Desperation of Job Seekers Is Heartbreaking
Thanks to the Reagan administration, people receiving unemployment benefits must pay taxes after $2,400 in benefits.
Meanwhile, as job seekers pay tax on unemployment benefits that are used for such luxuries as food and toilet paper, new IRS data shows the richest getting richer and see their income tax rates dropping. It's absolutely appalling and sickening!
Roger Bybee at Working In These Times highlights the struggles, desperation, and anger of the jobless. Here are some excerpts:
"[Layoffs] are the opposite of life-giving; they literally deplete life… Layoffs diminish the ability to restart. You can have all kinds of people like spouses and friends say you are terrific, ... but in the core you say, I am not, and I have big evidence that I am not."
—Prof. Kim Carmon, psychologist, University of Michigan
"For anyone who has ever been out of work, Kim Carmon's statement captures your innermost feelings of worthlessness that "literally deplete life." Unemployment exacts both an enomrous toll on both one's self-esteem and physical health, as Prof. Peter Dreier and Dr. Harvey Brenner have documented, respectively.
"When I wrote last week about the plight of America's 4.8 million unemployed, it triggered some powerful responses from unemployed workers. They're excerpted below.
"The economic situation is especially dire for the 1.2 million jobless Americans who face a loss of benefits if long-term unemployment benefits are not extended beyond February 28. Many people, like this man who responded to my column last week, have already exhausted their benefits and are barely managing to scrape by:
I lost my job through no fault of my own when the economy went south. It’s a spit in the face to move up the ladder and then go from making $800 a week to $350 before taxes. My benefits recently ran out and I’ve still had no luck finding a job.
"The frustration of the jobless is now being intensified by Congress' inability to accomplish four relatively simple things:
- Develop a jobs bill commensurate with the massive problem unemployment crisis we face.
- Extend unemployment compensation benefits due to expire on February 28, along with the provision where the federal government covers 65% of otherwise-unaffordable COBRA health insurance payments.
- Provide aid to state and local governments that are looking at a combined deficit of $142 billion for next fiscal year, starting July 1.
- Remove the outrageous federal income tax on unemployment benefits, which kicks in after $2,400 in benefits. For many of the unemployed, that means the tax starts being collected after just six checks.
"Also lacking are aid to the ailing states and relief from the taxation of unemployment benefits, a holdover from the Reagan era.
"Another jobless worker wrote me to explain the desperation felt by people discarded by the economic system. They now have no financial resources left for their families and desperately hope that Congress will act to deadline to extend benefits:
" 'The media has the way to make a difference….like making the country aware that on Feb 28th over 2 MILLION people like me (I’m on my last FED tier extension) will have NOTHING LEFT and by June 18% of the population will make this economy something that we have never seen before. The country is on a road to the worst economic melt down we’ve ever seen….
'This is what really happens when someone loses their UI benefits. PAY ATTENTION::
No income - Can’t live no, nowhere to go, no way to look for work.
no mortgage payments-NO HOME.
no auto payments means No CAR!.
no buying any luxuries like food, shelter. necessities like toilet paper!! …
'I too am on unemployment and as of today 2/11 I have until this WED to find a job that I haven’t gotten yet or I’m moneyless. My last check will be $250.00 after that No income because congress isn’t willing to put everything else to the side and make unemployed people their ONLY PRIORITY!!! No days off, no holiday break no forgetting about us for the weekend we’ll still be here when you get back !!!
'Most people can’t pay anything now to stay afloat and will soon be
living in a shelter if they don’t extend UI for longer than 6 weeks or
whatever band-aid timeframe they think is acceptable. Stop taxing UI
benefits, extend to the end of 2010, create a real job plan, and do it
now please!!!!!!!!!!!




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