Posted on 03/30/2020 6:33:11 AM PDT by Kaslin
In terms of social pressure, its hard to imagine a more important must-pass piece of legislation than the recently passed $2 trillion coronavirus relief bill. Right or wrong, the government is essentially forcing businesses to close and people to be out of work in order to fight the spread of coronavirus, and thus any shred of morality on the part of said government officials would dictate that the government has a responsibility to at least help care for those out of work folks until the crisis has passed, even if that means borrowing trillions to do so.
Still, there are plenty of things we already know are wrong with this bill (did we really need a few extra million for the Kennedy Center right now?) and plenty of faults yet to be discovered, especially given that most legislators wouldnt have had time to fully examine its contents before being forced to vote on it. One thing we do know about, however, is a supposed drafting error that gives an extra $600 per week for four months to anyone drawing unemployment compensation ON TOP of what they would ordinarily make in unemployment. This drafting error, as Nebraska Sen. Ben Sasse explained in a statement, would create a perverse incentive for Americans to not work.
As its currently drafted, Sasse said, the bill threatens to cripple the supply chain for many different categories of workers, some in healthcare, some in food prep and food delivery and creates a perverse incentive for men and women who are sidelined to then not leave the sidelines and come back to work.
Sasse and others, including South Carolina Sens. Tim Scott and Lindsey Graham, tried to fix the issue by including a simple amendment that would have prevented unemployment benefits from actually exceeding what someone previously earned, but it was summarily shot down well short of the 60 votes it would have taken for passage. So were left with an issue that, according to Sasse, will exacerbate our problems and force Congress to be back here in a month and in two months trying to fix them. Yeah, good luck with that.
Granted, those who voted to keep the $600 likely found it difficult to bend against the politics of helping those in need during a critical time in our history. After all, never before have so many Americans been denied their livelihoods by their own government. However, when the coronavirus crisis does pass, and it will, what happens when businesses try to ramp up their workforces in order to meet the inevitable demand surge? Will lower-skilled yet crucial laid-off workers resent being called back to work to take a pay cut? And if/when additional help is needed, good luck trying to coax anyone out of the house with the tempting sales pitch of hard work AND less money than they are currently making sitting on the couch watching Netflix.
Before you try to argue that most people would always choose a permanent job, remember that low skilled employers had enough difficulties hiring and keeping people during normal times. This is a workforce that can leave at the drop of a hat only to walk in somewhere else and begin working the next day, and yet they are absolutely crucial to maintaining the underpinnings of a strong U.S. economy.
In a piece about the issue for liberal website Slate, Jordan Weissmann argued that the issue is actually not a drafting error, but rather a design feature of the bill that conservative lawmakers simply are unhappy with. While the writer isnt overly concerned about incentivizing service workers to stay home during a plague, he does acknowledge that the qualms of those concerned about the future ramifications of the bill arent entirely insane.
Usually, Americans cant collect unemployment if they walk out on their jobs, Weissmann writes. But the coronavirus billor at least a draft version that a Hill aide told me was current makes an individual who has to quit his or her job as a direct result of COVID-19 eligible. Direct result isnt super well defined in that section (and Im not sure how itd be policed), so you can definitely imagine a scenario where some important workers decide to go on unemployment insurance rather than keep working for a business that cant afford to give them a raise at the moment.
In other words, not only will hiring and rehiring become a future problem when this crisis has passed, but keeping ones workers RIGHT NOW if you need them to, you know, stay in business, could be a tremendously devastating unintended consequence. How many lower-wage people will simply choose to quit their jobs because they are concerned about contracting coronavirus? How is a restaurant trying to stay afloat by doing take-out, a factory trying to produce much-needed goods, or a farmer trying to get the crops planted supposed to do all those things if our government will pay their workers more money to simply stay home?
The Slate writer called Lindsey Grahams alternative idea of simply giving laid-off workers 100 percent of their salary during the crisis a pretty reasonable approach that he would be kind of tempted to accept if he were a congressional Democrat. However, the ancient IT systems currently used to administer state unemployment benefits make such a common-sense approach impossible.
Somehow though, I doubt Democrats would have accepted such a reasonable solution, even if it were technically possible. Theyre too keen on taking full advantage of this crisis. And such a scenario, where workers are literally better off on the government dole than working, is just too perfect for those who want to someday turn the entire United States into a socialist hellscape.
One of my employees already received a call fro ma friend of his, suggesting he should boost his income by going on employment.
“But just if the employer has work, can they just walk off?”
Yes. “I fear for the virus at my work”, is all it takes.
Pretty much. They can just walk and get unemployment - even with documentation of stealing on the job, about anything. Obama made sure fighting unemployment claims by workers by small business owners ( Im one of those small businesses ) is basically futile.
“an extra 600 bucks for four weeks ? Give me a break.”
No, $600 per week for every week, or $2,400 a month.
A person making $12.50/hour makes $2,000/month. They’ll get on average $280 in unemployment benefits plus the $600 for a total of $880/week, or $3,520/month. That’s $1,520/month more than they make working.
Whatever. Enjoy your socialism.
Another 800 page bill, crammed down the throat of America by the threat of urgency and trickery in the middle of the night, that no one has bothered to read.
And people are attacking Massie? They guy is the ONLY person in Washington actually considering the Constitution or what this really means.
In principle, I agree that this was stupid. In practice, we are going to be a long time in recovering from this. All the Freepers who signed onto this hysteria now need to grapple with the cost. Will the long term weakening of our economy and the surrender of freedom been worth the lives saved? Does it stop here? How many other prog dreams will we help fulfill based on “it saves lives”?
The WW2 analogy is deeply flawed. In that war 415,000 mostly young men were sacrificed to preserve our freedom and the freedoms of our allies. In this war, we are sacrificing our freedom to save lives. At least that is that we are being told.
Wait till they get the tax bill next year. Wont think it was that great of a deal!
Wheres the outrage of 88 THOUSAND ( 88,000 ) alcohol-related deaths in US each year. Not seeing us distance ourselves from the liquor aisle at Walmart. We should be afraid, very afraid.... crickets
Don’t worry its coming. The standard has been set. We are now to be a safe country not a free country.
actually safe is free
Nonsense. In most states after taxes, the added 600 will be CLOSE to what the previous job paid. Add to that, its temporary.
If the question is does unemployment being equal to employment income disincentivize reemployment? The answer might be yes in some cases. This is exactly what many in congress seem to be suggesting. Linsey Graham saying as much while calling out for someone to write the necessary code.
So, as is, worse case is this 600 might delay some rejoining the work force around the time things are assumed to be getting back to normal. Personally, I think smart people realize the good jobs will be snapped up early. You want to squeeze every last unemployment dollar youll end up working the drive thru.
"Low skilled employers?" I know what the writer was trying to say, but don't they have a proofreader?
We keep saying this over and over at our house...
FOUR MONTHS
You could survive many things by seeing the light at the end of... ..
It’s temporary.
"If you want total security, go to prison. There you're fed, clothed, given medical care and so on. The only thing lacking... is freedom."-- Dwight D. Eisenhower
That would be the end of that President.
That's exactly right. I hope FreeRepublic survives this, because a whole lot of regular contributors here really exposed their passionate attachment to "liberty and freedom" as a fraud.
That's enough to buy a few rifles and lots of ammo.
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