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AFL-CIO Debuts Job Creation Program

Evan McMorris-Santoro | November 16, 2009, 6:43PM

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Richard Trumka, Secretary-Treasurer of the AFL-CIO

AFL-CIO, Economy

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The AFL-CIO is heading to Congress this week to sell Democratic leaders on the union's new plan to "create or save" 2 million jobs over the next year. AFL-CIO President Richard Trumka will present the 5-point plan to a meeting of the Democratic caucus tonight before presenting it to the public at a speech in downtown Washington tomorrow morning.

TPMDC got an early look at the proposal this evening.

Essentially, the AFL-CIO plan calls for dramatically increasing the amount of government money spent on job creation efforts. Trumka will praise the stimulus package in his speech tomorrow, but will also criticize the government's economic recovery program for not spending enough on infrastructure repairs or encouraging loans to small businesses.

The AFL-CIO plan calls on the White House to take remaining money from the TARP program and divert it directly to small businesses in the form of loans offered through the smaller community banks not eligible for TARP funds the first time around. Under the proposal, the banks would handle the loans and carry "first-dollar risk" for all the money lent out.

In the rest of the plan, the AFL-CIO calls for billions in direct government spending. The plan suggests at least $10 billion in new infrastructure spending, and billions in direct aid to states forced to cut their budgets during the economic crisis. The AFL-CIO calls on Congress and the White House to extend the expanded unemployment benefits passed in the stimulus past the end of the year, when the provisions are set to expire.

Trumka will announce the program at a meeting of the Economic Policy Institute, a union-backed think tank.

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10 comments

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USgreentech

November 16, 2009 6:58 PM

go all in

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the true enduring majority

November 16, 2009 6:59 PM

About time. The stimulus was definitely a let down in terms of the lack of infrastructure projects. The nations infastructure is literally falling apart, yet there are no significant (ie labor intensive) public works projects in a 800 billion dollar bill that is meant for economic revitalization?
Shit, infrastructure spending is the most job intensive stimulus I can think of, which pays huge dividends too.

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dswx

November 17, 2009 5:14 AM in reply to the true enduring majority

Not really. There have been extensive road projects in my state that would have never occurred without the stimulus bill. And the jobs that go with it.

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The Old Grouch

November 16, 2009 7:59 PM

WPA/CCC-style projects, sooner rather than later, will have a significant impact on the job situation.

Do it like back then, too. Feed, clothe, and house the workers, while sending the majority of their pay home to families. Give workers with families a certain measure of priority in selection for these public works jobs. (Yes, I know, but feeding kids is feeding the future.)

Put resources - people, not just money - into schools. Ease up on some requirements and get "adjunct" teachers in, teaching kids about life matters. Above all, stop teaching only how to pass tests.

There will need to be a lot of readjustments, but these things are essential.

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sinz52

November 20, 2009 12:15 PM in reply to The Old Grouch

We can't do it that way anymore.

There are too many new OSHA, EPA, union, and other regulations--most pushed by you liberals--to make it possible to just put untrained, inexperienced, non-union workers on big infrastructure projects in the short term.

Look how long it takes to start up ANY infrastructure project, even with contractors long in the business.

Besides, there just isn't that much that unskilled laborers can do anymore. We don't build infrastructure projects with picks and shovels anymore. You can't put an untrained guy you just hired to work with a backhoe--he'll probably get somebody killed.

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artgurrl

November 16, 2009 9:25 PM

A WPA program that includes massive funding for building high speed rail and the high speed train here in our country. Then hire all adjunct professors and teachers teaching part time at community colleges, universities and high schools across the nation. In addition, the park services in this country have been dramatically cut back in their work force, hire them back with an additional funding to maintain the parks. Hire a network of U.S citizen construction workers to build new schools that are state of the art that include classrooms for all the arts, sports and sciences. This should be a time we really invest in our own country. Get out of Iraq and Afghanistan and lets rebuild our own country and take care of our own people, not just the rich, but the poor and the middle class too. Jobs for everyone.

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Kuyleh

November 16, 2009 11:16 PM

The fact that they think the banks will do anything but hoard the money is laughable. I know they mean well, but...It's not going to happen.

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marklouis

November 16, 2009 11:34 PM

Create a Green Bank. You can create jobs and clean energy with one act.

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ericf

November 17, 2009 1:54 AM

The House transportation committee already has a bill for $500 billion of infrastructure projects, but the administration is opposing it. I think they're politically scared of the backlash, but I wish they were more scared of the unemployment and infrastructure decay.

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the true enduring majority

November 17, 2009 6:21 AM in reply to ericf

The bill your talking about is the the Surface Transportation Authorization Act sponsored by Committee Chairman James Oberstar.
I would doubt that it will come up this year because health care isn't finished yet, but the extension for the present transportation bill, SAFETEA-LU runs out early next year, so one way or the other it needs to get done.
If Kerry is talking about passing the climate change legislation early 2010, then there is no reason why Transport bill, which has a Republican co-sponsor wouldn't get passed either.
I definitely agree though that it should have been passed this year, but the WH and Dem leaders in Congress made the call to clear the deck of any major non-critical legislation until healthcare is finished.
It was probably the right call but IMHO they were way too optimistic about the schedule.
The Surface Transportation Authorization Act could still pass this year, as it is popular on both sides of the aisle, but for that to happen it would need to be pushed at a grassroots level. Otherwise it will happen early next year, questionable political calculations by Rahm Emmanuel regarding supposedly "tough" votes in election years or not. If is to happen earlier, constituents will need to get in contact with their legislators if it is too be expedited.

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