Children's Defense Fund

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March 5, 2004  
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Ron Eckstein: (202) 662-3609
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STAGNANT EMPLOYMENT FIGURES DEMAND
RAPID RESPONSE FROM FEDERAL GOVERNMENT

Washington, DC - The Children's Defense Fund (CDF) today called on Congress to act quickly to extend long-term unemployment benefits in light of today's Labor Department report showing the meager number of jobs created last month. The unemployment rate for February remained stagnant at 5.6 percent.

According to the Bureau of Labor Statistics, only 21,000 new jobs were created in February. More than two million fewer jobs exist today than in February 2001. In the past year, fewer than 10,000 jobs have been created each month. Based on data posted this morning on the Labor Department Web site, CDF noted that:

  • The average jobless worker has been unemployed for more than 20 weeks—the longest prolonged period since the records began in 1948.

  • 1.9 million workers have been unemployed longer than six months—no improvement from last year's figures and higher than any previous February since 1994.

Last month, the U.S. House of Representatives authorized an extension of Temporary Emergency Unemployment Compensation (TEUC), which expired in December. The Senate has failed to take similar action concerning this critical program designed to provide Americans with benefits during periods of unemployment. Also, this week the House Subcommittee on Human Resources proposed radical and stringent work requirements for families on welfare despite the limited job growth.
"This is a wake-up call for Congress and the Bush Administration," said Jim Jones, CDF's Vice President of Programs and Policy. "It is time for our elected officials to extend long-term unemployment benefits for hard-working American families and to realize that we cannot create more insecurity and vulnerability by requiring people on public assistance to find jobs that don't exist."

CDF also noted:

Only 61.8 percent of Americans had work last month, making that the worst employment rate for any February since 1994.

The seasonally adjusted percentages of high school graduates and college graduates without jobs are the highest since 1992 (the year the data series began).

The number of unemployed workers has increased by 101,000 since February 2003. The number of "discouraged workers" who have given up actively looking for jobs also increased by 34,000 to 484,000—the highest February figure since 1994.

For women, the recent employment news is especially troubling. The seasonally adjusted employment rate for women is 55.9 percent, the lowest it has been since 1996.

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The mission of the Children's Defense Fund is to Leave No Child Behind and to ensure every child a Healthy Start, a Head Start, a Fair Start, a Safe Start, and a Moral Start in life and successful passage to adulthood with the help of caring families and communities. CDF provides a strong, effective voice for all the children of America who cannot vote, lobby, or speak for themselves. We pay particular attention to the needs of poor and minority children and those with disabilities. CDF educates the nation about the needs of children and encourages preventive investment before they get sick, into trouble, drop out of school, or suffer family breakdown. CDF began in 1973 and is a private, nonprofit organization supported by foundation and corporate grants and individual donations. We have never taken government funds.

 

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