Michigan’s one-two punch against the unemployed

Eight of the nine states that cut the number of weeks that unemployed workers could receive Unemployment Insurance benefits, including Michigan, saw larger-than-average drops in the number of people collecting benefits after the cuts, according to a new report from the Economic Policy Institute. Despite high unemployment at the time, Michigan was the first state to legislate such a cut, from 26 weeks to 20. (more…)

Many kids stuck in poverty without solutions

Contact: Judy Putnam or Jane Zehnder-Merrell, 517.487.5436

Kids Count in Mich. ranks 82 counties on child well-being

LANSING, Mich. – Too many kids in Michigan remain mired in poverty at a time when policymakers have reduced help for struggling families, according to the Kids Count in Michigan Data Book 2015 released today.

Three measures of economic conditions worsened over the trend period with nearly one in every four children living in an impoverished household, a 35 percent increase in child poverty over six years. The trend period measured from 2006 to 2012 or 2013, depending on the availability of data.

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High poverty, unemployment harm economic growth

Often touted as the “Comeback State,” Michigan’s economic recovery has not included everyone as reflected in the state’s high poverty and unemployment rates. Leaving people behind will only hinder Michigan’s potential economic growth, which has already showed signs of slowing.

A recent report ranking states based on multiple indicators of economic security and opportunity reveals the state’s major lack of investment in its people. On almost every factor from poverty to education to affordable housing, Michigan is ranked worst or second-worst among the Midwest states. (more…)

11% of Mich. vets in households receiving food aid

More than one in every 10 Michigan veterans lives in a household that receives food assistance, a new policy brief estimates.

The report from the Center on Budget and Policy Priorities, released today in time for Veterans Day, is a reminder that thousands of struggling veterans use food assistance (formerly food stamps) to put food on the table.

The program, called Food Assistance Program in Michigan and SNAP at the federal level, helps 73,100 veterans — about 11% of Michigan’s vets. Michigan is one of 10 states where more than 10% of veterans are in households on food assistance.

“For low-income veterans, who may be unemployed, working in low-wage jobs, or disabled, SNAP provides an essential support that enables them to purchase nutritious food for their families,’’ the report states.

Food assistance has been a vital lifeline to many in Michigan as the state continues to recover from heavy job losses and falling income from the Great Recession.

Despite high unemployment and stagnating poverty, Michigan policymakers have made it harder rather than easier to get food assistance:

  • For a relatively small amount of additional heating assistance, Michigan could have opted to keep a ‘heat and eat’ provision that secured extra federal food assistance to families needing help with utilities. Only four states, including Michigan, of 16 using this option declined to continue by increasing help with utilities.
  • Michigan is bucking the trend nationwide by requiring a harsh food asset test that is not required by the federal government. Considering that the benefits are 100% federally paid, it’s unnecessary for Michigan to make it harder for veterans and others to access food assistance.

As policymakers continue to look for ways to tighten eligibility for public assistance in Michigan, it’s a good reminder that among those being harmed are veterans, who deserve help when they need it in return for the sacrifices they have made.

– Judy Putnam

 

 

Census numbers tell of stagnancy and slow recovery

Today is the big day that comes each year: the release of American Community Survey figures on income and poverty.

Ready for some numbers?

Michigan’s household median income in 2013 ($48,273) was a bit higher than in 2012, but is nearly $1,000 lower than in 2009. The income bracket that grew the largest from 2009 to 2013 was the share of Michigan households who make under $10,000 a year. The only other income bracket with a significant share increase was households making more than $200,000 a year. These numbers taken together suggest that the slow economic recovery in Michigan is primarily benefiting those at higher incomes. (more…)

Shooting ourselves in the foot

Michigan and the seven other states that cut unemployment benefits in the wake of the Great Recession caused financial hardship for unemployed workers and failed to boost the overall economic outlooks of the states, a new report from the Economic Policy Institute concludes.

Problems with the unemployment system actually stemmed from underfunding the state trust funds in good times, rather than paying out benefits too generously, the report concludes. And cutting benefits not only shortchanged jobless workers and their families, it undermined the countercyclical role of the unemployment system that is designed to kick in when times are tough. (more…)

Need Facts About Your County?

How much does a parent need to earn to be able to afford a two-bedroom apartment in your county? What percentage of children receive free or reduced-price lunches at school? What percent of the population in your county is Native American?

Answers to questions such as these can be found in the new, updated county fact sheets called Mapping the Facts, by the Michigan League for Public Policy. We developed these fact sheets for advocates, policymakers and concerned citizens. The sheets have been updated with the latest data available, including 2012 poverty statistics. (more…)

Vets lose benefits as we celebrate Fourth of July

Just as we head into one of our most patriotic celebrations of the year next week (the Fourth of July), a new estimate out shows that 285,000 unemployed veterans will lose jobless benefits by the end of June, including thousands of out-of-work vets in Michigan.

Extended benefits known as Emergency Unemployment Compensation expired Dec. 28. Congress’ failure to extend the benefits means that 1.3 million workers were cut off from unemployment benefits nationwide at the end of last year, with an additional 1.6 million exhausting their regular state benefits in the first six months of this year. Included in those numbers are nearly 300,000 jobless vets, Chad Stone, chief economist at the Center on Budget and Policy Priorities, estimates. (more…)

Senator’s claim smells fishy

Two out of the last three times the minimum wage was raised, Michigan’s unemployment rate decreased in the years that followed.

That indisputable fact makes a recent claim from state Sen. Pat Colbeck, R- Canton, surprising.

The Detroit Free Press and the Detroit News reported last week the senator’s assertion that raising the minimum wage will decrease the rate of employment “every time.” This false claim needs to be corrected. (more…)

Ramp up pressure on Unemployment Insurance

“I agree with you, I want to do it, now make me do it.”  ~ President Franklin D. Roosevelt to Sidney Hillman and other labor leaders after his election in 1932.

“I don’t think there is a great sense of pressure on our members.”  ~ Deputy Whip Rep. Tom Cole, R-Okla., responding to a question about renewing long-term Unemployment Insurance benefits, 2014.

The U.S. Senate passed a bill to extend Emergency Unemployment Compensation Monday evening with bipartisan support and with benefits retroactive to Dec. 28 when the program expired. Yet U.S. House leaders show little interest in bringing it up for a vote. (more…)

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