Pelosi optimistic for bailout deal after jobs report

House of Commons Speaker Nancy Pelosi said “there was momentum” towards a coronavirus stimulus deal after new data on Friday showed slow job growth amid a surge in infection.

The non-farm payroll rose by 245,000 in November, falling well below expectations of 440,000. The sign of a declining economic recovery comes amid a renewed push by Congress to pass a relief bill in the event of a pandemic before the end of the year.

Pelosi spoke to Senate Majority Leader Mitch McConnell on Thursday for the first time in at least a month. The conversation heightened hopes for a deal on Capitol Hill to lift an economy and healthcare system damaged by the coronavirus.

The California Democrat said she and the Kentucky Republican agreed they wanted to pair aid measures with a must-see government funding bill – if they can fix the outstanding issues with this legislation. Lawmakers must adopt a spending plan by December 11 to avoid government shutdown.

“The tone of our conversations is one that indicates the decision to get the job done,” Pelosi told reporters on Capitol Hill.

Democratic leaders, who for months have called for a sweeping agenda to stimulate the U.S. economy and health care system, cited the jobs report as further justification for Congress to act. Pelosi described the data as “yet another indication of the need for us to squash the virus so that the economy can start.”

Meanwhile, Senate Minority Leader Chuck Schumer, DN.Y., said in a statement that “this latest jobs report shows the need for strong and urgent emergency aid is over. important than ever “.

“Senate Republicans increasingly understand this urgency, and Chief McConnell should hear their calls and those of millions of struggling American families,” he said. “This jobs report is a loud warning that a double dip recession is imminent and must be a wake-up call to anyone who opposes genuine bipartisan emergency aid,” he continued.

After his conversation with Pelosi on Thursday, McConnell told reporters the executives were “both interested in getting something done, both on the omnibus and on a coronavirus package.”

Democrats have backed a $ 908 billion proposal unveiled by bipartisan Senate and House members as the basis for talks with McConnell. The Senate leader wants to adopt a smaller $ 500 billion plan.

The parties have yet to resolve disagreements on issues such as unemployment insurance, support for state and local governments, education funding and liability guarantees for businesses.

President-elect Joe Biden endorsed the bipartisan framework, calling it a “good start.” Pelosi said she agreed with her assessment. She noted that “that’s not all we want” and Democrats will likely ask for more help when Biden takes office on January 20.

It’s unclear how much the jobs report will affect the content of a relief bill – or how quickly Congress can pass it. Sen. John Barrasso of Wyoming, the third GOP member of the chamber, cited Friday’s employment report as a testament to the strength of his party’s economic policy.

In a statement, he called for “targeted help for families in Wyoming and the country” focused on Paycheck Protection Program small business loans and Covid-19 vaccine distribution funds.

“We have no time to waste,” Barrasso said.

About 12 million people will lose their unemployment benefits after Christmas if Congress does not extend the provisions passed earlier this year. More than 20 million people are receiving some form of unemployment insurance as the economy struggles during the epidemic.

Eviction protections and a federal moratorium on student loan payments will expire at the end of the year.

The White House has generally downplayed the extent of the economic pain in recent months. Still, the director of the National Economic Council, Larry Kudlow, on Friday called for a targeted relief plan.

Speaking to CNBC, he said talks on Capitol Hill appeared to be moving forward.

“Talking is good, we can move forward,” he said.

But he added: “I can’t promise anything this morning.”

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