Unemployment Benefits, Unemployment Benefits Extension | featured news

More than 230,000 jobless Americans will lose their unemployment insurance by this weekend as reductions in the federal program that provides extended benefits to the long-term unemployed take broader effect.

Top House Republicans said Sunday they oppose a Senate-approved bill that extends a payroll tax cut and jobless benefits for just two months and said congressional bargainers need to write a new version lasting a longer time....

Congressional negotiators reached agreement Thursday on a compromise spending bill to avert a weekend federal shutdown. They also worked toward a deal renewing the payroll tax cut and unemployment benefits for another year but prepared a shorter version as a fallback in case talks fell short.

The proposal would pay for extending a payroll tax holiday and unemployment benefits in part through changes to Medicare and a pay freeze for federal workers.

Republican officials say legislation being drafted in the House would renew an expiring program of unemployment benefits at a time of 9 percent joblessness. The measure also would extend a Social Security payroll tax cut. Both are due to expire at the end of the year. The officials say the cost of provisions will be offset to avoid increasing the deficit.

Senior lawmakers said on Sunday they were optimistic about striking a deal to extend Bush-era tax cuts for all taxpayers and continue emergency jobless aid for millions of long-term unemployed Americans.

Extended unemployment benefits for nearly 2 million Americans begin to run out Wednesday, cutting off a steady stream of income and guaranteeing a dismal holiday season for people already struggling with bills they cannot pay.

Republicans in the House have blocked a bill that would have extended jobless benefits for the long-term unemployed beyond the holiday season.

The Democrats' hard-won victory comes after the GOP tried to stall the $33.9-billion package for weeks. President Obama signed legislation extending unemployment benefits Thursday for 2.5 million jobless Americans, a hard-fought achievement his party will use to portray Republicans as callous to the needs of ordinary workers in a fall election campaign tied to the country's economic fate.

Congress is one House vote away from resuming unemployment payments to millions of people whose benefits have lapsed as the nation suffers through a wretched job market.