Fund Living Wage Jobs - pass the Empire State Jobs bill
Although a major goal of the new federal and state welfare programs is to increase the self-sufficiency of welfare participants, New York lags far behind the rest of the nation in job creation. Only 60,000 to 80,000 new net jobs are being created each year. NYS ranked 48th in the country in per capita job growth.Meanwhile, close to 500,000 adults are unemployed and an additional 550,00 adults participate in welfare - a job gap of more than one million. The ration of job seekers to jobs exceeds eight to one.
The situation is even worse for the low-wage jobs that welfare participants are likely to obtain. It is estimated that New York created only 10,400. net low income jobs in 1997 and 7,500 in 1998. According to the Preamble; Center for Public Policy, New York ranks 48th in the nation in terms of the number of new jobs as a percent of new job seekers due to welfare reform. Without major job creation, welfare reform will mean lower wages fort low income workers, as the number of job seekers far outnumbers available jobs. The $100 million in federal “Welfare to Work” dollars that New York has received is being used to support various employment related services rather than funding job creation.
Last summer, Congress created a $3 billion job creation program for the hardest to employ federal welfare participants. Most of these funds are targeted to long-term welfare participants who meet two of the three following criteria: lack of high school or GED education; have a poor work history; and need substance abuse treatment in order to maintain a job. Unfortunately, last year’s state budget did not include the 33% match in funds needed to draw down the federal job dollars.
Hunger Action Network Recommendations:
As a first step, the state should use existing welfare funds and the state’s cash surplus to fund the Empire State Jobs Program bill to support a pilot program to provide 4,000 temporary, transitional jobs for welfare participants and unemployed individuals. These jobs would meet essential community needs while also providing on-the-job-training. County governments should use the new powers to spend welfare dollars to fund jobs for welfare participants. The Governor and Legislature should raise the minimum wage to $6.50/hour. Local and state governments should also pass legislation requiring government-funded jobs to pay a Living Wage of at least $8.55/hour.
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Page Created February 1, 2000.
Page Last Updated February 1, 2000.