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- The White House said the job gains in July were due to vaccination rates, not expiring unemployment.
- Many Republican governors have started cutting weekly federal payments by $ 300.
- There is “no evidence” that the reduction in unemployment has resulted in job growth, said press secretary Jen Psaki.
The White House said on Friday that the expiration of state unemployment benefits had not been a driver of job growth.
“We see no evidence in the data available that some states ending unemployment benefits earlier have had an impact on today’s incredibly high numbers,” press secretary Jen Psaki said in a statement. briefing.
Payroll growth accelerated in July with 943,000 jobs created, according to data released Friday by the Bureau of Labor Statistics. This exceeded economists’ forecasts for 870,000 jobs.
President Joe Biden said on Friday that the report demonstrated that the “Biden plan” was working.
“What is indisputable now is this: The Biden Plan is working, the Biden Plan is producing results, and the Biden Plan is moving the country forward,” Biden said.
Twenty-five states run by Republican administrations have started cutting federal unemployment benefits by $ 300 per week in an effort to get people back into the workforce.
At the White House on Friday, Psaki asked a question to determine whether the lack of such unemployment benefits was sending the number of jobs higher.
There is “no evidence” that this is happening, Psaki said.
“We are seeing strength in the economy and in states and regions, of course,” Psaki said. “But it’s thanks to a number of investments that have helped people get through this difficult time and get them back to work. We know more needs to be done, but we haven’t seen any evidence of these. data to date. “
Instead, vaccination rates were leading to higher job growth, she said.
Psaki’s comments echoed those made by Labor Secretary Marty Walsh on Friday. He told Insider that the gains were due to workers being vaccinated back to their offices across the country.
And some have questioned whether governors have the power to cancel federal unemployment benefits. In Oklahoma, for example, a judge on Friday granted a preliminary injunction against Gov. Kevin Stitt, saying he did not have the authority to quit the program in June, local news station KOCO reported.
Judge Anthony L. Bonner Jr. on Friday reinstated the $ 300 payments until benefits expire on Sept. 6, or whenever he makes a final order, The Oklahoman reported.
A Century Foundation report last week predicted that about 7.5 million Americans would lose their unemployment benefits in September. They would lose the weekly payments of $ 300, along with other benefits, according to the research.
Psaki said on Friday that the White House had not decided whether or not to extend the benefits.
“At this point, they expire in early September,” she said. “Nothing has changed there, but a final decision has not been made.”
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