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ed 

 
<http://www.thenation.com/blog/166175/week-poverty-perfect-storm-threatens-l
ong-term-unemployed>
http://www.thenation.com/blog/166175/week-poverty-perfect-storm-threatens-lo
ng-term-unemployed

Perfect
<http://www.thenation.com/blog/166175/week-poverty-perfect-storm-threatens-l
ong-term-unemployed> Storm Threatens Long-Term Unemployed 

 <http://www.thenation.com/authors/greg-kaufmann> Greg Kaufmannon 
The Nation: February 10, 2012 

In December, there were more than 13 million unemployed workers and about
<http://www.epi.org/publication/job-seekers-ratio-improves-highest-rate/>
four people looking for work for every available job. According to the
Economic Policy Institute (EPI), 5.5 million people have been unemployed for
more than half a year, up from 1.2 million in 2007, and
<http://www.nelp.org/page/-/Press%20Releases/2012/PR_Jan2012_JobsReport.pdf?
nocdn=1> the average duration for an unemployed person is over nine months.;

"It is not, of course, that these millions of workers have become lazy,
unskilled, or unproductive, it is that there are not enough jobs available,"
writes EPI economist Heidi Shierholz. She notes that even new research from
the Federal Reserve Bank of San Francisco attributes increased duration in
unemployment to "the severe and persistent weakness in aggregate demand for
labor."

So it's particularly alarming to see Congress playing games with an
extension of unemployment benefits that are set to expire at the end of the
month. Without an extension, more than one million Americans will be cut off
in March, and more than 3.3 million by June 1.

"Instead of offering a hand up and rallying to help those who are most
struggling, Republicans and perhaps some Democrats would like to drastically
cut down on the maximum number of eligible weeks, and throw up roadblocks to
stop many jobless people from getting any benefits at all," says Debbie
Weinstein, executive director of the Coalition on Human Needs.

Some of those roadblocks include stigmatizing drug tests and making people
who lack a high school diploma or GED ineligible unless they enroll in
classes--though Weinstein notes there are currently about 160,000 people on
waiting lists for said classes and Republicans would like to see further
cuts to those programs.

For millions of Americans, this isn't a debate over some abstract benefits
extension, it's a debate over a lifeline.

In 2010, the federal emergency unemployment benefits currently being debated
kept 3.2 million Americans from falling into poverty--less than $22,350
annually for a family of four. The unemployment insurance system as a whole
kept 4.6 million people above the poverty line.

Denying benefits now catches Americans at a particularly vulnerable moment.
According to the Corporation for Enterprise Development, 27 percent of
American households now live in "asset poverty"--meaning they do not have
the savings or other assets to cover the basic expenses a poverty-level
income would cover for just three months in the event of a layoff or other
crisis. If you take away assets that can't quickly be converted into
cash--like a home, or car--that number jumps to a stunning 43 percent.

"Behind these numbers are very real and often frightening stories," says
Christine Owens, executive director of the National Employment Law Project
(NELP).

"Millions of midlife and older workers are moving toward retirement with
substantially reduced savings because of job loss. The stock market has
routed their 401(k)s and their home values are declining. And threats to
basic economic security programs continue."

Those threats aren't just happening in Congress but at the state level too,
creating a perfect storm that threatens the long-term unemployed.

Joan Entmacher, vice president for family economic security at the National
Women's Law Center, notes that South Carolina--which last year reduced the
maximum number of weeks for state benefits from twenty-six to twenty--is
considering bills that would bar "steady, part-time workers" from receiving
unemployment, particularly hurting women who are two-thirds of the part-time
workforce in South Carolina as well as nationally. Another bill would make
seasonal workers ineligible for benefits during the offseason. Three other
bills were approved in subcommittee--drug testing for all applicants,
mandatory unpaid community service (burdening workers with caregiving
responsibilities and impeding the job search) and complete ineligibility for
a worker terminated for even a minor infraction.

"The legislature is blaming the real victims of the recession, the
unemployed, for our state budget problems and pursuing senseless cuts and
barriers to receiving or keeping benefits," says Sue Berkowitz, director of
the South Carolina Appleseed Legal Justice Center.

Entmacher says the three bills "aren't moving at the moment" but could be
revived if restrictions like the ones being considered at the federal level
are passed.

There are, however, opportunities to make your voice heard for a "clean"
renewal of benefits through 2012 without cuts or punitive measures. Also
today, USAction, NELP and the AFL-CIO begin "Walk in My Shoes"

events in front of Congressional district offices across the United State,
letting representatives know that people have lost their jobs and homes,
now's not the time to take their unemployment insurance too.

Finally, the GOP would like to pay for any unemployment benefits
extension--wait for it... by reducing the number of low-income families
eligible for the child tax credit (you can't make this stuff up). The
average impacted family earns $21,000 a year and would lose $1,800 in
income. There are indications from people close to negotiations that
Democrats might be ready to deal on this. So, when you contact your
representatives and ask for that clean extension that will help long-term
unemployed people not fall into poverty, make it clear that you don't want
them to do it by throwing kids into poverty.

Homeless, NYC: The New Normal?

New York Times reporter Alan Feuer offers a compelling and poignant profile
of a homeless family in New York City and examines city and state homeless
policy as well. "Homeless Families, Cloaked in Normality" is an in-depth
look at what happens when a couple--a full-time healthcare aide and a
maintenance man--lose work and can no longer afford rent. They separate, and
the mother and her two boys end up at a shelter, where they try to recover.

Feuer writes that the city's homeless population is now "higher than it has
ever been" at 40,000. That population is comprised of 6,000 homeless men and
2,000 homeless women in facilities for single people, and 15,000 parents and
17,000 children in family shelters.

He attributes the rising population to "evictions, many connected to the
financial crisis," the end of a rent-subsidy program and limited Section 8
vouchers.

While there is a "cloak" of normality in the profiled family's life at the
shelter, a new brief from the Institute for Children, Poverty & Homelessness
(ICPH) depicts a Bronx and South Bronx where homelessness is all too normal.
Indeed, nearly 47 percent of Bronx residents fear becoming homeless, and
South Bronx families experience homelessness at a rate three times higher
than families in the rest of the city and six times greater than the level
nationwide. In 2010, over one-third of all applicants for New York City's
family shelter system were from the Bronx, and 93 percent were either Black
(53 percent) or Hispanic (40 percent).

ICPH attributes the homeless epidemic in the Bronx to a 30 percent poverty
rate (less than $18,310 annually for a family of three); severe rent burdens
with over 55 percent of residents paying more than 30 percent of their
income on rent, and nearly one-third paying more than half their income;
overcrowding rates that are double the national average; and only 4 percent
of rental housing vacant and available.

ICHP spokesperson Diana Scholl says the organization "hopes this brief will
continue the dialogue of the need for education, job training, services, and
well-paying jobs to reduce poverty in the Bronx and elsewhere." A draft of
ICPH's "New Path" report proposes "immediate action" to make shelters
on-site learning and career-building centers, thereby reducing recidivism.

A Re-entry Model?

Every year, 700,000 formerly incarcerated men and women re-enter society.
Within three years, two-thirds are arrested and more than half return to
prison. So it's worth paying attention to a new evaluation of a transitional
jobs program run by the Center for Employment Opportunities (CEO) in New
York City that shows significantly reduced recidivism and cost savings.

The nonpartisan, nonprofit social and education policy research
organization, MDRC, found that program participants were 16 to 22 percent
less likely to be convicted of a crime and reincarcerated; and cost savings
associated with reduced recidivism were between

$1.26 and $3.85 for every $1 in program spending.

"It is very unusual to find recidivism effects like this," MDRC spokesman
John Hutchins told me. "In fact, other research on transitional jobs
programs that we've conducted has not shown the same results."

Some of the unique approaches used by CEO include small work crews of five
to seven participants, with supervisors who often share a similar
background--one-third of CEO staff was formerly incarcerated. These groups
seem conducive to developing mentoring-type relationships and peer support.

Participants also receive counseling and job search assistance to transition
to unsubsidized jobs, and post-placement retention services.

Hutchins says MDRC is currently working on two new projects for the
Department of Health and Human Services and the Department of Labor to build
upon the success of this program.

Further Reading

"Repairing the Safety Net," Robert Greenstein Paying for Cancer Treatment
for Children in America," Wendell Potter Voices of Poverty "Dismantling
Schools, Disrespecting Communities," Mark Simon and Leigh Dingerson Half in
Ten Story Bank

Get Involved

Tell Senator Bernie Sanders Your Story: Affordable Dental Care Gender Equity
in the Restaurant Industry LIHEAP Action Day Achieving Full Employment for
Black Workers Campaign for Community Change

Vital Statistics

US poverty (less than $22,300 for a family of four):

46.2 million, 15.1 percent.

Kids in poverty: 16.4 million, 22 percent of all kids.

Deep poverty (less than $11,157 for a family of four):

20.5 million people, 6.7 percent of population.

Impact of public policy, 2010: without government assistance, poverty twice
as high--nearly 30 percent.

Impact of public policy, 1964-1973: poverty rate fell by 43 Percent.

Number of Americans "deep poor," "poor," or "near

poor": 100 million, or one in three.

Quotes of the Week

"Drug testing unemployment insurance applicants is part of a growing pattern
of blaming the jobless for their predicament rather than an economic
environment where there is one job opening for about every four people
looking. [It's] based on the false assumption that laid-off workers are more
likely than others to have substance abuse problems." --Elizabeth
Lower-Basch, CLASP senior policy analyst.

"If among you, one of your brothers should become poor, in any of your towns
within your land that the Lord your God is giving you, you shall not harden
your heart or shut your hand against your poor brother, but you shall open
your hand to him and lend him sufficient for his need, whatever it may be."
[Deuteronomy 15:7-8] --Interreligious Working Group on Domestic Human
Needs, letter to Congress

This Week in Poverty posts every Friday morning. Please comment below,
e-mail me at [email protected] follow me on Twitter.

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