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American Morning

President's Labor Day

Aired September 02, 2002 - 07:04   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

BILL HEMMER, CNN ANCHOR: President Bush back from vacation and working on this Labor Day, hoping to reassure anxious Americans about the economy. The president heads off to Pittsburgh to talk about the holiday at a picnic with the country's largest construction union. He leaves the White House a bit later this morning.
John King on the Front Lawn to tell us what's happening there.

John -- good morning.

JOHN KING, CNN SENIOR WHITE HOUSE CORRESPONDENT: Good morning to you, Bill.

And the president's focus this Labor Day is, as you noted, on the economy. In Pittsburgh, he will remind those carpenters and the American people, Congress is due back this week. The president has a number of items he wants passed. One of them not related to the economy. The top priority is the Department of Homeland Security.

But the president will also make the case that things like terrorism insurance, things like pension reforms are being held up in the Congress. The president says the Democrats in the Senate doing that.

Mr. Bush will say those are critical to help the U.S. economy, especially to those carpenters the president will emphasize terrorism insurance. He says the failure to pass those guarantees in the Congress is holding up thousands of construction projects, tens of thousands of jobs.

So, the president, as you might expect on this Labor Day, the traditional kickoff of the midterm election final stretch, will focus on the economy, the issue that has been No. 1 in the races for the House and Senate this year -- Bill.

HEMMER: John, it may be difficult for us to have a conversation this week without mentioning that four-letter word, being Iraq.

I'm curious to know what you are gauging right now, given Colin Powell's statements over the weekend about weapons inspectors going back into Baghdad. There was a report this morning out of Johannesburg where Tariq Aziz, representing the Iraqi government, says that they would consider now, once again, allowing inspectors to go back in.

Where do we size up the debate right now on this Labor Day, knowing Congress is coming back to town tomorrow, on Tuesday? KING: Well, Congress has a lot of questions about this administration's policy. Make no mistake about that.

You might say both administrations, in Baghdad and in Washington, sending mixed signals right now when it comes to the issue of weapons inspectors. They were kicked out in 1998 in the Clinton administration.

Dick Cheney said just last week he thinks it would be a mistake to send them back in, because he is convinced Saddam Hussein would frustrate unfettered inspections, and that he views it, Mr. Cheney does, as a stalling tactic.

However, the secretary of state -- remember the man who would have to win international support for any military confrontation -- says inspectors should go back in first. And then, only if they are blocked, then the president should make the case for some sort of tougher action.

In Baghdad, the government has said no inspectors. They will not be let back in. But every now and then, as Tariq Aziz has said again, possibly they will have negotiations with the United Nations about that.

So, some say there are mixed signals from both governments.

Here in the Bush administration, Bill, what they say is that everyone agrees on the main goals, but there is some debate underneath about just what should come first in how to achieve them.

HEMMER: Thank you, John. We'll talk again later today. John King, the Front Lawn of the White House this morning.

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