Jeanne Meserve with more on the program's end. And, Jeanne why are so many people losing their benefits at this time?
JEANNE MESERVE, CNN CORRESPONDENT: Probably useful, Fredricka, to take a look back at exactly what the program is. Most Americans get 26 weeks of state unemployment benefits. Now because of the lagging economy, Congress decided to supplement that with 13 weeks of federal benefits. Now that is running out today, that program.
And so, about 750,000 to 800,000 people who were in the middle of that 13 week cycle will be losing their benefits. Some, of course, had already exhausted them and then there are other Americans who won't get the federal benefits when their state benefits run out in the coming days but this is expected to be a temporary situation.
WHITFIELD: And temporary because it is hoped that perhaps Congress will quickly come to the rescue and extend the benefits?
MESERVE: That's right. Congress was well aware that this deadline was coming up but they couldn't come to an agreement on what to do about it. One plan for extending federal benefits passed in the Senate but in the House there was a different, less expensive proposal and members could not come to a meeting of the minds so they left town without doing anything. The Democrats are playing this up accusing the House Republicans of playing Scrooge at Christmastime.
But, President Bush has now entered the picture. He was silent before. Now he is weighing in. He says this should be a top action item when Congress returns on January 7th and a highly placed House Republican aide tells me it is a 100 percent certainty that something is going to pass. What it will be, we just don't know. There are a number of proposals circulating.
One Democratic plan would extend the federal benefits to all jobless individuals for a total of 26 weeks. A Republican proposal would allow those whose 13-week benefit cycle was interrupted by today's expiration to complete those 13 weeks and for the jobless in certain high unemployment states there would be additional weeks of benefits.
WHITFIELD: And, Jeanne, is there any way of knowing how some of these families are coping? MESERVE: No. One hears anecdotal stories of course. I know CNN talked today to a woman in New York. She was a single mother with a young son. She'd been getting something in the area of $600 of unemployment benefits every couple of weeks. Now she says she's going to have to get by on a $700 child support check she gets from her former husband and on the generosity of friends and family. Many Americans are going to find themselves in similar situations.
WHITFIELD: All right, Jeanne Meserve thank you very much from Washington.
TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com
