Isaiah J. Poole
Published: Saturday 7 July 2012
“If it were not for congressional Republicans’ repeated obstruction or dilution of virtually every significant job-creation proposal sent to Congress since 2009, unemployment today would likely be under 7 percent instead of stubbornly persisting at around 8 percent.”

Jobs Report: Challenge Congress to Act, Obama to Fight

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Today's unemployment report from the Bureau of Labor Statistics will be closely watched for its political impact on the presidential race. But it is not the numbers that will be most consequential. What will determine whether President Obama will keep his job in November is whether he steps up his fight for our jobs and whether we as progressives step up our pressure on Congress, particularly the Republicans who have blocked virtually every major effort to revive the Main Street economy.

From a political standpoint for the Obama administration as well as for job seekers, the news is bad. The economy produced a total of only 80,000 jobs in June, with 84,000 private sector jobs offset by an additional 4,000 jobs lost in the public sector. Middle-class level jobs in construction and manufacturing showed particularly weak growth. But also, the economy lost more than 5,000 retail jobs.

Unemployment among African Americans has creeped up above 14 percent, compared to 7.4 percent among whites; among African-American youth, the official rate is now almost 40 percent. Among Latinos, the unemployment rate is 11 percent; it was 10.3 percent in March and April.

Republican presidential candidate Mitt Romney and his surrogates will use today's report to repeat their claims that President Obama's economic agenda has failed. It will be up to Obama to make clear the plain truth that what America has experienced for the past three years has been a diluted and polluted version of the promises Obama made in his campaign and early months in office.

As former White House Council of Economic Advisers chairman Laura Tyson wrote earlier this week, "Congress left at least one million jobs on the negotiating table" just in the past year alone, thanks to congressional Republicans who are "holding unemployed workers hostage to the outcome of November’s election."

That is almost enough jobs to close the jobs deficit we've been calculating since January, based on the number of jobs the economy would have to create on average each month—about 400,000—to bring the unemployment rate down to 5 percent by the end of 2014. From January to May, the economy created a net 832,000 jobs; to be on pace to meet the 5-percent-in-2014 goal, the economy should have created 2 million jobs.

As we've repeated time and again, the corruption of the Obama agenda by the corporatists and anti-government ideologues in both political parties began when the 2009 Recovery Act emerged as a $787 billion program, more than half of which was tax cuts, instead of the more than $1 trillion in additional spending that was needed to begin adequately repairing the damage of the 2008 financial crash.

Since then, Republicans have assaulted the economy at every opportunity, forcing an austerity agenda of budget-cutting at the very time that the federal government should have been stepping up its spending in key areas, both to bring our infrastructure up to 21st-century needs and to prevent layoffs of teachers, first responders and other essential public workers by cash-strapped state and local governments. From June 2009 to May 2012, 605,000 state and local public sector jobs were cut. If public sector jobs had instead grown at the same pace as the three previous economic recoveries, there would be an extra 1.2 million jobs, and that level of additional employment would have supported the creation of an additional 500,000 jobs, according to the Economic Policy Institute.

When the White House and Democrats in Congress tried several times to pass elements of the American Jobs Act, $450 billion worth of job-creation initiatives, Republicans in the House voted as a solid bloc against the efforts, and Senate Republicans filibustered the legislation. The 2 percentage-point reduction in worker payroll taxes was the only major component that survived. Among the opponents is Romney, who has argued that cutting government spending at all levels is necessary to "help the American people" even though, as Tyson said, the teachers, firemen, and police who are being laid off "are American people who help other American people."

Late last month, Congress pat itself on the back for passing a two-year surface transportation funding bill that is at best a status-quo stop-gap, not the kind of bold, game-changing initiative that would give the nation the kind of transportation network that could sustain the economic growth we need. The obstacle in the way was once again House Republicans, who refused to support the longer-term funding commitment needed by state and local transportation planners without numerous "poison pills," including provisions that would have authorized construction of the Keystone XL pipeline without robust environmental review and would have ended federal regulation of hazardous coal waste disposal from power plants.

If it were not for congressional Republicans' repeated obstruction or dilution of virtually every significant job-creation proposal sent to Congress since 2009, unemployment today would likely be under 7 percent instead of stubbornly persisting at around 8 percent.

But while it is important for President Obama to point fingers at the real villains of this economic travesty and that Romney sides with those villains, that is not enough. As Richard Eskow eloquently writes on our site this morning, "One of the President's greatest failures over the last three and a half years is that he chose to think like a legislator, not a leader. And one of liberalism's greatest failures was allowing so many people to identify with a leader, not with the principles and values that should be a movement's guiding star."

In Ohio on Thursday, President Obama correctly noted that this year's presidential election will determine the course of the economy for the next decade. It is not too late for Obama to give the nation a vision based on principles such as those in the "economic manifesto" of economist and New York Times columnist Paul Krugman, declaring that conservative austerity policies will fail in the U.S. just as they are failing miserably in Europe and that part of "betting on America," to use his campaign's latest catchphrase, is to seize today's unique opportunity to double down instead of pulling back on our investment in America and its people.

But let's not wait for Obama to lead. We have to push. Start by confronting members of Congress this weekend, before they return to Washington for more right-wing political grandstanding such as "repealing Obamacare," as well as candidates running for Congress. Ask them whether they will take steps to put people to work on the work that needs to be done, or will they push instead for policies designed to enrich the already rich, while imposing austerity on everyone else. It will be up to us to make it clear to every politician, from Obama down to the freshman House candidate, that political reward only lies in support of an authentic middle-class jobs agenda.



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23 comments on "Jobs Report: Challenge Congress to Act, Obama to Fight"

oldhat

July 10, 2012 2:56pm

harry reid [ not gop] will not allow job bills to be voted on

Ted-Zee-Man

July 09, 2012 1:31pm

“If it were not for congressional Republicans’ repeated obstruction or dilution of virtually every significant job-creation proposal sent to Congress since 2009, unemployment today would likely be under 7 percent instead of stubbornly persisting at around 8 percent.”

So if you want to create jobs in the United states of America, I suggest that you vote for every possible Democrat and Independent that you can. That you REFUSE to support any Conservative, Republican or Tea-Party member running for any elected Office.

oldhat

July 09, 2012 12:52pm

a while back my local newspaper list 14 job bills passed by house that hairy reid would not let senate vote on the only job bho tries to create is solyndra

cindy53

July 09, 2012 7:30am

While the article is true, and Republicans HAVE obstructed every single jobs initiative the President has put forward (including the present infrastructure jobs bill that is currently stalled in the House), part of the blame for the weak recovery is on President Obama . When the President had majorities in both Houses of Congress he should have aggressively pushed for a larger stimulus, and done an FDR style "works progress administration" to employ blue collar workers on infrastructure jobs 3 years ago. Instead he squandered his opportunity by listening to a Wall St. tool (Timothy Geithner), then Democrats lost control of the House in 2010, and Republicans have been obstructing EVERYTHING he has tried to do since then, and blaming him for the weak recovery. President Obama should have studied how the US did it after World War II - there was massive stimulus spending via the Marshall Plan, the GI bill, and the interstate highway system - and we had runaway prosperity in those years. By the way, we also had an upper marginal income tax rate of 91% in the 1950's, meaning low tax rates have nothing to do with prosperity. Had President Obama studied history (instead of listening to Timothy Geithner), he would have had a massive stimulus and a "put people to work" jobs program. Yes, the unemployment rate is probably higher than calculated - which means President Obama inherited an even higher unemployment rate than 10% from George Bush. I will be voting for the President in November, but only because Romney is pushing austerity (and austerity does not lead to prosperity - see Greece's forced austerity program).

CatherineM

July 09, 2012 3:45am

Hey, folks are either going to vote for Mr. President or not. All of this cross-talk about what the president should or should not do is unnecessary. The numbers are what they are...progress is SLOW...however, it is still progress.

So let's not blame Mr. President for the failed economy policies of the right-wing congress. We have to support our president and plan to vote for him on November 6, 2012!

We have to VOTE to bring in a congress that will work to improve the economy and by passing the American Jobs Act. We have to vote for a congress that will work with Mr. President in representing the people of the U.S. of America!

Counselor1

July 08, 2012 7:08am

Gridlock is completly phony. Congress can create $trillions in United States Notes without increasing our debt. These “Legal Tender Notes” could be spent into the economy to jump start it. Very low interest, long term loans could be made to Americans “underwater;” part being sent directly to pay off mortgage arrears and, if breadwinner is unemployed, a few months future payments. $1.4 trillion U.S. Notes could produce 19 million jobs, provided we get over the idea that this money has to be used in maximally “productive” ways. American’s simplistic moralism (“jobless means undeserving”) and general welfare require millions of jobs to replace jobs killed by automation, outsourcing, etc. The jobless can’t all operate earth movers or computers. But millions can engage in paid, high value, low – tool use child, senior and disability care, education, homemaking, pick and shovel burial of the electric grid, building retrofitting, using hammers, paint brushes, trash spears, and other simple tools.
Would this be inflationary? Yes! The Panic of 2008 started severe DEFLATION. Only massive targeted re-flation can counteract it. Lack of it turned the Panic of 1929 into the Great Depression of ’29 – ‘39. Mega-banks hate the idea of U.S. Notes. They lose “earned” interest because they aren’t lending Notes to us. They’ll send a thousand “Liars for Lucre” economists, etc. to argue against it. They’ll withdraw advertising to media that favor it. They’ll withdraw support from politicians who advocate it and support vocal opponents.
So look into U.S. Notes for yourself, then push the idea until they can’t ignore it any more!

Peter Loeb

July 08, 2012 2:45am

Profesor Reich might have begun "If it were not for the massive defense
expensitures on personnel and weapons and for the continual warmaking
of both Democratic and Republican parties...the unemployment rate
would have skyrocketed..." But then, this is an unpleasant and impermissible thought for a liberal/progressive Democrat. Reich knows
that the Democratic party would never have proposed any cure. The
Republicans agree on that. Remember "NSC 68", signed by Harry Truman
in April of 1950? Perhaps not...

CHForbesSr

July 07, 2012 9:46pm

It suits the Republicans (in name only!) to blame Obama, but any American who has read the Constitution knows that Congressional right wing Republicans are responsible for causing, then sustaining the Great Recession unnecessarily. Any twelve year-old can figure this out if given the facts; and the facts are readily available any where in the country! Anyone who has lived through the past three and one-half years in the U.S. knows that purposeful GOP blocking of all possible Obama/Democratic measures has reduced stimulus for job creation and other constructive legislation to a mere trickle. In addition they have cut hundreds of thousands of taxpaying workers from government jobs all over the country! It would be a shocking, even millennial disaster if Romney and the GOP won in November so they could continue the catastrophic Bush policies that put us into this mess in the first place. Yes, that is exactly what Romney promises to do!

Msdori

July 07, 2012 2:44pm

It's a partisan game that citizens are locked out of the playground. Those allowed to 'play', like, Corporate Business, take the side that benefits them the most. So, as part of the 'game plan', 'they' have made no effort to create jobs within their big companies. Instead of using increasing profits within their companies for job creation, executive pay keeps rising with benefits along with stockholder shares. Yet, 'they' complain of higher US corporate taxes and the need to re-enstate tax cuts. The very countries that they have chosen to locate, are struggling more than the US, due to 'low tax' revenue and low wage labor. THAT could be US, if Romney is President, along with a 'too far right' Congress, they will lower the corporate tax and continue to suppress the middle class into a low wage labor force in order to maintain overpaid executive salaries & profit margins fit for 'Kings'. It's NOT the President who creates jobs, it is the 'players' allowed in the 'political game'.

greghilbert

July 07, 2012 1:35pm

The most Obama can do now is too little, too late. He has punted repeal of tax cuts for the rich into 2013, openly dissed progressives while giving banksters and corporate job exporters and tax-dodgers a cozy pass, put Social Security and Medicare on the table, helped keep us spending as much on defense and security as the entire rest of the world, put jobs for teachers, police and infrastructure up against austerity and loathing for govt failures, and set us up for fracas over an Obamacare plan that was modeled on a 90's Repub proposal. Even if re-elected, he will be a lame-duck, duplicitous compromiser in the context of a Congress that will be even more right-shifted and corporate than it is now.

As other commenters have noted, the cited 8.2% unemployment rate grossly understates just how bad things are, both as to falling rate of employment and as to the number of people now employed part-time and/or at minimum wage and/or devoid of significant benefits. Similarly, reporting negligible growth of OVERALL GDP masks the fact of ongoing transfer of wealth from the many to the few. The benefits are not trickling down. Rather they are literally being sucked from the many and pumped up to the few.

Forgive me a digression, triggered by sympathy for the millions represented by commenter Charles Thomas on July 7. I recently learned something appalling about Social Security. Private-sector self-employed impoverished people like him -- ie people who've paid into SS for many years -- are ineligible for SS if they work more than 15 hours a month. They face a cruel choice of working for poverty or retiring for poverty. Small wonder that they have no enthusiasm for Obama and the Dem mantra about jobs for teachers, and resent the benefits govt employees enjoy. Small wonder that so many averse to Repubs feel betrayed by Dems. The unholy combination is throwing ever more to the wolves.

CHForbesSr

July 07, 2012 10:05pm

greghilbert: You are absolutely incorrect to state that anyone is ineligible to receive his Social Security if he works more than 15 hours per month. Millions of Social Security recipients work far more than 15 hours per month and still receive their Social Security payments. In fact that is a preposterous, ridiculous statement. Also you drag in the right wing disparagement of teachers' jobs and government employees' benefits. That is a cruel and ill-informed tenet of the extreme right wing. Mr. Hilbert you deceive no one. You are a right wing extremist revealing yourself in everything you allege. People of your persuasion have forgotten the principles and values our nation was founded upon, and still revere.

Gyper Bait

July 07, 2012 8:31pm

O.M.G. ! If so the Congress is even further gone in asininity than I had previously believed !....And that was far !

ccrider27

July 07, 2012 1:13pm

Rethuglicans are what they are, and they're all going to Hell for it.

But really, c'mon now. Obama and the Dems have been giving them the wink...wink.

When the big O is on the campaign trail, he's all fire and brimstone. But when he's in the Oval Office, he's just as much in the pay of the corporate criminals as any Rethug.

Don't listen to what they say. Watch only what they do. It's all a big Kabuki Play.

larronm

July 07, 2012 12:29pm

The level of misunderstanding of the role of the president is growing as seen in comments by previous commentors. The president's "executive privilage" only extends to keeping certain communications secret.. He can't go out and spend the governments money without the authorization of Congress. He is only president, not king. The real problem is no secret, Senator McConnell made it very clear when he announced that his number one goal was to deny this president another term. To that end the Republicans in congress have used every tactic available. The house has passed measures that they knew, going in, would never make it through the Senate, the Senate has suffered the tortures of the filibuster on every issue which might have helped improve the economy or in any way given the president a victory. The Republicans complain about the lack of progress on jobs and then turn around a push for bills to ban abortion. They claim to have a plan but when questioned only repeat the tired positions of the failed Bush and Hoover administrations. The game has not even begun. Following Labor Day, when the campaign really heats up, all that special interest, super-pac money will begin to flow into prime time TV ads. The lies and miss-information will come fast and often. And the uninformed public will buy into it as they have in the past. That is unless we, the Progressives, the knowledgable, the informed step up and shout the truth. If your representaative in Congress is a Republican, as is mine, don't waste your time contacting him/her, write a letter to the editor, get yourself on talk radio, hold a gathering. Do something!

CHForbesSr

July 07, 2012 10:24pm

LARRONM: Bravo! Exactly correct. But the elephant in the room is the ALEC-inspired vote blocking laws that have been passed in many key states. Attorney General Holder, and the courts, must invalidate these transparent vote-blocking devices of the GOP. By the way, I can remember when the Republican Party was a decent, respectable political party. That GOP has vanished. It has been replaced by a corrupt grouping of Wall Street lackeys and far right extremists who have driven the nation into persistent deep recession. We are threatened with four more years of the same, if we can believe Romney. So yes, we must get out and work hard for a Democratic win in November.

woetopoe

July 07, 2012 2:51pm

There is no doubt that Congressional Republicans truly desire to "submarine" the economy to catapult Romney to the oval office. There also is no doubt that President Obama has squandered numerous opportunities to at least accurately portray the GOP's actions. As a former Professor, one might have thought he could do a bit better at "explaining" the nature of things in a light conceivable to the average American. Tax cuts for the rich: extended. Single-Payer healthcare: Abandoned with nary a whimper. Military budget: Outrageous and growing! Justice applied to the cabal of Wall St. miscreants responsible for the country's economic meltdown: Non-existent to the point of a number of them actually incorporated into the President's cabinet and advisers. Strange that you correctly point out the "failed Bush and Hoover administrations" and omit the most egregious administration in terms of paving the way to the proverbial cliff...Ronald Reagan. As to your suggestions; I belong to a Peace and Justice Network in a Central California city, population just over 300,000. Our last three meetings, despite being advertised in our only paper and also promoted on radio, drew "crowds" of 13, 11 and 14 people respectively. I've written "hundreds" of letters to our local paper over the years only to see them increasingly redacted to the point of incoherence. But I "do" agree with you...do something! Off-topic: This country will "never" see a 5% employment rate. The last time that occurred was during the massive arms build-up during WWll. The idea it will happen again is chimerical given the current practice of off-shoring, free trade and avaricious business exec's who have learned to expand profits with a smaller workforce.

Gyper Bait

July 07, 2012 11:08am

I consider obstructionist Congressional Republicans to be practicing, at the very least, a mild form of treason. President Obama is, of course, too laid-back, Christian, and non-confrontational a fellow ever to say, or even to think, so - but he needs to 'get in the face' of Congressional Republicans far more than he does.

oldhat

July 07, 2012 11:01am

a few months back local newspaper had a list of 14 job bills the house had sent to senate and reid would not let them be vpted on

Gyper Bait

July 07, 2012 8:22pm

You might have typed out your comment a bit more carefully, 'OLDHAT'. Was there a fire you had to get to ? You fail to realize that job bills sent to 'senate and reid from house' come with all sorts of 'spoilers' which make those bills unacceptable to Senate Democrats.

mike morell

July 07, 2012 10:11am

Wish someone told us when/where the next Great Giveaway will take place? Twelve years of Bush’s Tax Cuts have handed trillions to the rich so far. Their coffers are bursting. Rumors run our neighborhood billionaires will hand out $1000-bills and jobs to us and all. Just curios. When’s the Giveaway? Where’s the jobs? Does someone know??? SOS, we the 99% are sinking!!!

Ronni85

July 07, 2012 9:58am

If Obama does not start to stand up and fight for WE, the PEOPLE, he will fail miserably in the next election. Its a shame, there is NO candidate that WILL stand up for WE, the PEOPLE, something WE sorely need. Those young people that voted for him will stay home in droves this election unless he gets his act together and appeals, again, to WE, the PEOPLE. He has to drive home the efforts he has made to improve the economy, and the successful efforts by the GOP to make the economy worse than it was when he took office.
Obama needs to use executive privilege to provide funding for the proposals necessary to get this economy back on track - needed is the creation of new environmentally friendly companies and new jobs.
WE also need to start charging steep tariffs on goods coming into this country that deliberately sabotage the prices of goods made here at home (like Solyndra - the Chinese Gov't undercut solar panel prices and put Solyndra out of business). We also need to charge those steep tariffs on foreign-made products by US companies that want to make more due to cheap foreign wages - they should be charged tariffs equal to at least 10% above the American made products.
If Obama wanted to, he COULD do most of these things - ask WE, the PEOPLE for help in bombarding the house and senate to DO these things that are necessary. IF only he would lead, WE would follow. WE NEED A LEADER!!

luckylongshot

July 07, 2012 9:53am

Using the methodology the US government used to calculate unemployment in 1990 Shadowstats reports the current US unemployment rate is around 23%. That the government is now quoting the figures used in this article is just a joke.

Charles Thomas

July 07, 2012 9:49am

I am a skilled tradesman--thirty five years experience. White, Christian, college graduate. And on what planet is Mr. Poole living on to parrot the government unemployment numbers as if they are fact. In my demographic the numbers are 14% and higher depending on where you live. Many of us no longer spend time and resources playing the resume game. Odd jobs, barter, making things and growing some of our own food, doing without, trading maintenance for rent, praying for good health, sharing, relatives, and waiting. Sure opportunity is created, rarely given. But opportunity in most cases these days is regulated to the point that there is little left for the ones who actually do the work. Normally I no longer read these type of articles.